Human resources are one of the most important components of any small business. However, the responsibilities often fall to the owner or an executive, as many small businesses don’t have the capacity for a designated HR department or full-time employee. Often, managing these HR functions in-house creates many challenges.
In the 12 years that I’ve been working for GMS, I’ve met with thousands of business owners in hundreds of industries. While every company has their unique problems and issues, some issues tend to be universal. In the 26 years that GMS has been in business, we have found that most business owners…
- Think they’re paying too much in worker’s compensation premiums and not getting enough in return for it.
- Want to offer their employees great health insurance, but don’t want to pay the ridiculous premiums being charged.
- Don’t fight their unemployment claims because “it’s just not worth it and they’re going to get it anyway.”
- Hate the stupid bureaucratic paperwork they have to go through, keeping them from more important tasks.
- Have trouble finding good employees.
- Have a hard time keeping them when they do find them because they’re losing them to other companies with better wages and benefits.
Did I miss anything?
Health insurance comes with many responsibilities for small business owners. Regardless of whether you’re trying to cut health insurance costs or reward specific employees, you may wonder exactly how those responsibilities affect who you offer health insurance coverage. Can you pick and choose who can be a part of your health plan, or are there federal regulations involved? As you may expect, there are some rules you need to follow.
It’s not uncommon for small business owners to wonder exactly what their responsibilities are when it comes to health insurance. With all the uncertainty that can surround healthcare, it’s understandable that owners may be unsure of what the future holds, or what they need to do to make sure their business isn’t violating any legal requirements. Those requirements can depend on the size of your business and if you offer healthcare coverage.
To start, small businesses with 50 or fewer full-time equivalent employees are not required to offer health coverage. However, these businesses are still required to provide a report about healthcare information to employees. This reporting should cover certain information about the marketplace, such as what it is and how employees can contact the marketplace.
Despite it not being mandatory, many small businesses with fewer than 50 full-time equivalent employees still make the choice to provide workers with health insurance because quality healthcare coverage can help businesses attract and retain top talent. This decision can be very beneficial, but it does mean that small business owners will need to take on a few new responsibilities.
Let’s be honest; what business owner looks forward to managing payroll? While payday may be exciting for your employees, it’s likely that you’re not thrilled about having to put together payroll reports, track deductions, and oversee every other critical aspect of payroll administration, especially if you do everything by paper.
For some small business owners, payroll administration is just a necessary part of business life and the business isn’t big enough to justify its own HR department. While payroll administration is necessary, it doesn’t have to be a big burden. Online payroll software can give you the tools to take some of the pain out of payday preparation. Here are a few questions you should consider when evaluating your payroll management process.
As a small business owner, you’ve likely thought of ways that you can cut business expenses to save money. One of these ideas may involve whether you should invest in outsourcing HR or hiring in-house HR professionals.
HR just isn’t that important when you don’t have many employees, right?
Wrong. Every business needs to deal with critical HR functions, whether it’s a major corporation or a five-person business. Here’s what you need to consider the next time you think about whether your business needs HR management.
When you’re a small business owner, your schedule is never empty. Each year contains several important deadlines that you need to follow to keep your business compliant with important laws and regulations involving your company’s finances and employees. Just a single missed date can lead to problems with the IRS or other government agencies.
Keeping track of all these dates as well as everything else you need to do as a business owner can be difficult. We’ve put together a list of critical dates you need to know to keep your business legally compliant.
Every year presents new opportunities to strengthen and grow your small business. Sometimes it’s just a matter of finding and identifying which of these opportunities make the most sense for your organization.
A good small business conference is a great place to uncover ways to improve your business, whether you attend in person or send key members of your team. While some people may not think that leaving your office to attend an outside event may be all that beneficial, finance website The Balance lists five good reasons why you should consider attending small business conferences:
- Educational opportunities
- In-person networking
- Learn about competitors
- Marketing to potential clients
- Spark creativity and innovation
Whether you’re interested in just one of those benefits or all of them, there are plenty of conferences across the country that may be beneficial for you or some of your employees. We’ve identified some of the top HR conferences to attend this year, but you also need to consider marketing, finance, and other functions. Here are some of our top conference choices for small business owners in 2018.
The end of a calendar year usually causes business owners to do two things: Review the past year and learn from its successes and failures. They also start looking to the new year and set their expectations of what they want to accomplish. While a Professional Employer Organization (PEO) can’t help you with the former, it can help you tackle the latter.
If you own a small, five-person company, it might be tempting to think that you don’t need to invest any time or money into human resource functions like a big business. That’s a bad idea.
Every company needs HR, regardless of size. Just like how you don’t build a house without a proper foundation, a small business – or any business – needs to create a solid human resource foundation to succeed.