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It’s great that you’re being proactive about catching mistakes early. One of the most common issues with DIY payroll is miscalculating tax withholdings. If you’re not staying updated with local, state, and federal tax rates, it’s easy to miss something, which can result in penalties. For example, the IRS frequently updates tax brackets, and failing to implement those changes could cause problems.

To avoid this, it’s important to use reliable payroll software that’s automatically updated with the latest tax rates. Some people opt for outsourcing, which can be a huge time-saver. Companies like Direct Payroll Services offer services that handle tax calculations, employee deductions, and more, so you don’t have to worry about missing critical changes.

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