Payroll


Payroll is essential in any business practice. At Payday Inc., we understand the importance behind an accurate payroll. We also understand there is more to payroll than simply producing checks. From technology and design to productivity and flexibility, Payday Inc. guarantees the best service and performance the industry has to offer.

There is no way around the fact that employees need to get paid and employers need to report payroll taxes, keep personnel records and track employee benefits. But calculating, verifying and producing accurate payroll checks and reports are simply not revenue generating functions.

Today companies of all sizes recognize that payroll functions are activities best managed by a payroll specialist. Employers are discovering that using an offsite payroll processor is not only less expensive it is also easier, less time consuming and, overall, less work for them.


Time and Attendance

Electronic Time and Attendance
Payday Inc. uses the most current payroll technology available. Netclock and ADI are online electronic time and attendance solutions for all businesses, large and small. It combines the convenience of online access with the familiarity of a conventional wall-mounted time clock, PC, and telephone. Our service is entirely online, so there's no software to buy, install, or manage.

Manual Time and Attendance
We know that not all industries and their employees have access to computers. To accommodate this need Payday Inc. works with each individual company to develop a payroll timetracking system that works in their company's best interest.

Payroll Management
Having worked with our developers since 2004 Payday offers the ability to access information and process payroll from anywhere that has an internet connection. Your company has the option to maintain payroll in-house or to simply review the payroll for accuracy and then upload the payroll to our end where it will be handled by one of our Customer Service Representatives assigned directly to your company.

Payroll Taxes

What we can do for you:
  • Prepare and file 941 Quarterlies with the IRS
  • Prepare State unemployment tax returns and file with the appropriate state agencies
  • Deposit Federal unemployment tax payments electronically
  • Prepare and file state and local withholding tax returns
  • Prepare and file 940 Federal Unemployment Tax returns with the IRS
  • Provide and file 1099M forms (employee and employer copies)
  • Prepare all W-2s and file with the Social Security Administration
  • Prepare and file state and local annual tax reconciliation
  • Generate quarterly and year-end reporting

Payroll Library

How do I change the legal name of my company?
To change your company's legal name, please complete the following forms and submit them to us, along with a copy of your company's amended Articles of Incorporation.

Legal Name Change Request
The IRS uses form 8822 to change your tax payer information.

How do I change the legal address of my company?
View and print IRS Form 8822.

To change your EIN with the IRS:
For information about changing your EIN with the IRS, see IRS Publication 1635, "Understanding Your EIN," which you can download from the IRS website. If you already have an EIN and the organization or ownership of your business has changed, you might need to apply for a new number.

Payday provides a complete tax filing service for clients with employees in all 50 states. Payday maintains ongoing communication with hundreds of tax authorities to ensure that we are up to date with the latest payroll tax laws and procedures.

How do I know my taxes are paid?
While Payday handles all payroll tax filings the responsibility of tax payments ultimately falls on your company. We understand the concern behind this question. This is why we would like to give you the information you need to make sure that your payments are being made. This also applies to businesses that do their own tax work. For Federal payments you can do the following:

Go to EFTPS.com
  1. Enter your state abbreviation and click enter
  2. Click on the enrollment tab
  3. Enroll as a business and click next
  4. Read the privacy act disclaimer and click accept
  5. Enter your Federal ID number, business name and phone number and click next
  6. Enter primary contact information, address and phone number and click next
  7. Choose payment through a financial institution and click next
  8. Click accept on disclaimer (this allows you to view all payment activity)
  9. Verify enrollment data and click next
  10. Read authorization agreement and electronically sign with an officers name and title and click accept
  11. You will then be prompted with an acceptance screen that provides your enrollment trace number, gives you the time frame for processing and explains that your packet will come by mail containing your pin number and login info
  12. Print a copy for your records

Once this packet is received, do the following:
  1. Call toll free 1-800-982-3526
  2. Logon to EFT website and change your password
  3. After receiving your confirmation you can go to payments at any time
  4. You can verify that your payments are made correctly by matching the deposit amount form your payroll tax report under line item "Total 941 Liabilities"

Payroll Tax Law

  • Do employees ever have to pay their own federal unemployment taxes?
  • Should the employer inform employees about state and federal laws that impact employment and payroll?
  • Why is there a Social Security earnings limit?
  • Why does the personal exemption go up each year?
  • Can we always use the wage-bracket method to calculate an employee's federal income tax withholding for a pay period?
  • Not all states tax income. Do all states have unemployment tax laws in effect?
  • Does the federal unemployment tax rate ever increase?
  • Can an employee pay too much in Social Security tax if he/she works more than one job?


Do employees ever have to pay their own federal unemployment taxes (FUTA)?
No. FUTA tax is not deducted from the employee. It is a company paid tax that is based on the employees wages.

Should the employer inform employees about state and federal laws that impact employment and payroll?
Yes, employers generally communicate information about these laws by using posters that summarize the points of employment law. Such posters must be posted in a common area (such as a lunchroom) or by a time clock.

Why is there a Social Security earnings limit?
The limit is set based on the needs of the fund as analyzed and established by the Social Security Administration. Most likely such an earnings limit will continue to exist in the near future.

Why does the personal exemption go up each year?
Congress has indexed the personal exemption to the cost of living and assumes that inflation will take place each year.

Is it possible to always use the wage-bracket method to calculate an employee's federal income tax withholding for a pay period?
No, the wage-bracket tables have an upper limit of earnings. The percentage method must be applied for any employee who earns more than the upper limit listed on the wage-bracket table or who claims more than 10 exemptions.

Not all states tax income. Do all states have unemployment tax laws in effect?
All states and U.S. jurisdictions must comply with FUTA and have some unemployment tax program in place.

Does the federal unemployment tax rate ever increase?
Yes, but not often. The last increase was in 1985.

Can an employee pay too much in Social Security tax if he/she works more than one job?
Yes, if an employee works two (or more) jobs simultaneously and his/her total combined earnings for the year exceed the Social Security earnings limit. When this happens, the employee can claim the over-paid Social Security tax as a credit against any federal tax liability on his/her individual tax return.

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