What is a Tax Engine?

As a company grows, management can become more complex; this includes human resources and payroll. Ensuring employees are paid the correct amount with accurate taxes is essential for a business to grow with confidence. But, manual calculations can risk a company losing its reputation, audit penalties, tax operation inefficiencies, and inaccurate tax calculations.

What is a Tax Engine?

A payroll tax engine is a payroll processing and tax calculator used to build or enhance a payroll platform, embed payroll into an existing application and increase compliance and accuracy. It accounts for federal withholding, FICA, and state withholdings for all 50 states, Puerto Rico, and U.S. territories. A tax engine also accounts for local taxes, employer taxes, multi-state processing, and various other payroll-related withholdings.

Why A Tax Engine? 

Ultimately, a tax engine is designed to keep a company or HR team compliant with tax laws and provide accurate calculations. Skipping the manual process of tax research can mean 

• more accuracy of taxes
• less time spent with formulas and spreadsheets
•  more resources focused on other aspects of a company

The best part about a tax engine is the continuous updates of the ever-changing tax rules and rates. It will stay up-to-date with the latest tax regulations that may change from month to month, minimizing the risk of costly tax mistakes.

Who Needs This?

Any company that wants to invest in their company growth while eliminating the manual process of calculating taxes. Large employers are ideal for a tax engine as they may cost a bit of money to purchase and license for their needs. Payroll providers would also benefit from a tax engine. Their need for accurate taxes for multiple clients is the prime reason to invest in a tax engine. Lastly, software providers could benefit from a tax engine as another tool to offer clientele.

Anyone building a payroll solution from scratch, embedding payroll into an existing application, or looking to improve their payroll or HCM platform can benefit from seamless integration to the Symmetry Tax Engine.

Why Choose the Symmetry Tax Engine?

The Symmetry Tax Engine is the gold standard in payroll tax withholding software and is essential for gross-to-net calculation needs. It is a powerful payroll processing and tax calculator and is designed to 

• Enhance or build a payroll platform
• Embed payroll into an existing application and
• Increase compliance and accuracy.

With innovative tax technology through geocoding, the Symmetry Tax Engine can determine accurate payroll taxes from work and home addresses to rooftop precision. 

Currently, the Symmetry Tax Engine offers two options for implementation. The Web API and the On-Premise Software Development Kit. Both are accurately updated by our team of taxation experts and software engineers in a timely manner.

Interested in learning more? Learn how TopSheet uses our payroll technology to solve tax compliance issues across the entirety of the payroll process with the Symmetry Tax Engine

Interested in learning more? Read about how our client Topsheet used the Symmetry Tax Engine to help with their payroll tax needs.