Should You Buy Your Payroll Software Separately?

There are many benefits to having your payroll software separate from your accounting software, but there are also some down sides as well. Keeping accounting software for large businesses and payroll separate may be easier for those large companies, while handling them as one saves money for the smaller company. Take a look at some of the pros and cons of combining your payroll software and your accounting software and you can decide which would best suit your business.

The Downside to Having a Combination of Payroll Software and Accounting Software in One Platform

When it comes to payroll, not only do your employees want to make sure it is correct but so does the IRS. When you choose to use QuickBooks or other financial software systems that have payroll software and accounting software in one group, you have to be extra careful with entries top ensure they’re correct. If your books are audited by the IRS, you’ll want the comfort of knowing that every line item entered is correct. Even though outsourcing your payroll may not seem like the most cost effective method, the reality is it can save your company a great deal of money.

Payroll Software and Accounting Software Can Be Combined to Save Money

When we talk about outsourcing payroll, that might be spending extra money that your small business doesn’t have. It can be scary to entrust your company’s money to someone else if you’re used to being in control. By combining your accounting and payroll software, a trained professional can help you get the most out of your money. Since accounting and payroll software have so many different items that need to be coded correctly, it’s definitely worth checking into the outsourcing option to save yourself time and headaches associated with it.

QuickBooks: An Example of Payroll Software and Accounting Software Together in One Package

QuickBooks is a user friendly system that nearly anyone who knows how to operate a computer can learn, but you need to be careful not to get too confident with your sudden financial control. Oftentimes, business owners who use QuickBooks think that they can manage their accounting entirely by themselves, by passing a certified accounting completely. However, we tend to leave the accounting to the experts for a reason, so taking your financial accounting entirely into your own hands might cause severe problems for you down the line, especially within the payroll software section. As a provider, QuickBooks has found that more people misuse the payroll section than any other aspect of their product.

Accounting Software and Payroll Software Integrated as One

Most financial software can integrate your accounting software and payroll software as one. You also have the option of using that software but keeping these platforms separate. If your company writes a lot of checks each month (excluding payroll) then you should probably look into keeping them separate. It will be easier to manage your accounts if you don’t have to worry about your payroll entries along the way.