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Every business owner is responsible for providing pay stubs or salary statements to employees at the end of every pay period. These financial documents make it easy for workers to keep track of their earnings and apply for loans, credit cards, and mortgages.
However, manually generating pay stubs can be taxing and time-consuming, especially if you have many employees. That is why you need to look for an easy way to churn out these financial documents quickly.
Four ways that businesses generate pay stubs for their employees.
1. Using a payroll service
One of the most common ways of generating pay stubs is through the payroll system. This is perhaps because most payroll service providers offer employee pay stubs as part of their overall service.
Usually, the payroll software uses the available company details, employee information, earnings, deductions, and other details to generate a pay stub in just a few simple steps.
The good thing is that you can find many payroll service providers such as ADP TotalSource, Paychex, OnPay, Square Payroll, and others that price according to issued checks or the number of employees.
Additionally, you can partner with your bank, bookkeeper, or accountant if they offer payroll services or have payroll affiliates.
2. Paid paystub creators
If you are looking to create a fully customized, professional-looking wage statement, a paid paystub creator is what you need. Unlike free options, paid paystub creators offer robust features, including a way to put your company logo on the salary statement as a watermark.
Generally, paid paystub generator companies will have varied pricing. Some will offer a bundle of pay stubs for a specific cost, while others will charge per pay stub.
That is why you must ensure that you choose a paystub maker with pricing that best matches your unique business needs. More importantly, make sure you understand all the additional features that every pricing package includes.
3. Free paystub creators
If you are on a tight budget and don’t wish to spend money on employee pay stubs, free paystub generators are a good choice.
The best bit about these free options is that they are super easy to use. They provide easy-to-follow steps that require you to fill out details after processing payroll. The free paystub tool will then generate your employee pay stub and have it sent to your email or ready for download in just a few minutes.
Although these free versions are not as comprehensive as paid alternatives, they can prove useful to small business businesses, independent contractors, or employers who process payrolls on their own.
4. With the help of a Microsoft Excel template
If you don’t want to use a paystub creator, you can download a Microsoft Excel template and fill out details on your own. This option is ideal for employers with only a few workers and those who don’t want to outsource payroll services.
With a downloaded Microsoft Excel template, creating a salary statement is as easy as filling out your company and employees’ details.
However, you can choose to create the pay stub template spreadsheet yourself. In this case, make sure you include all the necessary details such as company details, employee information, earnings, deductions, pay date, etc.
Pay stubs are important documents in any business. You will not only need them for your business records, but your employees will use them for tax purposes or when applying for a loan.
Luckily, there are many different ways to generate these financial documents, so you will definitely find one that best suits your business needs and budget.