Business.com

Business.com

5 Things to Consider If You’re Thinking About Working Abroad

Posted: 23 Jan 2020 09:00 AM PST

Nothing opens the eyes and broadens horizons quite like international travel. After all, it's a big world out there with lots of places to explore, learn, and work. The idea of searching for a job in a different country might seem like a daunting task, and it's arguably not going to be the right path for some. That said, choosing to follow a career abroad can provide a wealth of benefits. 

According to a study by the British Council, international work experience can enhance a person's productivity and problem-solving skills. As an expatriate worker, you'll also be immersing yourself in a foreign culture and taking on challenges that are outside of your comfort zone. A prospective employee who is confident and has clearly demonstrated an ability to adapt to change is going to stand out to employers. 

Does this sound like something that's a career calling for you? Well, before you update your Linkedin profile and start firing off resumes, there are some things you need to know before taking the international leap.

1. Choosing the right employer is key

Carefully looking at all aspects of a potential employer from work environment to salary and benefits is important for accepting any position, but especially if that job is in another country. 

Because labor laws can vary dramatically from country to country, it's imperative that you do the research into what those laws are and how strictly they are enforced. Taking a job with a company that has a history of mistreating its workers could make for a very unpleasant experience of working abroad. 

A good employer will value the diversity that you're bringing to their organization and should offer to help you gain a work visa to make the transition as smooth as possible. Do they offer any sort of stipend to go towards relocation expenses or help with housing? 

While some employers may offer the benefit of sponsored housing, it's still important that you do your research on the accommodations. The cheap rent of an employer-sponsored flat may eat into your salary if there's no kitchen to cook in and you're ordering delivery for every meal.  

It's certainly possible that your dream job is waiting for you in another country. Just be sure you do the proper research that the dream job isn't a nightmare in disguise 

2. Don't ignore the math of your salary and cost of living

Everybody wants to be compensated properly for the work they do and accepting a job that offers fair pay can be the difference between a foreign work experience that's rewarding and a miserable one. 

Before you send out a single resume to a foreign employer, it would be wise to do some research into the country's job market. Is the industry of your choice in a healthy state with upward job growth or is it oversaturated with unemployed native job seekers? 

If your research shows that the foreign market is ripe with openings that pay a higher salary than what you're seeing at home, fantastic! While this is certainly good news, you also need to look into what your cost of living expenses would be. 

You'll need to factor in everything from transportation costs to rent, groceries, insurance, and utilities and see how it all balances out with your paycheck. A salary with a foreign position that's 20% higher than what you're currently making may not be so appealing if it only leaves you with pocket change at the end of the month. 

3. Do your homework on the visa process

The idea of working abroad is certainly an appealing one that conjures up ideas of adventure and exciting career growth. Making that dream a reality is likely going to be a somewhat lengthy process and require quite a bit of paperwork with both your home country and the foreign country you'll be working in. 

The US Department of State has plenty of information on its website about the visa process and learning the ins and outs of it will make your life a lot easier in the long run. A good employer will help support you through this process, but there's plenty that you'll need to do on your own to make sure that you receive the proper type of visa. For example, certain visas may not allow you to switch jobs within a certain time frame or could penalize you if your employment contract is terminated. 

Securing a visa can take several months, so this is one matter where time is certainly of the essence. If a dream job, say in Milan for example, does present itself, it is possible to expedite the process and secure an Italian visa appointment in New York, but again, the more time you give yourself the better. 

You should also be especially careful of any prospective employers who say that you'll be "volunteering" and will not need a visa despite receiving a wage. Don't be afraid to reach out to your government's website on working abroad for guidance and legal questions you might have. 

4. Getting credit and filing taxes can get complicated 

If the US income tax laws are enough to make your head spin, try factoring in the tax laws of working in another country like Singapore. First things first, if you're a U.S. citizen and are working abroad, you still have to file your taxes with the U.S. government. You may not necessarily have to pay taxes, but the IRS is clear that they must be filed. 

