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Last Modified: December 15, 2023

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Payroll Services Just for Construction Really DO Exist!

There is no denying that processing payroll in the construction industry can be difficult. With such complexities as multiple states and localities, prevailing wage work, and construction reporting, outsourcing payroll can seem like a nightmare.

While all payroll services can handle basic payroll processing tasks like checks/direct deposit, tax filing, and W2s, most big name payroll services don’t fit the bill when it comes to processing complex construction payroll. But contractors now have a choice when it comes to outsourcing payroll, because payroll services just for construction really do exist!

In addition to basic payroll processing tasks, construction-specific payroll services also address the following construction complexities:

Multiple states and localities, multiple jobs and pay rates. Construction-specific payroll services are able to calculate payroll for employees working in multiple states and localities, on multiple jobs with multiple pay rates—all in the same period.

Construction reporting. Reports are useful, and necessary, tools in helping contractors manage their jobs better. A good construction-specific payroll service will create these reports for you—sometimes even for free. Some of these reports include: Certified Payroll, New Hire, EEO Minority Compliance, Job History Detail, Workers’ Compensation, Job Labor, Job Hour Variance, Proofing Reports, Union Reporting & Tracking, custom reports, and many more.

Integration with accounting software. Many construction-specific payroll services have the ability to integrate with select accounting software programs. Once the data is entered, syncing will update the General Ledger and jobs with labor and burden costs, allowing for a quick and easy transfer of payroll data with less errors and increased efficiency.

Deciding to use a construction-specific payroll service has a multitude of advantages. In addition to handling construction complexities, sophisticated reporting capabilities, and integration with accounting software, a construction-specific payroll service will also increase efficiency and create work opportunities. The biggest advantage, however, is being able to use a service that understands your industry and is built for construction.

*Published in CEA Quarterly Newsletter

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