State laws and collective bargaining agreements with unions may dictate how often a business must run payroll. If such requirements don’t apply to them, employers may choose a payroll calendar that works best for them and their employees. The most common are weekly, bi-weekly and semi-monthly.

Payment options include paycheck, direct deposit and paycard. However, some states have strict rules regarding electronic and alternative forms of payment, which must be followed.

An Employer Identification Number, otherwise known as a Federal Tax Identification Number, is necessary for businesses to pay taxes. After they apply for one, employers receive a confirmation letter from the IRS with their specific number. EINs also commonly appear on business loan applications and credit reports.

Pretax deductions are generally employee contributions to employer-sponsored benefits, such as group health insurance, group term life insurance, some types of retirement savings plans, etc. They are advantageous because they lower an employee’s taxable income.