Why Your Payroll Service Should Be Bonded
Smart business owners want to minimize hassles, save money, and increase their productivity. How do you do that? Outsource the time-intensive tasks like payroll, but make sure it’s with a reputable company like Pacific Payroll Group that’s not just insured, but bonded.
If a payroll provider has a fidelity bond or dishonesty bond, it helps cover you (the business owner) should the money ever go to the wrong person or entity. For example, you are protected if the wrong amounts are paid to the IRS or not paid at all.
There is no legal or state requirement that a payroll company be bonded.
Even if you hire a payroll company to make tax payments on your behalf, the IRS states that “In the event of default by a third party, the employer remains responsible for the deposit of the federal tax liabilities and timely filing of returns.” So, make sure you know and feel comfortable with the payroll company you choose to work with.
“The bond provides security that the payroll processor will operate according to the applicable laws and pay the taxes payable to the licensing jurisdiction for the employers they service.“
Pacific Payroll is proud of our fidelity bond – just one of the many ways we continue to be of service. We’re happy to handle payroll and all related payroll tax responsibilities (for both employees and independent contractors). We have unmatched personalized service, mobile friendly software, and online employee access. You can submit hours however you want and of course we offer everything to make life hassle-free including direct deposit, new-hire reports, incredible customer service, and detailed payroll reports.
We work to make your work-life much easier.