Payroll functionality is coming to US customers of Xero on December 9, 2013. To ensure the best customer experience possible, Xero will be staging implementation of payroll on a State by State basis. The priority order for States has been determined by the current numbers of Xero customers based in each State.
Xero's Payroll includes automatic tax calculations, intended to provide peace of mind that all complicated tax calculations are performed correctly. Xero payroll will also offer both checks and direct deposit. Xero Payroll affords electronic tax payments & manual tax filings, state and federal tax documents can be autopopulated then filed and paid electronically. Employees can be given access to their paystubs and also the ability to apply for time off, all within a limited context of Xero which precludes them from accessing other information.
Best of all Xero Payroll works right inside Xero accounting software, completely seamless. Additional benefits of Xero Payroll include time tracking, deduction and benefit computation/tracking, and ease of use ("get setup in minutes, run payroll even faster".) Live payroll data combined with on-demand reports give users insight into the details of payroll.
As this functionality is implemented, features will be turned-on as soon as practical, so when States are released full tax calculations and manual filing reports should be available, but Automated Tax payments and Filings may be available, but if not, will be soon there after.
The following states and payroll functionality will be available in the 12/9/2013 release:
California - Calculations done, pending taxes and filings
New York - Calculations done, pending taxes and filings
New Jersey - Calculations done, pending taxes and filings
Florida - Calculations done, pending taxes and filings
Virginia - Calculations done, pending taxes and filings
Utah - Calculations done, pending taxes and filings
We at IA would like to hear from any of you who are using Xero, especially after the new Payroll functionality rolls-out. Submit your comments at the end of this story.