Another factor that may slip your mind while making plans to conquer the tech industry of Spain is the issue of credit. While you may have an impeccable credit score of 800 in the United States, that impressive score won't be following you overseas because countries use different measures for judging the financial trustworthiness of citizens. While this may sound appealing if your credit score is rather low, a poor credit score can also make securing a visa tricky. 

US citizens working abroad should continue to keep their US credit cards open and make regular payments. Nobody wants to leave the country with an excellent credit score and return home to a dismal one.  

Building up credit a credit profile in another country can be difficult, so opting to pay with cash may be or using a card you already have that doesn't have foreign transaction fees may be the best option. 

5. Take the appropriate steps to soften any language barriers 

Diving headfirst into a new culture can be an exciting experience, but there's a reason the term "culture shock" exists. It can also be challenging, frustrating, and tiring trying to acquaint oneself with unfamiliar traditions and societal behaviors – especially if there's a language barrier. 

Doing all that you can to soften the language barrier before you board the plane will help greatly in building up your confidence for the first day on the job. Even if you do happen to be taking a position in a foreign country where English is the native language or widely spoken, keep in mind that there could be differences in slang and office lingo. 

Take some time beforehand to work on those conversational skills and catch up on the country's pop culture. It can go a long way in easing you into your new work environment and home.

7 Helpful Tips on How to Start Your Digital Marketing Career

Posted: 23 Jan 2020 08:00 AM PST

For many, the days of shopping in brick-and-mortar stores are long gone. Today, every successful company has a branded website, social media accounts, outreach on reputable contributor platforms, forums, business directories, Q/A services, and an extensive online audience. That is why digital marketing services are constantly growing in demand. Competing companies hire the best specialists to effectively promote their ventures and push their commercial pages to the top of search results.  

As digital marketing becomes an increasingly popular and lucrative niche, more and more young people are turning to it as a top career choice. However, as in any other niche, it can be challenging for aspiring specialists with modest backgrounds to outrun experienced colleagues and land well-paid positions. 

The tips below will help you take your first steps in digital marketing and build momentum to climb the career ladder to success. 

1. Gain hands-on experience

Even if you are a great learner, your knowledge of theory is unlikely to impress a potential employer. It is much more important for them to know that you are skilled enough to handle challenging situations and solve real-life tasks. Any hands-on marketing experience will be a plus.

As a student, you can work part-time in a marketing agency or take on an internship during summer vacation. You will not only gain valuable experience, but also make useful contacts and possibly reserve a position for future full-time employment.

As a graduate, don't be afraid to take a low-paid marketing job for a couple of months. Having gained practical experience, you will be able to return to the job market with an updated resume and more ambitious aspirations. 

Also, you can launch your own project. For example, promote your friend's rock band on social media or help your family member promote their online store for local search results. Be sure to gauge both initial and resulting metrics to provide a potential employer with a detailed report on your marketing success. Such autonomous projects will show you are a good analyst, and able to work without oversight from a boss. 

2. Build your own online image

When seeking candidates for marketing positions, along with perusing your resume, recruiters often review social media profiles. Company owners are unlikely to trust you to promote their products and services if you are not even able to promote yourself. Digital marketers with only a single post on Facebook and a handful of photos on Instagram usually arouse suspicion. 

As your first practical project, create your own professional brand. Make contacts with a large number of niche experts and potential clients, regularly post relevant and meaningful content, and collect likes, shares and comments. 

A strong social media profile will reflect your digital charisma and your ability to get the attention of people who are of primary importance to a successful digital marketer.

3. Develop a broad outlook and narrow specialization

There are many branches of digital marketing. The key ones are social media, PPC (pay-per-click ads), SEO (search engine optimization) and content marketing, each with its own sub-branches.

You will not be able to become a top-notch specialist in all of these areas, and you will have to pick a lane. Some people are keen on writing and prefer content marketing, while others have an analytical mindset and prefer SEO. 

