The total amount of wages, salaries, bonuses, and deductions paid to employees of a company within a specific period.
Payroll refers to the process of managing and administering employee compensation, including wages, salaries, deductions, and taxes. As a small business owner, payroll involves calculating employee earnings, withholding the appropriate taxes, and ensuring timely payment. This includes not only regular wages but also bonuses, commissions, and benefits. Accurate and efficient payroll management is crucial to comply with legal requirements, maintain employee satisfaction, and foster financial stability within the business. By properly handling payroll, small business owners can ensure the smooth and timely disbursement of employee payments while adhering to tax regulations and maintaining accurate financial records.