There are a lot of cash commitments that impose hard, large deadlines on your company. That’s why so many businesses rely on a full team to manage their finances. There are ways to make it simpler, though. It’s often the timing of an expense and not its size that is the obstacle, and large expenses like your worker’s compensation insurance are usually single payments once a year, so you have to budget for them to avoid disruptions to your cash flow. That can be tough, especially since those large payments are usually an estimate that has to be revised. It’s not great to overpay, but being caught by an audit with a huge supplemental bill is even worse. Luckily, workers’ compensation pay as you go options are finally catching on.
Pay As You Go?
It’s not as odd as it sounds. Instead of estimating your coverage once a year and updating things like your workforce changes, you can get your costs calculated on a paycheck by paycheck basis, covering your employees at the same time you calculate their tax withholding and take-home pay. You’re paying every time you pay your employees, but you eliminate those large costs, and you don’t need to worry about an audit catching you with an unexpected expense. The experts at insuremyworkcomp.com explain more about how it works and why it helps many companies.