A broad outlook will help you understand exactly what kind of digital marketing job excites you most, and allows you to develop your full professional potential. Once you find your passion, continue moving in this narrow direction. 

Determine what team size suits you most. Some specialists enjoy networking and are happy to collaborate with dozens of people daily, while others prefer close interaction with a small group of coworkers. Also, decide whether you want to sign on full time with a firm or become a freelancer, performing individual projects and shifting from one client to another. 

Once you establish your ideal work mode, every hour in the office will bring you genuine pleasure. You will have superior performance and achieve much better results than your peers who are still struggling to find themselves. 

Strive to become a master of your chosen craft, and always pay attention to what colleagues from related departments are doing. A broad outlook will give you perspective on the tasks in your narrow specialization and help you find the most effective solutions.  

4. Attend niche events

Even for IT specialists, it is sometimes useful to step away from the computer and engage in live communication with like-minded people. Niche conferences, meetups and workshops are great venues for educating yourself, boosting practical skills, making useful contacts that can come in handy in the future, or even finding your first employer. In addition, traveling to events taking place in other cities and foreign countries will broaden your horizons and refresh your mind. 

Pubcon Pro, Internet Summit, and Growth Marketing Conference are among the most popular digital marketing conferences held annually in the US.

5. Monitor digital marketing news

Digital marketing is a dynamic industry developing at warp speed. New approaches and technologies are constantly emerging, and your agile competitors are sure to utilize them. If you do not do the same, outdated methods will bury your promotional campaigns. 

In addition, the ways that people search for goods and services on the web are changing. Cater to their needs to make your products or services more visible on the web. 

Select several reputable digital marketing publications, like Search Engine Journal, GoDaddy Garage, or Search Engine Watch, and review them daily to stay up to date with the latest niche trends. 

6. Gain general tech knowledge

Even if you don't plan to develop websites or write code for mobile apps, it will be useful to learn how those things work. After all, as a digital marketer, you will have to communicate with technical specialists and convey project requirements to them from a marketing standpoint. 

In general terms, you need to at least understand what features your colleagues can implement using HTML, CSS, JavaScript, PHP, and other programming languages. Learn tech terminology to communicate with developers in their language.

7. Compile a killer resume

A well-designed resume will help you make a positive first impression on a potential employer. Make sure it is neat, well-formatted, meaningful, and demonstrates your best personal and professional qualities, while at the same time hiding weaknesses. 

Large companies receive dozens of resumes daily, and it is especially challenging for aspiring specialists to stand out. Use the following tips to turn your resume into a golden ticket to a successful future:

  • Having limited experience, you should highlight your personal qualities. Showcase your creativity, diligence, ability to network and find a common language with different people, meet deadlines, absorb large volumes of information, distinguish the most important details, analyze them, and make meaningful conclusions. 
  • List all your internships, conferences, competitions, and other activities related to marketing. 
  • Provide certificates that demonstrate your expertise. For example, Adwords certification by Google would be a great plus for a PPC specialist. 
  • Get positive recommendations on LinkedIn. Most employers use this business network to verify the professional reputation of candidates. 
  • Lead with the most meaningful details. Busy recruiters spend only seconds looking through each resume. Hook them with your key merits described in the first lines. 

Use these helpful tips to stand out from your competition in the job market and take the first steps towards your future success in digital marketing. Believe in yourself, monitor niche trends and cultivate your strongest talents.

5 Things to Expect From Interactive Marketing in 2020

Posted: 23 Jan 2020 07:00 AM PST

In 2019, people distrusted advertising more than ever – especially Gen Xers and the millennials. You can see this in the rise of ad blockers – now making up 30% of all internet users globally and climbing--and scary stats like the fact that 84% of millennials don't like traditional marketing. To combat these rising trends, marketers will need to be more creative, innovative, and transparent in how they engage their target audiences. To accomplish this in 2020, interactive marketing will be crucial.

