At PayTech, we are dedicated to keeping you up-to-date on all the latest news that concerns you, your business, and the services we provide! Read on to see PayTech’s October Updates on payroll, HR, accounting, and our general market news.
Key Employee Contracts:
One of the decisions business owners must make surround key employees. There are significant considerations that take some forethought and discussion. Business owners should consult an attorney to write and/or review the contract. The most common contract is the non-compete clause. The contract is to protect owners from their sales force and marketing department leaving to go to the competition and taking business with them. However, a non-compete cannot take away the employees ability to work. Some considerations should be time, geography, and type of business. A non-solicitation clause of company clients and proprietary information is fair. It is fair to require all company information be returned. It is not fair to say that your salesman cannot ever sell a widget again. Another reason for a key employee contract may be intellectual property developed by the employee during the employment. It needs to be determined before the employee starts a project who owns the developed product. These are just a few of the considerations employers must look at when entering into a contract with an employee. Forbes offered a 14 point check list on their website in November of 2013. The link is included. https://www.forbes.com/sites/allbusiness/2013/11/11/negotiating-employment-agreements-checklist-of-14-key-issues/
Start thinking about preparing now to make the end-of-year accounting process easier!
- Check your list of vendors to make sure you have W-9 forms on file for independent contractors used during 2015.
- Check with your employees to make sure they don’t have address changes or need to change their withholding (Form W-4).
- Does your profit or loss so far this year look different from last year? If so, we may need to look at changing your estimated payments or salary. Check with your accounting contact for help with looking at your company’s financial statements for this year.
- If you haven’t already, now is a good time to catch up with archiving; box up those 2014 records. Remember: in general, accounting records need to be kept for seven tax years. Scanning documents can be a great option to safe space. Questions on what you need to keep and what you can shred? Send an email or give your accounting contact a call.