--- title: Why You Need a Payroll Continuity Plan description: FocusPay Solutions provides companies with some basic guidelines for creating a payroll continuity plan in times of disasters or emergencies. image: https://info.machen.cpa/hubfs/Payroll-1145882040-1.jpeg --- [Family of Services](http://machenmcchesney.com/about-us/family-of-companies/)  |  [CPA & Business Advisory](http://machenmcchesney.com)  |  [Payroll, HR & Benefits](http://focuspaysolutions.com/)  |  [Wealth Management](http://machenmcchesney.com/services/financial-planning-and-wealth-mangement-services/) Auburn-Opelika (334) 887-7022 | Montgomery (334) 244-8900 [![mm-re-cobrand-fd-blues](https://info.machen.cpa/hs-fs/hubfs/mm-re-cobrand-fd-blues.png?width=279&height=100&name=mm-re-cobrand-fd-blues.png)](http://machenmcchesney.com) Search this site on Google Search Google Search this site on Google Search Google - [Client Portal](https://machenmcchesney.sharefile.com/Authentication/Login) - [1040 Electronic Organizer](https://www.my1040data.com/account/login/HT7902990) - 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Pandemics. - Storms. - Hurricanes. - Flooding. - Tornadoes. - Fires. - Earthquakes. - Terrorist attacks. - Cyberattacks. - Active shootings. - Loss of electricity. These catastrophic disruptions can occur unexpectedly. But when it comes to payroll, you are expected to be prepared — hence the need for a payroll continuity plan. **Why a continuity plan is essential to payroll** Depending on the severity of the crisis, the federal, state, and local governments may issue mandates delivering various types of payroll relief. Still, employers are required to have the basics down, including paying employees for work done up until or during the disaster and fulfilling their payroll reporting and tax obligations.  In fact, in a 2019 fact sheet, the U.S. Department of Labor says that employers are bound by the Fair Labor Standards Act's minimum wage and overtime pay criteria even during natural disasters. These requirements are not subject to waiver. But if you're unprepared, the disaster can severely impair your ability to meet your payroll responsibilities. This can lead to: - Employees being paid late or not at all. - Improper payroll recordkeeping. - Noncompliance with federal, state, or local payroll laws — which results in penalties. - Employment contract violations and labor disputes. - Late payments to third parties, such as employee benefits providers. - A decrease in employee morale and productivity. **Fundamentals of a payroll continuity plan** Developing a payroll continuity strategy means assessing potential threats and finding solutions. This involves collaborating with your payroll, human resources, and finance teams, plus legal, risk management, and information technology experts.  At a minimum, be sure to have the following items handy: - Payroll resources, such as fully charged laptops (in case your main computers go down), paper checks, and printers. - Supplies for calculating payroll manually. - Mobile access so you can access and run payroll from anywhere. - USB flash drive to store payroll files. - Preestablished check-signing procedures, such as e-signatures, so checks can be distributed without needing handwritten signatures. In addition, you should: - Institute guardrails to protect against security threats, especially for processing payroll remotely and storing payroll files. - Determine where your payroll staff will work during the disaster or emergency — that is if you perform payroll in-house. - Encourage all employees to accept electronic payments, such as via direct deposit or pay card, to ensure timely payments during disasters or emergencies. - Implement protocols for tracking employees' time, including overtime and paid or unpaid leave. - Go paperless to facilitate online pay stubs and reduce hard-copy payroll files. If you haven't already, consider using a payroll service provider, as this will vastly lower your payroll-related stress. During disasters or emergencies, the payroll service provider can make sure your employees are paid on time and that your other payroll obligations are met. **For additional information on [employee benefits administration and management](https://focuspaysolutions.com/services/benefits/?