Consumers have had good reason to distrust companies with their data. The recent Cambridge Analytica scandal has made users everywhere think twice before sending their private information to third-party sources. And a new Facebook data leak shows that big tech still can't be trusted. 

This brings us to interactive marketing in 2020. Marketers have always loved the concept – easy-to-create quizzes, listicles, polls, and more can turn passive visitors into active participants. But interactive marketing campaigns will only work if they can get users to choose to participate in them. Transparency is crucial; companies will need to be upfront about how they will use any data collected. 

Here are a few things to expect in the world of online quizzes and interactive marketing in 2020. 

1. More content flexibility

Interactive marketing isn't new, but it's always evolving. In 2020, expect marketers to go beyond the standard one-off quiz or personality test and lead form combination. Instead, quiz makers will continue to deliver a greater range of formats and experiences for marketers to encourage repeat engagement and visits.

New quiz types will automate interactive content creation. Rather than creating a "one and done" quiz, marketers can just upload questions by spreadsheet and pick the refresh time. Their quizzes work as evergreen content, refreshing to show visitors new questions every hour, day, or week. One simple quiz equals constant engagement.

Retention mechanics will feature strongly in 2020 as well. Savvy marketers know that successful marketing is based on growing relationships – and this requires more than a single visit. Content teams will experiment combining auto-refreshing content with video game tools like leaderboards. The goal is to turn each experience into an interactive social competition keeping users coming back for more.

2. More customization

Every campaign is unique, and marketers need to rapidly create bespoke content that will deliver the results they need. Quiz, poll, and other formats will move beyond the current one-size-fits-all approach and into new avenues that allow for more customization, allowing marketing teams to create a mix-and-match recipe to ensure that everything fits the needs of their customers. 

For example, imagine wanting to create a standard three minute, eight-question quiz to qualify leads. Beyond sticking to a strict quiz or poll, marketers will be to mix and match within the quiz itself. Questions one and two might be single or multiple-choice, three and four could be polls, and five to eight can be Tinder-style swipe questions. The result is that these more engaging experiences keep visitors happily tapping away until the end.

3. More power for product recommendations

Online marketing quizzes have always been good at suggesting products based on each quiz taker's answers. The best quizzes feature six to ten questions, which give marketers that many data points to refine and suggest the perfect products. But there are many more useful and flexible ways to craft the quiz and post-quiz experience.

After the quiz is completed, instead of just showing their results, you can send each user to their personalized shopping cart. For example, imagine a customer takes a quiz to help choose their ideal headphones. A quality post-quiz experience will take them directly to a shopping page for the noise-canceling headphones they need for their open-plan office. By seamlessly taking them to the checkout, they're far more likely to make a purchase.

That's just one way that interactive marketing will win for marketers in 2020. Better yet, customized product recommendations matched with tighter integration into e-commerce systems will result in better conversions and deliver on the bottom line.

4. More efficient to create

It's been breathtaking to see how fast online marketing tools have developed over the past ten years. Interactive marketing is no different: It has become exponentially easier to create and manage quizzes and other content – and this is only going to accelerate in 2020. 

Think back to YouTube: Before it arrived on the scene, video content was expensive to create, edit, and publish. Now, these tools have shifted down the skills pyramid from formerly requiring dedicated experts to now, where any online-savvy marketers can create their own quiz. 

Marketing teams will continue the trend of bringing interactive content in-house. In the past, it would have taken six to eight weeks for an agency to be hired, briefed, and then ready to deliver relatively straightforward custom content for a campaign.

In 2020, this will change. Smart teams will increasingly create and roll out their own interactive content, from personality tests and quizzes to listicles or polls. They'll start because of the cost savings, paying a few modest monthly subscriptions for tools versus a stream of custom proposals. But they'll stay when they see the speed and scalability. Content will be faster, easier, and more effective. Even better, all these skills will stay in-house.

Agencies will still have a role of course, but they'll be brought in only for high budget, high profile campaigns, not for this type of easily created content.

