One of the biggest mistakes entrepreneurs make is those relating to money. If you're a business owner, you'll be all too familiar with overspending your budget. Spending too much, paying too late - somehow it never goes right.
If you're looking to watch your digital marketing budget for the year and ensure you don't make payroll mistakes - you're in the right place.
Here, we talk about the ideal budget allocation for digital (while keeping in mind payroll) so you can rest assured your money is going in the right place.
Let's get into it.
Misclassifying Workers
One of the biggest payroll mistakes you can make is classifying workers incorrectly.
Most businesses today employ a growing number of temporary workers, consultants, freelancers, and contractors. You must classify these workers correctly so you know how to report payroll information for tax purposes.
Thus, be sure to spend some of your budget for digital marketing on payroll tax and worker classification. It will save you lots of money in legal fees down the line if neglected.
Overtime Pay
We live in a digital world. And so, the average digital marketing budget has come to reflect that.
Employees are spending more of their time syncing social media channels, driving results, and bumping up engagement. This can result in increased work hours and overtime pay.
Digital marketing budgets are going to have to account for this overtime pay. In addition, making a payroll error in this department can cost you down the line.
Misclassification of workers who are 'exempt' from overtime has been increasing. This garners negative news and press for businesses, which can weaken the digital footprint and delegitimize operations.
Saving Records
Another common payroll mistake is not keeping up with record management. Too many people fail to enter all the data, records, and cancellations.
You will need to keep receipts, timesheets, canceled checks, and W-4 forms, amongst other things. Mismatching names and social security numbers are prevalent. Other common data entry mistakes include poor records of employee hours.
This can cost your company millions in government penalties and other charges.
Thus, a significant portion of your budget should be dedicated to keeping up with records. You may need to invest in programs that manage payroll records for you.
Alternatively, you will have employees or accountants who handle and keep track of the records. Either way, this is a critical backend task that often gets neglected.
Every Digital Marketing Budget Should Drive Results
It's a good sign that you're carefully considering your digital marketing budget. Because it is digital strategies that generate leads, increase sales, and boost conversions.
However, to reap the full benefits of your budget for digital marketing, you will need the right team backing you up. At LeaseMyMarketing, we believe in a results-oriented marketing approach.
Want to see your bottom line go up with marketing strategies that work?
Check out our digital advertising services today!