Managing HR Responsibilities in Medical Practices: Solutions for Non-HR Professionals
Written by Rick Fish, Jr., C.P.P.
Managing a medical practice can be complex, and adding managing payroll for medical practices into the mix simply adds to the complexity. Yet managing and processing payroll accurately is crucial to smooth operations and a positive working environment.
Medical practices often assign HR duties and payroll to office managers because they already oversee the day-to-day operations of the office. However, this can lead to challenges, as not every office manager is experienced with the complexities of processing payroll.
In this article, we’re going to discuss the common small practice payroll challenges, the importance of accurately processing payroll, and how using a trusted payroll provider can benefit medical practices.
Common Payroll Challenges in Medical Practices
As mentioned, processing payroll for medical practices can come with many challenges. Let’s look at the main challenges that office managers may face when juggling payroll in addition to their other duties.
Limited Payroll Expertise
Payroll can be complex. There are many payroll laws, rules, and regulations that those who process payroll must stay up to date with. Accuracy requires specialized knowledge in payroll, which office managers may not have had the opportunity to obtain. When an employee is assigned the role of HR and payroll specialist without the training or experience, this can result in payroll errors regarding wage calculations, tax withholdings, and benefit deductions. These errors can especially affect the medical practices, as there are usually many unique payroll and benefit complexities within them.
Time Constraints
Let’s face it, juggling HR and payroll duties in addition to the workload of an office manager can not just be difficult but time-consuming as well. Trying to focus on several things at once can be overwhelming and stressful. As a result of the difficulty in balancing too many duties, the chance of mistakes, inaccuracies, and delays in payroll processing is more likely to occur.
Inconsistent Payroll Processes
Without a dedicated payroll department, payroll processes may not have the standardization that increases efficiency. A lack of standardization may result in inconsistencies within time tracking, overtime calculations, and payment disbursement. This can happen when the person processing payroll doesn’t have the training, time, or energy to dedicate to managing payroll.
Employee Disputes and Dissatisfaction
Employees want to know that they can depend on a timely, accurate payroll, and delays or mistakes in payroll or benefits administration can cause worry, dissatisfaction, and disputes in the workplace. As a result, this dissatisfaction puts additional pressure on the office manager, as they seek to resolve issues and maintain staff morale while handling their other job duties.
Manual Data Entry
Office managers who are thrown into HR and payroll management roles often rely on manual data entry for payroll and HR tasks instead of using automated payroll software. The reliance on manual data entry for these important tasks can increase the risk of errors and inefficiencies, especially when paired with complex payroll structures. Using automated payroll software and HR resources can help reduce and eliminate errors and mistakes.
Lack of Backup
Another one of the small practice payroll challenges is that the office manager may be the only person responsible for both payroll and HR duties. The combination of these important roles can cause issues if this manager is ever absent, whether due to sickness or vacation. Unfortunately, the lack of backup personnel may cause payroll tasks to be disrupted or delayed.
Difficulty in Managing Benefits
With so much on their plate, office managers may have difficulty administering benefits such as health insurance, retirement plans, and other employee perks due to handling so many responsibilities and duties. This can lead to errors and inaccuracies in managing benefits, which can negatively impact employees.
Confidentiality Concerns
Another concern is the lack of separation of duties when an office manager is managing both their duties and the confidential, sensitive employee information that is involved with both payroll and HR responsibilities. This is especially a concern in smaller practices where staff may have close working relationships.
Payroll Compliance Challenges
Managing payroll for medical practices is not something to be taken lightly, as compliance with payroll laws, healthcare-specific regulations, and HR compliance requirements is crucial in order to avoid consequences and penalties. Yet, payroll laws are often changing and evolving, and staying up to date with these laws requires a lot of care and attention.
Staying up to date on ever-changing laws and regulations can prove to be challenging for office managers who are juggling so many roles. As a result, there’s a risk of non-compliance, and some of the consequences of non-compliance with payroll laws and HR regulations include back payment of missing pay, audits and fines from government agencies, and penalties and interest rates.
How a Payroll Provider Like Complete Payroll Can Help
As you can see, there are many challenges involved with not having dedicated HR and payroll departments. Truthfully, it’s hard for one person to juggle the many tasks and duties required of an office manager, HR professional, and managing payroll. And it can often lead to the manager feeling overwhelmed and result in errors. You’re probably wondering if there’s an easy solution to help manage payroll for medical practices—and fortunately, there is.
Payroll Solutions for Medical Practices
Complete Payroll’s easy-to-navigate automated payroll system provides medical practices with software that helps in performing payroll tasks that otherwise would require manual entry. This software includes automating tasks that help you accurately pay your employees in a timely, safe manner and ensure compliance with payroll laws. In addition, it helps calculate payroll taxes, complete timely tax payments, and automate payroll adjustments for garnishments, benefit elections, workers’ compensation, bonuses, 401(k) plans, and more.
HR Support for Medical Practices
Imagine a dedicated, professional, people-first employee management software that provides you with HR support that creates a productive, welcoming, and empowering work environment. That’s exactly what you get with Complete Payroll’s human capital management (HCM) software.
Our HR support software provides employees with features such as online benefits enrollment, simplified time/attendance management, and expense tracking. This support helps you streamline both HR and payroll by assisting you with onboarding, offboarding, maintaining compliance, handling disciplinary procedures, and processing your payroll more efficiently than ever before. Using Complete Payroll’s HR support for medical practices can help provide you with the HR services needed to help your practice stand out from the rest and attract and retain top talent.
Conclusion
Essentially, payroll for medical practices can increase the complexity in an already challenging environment. Oftentimes, medical practices without a dedicated HR or payroll department rely on managers with minimal payroll or HR experience. Yet this can lead to common obstacles such as compliance issues, payroll errors, and inefficiencies.
Using a payroll provider such as Complete Payroll can help navigate and eliminate small-practice payroll challenges and mistakes. We offer medical practice payroll solutions that help ensure you stay in compliance with payroll laws while automating payroll processing that saves time and reduces stress for office managers. By working with Complete Payroll, businesses can improve operational efficiency, ensure payroll compliance for medical offices, and create a more supportive work environment for their employees.
To explore more how Complete Payroll's services can help streamline payroll and HR tasks, visit our website and book a consultation!
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