For today's business in today's economy, small business and non-profit organizations need to look to strategies and solutions that save money, save time, and reduce risk. Allow us to share ways this is accomplished with real case studies, examples and scenarios.

[Hard Costs] [Soft Costs] [Case Studies] [Scenarios]

Let's look at potential soft cost savings:

ADMINISTRATIVE COSTS (aks Soft Costs)

It’s difficult to precisely calculate your non-productive administrative costs or ‘soft costs’, but an accurate estimate is possible.  The following graph was compiled using data from the U.S. Department of Labor, U.S. Chamber of Commerce, and the U.S. Small Business Administration.

ADMINISTRATIVE COSTS CONTAIN THE FOLLOWING:

• Compliance with all federal, state, and local employment laws
• Unemployment compensation claims, investigation and hearings
• Employee file maintenance
• Compliance with immigration laws
• Keeping abreast of personnel policy issues, employer’s liability
• Shopping and negotiating insurance
• Communication of benefits, enrollments
• Advice on medical claim issues, disputes
• COBRA administration
• Legal fees, personnel consulting fees
• Checks, payroll forms, records, files, bank charges
• Reference checks
• Workers’ compensation claims, audits, hearings
• 940’s, 941’s – Workers’ Compensation reports – Unemployment reports
• FICA withholdings – Reporting
• Payroll, tax reports, deposits
• Fees for payroll services
• W-2’s submission & year end reconciliation
• Federal/state unemployment payments
• Employee handbooks
• Child support / garnishments payment
• Payroll software, equipment, and maintenance expense
• Development of a safety program to meet industry standards

UNITED STATES DEPARTMENT OF LABOR:

UNITED STATES CHAMBER OF COMMERCE:

More examples are available by request