The process of hiring our first employee became a nightmare for both our company and the new staff person! He was excited to join our team, excited for all the new things he would learn, and excited to put his college education into action with real world experiences! But, none of us were not prepared for the mountains of paperwork that needed to be properly filled out.
Research says that 86% of new hires decide in the first six months whether they will continue working for the company that just hired them!
Think back to your first days on a new job. Maybe you didn’t know how to fill out the W-4 form and how many exempts to claim. You didn’t know which numbers on the bottom of the check were the bank routing number and which ones were your actual bank account number. You forgot, or didn’t even have, three forms of ID!
Most employees start a new job with lots of paperwork to read and sign. Often their desk isn’t cleaned out or put together yet, and they can’t yet log into their computer. Mishandling a new employee’s paperwork or making a mistake on their first paycheck can make the difference between them leaving your company or staying long-term!
Here’s some advice on how our payroll service can make a difference between this wonderful new hire staying with you or reaching out to look for another employment option:
1. The week before your new staff person is to start, make sure you have all the specifics and important information from your HR department or employee’s supervisor to accurately and efficiently onboard them for payroll.
2. Don’t just confirm the new hire’s rate of pay. You will also need to know the L&I rating for their position, pay rate or salary, employee number and department information. What benefits plan is the employee eligible for and by when? What other compensation information will need to be outlined with new staff?
3. Determine or find out what technology the employee will be issued as well as what expense forms they need to fill out and by what dates.
For most new hires – as well as most payroll departments – the W-4, I-9 and direct deposit forms are among the most critical steps in the onboarding process because they ensure that employees get paid accurately and on time. Be prepared by letting new hires know ahead of time what information or documents they’ll need to bring with them on the first day to complete their payroll documentation. It’s a good idea to have a checklist ready. This will give your new staff member an overview of all the paperwork that is needed.
Finally, manage expectations about the new hire’s first paycheck. Tell new employees about any way their first paycheck may be different from what they can expect moving forward. Will it be a partial pay period? Will the first check be a paper check instead of direct deposit? Will the payroll checks be come on a different schedule than their future checks? Will there be any extra withholdings or be more in the future?
Give new hires a statement for their paycheck and what each addition and deduction means. If your pay-stub shows both the employer and employee withholding, have a reference for each item so the employee understands his part and employer’s part of the taxes and deductions.
For employees that choose direct deposit, emphasize that online access to their payroll checks may be an easier and more efficient method than getting paper statements delivered to them.
Finally, give new hires a way to contact you or your office in case they have questions about their payroll check.
Develop a path for regular reminders to employees about the potential impact that changes to their deductions will have on their tax filing status.
Provide instructions on how they can make changes to their deductions amount or benefits as things change in their lives (marriage, birth of a child, other life events).
If your company offers electronic forms and payroll management, provide W-2 and year end-pay stubs online to ease your staff’s stress regarding making changes or dealing with lost information.
Payroll can play a big role in creating a great onboarding experience for new hires! It means they’ll start off on a good foot and stay with the company longer. However, handling payroll challenges can be intimidating, and the process can be fraught with headaches and pitfalls — especially if you’re doing it all manually.
Using an automated onboarding process means less stress and worry for you. It makes it easier for you to ensure your new hires have easy, efficient access to the forms they need and the accurate information they depend on. For your new hires, it makes both onboarding and future changes faster and easier. Just a little thing, like being able to electronically complete and sign a W-4, can bolster employee engagement!
Research shows that employees increasingly expect employers to give them consumer-like online experiences for payroll, benefits, and training. Electronic-forms automation also gives you the ability to take advantage of data warehousing for all of your employees’ pay statements and other critical pay forms. It’s essentially a managed archive for current and terminated employees. It gets your HR and payroll staff out of the business of constantly responding to requests for previous statements, copies of payroll changes, and other forms. At the end of the year, electronic forms automation allows you to easily, efficiently, and accurately process and distribute W-2s and host them for access by you, your team, or the employee from then on forward.
Finally, electronic-forms automation can create custom forms that help HR make onboarding a great experience: benefit fact sheets, new-hire packets, HR signoff forms, and — with the right solution provider — any unique forms your company requires.
Business Cents makes businesses’ lives easier by providing the industry’s best online payroll experience. We have the entire process automated for the business and staff. Business owners can quickly enter the staff’s hours, approve payroll, and run additional payroll checks or bonuses. Our cutting-edge technology lets us skillfully manage the process and train staff on how to access their payroll information online. Payroll and tax payments sync automatically with your QuickBooks Online or Desktop files. Furthermore, we are here to help with questions or changes that need to be made! We can manage the tax payments and filing deadlines for you, leaving you more time to focus on other important aspects of your business.