__hstc=167141729.8d06af314457e654623b920bf5695b73.1585053086258.1613052993173.1613056011870.711&__hssc=167141729.4.1613056011870&__hsfp=1789304794),** **please contact Amber Malik (334) 321-4729 or by leaving us a message below.**  Topics: [Payroll, HR & Benefits](https://info.machen.cpa/blog/topic/payroll-hr-benefits) Search this site on Google Search Google ### Recent Posts ### Subscribe to Blog ### Posts by Category - [Business Tax (356)](https://info.machen.cpa/blog/topic/business-tax) - [Business Advisory (239)](https://info.machen.cpa/blog/topic/business-advisory) - [Payroll, HR & Benefits (124)](https://info.machen.cpa/blog/topic/payroll-hr-benefits) - [Audit & Assurance (113)](https://info.machen.cpa/blog/topic/audit-assurance) - [Accounting & Outsourcing (81)](https://info.machen.cpa/blog/topic/accounting-outsourcing) - [Individual Tax (75)](https://info.machen.cpa/blog/topic/individual-tax) - [Tax Planning (33)](https://info.machen.cpa/blog/topic/tax-planning) - [Tax Updates (25)](https://info.machen.cpa/blog/topic/tax-updates) - [Retirement & Wealth Management Planning (18)](https://info.machen.cpa/blog/topic/retirement-wealth-management-planning) - [Taxation (15)](https://info.machen.cpa/blog/topic/taxation) - [Alerts (13)](https://info.machen.cpa/blog/topic/alerts) - [Business Valuation (11)](https://info.machen.cpa/blog/topic/business-valuation) - [News & Events (11)](https://info.machen.cpa/blog/topic/news-events) - [Tax News (11)](https://info.machen.cpa/blog/topic/tax-news) - [Individual Tax Planning (10)](https://info.machen.cpa/blog/topic/individual-tax-planning) - [Not For Profit (10)](https://info.machen.cpa/blog/topic/not-for-profit) - [Retirement Planning (9)](https://info.machen.cpa/blog/topic/retirement-planning) - [Estate Planning (8)](https://info.machen.cpa/blog/topic/estate-planning) - [Manufacturing Industry Insights (7)](https://info.machen.cpa/blog/topic/manufacturing-industry-insights) - [Individuals (1)](https://info.machen.cpa/blog/topic/individuals) - [Insider (1)](https://info.machen.cpa/blog/topic/insider) - [Professional Standard News (1)](https://info.machen.cpa/blog/topic/professional-standard-news) see all [![Returning\_Value](https://info.machen.cpa/hs-fs/file-2504250850-jpg/Machen-Blog-Image/Returning_Value.jpg)](http://machenmcchesney.com/about-us/mission-and-values/) - [![AICPA](https://machenmcchesney.com/img/logos/aicpa.jpg)](https://www.aicpa-cima.com/) - [![NACVA](https://machenmcchesney.com/img/logos/nacva.jpg)](http://www.nacva.com/) - ![2026 INSIDE Public Accounting Top 400](https://machenmcchesney.com/img/2026-ipa-top-400.jpg) - ![2026 Best of Auburn-Opelika](https://machenmcchesney.com/img/2026-best-of-auburn-opelika.jpg) - [![2025 Best of OA](https://machenmcchesney.com/img/2025-best-of-oa.jpg)](https://oanow.com/exclusive/readerschoice/ballot-2025/) - ![2026 Best of OA Winner](https://machenmcchesney.com/img/2026-best-of-oa-winner.jpg) - [![2025 Accounting Today Regional Leaders](https://machenmcchesney.com/img/2025-accounting-today-regional-leaders.jpg)](https://www.accountingtoday.com/) - [![ClearlyRated Best of Accounting](https://machenmcchesney.com/img/2024-best-of-accounting.jpg)](https://www.clearlyrated.com/accounting) - [![ClearlyRated Best of Accounting Employee](https://machenmcchesney.com/img/2024-best-of-accounting-employee.jpg)](https://www.clearlyrated.com/accounting) 1820 East University Drive, Auburn, AL 36830 | Tel: (334) 887-7022 | Fax: (334) 887-7221 1761 Taliaferro Trail, Montgomery, AL 36117 | Tel: (334) 244-8900 | Fax: (334) 364-0927 † This is not a CPA firm. \* Assurance, attest, and audit services provided by Frazier & Deeter, LLC. “Frazier & Deeter” is the brand name under which Frazier & Deeter, LLC\* and Frazier & Deeter Advisory, LLC† and its subsidiary entities provide professional services. 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