5. More data capture

It's becoming ever-more difficult for marketers to collect data from potential customers. The EU kicked things off with its sweeping General Data Protection Regulation (GDPR) in May, 2018, while California – the fifth largest economy in the world – launched its California Consumer Protection Act (CCPA) on January 1, 2020. 

Big laws, big regulation, and big fines for non-compliance means that it will be increasingly difficult for marketing campaigns to have the same effect as in years past. Traditional online advertising like banner ads relies on using cookies and other tricks to covertly track behavior across the web. Sure, there's the "manage privacy" option displayed on the first visit to a site, but how many people really take the time to opt-in or out?

Interactive content, on the other hand, will continue to thrive because it offers both a compelling and transparent way to convince customers to provide their data. Interactive content transparently integrates data collection – compare that with traditional advertising's behind the scenes approach. Most quality software providers include an explicit lead generation step before their results where a site visitor can explicitly choose to complete with their name, email, and other relevant information. It's up to the companies to provide a compelling reason to persuade each customer it's worth it.

For example, if someone starts a quiz on a career consultant website, they might answer 10 to 15 questions about their ideal job. But before seeing their job recommendations, they can choose to give their name and email in return for a free 15-minute Skype session with an advisor, who can use craft a custom session around each person's needs. This sort of clear offer can pay off with up to 40% opt-in rates from interested leads.

The big takeaways for interactive marketing in 2020

2020 kicks off a new decade full of new challenges and opportunities for marketers. Traditional online tactics simply don't work in the face of the rising distrust of advertising and global data protection concerns like the EU's GDPR. 

Instead, expect to see marketers turn to a new, more transparent approach. They will encourage their audience to voluntarily engage and opt-in with their data through the customization, lead generation, and production recommendation power of interactive content tools. Engagement and transparency through interactive content is the new marketing playbook for 2020.

How E-Commerce Merchants Can Prevent Coordinated Fraud Attacks

Posted: 23 Jan 2020 06:00 AM PST

E-commerce fraud has always been a problem, and the solution has always been to screen orders using the most powerful tools available. Now, however, order screening alone may no longer be enough to protect merchants. Organized criminals are increasingly committing fraud without triggering flags during order screening. That's bad news, but a type of data analytics called group analysis can help merchants fight this new threat.

How most online merchants tackle fraud

Card not present (CNP) fraud is a huge problem for the e-commerce industry. It's also a problem that's getting worse, with losses projected to reach $130 billion by 2023. Because placing orders with stolen data is how criminals usually commit CNP fraud, it's logical that merchants and fraud prevention solutions focus on screening orders rigorously. 

A typical order is screened for matches between cardholder name, card number, CVV, and billing and shipping addresses. It's likely also compared to the customer's order history, geolocation data for the device they're using to place the order and perhaps behavioral biometrics like how they use their keyboard or mobile touchscreen. If any of these elements don't seem right, the order may be automatically rejected or sent to an analyst for manual review. 

A lot of technology and expertise goes into screening each order for fraud, and that's a good thing for merchants because it protects them from the most straightforward type of CNP fraud. However, organized fraudsters know about all the resources that go into stopping fraudulent orders and they're always looking for ways to get around those barriers. Sometimes, they find ways to commit fraud that evade order screening, but which would be obvious if anyone were looking for larger patterns among the orders. 

What merchants can miss when they focus only on order screening

Coordinated fraud attacks happen when criminals find ways to work around the transaction screening process. For example, a fraudster might use stolen credit card data to order a big TV for resale. Instead of having the TV shipped to their own address or to one of their fellow criminals, they use the shipping address that's already associated with the credit card. By using the victim's shipping information, the criminal avoids raising flags during order screening, and their order is approved.

The TV never makes it to the victim's address, though. Instead, the fraudster calls the merchant's customer service line and says they need to change the delivery address. Unless the merchant screens the order data again or has a policy against post-purchase shipping changes, the criminal can reroute the TV to the new address without tripping the merchant's fraud alarms.

