One out of every three small businesses pays an annual penalty for payroll calculation errors, the U.S. Chamber of Commerce reports. Perhaps this is because many operations — particularly those making their first hires — don’t use accounting software or payroll services to crunch the numbers.
To help these small-business owners correctly calculate paychecks, Intuit last week released a free app for Apple’s iPad and iPhone that makes the process a snap. Snap Payroll determines each employee’s net pay (based on hourly wage and hours worked) and indicates the how much you should withhold for state and federal income taxes.
A Mobile Solution That Makes Sense
Snap Payroll was developed in response to feedback from Intuit customers who needed more help in the payroll department. “We tried to generate a bunch of different ideas for how we could help small-business employers,” says Colin Roper, an Intuit product manager. “By [listening to] customers, we were able to narrow it down into a shorter list of ideas, and eventually this concept for Snap Payroll came to the top.”
Snap Payroll removes the hassle and guesswork from calculating paychecks for anyone who manually processes payroll. And, Roper says, although some small-business owners may be reluctant to switch to a mobile solution, once they do the app will save them time and frustration.
“Taking advantage of mobile is just one of those things where you don’t realize what you’re missing until you try it,” Roper says. “One example that comes to mind is a customer for another mobile product we have called Intuit Online Payroll Mobile. They were on vacation and were still able to run payroll from a house boat while playing a game of cards with their family.”
Simpler Than a Spreadsheet
Snap Payroll was designed with efficiency and ease of use in mind. The app calculates paychecks for W-2 employees, keeps a record of checks calculated, receives automatic updates to tax rates, and offers anytime, anywhere access to the service.
“There’s no reason not to use a product like Snap Payroll to make sure that you’re accurate,” says Kelsey Sweeney, another Intuit product manager. “It’s not worth the hassle and the worry of wondering if you’re doing it right or if you’re going to have any tax problems. You can just pull up Snap Payroll in a couple of minutes and gain the confidence that you are doing it right.”
The app is now available in 12 states: Alaska, California, Florida, Illinois, New Hampshire, Nevada, New York, South Dakota, Tennessee, Texas, Washington, and Wyoming. Expect more to come. “As our users request more states, that helps us determine where we’re going to go next,” Roper says. “So, we plan to continue to roll out states as more and more people find value from that.”
To download or learn more about the Snap Payroll mobile app, click here.