NetSuite’s Opportunity to Fill Payroll Quarterly State Reporting

NetSuite provides two levels of payroll:

1. NetSuite Basic Payroll
2. NetSuite Premier Payroll

For the do-it-yourself organization, NetSuite’s Basic Payroll offers Quarterly Federal Reporting through a convenient generation of official Federal Government Form 941 in Adobe Acrobat PDF format.   However, each state has its own requirements for quarterly payroll reporting.   In California, that form is the DE6 and is available in PDF form for manual fill-in-the-form practices.   Netsuite’s opportunity is to provide state reporting for each of the 50 states like they do so well for Federal 941 reporting.  Within NetSuite’s enhancement request portal, we see there is a request (#134883) for a State payroll reporting feature — it should be just a matter of time before this valuable feature becomes available.

We believe that most small to mid-size businesses don’t act as do-it-yourselfers and will go with the NetSuite Premier Payroll option because of the lower exposure to penalties that will be incurred with missed timely government reporting.  In this enhanced service offering, the same payroll tax engine is used to process payroll as NetSuite Basic Payroll — however, behind-the-scenes and on the company’s behalf, service-providers report all government obligations on a timely basis.  As such, there is no concern for Quarterly State Reporting under this Premier service offering as it is all included.

It is important to remember that each of the NetSuite’s Payroll offerings fully integrate all payroll detail information within the core financial system.  This solution eliminates the need to perform journal entries or imports that is commonly required (and can be problematic) with solutions from ADP, Paychex or other third party payroll processors.   NetSuite provides a superior solution from both the employer and employee perspective.  Each employee can log into the employee portal where they can see all paycheck and expense report detail.  This information is exactly what the accountants see because it comes out of the same platform.  This superior form of information visibility should minimize questions, issues, and possible errors between employees and the company’s bookkeepers / accountants.  NetSuite goes one step farther by providing a mechanism to allocate salary and payroll expenses automatically to various departments or projects independent of traditional coding techniques; a feature typically only seen in more robust solutions.

Marty Zigman

Holding all three official certifications, Marty is regarded as the top NetSuite expert and leads a team of senior professionals at Prolecto Resources, Inc. He is a former Deloitte & Touche CPA and has held CTO roles. For over 30 years, Marty has produced leadership in ERP, CRM and eCommerce business systems. Contact Marty to set up a conversation.

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