Payroll System Setup
We register your business with California and federal payroll agencies, configure your software, and set up direct deposit. Everything you need to run payroll correctly from day one.
What This Is
Payroll setup is more than choosing a software platform. Before you can run your first paycheck, you need to register with multiple agencies. California requires an EDD employer account for unemployment, disability, and employment training taxes. The IRS requires a verified EFTPS account for federal deposits. Each registration has its own timeline and verification process.
Once the accounts exist, the software needs to be configured correctly. Tax rates, pay schedules, overtime rules, sick pay accruals, and direct deposit connections all need to be set before you can process a single payroll. Skip a step and you will discover the problem when your first payroll fails or a tax filing gets rejected.
The Registrations
The Registrations
We enroll your business with California EDD and verify your federal tax accounts. We make sure your employer identification numbers are active and linked properly so your tax deposits and quarterly filings go through without errors.
The Configuration
The Configuration
We set up your payroll software with California-specific requirements. Correct withholding rates, proper overtime calculations, mandatory sick pay accruals, direct deposit connections, and employee information. Your first payroll runs clean.
California Complexity
California has more payroll requirements than almost any other state. State Disability Insurance gets deducted from employee wages. Employment Training Tax and Unemployment Insurance get paid by the employer. State income tax withholding uses different brackets than federal. Get any of these wrong and the EDD will send you a notice months later demanding payment plus penalties.
Most business owners don’t realize how many separate pieces need to work together. The EDD account needs to be active. The software needs the correct tax rates. The bank account needs to be verified for ACH transfers. Miss one connection and the whole system stalls when you try to run payroll.
First Payroll Problems
First Payroll Problems
Many business owners attempt their first payroll and hit a wall. The EDD registration isn’t complete. The direct deposit account isn’t verified. The software is asking for information they don’t have. They end up scrambling while employees wait to get paid.
Penalty Exposure
Penalty Exposure
Running payroll without proper registration means your tax deposits and filings are going nowhere. The agencies will eventually catch up. When they do, you owe the back taxes plus penalties plus interest. Fixing it later costs more than setting it up correctly now.
What Changes
Your first payroll runs without surprises. Employees get paid on time through direct deposit. Tax withholdings are calculated correctly. Quarterly filings submit without errors. You are not calling the EDD to figure out why your account shows inactive or why your deposit was rejected.
The foundation is solid whether you process payroll yourself or hand it off to someone else. The registrations are complete, the software is configured properly, and you have the documentation you need. Payroll becomes a routine task instead of a monthly emergency.
Ready From Day One
Ready From Day One
You can run your first payroll with confidence. Everything is registered, verified, and connected. You know what you owe to each agency and when it is due. The system works because it was built correctly from the start.
Ongoing Simplicity
Ongoing Simplicity
Proper setup makes every future payroll easier. You avoid the back-and-forth with agencies trying to fix registration problems. You avoid penalty notices for deposits that never went through. The administrative burden stays low because the foundation is right.
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The Next Step:
A Short Conversation
Tell us about your business and what you're dealing with. We'll listen, ask a few questions, and give you a clear price for the work.