The fraudster may have another option as well – calling the shipping company directly and asking them to reroute the package. This avoids fraud screening and leaves the merchant completely out of the loop, just in case they might have become suspicious. 

A criminal working for a larger e-commerce fraud organization – and yes, they exist and operate like businesses – might simply contact a fellow fraud ring member working for the shipping company to have them divert the package, with no official record of a change request. 

These approaches might seem like overkill for a single transaction like our hypothetical stolen TV. That's why organized fraud rings use these tactics at scale. That's bad news for merchants because while one fraudulent order can result in a chargeback and lost product, dozens or hundreds of fraudulent transactions that bypass order screening can devastate a business. And if merchants are focused only on order screening, they won't see the coordinated fraud attack until it's too late.

How to spot patterns that can indicate a coordinated fraud attack 

To identify patterns that may be caused by coordinated fraud, merchants need a shift in perspective. Rather than focus only on evaluating transactions one by one, they also need to look at large groups of orders to spot changes and trends. 

How does this pattern detection work? One effective method is group analysis. This type of analysis tracks specific types of data over time. This helps to show a pattern of expected behavior. For example, a merchant might choose to track the number of orders that originate from different locations to establish benchmarks and trends. Maybe one ZIP code has a low number of orders each month but it's trending upward, while another ZIP code has a consistently high number of orders per month that doesn't change much. Any change that deviates from the expected pattern is a flag that calls for more investigation.

Of course, order location data is just one element of the bigger picture. Coordinated fraudsters use many tools and techniques to get what they want, including creating new credit card and bank accounts with stolen personal data. Because fraud attacks are becoming so complex, all the data associated with each customer and each transaction – including things like the email provider they use, the age of their email and credit card accounts, and the bank they use – is a resource merchants can analyze to detect coordinated fraud. 

Using group analysis to detect and stop fraud attacks

By detecting patterns that differ from what's normal, group analysis can alert merchants to potential fraud even when each individual order passes muster. 

Let's use our ZIP code example above. If a store typically gets a few dozen good orders a week from a particular ZIP code and then the rate shoots up to several hundred a week, it's worth a closer look even if each of the orders appears to be valid – because it's an abrupt change from past activity in that region.

It might be that there's no fraud. Maybe a new business has moved in and is placing lots of orders, or perhaps the residents all have new jobs at a plant that just opened, and they're spending some of their new earnings. 

But it's also possible that the spike in orders is due to something else, like a bank data breach that exposed card numbers and account holder data. If that's the case, the orders won't trip any transaction screening flags, at least until the accountholders discover the fraud. But the group analysis will reveal that all these orders are being placed with cards that have the same bank identification number. 

At that point, it's time to place holds on the orders, stop deliveries and reach out to the bank and the customers whose data has been used, to find out for certain whether the orders are legitimate or fraud. In our hypothetical scenario, the merchant may be able to avoid hundreds of chargebacks and large amounts of lost product.

We can also look at our example of fraudsters rerouting packages after their orders are approved. An increase in these requests to customer service or the carrier might indicate that the merchant is being targeted for fraud. That's especially true if there are requests from different customers in different locations to reroute orders to the same address, which could indicate fraudsters consolidating deliveries to a single location for transport or resale. Again, the only way to spot this kind of fraud is to analyze data that reflects the big picture.

As organized criminals look for ways to target merchants without raising flags at the order stage, merchants must expand the way they screen for fraud. By looking at the whole picture as well as at individual orders, merchants can protect themselves from coordinated fraud attacks that can lead to expensive chargebacks and other losses.

How Much Do Payroll Services Cost?

Posted: 23 Jan 2020 05:15 AM PST

  • Online payroll services typically charge a base fee of $29 to $150, plus $2 to $12 per employee.
  • Some payroll companies may also charge an implementation fee, which is a setup fee to cover the cost of adding your employee and business tax data to the system.
  • If you decide to outsource payroll to a certified public accountant, you'll pay an hourly fee. 

