Payroll & Compliance · Redding, CA
Payroll that runs clean, and never falls out of sync.
- CA License #96754
- Part of your accounting package
- Serving Shasta County since 2007
SB
Small Business Owner
Before payroll was managed
Before
941 quarterly — filed on time
Past due
Wages in books match payroll
Mismatch
EDD DE9 / DE9C filed
Behind
W-2s ready for January
Not started
After Susan
Payroll in sync with everything.
The reality
Payroll looks simple. The compliance behind it isn’t.
- Payroll software that files, but doesn’t coordinate. Gusto, ADP, QuickBooks Payroll — these tools process checks. They don’t reconcile payroll to your books, catch misclassified workers, or flag when your wages account doesn’t match what you reported on the 941.
- Quarterly filings that pile up quietly. The 941, the DE9, the DE9C, the FUTA 940 at year-end — each has its own deadline, its own deposit schedule, its own penalty structure. One missed deposit is a percentage of payroll. They add up fast.
- Year-end that catches you off guard. W-2s are due January 31. That means wages, tips, federal withholding, Social Security, Medicare, state income tax, SDI — all reconciled and correct. If the books and payroll were managed separately all year, January becomes a scramble.
2+ agencies
Federal + CA state filings
4×
Quarterly federal + state
Jan 31
W-2 deadline every year
What payroll penalties actually look like
- Late federal deposit: 2–15% of the deposit amount, depending on how many days late
- Trust fund penalty: personal liability for the owner if payroll taxes aren’t deposited — even if the business is an LLC
- W-2 late filing: $60–$310 per form, per employee — and that’s separate from state penalties
- Worker misclassification: back taxes, interest, and penalties from both IRS and EDD if a contractor should have been an employee
“The penalty for one late payroll deposit is often more than a month of having it managed properly.”
What’s included
Every filing, every deadline, handled as one system.
- Payroll processing on your schedule — weekly, semi-monthly, or monthly — with direct deposit and pay stubs handled.
- Federal 941 quarterly returns and timely payroll tax deposits to avoid late-deposit penalties.
- Annual 940 FUTA filing for federal unemployment, reconciled against what was deposited throughout the year.
- California EDD filings — DE9 and DE9C quarterly reports, UI and SDI deposits on the correct state schedule.
- Year-end W-2 and W-3 preparation with wages reconciled to the books before anything is filed — no January surprises.
- New hire reporting submitted to the California New Employee Registry within the required timeframe.
- Payroll-to-books reconciliation monthly, so wages, employer taxes, and benefit withholdings sync with QuickBooks and roll into year-end correctly.
- Workers’ comp audit support when the annual premium audit arrives — payroll documentation organized and ready.
Part of the accounting package
Payroll is available as part of the Small Business Accounting retainer — not as a standalone service. Here’s why that matters:
- Wages post to the right accounts automatically — no manual journal entries between systems
- The 941 and the books agree before the return is filed
- W-2 wages tie exactly to what’s on the tax return
- One person knows the full picture, not two systems that never talk
Agencies covered
IRS
CA EDD
FTB
Why payroll works better inside a retainer.
Standalone
Payroll service only
Software or payroll processor, no accounting coordination
- Payroll processed and checks issued
- Federal and state filings submitted
- Payroll reconciled to books
- Wages tied to tax return
- Worker classification review
- IRS or EDD notice response
- Tax return prepared by same CPA
Most common · Recommended
Small Business Accounting + Payroll
Books, payroll, and compliance managed together by one CPA
- Payroll processed and checks issued
- Federal and state filings submitted
- Payroll reconciled to books monthly
- Wages tied to tax return at year-end
- Worker classification review
- IRS or EDD notice response included
- Tax return prepared by same CPA
Full advisory
Accounting + Payroll + CFO Advisory
Adds forward-looking financial strategy to the managed package
- Everything in the accounting package
- Monthly financial review call
- 90-day cash flow forecasting
- Payroll cost analysis for hiring decisions
- Annual budget and tax planning
- Lender and SBA loan support
Why a licensed CPA for payroll
Payroll isn’t just processing. It’s employer liability.
Payroll and books are the same system
When the same CPA manages payroll and the books, wages post correctly every month, employer tax liabilities are tracked in real time, and the books match the 941 before the quarter closes. With separate providers, that reconciliation almost never happens until there’s a problem.
