Madison, Wis. (PRWEB) June 13, 2012
According to a recent PNC Bank study, more than 60 percent of small business owners are currently projecting that their sales will increase over the next six months. Accordingly, a third of small business owners expect that because of increasing sales, they will hire at least one full-time employee over the next six months. BizFilings, a leader in online incorporation and a supporter of small businesses, wants small business owners to be fully prepared to embark on the hiring process and is offering tips to prepare a small business for hiring.
According to BizFilings, hiring an employee can impact the bottom line of a business, its important to make sure that a business is fully ready for hiring new employees. To assist entrepreneurs during this time of growth, BizFilings presents three important things small businesses should be aware of before hiring employees that will position them for a successful future.
Apply and obtain all necessary licenses, permits and insurance before hiring. Different small businesses require different paperwork, and theres no better time to get that squared away before bringing another person onboard. Additionally, some businesses will require employees to have licenses (often that are separate from the business itself). Insurance is also crucial for small businesses workers compensation insurance is mandatory for any small business, while disability insurance (which covers eligible employees for non-work-related sickness or injury) is required for small business in only certain states.
Be prepared for payroll taxes. When an employee is hired at a small business, various types of new tax obligations, as well as payroll tax deductions, arise. For example, federal and state taxes generally are withheld from employees wages, along with half of FICA taxes. Small business owners typically must pay the matching half of FICA taxes as well as federal and state unemployment taxes. Payroll taxes can become even more complex if there are different forms of employee compensation such as tips, expense reimbursements or retirement contributions. For more help with payroll taxes, refer to IRS Publication 15, the Employers Tax Guide, to understand tax obligations as an employer.
Consider incorporation to protect your business. According to BizFilings, there are many tax breaks that can come from incorporating a small business. Incorporation provides liability protection giving a layer of protection between employers personal assets and business debts. Hiring employees is an important next step for small businesses but incorporation is a crucial step to help mitigate risk for the next phase of a business.
Entrepreneurs are making this country better by providing an increasing number of jobs, and its no surprise that the second half of 2012 is projected to continue that trend, says Karen Kobelski, member of the executive leadership team at BizFilings. Its important for small business owners to make sure that theyre covered in case of the worst case scenario because by adding an employee youre not only growing your company but growing your level of risk as well.
For more information about small business hiring and the benefits of incorporation, visit the BizFilings Online Learning Center.
About BizFilings
BizFilings is a full-service, online incorporation service provider, offering small-business owners a fast, easy and economical way to form a corporation, limited liability company (LLC) or other business structure online or by phone. BizFilings also offers a full range of business filing and compliance products, including nationwide Registered Agent Service, helping keep businesses in compliance with state regulations. BizFilings can be found online at http://www.BizFilings.com. BizFilings is part of Wolters Kluwer Corporate Legal Services, the leader in legal process and business performance management. It delivers the people, products and processes to drive transparency, ensure accountability and provide organized, accurate and actionable information for legal, financial and insurance professionals. CLSs business brands CT Corporation, NRAI, BizFilings, Corsearch, CT Lien Solutions and TyMetrix empower organizations to make better business decisions and be more efficient in todays highly transparent business environment.
About Wolters Kluwer
Wolters Kluwer is a market-leading global information services company. Professionals in the areas of legal, business, tax, accounting, finance, audit, risk, compliance, and healthcare rely on Wolters Kluwers leading information-enabled tools and software solutions to manage their business efficiently, deliver results to their clients, and succeed in an ever more dynamic world.
Wolters Kluwer had 2011 annual revenues of 3.4 billion, employs approximately 19,000 people worldwide, and maintains operations across Europe, North America, Asia Pacific, and Latin America. Wolters Kluwer is headquartered in Alphen aan den Rijn, the Netherlands. Its shares are quoted on Euronext Amsterdam and are included in the AEX and Euronext 100 indices.
Visit our website, YouTube, follow @Wolters_Kluwer on Twitter, or look up Wolters Kluwer on Facebook for more for information about our customers, market positions, brands, and organization.
Popular Posts:
- Medicare Tax? Health Care for the Elderly? Let’s look at the facts about the proposed Medicare Tax … and a medical care program for the aged that already exists! What’s the hurry here? The supporters of the proposed Medicare Tax would have you believe that passage of this controversial bill is urgent … that persons over 5 are deprived of needed medical care because they can’t pay for it. Nothing could be further from the truth. The Kerr-Mills Law, passed by Congress in 1960 – enabled individual states to guarantee to every elderly person who needs help the health care he or she requires. We call this health program … Health Opportunity for the Elderly. Thousands of people every day are being helped by its generous benefits. And unlike Medicare, which would substantially increase your Social Security Tax payroll deductions, existing programs are being paid for now by a part of your present tax dollar! Medicare? NO. Health Care for the Elderly? YES! ….. 1964 American Medical Association Ad, A5157.
- What does this new health care law mean for uninsured people who need coverage?
- 2 Sets of MirorTag Silver – A Novel Way to Protect, Display & Put Away a Handicapped Parking Placard. Slip in your handicap placard into this 18 mils thick and uniquely designed cover and protector; unlike others, this one comes with a strong hook that will never melt or bend or break in the sun or cold. Magnetically snap the holder On & Off to a Hook you mount behind your rearview mirror once and no need to remove it unless you transfer it to another car. No more back & neck pain. No more hanging & removing, and no screw adjusting or flipping visor or rotating placard ever needed. Full protection, and ON and OFF in a snap. Size is 4.375″ wide by 10″. Tag size accepted is 4.125″ max, and any length. 2 sets included. Patent pending and proudly Made in USA
- The Affordable Care Act – Helping Small Businesses
- Getting Your Financial House in Order: Financial Advisor Provides Tips to Help Consumers Organize Their Financial Lives