Payroll processing is like cutting up an onion: It has many layers, and cutting through them can cause discomfort. The upside is that you don't have to do either task yourself. Just as you can buy pre-chopped onions at the grocery store, you can outsource your payroll by hiring a certified public accountant (CPA) or a payroll company to manage it for you. 

While both options can complete your payroll accurately and on time, CPAs and payroll solutions provide different levels of service. Before you hire anyone to help you manage your finances, it's important to understand how you'll be charged, where hidden fees may lurk and what you can get out of each option. To ensure you understand what you may be paying for, here's a breakdown of what the best online payroll services and CPAs do and what they cost. 

What is a payroll company?

Payroll services offer finance management support by helping employers compute their employees' pay and withholdings. They can come in the form of self-service software or a service company. Payroll functions include collecting employee wage and timesheet data to calculate gross wages, withholdings, and deductions to compensate employees through printed checks or direct deposit. They can also manage employee tax filing information.

 

Editor's note: Looking for the right online payroll service for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs. 

 

How much do payroll companies charge?

The costs structure and pricing for basic payroll varies. The benefit of this is that most businesses can find a service that fits within their budgets. 

Most payroll services charge a base fee. This can be a monthly charge or a per-payroll fee. With the latter, you would be charged the base fee each time you run payroll. So, if your company pays employees every two weeks, you would pay the base fee every two weeks. If you run payroll weekly, you would have to pay the fee each week. Base fees can run anywhere from $29 to $150. 

In addition to the base fees, there is typically a per-employee charge that you pay each month or pay period. These fees typically range from $2 to $12. 

Payroll providers often offer multiple service plans with different features and services. This gives you the ability to find a plan that fits your budget and needs. 

Some basic payroll processing services have a monthly subscription plan. With this option, they charge a set price for an unlimited number of employees. This option may have more restrictions on features, but it can be a good choice for small businesses, since smaller teams often don't require many features. 

Some payroll providers have a set fee structure that they publish online, while others provide a custom quote for your business based on the specific payroll functions and features you need. The number of employees you have and how often you run payroll will factor into the quote. 

If you are just looking for DIY payroll software that you install on your own computers or access online, you may be charged a license fee for it. This may be charged either as a monthly subscription or as a perpetual license fee, which is a one-time payment. It usually costs more upfront than a monthly subscription, and there may be annual upgrade costs as well. 

Do payroll companies have hidden fees?

Although there is no one pricing structure that works best for all small businesses, it's important to understand exactly what you're paying and what it covers. Here are some fees to watch for when you're choosing a payroll provider. 

  • Your payroll company may charge you for full-service tax filing features, which include processing your state, federal and local taxes. 
  • Payroll processing services may charge an implementation fee. This is a setup fee that often covers things like adding all of your employees into the system. There may be other charges based on how you choose to pay your employees. For example, a service provider may charge extra for direct deposit, while others may charge an extra fee if you require printed checks. 
  • If you use payroll software, look out for customer support fees or maintenance charges. 

Which features might be worth the cost of outsourced payroll?

One of the benefits of outsourcing your payroll is the tax guarantee that most payroll services offer. If the company makes a mistake on your taxes, it will correct it and pay any resulting fines. 

In addition to paying your employees and managing payroll taxes, many of today's payroll companies offer a host of other HR services that may be worth paying extra for. These include time and attendance tracking, benefits administration and retirement savings plans. 

That said, it's important not to overbuy on features if you may not need or use everything the program has to offer. Matthew Venuto, regional sales manager at ConnectPay, told business.com that a full HR suite is the most common feature that small businesses purchase unnecessarily from their payroll providers. Given how expensive the feature is, it's important to only add it on if you know you'll make the most of it. 

Do payroll companies offer any discounts?

Whether you're shopping for groceries or a payroll provider, a discount is always appreciated. As a small business owner, you can save a lot of money just by asking about the onboarding process. Before you purchase anything, ask the provider if any discounts are available for agreeing to a long-term contract or signing up with a certain number of employees, or if it is willing to match the price of a cheaper service you found. You may also be able to save money by agreeing to an annual contract instead of paying month to month. 

