One of the most important things an employer can provide to their employees, along with their salary, is a paystub. The paystub provides a detailed record of how much your employee has earned, how many hours they have worked (if applicable), and the tax withdrawals. As a result, you are in search of great paystub templates to design the ideal paystub for your employees.
So how do you choose a good paystub template and what can you do or not do with it?
First, you must use a great paystub maker to prepare your paystub templates for future use. You also want to make sure you do the right things when preparing your paystubs. There are things you want to avoid. There’s even an important rule you should be aware of:
1. Review the Paystubs
It is imperative that the information on the paystub is accurate. After all, you will have this as a record for your company and your employee will have this as their earnings record. Ensure that the employee name is spelled correctly, that the pay period is listed correctly, and most importantly that the earnings and tax withdrawals are accurate. Dollar amounts must be exact and not estimated or rounded. A paystub template may need modifications for particular tax laws, so do not use the standard template without making the necessary modifications.
2. Do Not Fake It Till You Make It
Did you know there is such a thing as a fake paystub? Many individuals may take a fake pay stub to claim a welfare benefit – which is obviously illegal. If you as an employer use a paystub template to make a fake pay stub, print and distribute it you are giving an incentive to someone who wants to cheat the system. Your paystub templates are to be used to produce actual paystubs for your employees.
3. Do Dispose of Paystub Templates
Supposing you do print out paystub templates, to test it out and to see if you like the format. Once you have made up your mind, you are ready to prepare these pay stubs to your employees. But what about the printed paystub templates? Those should be discarded. As discussed in the previous point, paystubs can be used for fraudulent activity. These paystub templates should ideally be shredded so that they are not stolen and then used for such fraudulent activity.
4. Do Not Use the Paystub Generator for Intentional Inaccuracies
Now, what do we mean by this? Supposing you have a full-time employee and your paystub generator allows you to create a paystub for a contractor as well as an employee. Do not use the contractor template for someone who is an employee. Doing so is not only inaccurate but is fraudulent. Among many things, doing so means that you are not reporting tax withdrawals – as contractors pay their own taxes.
Pay It Forward
Now that you know what to do and not to do with your paystub templates, it is time to prepare the best paystub for you and your staff to have as an earnings record. And then share this information with your fellow entrepreneurs, so that they can also create the best paystubs.
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