15760 Ventura Blvd, Suite 610 Encino, CA 91436
FREE CONSULTATION818-436-2775
15760 Ventura Blvd, Suite 610 Encino, CA 91436
FREE CONSULTATION818-436-2775
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Personal, Affordable Payroll Services, Bookkeeping, and Tax Processing for Small Business throughout Los Angeles County.

Economy’s Strength Measurable with Payroll Tax Withholdings

Payroll tax withholdings — deductions from an employee’s wages and taxes paid from the wages by the employer — are sometimes seen as an annoyance by those who have to pay them as well as the accountants in charge of handing them. Yet withholdings can be a useful tool in gauging how robust the economy is on any given day.

 

The fact is that the U.S. Treasury accounts for the total amount of revenue received through payroll tax withholdings on a daily basis. When employees receive raises, payroll tax revenue rises as well. Also, this tax is only withheld on income that is actually received. Thus, it’s fairly easy and accurate to assess the health of the economy through these figures.

 

A method to analyzing these figures comes from Deutsche Bank’s chief U.S. economist, who takes the moving average of a 60-day period of payroll tax receipts (i.e. the equivalent of a quarter of revenue) and compares it to the previous year at that time. This method reveals that 5 percent more revenue is being brought in this past quarter than a year ago.

 

ATPP (Accounting Taxes Payroll Partners) caters, in particular, to the needs of small businesses, providing services in accounts payables and receivables, QuickBooks data entry, bank reconciliations, credit card reconciliation, sales tax preparation, year-end reporting, record keeping and other services.

 

ATPP also picks up and delivers documents and can meet at your office for unlimited, off-the-clock discussions. Our one-stop service ensures efficiency and detailed bookkeeping for your busy company.

 

ATPP is a member of the WH Chamber of Commerce with professionals amassing 20 years of experience in accounting, payroll, taxes and other services. Call one of our Los Angeles tax accountants at 818-436-2775 for more information, or visit our website to learn more about our specific services.