DIY Payroll Stress & Manitoba Employment Standards
Payroll is a common denominator of stress in small business ownership
Being responsible for your small business payroll can be stressful and tedious. Accordingly, that’s why it’s something we navigate for our clients.
While in general, payroll rules are the same for most businesses, there are some industry-specific rules that employers must abide by. A couple of examples of industries for consideration include construction and farming.
The consequences of incorrectly paying staff are costly. Just because the majority of your competition or friends in business are doing something a certain way, does not mean that you should be. At the end of the day when you’re audited and asked to pay up the difference, your friends won’t be footing the bill.
Ensure that payroll is done properly and per employment standards.
Don’t Let Payroll Stress You Out
The first step in removing most of the errors in completing payroll is finding software that will do the heavy lifting for you.
This software will properly determine CPP, EI, and any tax obligations based on the salary or hourly rate and how often you’re paying your staff.
However, an example where most software won’t help you is when the minimum wage has changed. For this reason, you will still need to keep up to date with rules and regulations.
Another common mistake is when calculating overtime. Many believe that if you bank your overtime, it’s still at the hourly pay, which isn’t the case.
If someone falls into an overtime scenario, those hours still need to be banked at “time and a half”.
Some Things You May Not Be Aware Of (Manitoba)… *
- Self-employed persons/independent contractors are not covered by The Employment Standards Code, although there are several factors to keep in mind.
- Employers must give employees written pay statements (or pay stubs)
- A pay statement, along with wages and hours, must show all deductions with a date and reason for each deduction
- As an employer, it is YOUR responsibility to maintain employee records
- Employers cannot deduct the costs of uniforms or require employees to buy uniforms unique to their business, out of pocket (review the definition of a uniform)
- Employers may not deduct wages to cover any costs for faulty work, poor quality work, loss of customers, cash shortages, or damages to company property
- There are 14 leaves that employees are entitled to (for a full list, please see the link below
*For further information on this list, please see the link below. We recommend all small business owners be familiar with the standards in each province.
For information on Manitoba’s standards and for more details, please visit https://www.manitoba.ca/labour/standards/doc,quick_guide,factsheet.pdf
Want To Do Your Own Payroll? There Are Resources For That!
We like to recommend Wagepoint for payroll. Its easy, user-friendly interface, employee login, and integration features are very convenient! ↓
wagepoint.com/
Get 10% off by using our referral code: http://ssqt.co/m5iVsDD
If you’d like to use a free option, you can use the CRA payroll deductions calculator. Free deductions calculator. ↓
Keep in mind that it requires you to record all relevant payroll details for T4s.
Not interested? There Are Professionals For That!
Even with all the resources in the world, small mistakes can quickly compound into huge costs.
Ensuring you are doing what is legally required is in the best interest of both you, the employer, and your employees.
Keep in mind… employees are an asset. Don’t cut them short of what they are legally entitled to.
Above all, a small business owner should never compromise when it comes to proper payroll standards.
If scouring the Government of Canada’s website and looking for specific answers to your particular questions has you stressed; consider hiring someone who knows the ins and outs of your industry’s payroll standards.
Hiring Indigo Bookkeeping Services not only ensures you have a clear picture of your business’s finances but you can also trust that you have knowledgeable, professional staff looking out for you and your business when it comes to proper employment standards.