Worker classification is a CPA issue, not just an HR one
The IRS and EDD both enforce the employee vs. contractor distinction aggressively. Susan reviews classification as part of the engagement — because the tax consequences of getting it wrong fall on the business owner personally, not just the business.
She can represent you if the EDD calls
If an EDD payroll audit is opened or a 941 discrepancy triggers a notice, Susan can respond on your behalf as your licensed representative. A payroll processor or software platform legally cannot. That protection is built into the relationship.
The hiring decision is a financial decision
Adding an employee isn’t just an HR event — it changes your cash flow, your tax burden, your workers’ comp premium, and your EDD rate. Susan can model what a new hire actually costs before you commit, because she already knows your numbers.
How payroll is priced
Part of a flat monthly retainer.
Small Business Accounting package
Books, payroll, compliance, and tax prep — one monthly fee. Priced based on employees, payroll frequency, and transaction volume.
No payroll-only engagements
Payroll is not available as a standalone service. It works because it’s integrated — not bolted on separately.
Free 15-minute call
The fastest way to know if the package fits. Susan will give you a straight answer on scope and cost.
How payroll setup works, from first call to first run.
01
A free 15-minute call
You explain where things stand — how many employees, what payroll software you’re currently using, whether filings are current. Susan asks a few specific questions and gives you an honest read on what the engagement would include and cost.
02
Payroll and books review
Before the first pay run, Susan reviews your existing payroll setup, checks that employee classifications are correct, and verifies that prior filings are in order. Catching problems now is far less expensive than cleaning them up after an EDD notice.
03
Integration with your books
Payroll is connected to your QuickBooks setup so that wages, employer payroll taxes, and benefit withholdings post correctly every pay period. This is what allows the books and the 941 to agree at quarter-end without manual reconciliation.
04
Ongoing management and filings
Every pay period, every quarterly filing, every year-end form — managed on schedule. You don’t track due dates or worry about whether the deposit cleared on time. That’s handled. You focus on the business.
Common questions about payroll with Susan.
Why won’t you do payroll on its own, without the accounting package?
Because payroll done well isn’t just processing — it requires coordination with your books, your chart of accounts, and your tax return. When those are managed separately, reconciliation errors accumulate quietly and show up as problems at year-end or during an audit. Susan only offers payroll as part of the accounting package because that’s the only way to do it right without creating more work for everyone later.
I’m already using Gusto (or ADP, or QuickBooks Payroll). Do I have to switch?
Not necessarily — it depends on the setup. Some payroll platforms integrate cleanly with QuickBooks and reduce manual work. Others create reconciliation headaches that take more time to manage than they save. After a quick review of your current setup, Susan will tell you honestly whether it’s worth keeping or whether switching would simplify things. There’s no fee for that assessment.
What does the EDD actually audit in a payroll audit?
California EDD payroll audits typically focus on two things: worker classification (are your contractors actually employees under AB5 and the common-law test?) and payroll reporting accuracy (do your DE9 and DE9C filings match what you actually paid?). Susan reviews both as part of the ongoing engagement, so there are no surprises if the EDD requests records. If a formal audit is opened, she can also represent you before the agency.
What’s the difference between the 941 and the 940?
The 941 is the federal quarterly payroll tax return — it reports Social Security, Medicare, and federal income tax withholding four times per year and reconciles against your payroll tax deposits. The 940 is the annual federal unemployment (FUTA) return, filed once at year-end. Both are required if you have employees. California has its own quarterly equivalents through EDD (the DE9 and DE9C). Susan handles all of them as part of the package.
How do I handle payroll for 1099 contractors vs. W-2 employees?
Contractors and employees are taxed and reported differently. W-2 employees require payroll withholding, employer tax matching, and the full quarterly filing cycle. 1099 contractors receive a 1099-NEC at year-end and no withholding is required — but classification matters. Under California law (AB5) and IRS guidelines, many workers who are called contractors actually meet the legal definition of employees. Misclassification is one of the most common and expensive payroll mistakes. Susan reviews classifications before any 1099s are issued.
We only have one or two part-time employees. Is it still worth having managed payroll?
The filing requirements are the same regardless of headcount — one employee still means quarterly 941s, EDD filings, a year-end W-2, and payroll deposit schedules. What changes is the cost. For very small payrolls, Susan will give you a straight answer about whether the accounting package makes financial sense, or whether a simpler arrangement would serve you better for now.
