If you?d like to expand your business into Canada but haven?t because of the payroll issues, you?re not alone: most U.S. companies are reluctant to expand into Canada because they are unfamiliar with the jurisdictional differences between the countries.
Needless to say, it can be a challenge for a U.S. based company to be sure they are in compliance with Canadian laws when paying their Canadian employees; there are over 190 payroll processing regulatory legislative requirements in Canada.
That doesn?t mean a Canadian workforce is out of your reach, though. Professional
record management services that specialize in Canadian employment laws may be the answer to your dilemma. Over 85 percent of CPAs recommend that every small business employ expert, professional payroll preparers, and doing business in Canada is really no different. Just like in the U.S. and other companies, there?s a lot more to payroll than cutting a cheque for each employee. Because the Canadian government regularly releases payroll deduction tables to help employers deduct the correct amount, you can make a potentially expensive mistake trying to manage and pay Canadian employees by yourself. Record management services that specialize in Canadian payroll can be the answer to your expansion questions.
This type of payroll processing company doesn?t just calculate payroll taxes; they typically also provides HR support, expertise, and guidance when you?re dealing with sensitive employment issues. Both HR management and payroll are quite different in Canada than it is in the U.S. due to the differences in regulations and laws, and record management services make it their business to know all the ins and outs of the Canadian system. Make sure the company you choose offers complete payroll solutions.
Much the same as in your U.S. based business, outsourcing payroll means you only have one report to approve and only one invoice to pay. When you combine that savings with the added HR management services offered by record management services, you can see how the savings grow exponentially.
Although the Canadian government has focused on small businesses as the greatest source of uncollected taxes, you can avoid the spotlight of payroll tax policy enforcement by utilizing record management services that specialize in Canadian payroll deductions and employee law. Much as you rely on your CPA to ensure your annual taxes are filed correctly, you can depend on record management services to give your business a smooth transition as you move into Canada.