Did you realize that nearly 20 percent of all small businesses in the United States have at least one paid employee? As your business starts to grow, hiring employees will become essential. The longer you wait to hire people to lighten your workload, the harder it will be to avoid losing customers.
Once you have the right team members in place, one of your main goals needs to be perfecting the payroll process. An important part of this process is providing employees with a check stub. Creating a check stub template can help you greatly in the future when new team members are hired.
Here are some of the things you have to do to create an effective check stub template.
A Check Stub Template Needs the Right Information
While choosing a theme for your check stub template is important, you need to focus more on the details of this document. A check stub will have to feature important information in order for it to be effective. The first thing your check stub needs to have is the employee’s full legal name and their home address.
The next bit of information you need to include in this document is the number of hours your employee works and the rate of pay they are being given. You also need to include the date of the pay period in question and the amount of money your employee earned before deductions.
Having these categories in place will allow you to create a pay stub in no time at all. Be sure to check out www.paystubs.net for more information about how to create a check stub.
Your Check Stub Needs to Include Deductions
When creating your check stub template, be sure to include any deductions coming out of an employee’s check. Failing to include these deductions can create lots of problems.
In most cases, these deductions will be things like state/federal taxes, healthcare costs and Social Security. Luckily, there are tons of business accounting programs on the market that can help you figure out these deductions.
By including this information, you can help your employees see exactly where their money is going. Your team members will also want this information when filing their income taxes each year.
Accuracy is a Must
The main concern you should have when creating a check stub for your team members is accuracy. The last thing you want is for the hours worked or total pay sections to be incorrect.
The best way to ensure these numbers are accurate is by getting a trusted employee to look at these stubs once they are completed. In most cases, this will help you find and fix any mistakes that may exist.
Creating a Check Stub Template Takes Time
Rushing through the check stub template creation process is a bad idea. This is why you need to take your time to ensure this work is done properly.
Are you looking for more small business advice? If so, be sure to check out the rest of the blogs on our website.