Payroll is picky. The amounts have to be exact, many deductions have to be taken, and several remittances and forms must be submitted to regulatory agencies. Fines are heavy if you remit too little or if you remit late.
A small business owner could spend several hours per week doing payroll or checking the work of an employee who prepares the payroll, thus losing productive time.
NEBS Payweb.ca is an example of a payroll system that works for small and large businesses. Hours and wage rates are entered using the internet, from any location that has internet access. Then payroll payment is deposited directly to the employee bank account or to a debit card activated by the employer. NEBS Payweb.ca also takes care of providing remittances (such as federal taxes), by withdrawing the funds from the company bank account and remitting to the regulatory agency with the appropriate reports. Transaction reports can be viewed online or printed. You can view a presentation of the advantages of NEBS Payweb.ca at www.payweb.ca/flash/ .
APPLYING YOUR PROFESSIONAL JUDGMENT
1. What are the risks associated with using NEBS Payweb.ca or other internet-based service providers for payroll processing?
2. How would you mitigate the risks that you identifi ed?
3. NEBS Payweb.ca has thousands of clients. What would be the advantages and disadvantages of a service auditor's report for NEBS Payweb.ca?