Should you sign a payroll contract?

If you can help it, avoid signing up for payroll software or services with long-term contracts unless you've mapped out all payments and are comfortable with what you're paying, satisfied with the quality of the service you're receiving, and confident that you will be happy working with this company for a long time. 

"Check out the surface model, security and how it runs," Venuto said. "Ask about your access to payroll specialists and whether they're well versed with tax laws in your state. Do your research."

Before you sign any contract, read it thoroughly to make sure it doesn't have built-in price increases. Contract length can vary, but you want to find out if the contract automatically renews. It's also important to understand how the cancellation process works so you don't get stuck or heavily charged when you're ready to close your account. Find out how much notice you must give and any cancellation costs the company may charge. Be wary of signing any contract that has a liquidated damages clause, as it can be very expensive to get out of. 

Also look into the company's employee onboarding process, and see if there's a free trial so you can take the service for a test run before you commit. [Ready to learn more about specific payroll companies? Check out the payroll companies we recommend.] 

Do CPAs offer payroll solutions?

A certified public accountant is a financial advisor who helps businesses, entrepreneurs and other organizations map out their finances and reach their fiscal goals. Can a CPA run payroll for you too? 

"I would never say payroll replaces CPAs," said Sara Menke, CEO of Premier Talent Partners. "But they can complement one another because [payroll companies] don't offer the same work as an accountant." 

CPAs can do more than handle your payroll records. They offer tax and accounting consultations and help you make financial decisions. And yes, they can be very helpful when it comes to payroll processing and administration. A CPA will ensure your team is paid on time and your retirement withholdings are properly deducted, and they can handle your payroll taxes as well as your workers' compensation insurance. They can also keep track of payroll reports, expense reimbursements and profit-sharing disbursements. 

"They provide an extremely high level of service to a small business owner," Menke said. "It's not just bookkeeping and the incoming and outgoing of cash management and investments; it's future strategy. We do a really good job of keeping clients compliant." 

A CPA can also act as a bookkeeper, collect accounts receivable, send out invoices and pay your vendors. 

How much do CPAs charge?

Now that we understand just how much work a CPA is capable of, let's look at how much they charge. Because of their level of expertise, it can be expensive to hire a full-time dedicated CPA for your business, so most small and midsize businesses work with CPAs on an hourly or project basis. 

Typically, CPAs bill clients on an hourly basis, but fixed fees are becoming more common. According to an Intuit survey, 57% of accounting professionals bill by the hour. The average rate for CPAs, as reported in a 2018 survey by the American Institute of CPAs, may be anywhere from $160 to $275 per hour. 

What do I gain from hiring a CPA rather than an accountant to process payroll?

With a CPA handling your payroll, you can rest assured that it will be done correctly, tax payments will be made on time, withholding calculations will be error-free, and you'll be compliant with the laws that change every year. Not only do CPAs get the job done right, but considering their extensive education requirements, they're more than qualified to run full-service payroll. 

Sure, you could hire an accountant to run payroll, and it would cost less, but you should understand the difference between accountants and CPAs before making this decision. Although both have a strong understanding of accounting, CPAs receive more in-depth and rigorous training that drills tax law and standard accounting practices into their expertise. They are also held to ethical standards by the state and must take courses in order to keep their licenses. 

What are the disadvantages of hiring a CPA to manage my payroll?

Outsourcing your payroll to a CPA can be expensive, depending on the number of employees you have, your tax situation, what you need and where you live. If cost is a concern, it may make more sense to outsource the task to a payroll services company and then consult with a CPA on taxes and your business's more complex financial needs. For instance, if you are thinking about acquiring, merging, selling or closing your business, a CPA can help you make a quality decision. They can guide you through the tax implications and financial documents, help you analyze assets, prepare final reports and statements, and provide a thorough report of the fair market value of the business.
Posted by: at

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)