The media industry is one of the most technologically advanced industries. From audio, visuals to special effects, they have open doors to every technology that can bring the x-factor to the final product. However, when it comes to paying the people responsible for creating the magic on screen, it’s a mess. With a vast number of people involved from different niches and elements of film production, it can be overwhelming to manage everything single-handedly. This is where production payroll services come in.
The services provided by production payroll companies are enormous. Read on further to get to the bottom of it.
What are production payroll services?
Generic third-party payroll services are separate from production payroll services or PPS. A full-service supplier is a production payroll company. The payroll service provider processes correct paychecks. They’re also responsible for paying all payroll taxes, unemployment insurance, union dues, and workers’ compensation insurance. Weekly payroll is submitted by the production payroll firm in collaboration with the production accountants.
Production businesses have an employer-on-record with the entertainment payroll company. It handles the cast and crew salaries for film, television, and commercial projects. For film crews, overtime regulations, meal periods, and penalties are varied. The payroll firm must be familiar with the rules and regulations of the local guilds and unions.
Why are they needed?
Payroll service for production takes care of all elements of becoming an employer so that the client can concentrate on the result. Treating the staff as employees rather than independent contractors safeguards them as well. It’s simpler for them to get unemployment benefits, prove their work, and pay social security. An entertainment payroll service will take care of the following.
As the employer of record, payroll services are responsible for all income tax withholding in all jurisdictions. They are responsible for sending those taxes and any needed paperwork and reports to the proper authorities.
If someone is hired for even a day, that individual has the right to claim unemployment benefits. A payroll service assumes that obligation and the paperwork that comes with it as the employer of record. Unemployment insurance premiums might rise if there are several claims filed.
Worker’s Compensation Insurance
Full worker’s compensation insurance covers everyone employee. The payroll services have an insurance carrier to handle all injury claims.
Determining the proper tax withholding forms and other documentation, disseminating it to the team, collecting completed papers, validating employment status, and getting it all to payroll takes much too long. PPS uses digital onboarding for all new employee documentation, including job eligibility verification through the federal E-verify system.
Monthly and Year-end Tax Reporting
PPS will work with you to provide personalized and simple payroll reporting. They can acquire the information required to pay the team in various ways, including online reporting, digital timesheets, and data exports. PPS will also handle all year-end documentation that the IRS, state, and local authority demand.
Payroll firms in the entertainment sector are aware of the industry’s wage and hour rules. Along with handling traditional payroll tasks, their industry knowledge makes managing a production crew efficient and free of conflicts.