Every day in the news businesses are targeted by criminals that look for any way to acquire funds without working for them and they target the honest, hard working companies in our country. Employee fraud and dishonesty can cost your organization greatly! Whether it is a trusted employee or a sneaky criminal, your company’s assets are at risk for potential embezzlement, forgery, fraudulent electronic funds transfer, credit card forgery or robbery.
When using payroll tax filing services it is important to take precautions to protect your clients’ tax funds. You are trusting a third party payroll tax processor to oversee your payroll tax filings and to make sure that your payroll tax deposits are timely and transferred safely.
Any business employer needs to be concerned with employee dishonesty. Any business handing cash or securities needs Fidelity/Crime Insurance to protect themselves and their clients. Unfortunately, the majority of businesses don’t purchase crime protection for themselves or their clients.
For years, Payroll Tax Management (PTM) has carried a Crime Bond to insure the protection of our clients and their clients. This year, PTM increased our protection by increasing our Crime Bond to $50,000,000.00 (Fifty Million).
Bonds are a form of insurance protection that cover policyholders for losses that they incur as a result of fraudulent acts by specified individuals. These insurance policies protect from losses of company monies, securities, and other property from any person while acting alone or with others. Fraud and embezzlement in the workplace is on the rise, occurring in even the best work environments.
This bond is a contract among at least three parties:
• The principal-the primary party who will be performing a contractual obligation
• The obligee-the party who is the recipient of the obligation
• The surety-entity who will be insuring the principal of the obligations or who ensures that the principle’s obligations will be performed
PTM’s Fifty Million Dollar ($50,000,000.00) bond can assist you in marketing your payroll business as it is added protection for both the payroll provider and client. Another note to remember is ACH items are not insured transactions by banks through the FDIC, which is why PTM’s sister company Cachet Banq also enjoys the same protection of a Fifty Million Dollar crime bond.