Payroll Tax Preparation
Multi State Payroll Tax Services throughout the Metro Atlanta Area and Nationwide
Payroll taxes can inform the way you run your business, and the advice of a tax expert can be very useful in navigating potentially complicated tax issues like those associated with payroll taxes. JDMA can help you make business decisions about your workforce and how you approach payroll taxes throughout the fiscal year. We can also help you take into account payroll tax withholdings and look for potential deductions and opportunities to save based on the taxes you’ve paid throughout the year. JDMA is proud to offer industry-leading tax accounting services to individuals and businesses throughout the Atlanta area. For more information about payroll taxes, staying compliant with taxes paid, and completing the necessary forms at the end of the year, call us at (678) 765-6772.
What Are Payroll Taxes?
The concept of the payroll tax is one that can get complicated. While local and state governments may levy payroll taxes, every business is expected to account for federal payroll tax—also called employment tax—to help pay for a few government programs.
Federal Income Tax Withholding
Federal income tax is a tax that is paid 100 percent out of your employees’ paychecks and is allocated to help pay for a variety of government programs. As a business owner, you’ll have to account for the correct amount of income tax withholding to stay compliant at the end of the year.
Social Security and Medicare
Social Security and Medicare are taxes that are split evenly between you and your employees. These taxes are also decided largely based on how much each employee is withholding and what their salary is. This can be difficult to calculate throughout the year, highlighting the need for a professional accountant.
Federal Unemployment
Unemployment tax is covered 100 percent by the owner of the business and is used to pay unemployment benefits to people out of work for various reasons.
1099 Preparation
Often it will be in your best interest to make sure contractors and partners with whom you are associated are compliant with payroll tax regulations as well. Those who are self-employed must pay a certain percentage of their income to serve as payroll taxes for the year.
How an Accountant Can Help
First, you’ll need to figure out how much to withhold from your employees to stay compliant with the different areas of the payroll tax. This can be done using each employee’s Form W-4, which contain the guidelines for individual withholding.
An accountant can also help you put together each employees’ Form W-2, the paperwork used for employees’ personal tax returns stating earnings and withholdings from your business over the course of the year.
Payroll taxes have a major implication on salary. An expert tax accountant can help you calculate your total amount of payroll taxes due and use this number to adjust salaries to keep your labor numbers at an optimal percentage for revenue.
If you choose JDMA to handle your bookkeeping, you’ll be at an advantage for payroll taxes. We can keep track of the withholding required by you and your employees to ensure you stay compliant and out of the way of potential audits or penalties.