Seasonal employees can be a game-changer for businesses. Expanding your workforce to account for fluctuations during your peak season can help your business capitalize on opportunities without burning out your regular staff.
However, seasonal hiring can pose challenges for many companies' payrolls. You need precise payroll management to transition smoothly in and out of this peak season. An excellent process can help improve the retention of your seasonal staff, encouraging them to return and making future busy seasons even easier.
When you have the right seasonal hiring strategies in place, including your techniques to manage payroll, you position your business well to expand and grow. Let’s look at what you need to succeed with precise payroll management for your coming peak season.
When the summer season hits, your business has to operate very quickly. You need to go through all the steps of hiring new employees, including:
However, unlike a typical hiring process, you must achieve this quickly and with many people simultaneously. The speed of your operations and the number of people for whom you need to complete the process make it very easy to make a mistake. With the chaos of a seasonal hiring process, businesses can easily miscalculate something such as expenses or employee PTO.
Your business also needs to think carefully about how you classify employees. Since your workers will have a set ending date, you must consider whether these new hires are employees or independent contractors.
Independent contractors have more control over where and how they complete their work, whereas you can dictate hours and methodologies to employees. However, independent contractors are typically hired just for a particular project. Knowing how you want to classify your workers will impact the paperwork you file and how you classify them for payroll.
As you consider these common challenges associated with hiring seasonal employees, let’s examine your solutions to ensure efficient, accurate payroll.
You can incorporate a few different techniques to prepare your business to thrive with your seasonal employees. Using all these steps can help improve your precise payroll management and avoid the fines and other damages that come from making payroll mistakes.
The first step you should take is to educate your employees themselves. Teach them how payroll works and what they can expect to see on their paychecks. Including this process in your onboarding ensures that your employees will be better equipped to spot potential errors when they see their own paychecks.
If your employees can spot potential errors, your payroll processing professionals can make any necessary corrections and ensure the problem is fixed before you get in trouble with any governing authority.
Your payroll team has a high-stress job, and you want them to do it to the best of their abilities. The best way to ensure that is to invest in their skills. Provide opportunities for continuing education so you know they remain updated on the latest laws related to payroll and seasonal employees. This will keep them fresh in their skills.
Invest also in the technology they need to manage the payroll. The tech that helps them properly classify employees, calculate payroll, and check their work before the checks go out will give them more opportunities to find miscalculations and make the necessary corrections.
For many businesses, managing all the complexities of payroll can feel burdensome and overwhelming. When your summer or otherwise seasonal employees come on board, it can cause a rush of work that becomes difficult for your typical payroll staff to manage.
Working with a partner who specializes in seasonal employment and managing payrolls for different types of employees can simplify this entire process.
Providing a partner for your payroll staff gives them extra hands and insight as they manage the seasonal influx and provides a second set of eyes to look at the payroll processing to ensure that you have abided by all the latest seasonal employment laws. Feeling confident in your payroll management strategy can help you build your business throughout all seasons.
Seasonal employees provide a critical workforce for businesses across countless different industries. They help to manage seasonal fluctuations and ensure that businesses can seize all the opportunities to capitalize on customer interest and grow.
However, accurate time tracking and precise payroll management can be challenges for many organizations. Working with a partner like Payday can be the right solution for companies like yours. Payday can prepare your business for the upcoming busy season by offering support for accurate and efficient payroll management.
Discover how Payday can transform your seasonal employment strategy with our precise payroll management solutions. Contact us today to ensure your summer hiring is a success and your business thrives during the busy season.