Do I need payroll for my small business?

Short Answer: If you have employees, yes. If you’re an S-Corp owner, you also generally need payroll for yourself.

Payroll includes tax withholdings, filings, and payments. Running payroll correctly keeps you compliant and avoids penalties.

Common mistakes:
• Paying employees without payroll setup
• Missing payroll tax filings
• S-Corp owners taking distributions without salary

What we recommend: Set up payroll properly early — it’s much easier than fixing it later.

Still have questions?

If you’re not sure what applies to your situation, we can help.