CPA Practice Advisor - 18
A YEAR IN THE LIFE: PAYROLL
THE PROS AND CONS OF
Temp vs. Seasonal Workers
AS AN EMPLOYER, bringing in reinforcements at your small
business is sometimes necessary. To keep up with customer
demands during peak seasons, you might need to hire additional
employees, such as seasonal or temporary workers.
Both seasonal and temporary
employees can give your business a boost
and support you during busy times. But,
what option is best for your company?
Read on to find out how temporary vs.
seasonal employees compare.
TEMPORARY VS. SEASONAL
Many small business owners think
temporary and seasonal employees are
one and the same. However, this is not
true. Although seasonal and temporary
jobs may have similar characteristics,
they also have many differences.
So, what is the difference between
seasonal and temporary employment?
Take a look at how they differ below.
A Year in the Life of a
is sponsored by
Temporary employees, or temps, are typically hired to cover for absent employees
or to fill gaps in the business's workforce.
You may need to hire temporary work-
NOVEMBER 2019 ■
ers to cover your bases during peak
seasons. Or, you might hire a temp due
to an employee's leave of absence (e.g.,
You can hire temps on your own or
through a temporary staffing agency.
If you opt to use a staffing company,
the temp workers are on lease with the
staffing company and don't directly work
for your business. And, you must pay the
agency fees for placement.
Healthcare, IT, clerical, and labor
industries typically hire temporary workers to fill vacancies. Depending on the
business's hiring needs, temp workers
might be full-time or part-time employees. In some cases, temp workers are
not eligible for benefits. However, some
temporary staffing agencies might offer
health care or other benefits to temps.
Some businesses might hire temp workers for permanent positions if they find
they're a good fit for the job.
Generally, seasonal employees are hired
temporarily when a company needs
extra help during a particular season
(e.g., holidays). Businesses might need to
hire seasonal workers to keep up with
the shopping demands during the busy
Certain kinds of businesses, like
retail, sales, and shipping companies,
might need to hire seasonal employees
to keep up with the heavy workload.
Seasonal businesses (e.g., pool cleaning company) may also hire seasonal
employees each year during the months
they are open for business.
Seasonal employees are usually
By Maria Tanksi
hired on a part-time basis, thus reducing payroll costs. And, seasonal workers
might need to work irregular hours (e.g.,
late shifts), depending on the business's
If you hire a seasonal worker, you
still must follow applicable labor laws.
When hiring seasonal employees, be sure
to meet minimum wage requirements
and follow seasonal employment laws.
PROS AND CONS OF
TEMPORARY VS. SEASONAL
Now that you're familiar with temporary
and seasonal employees, let's take a look
at their advantages and disadvantages.
Check out a few pros and cons of temporary workers.
■ Fill gaps in the workplace
■ Fill permanent positions (if the temp is
a good fit)
■ Fees (with staffing agencies)
■ Few or no benefits for employees
Take a look at a few hiring seasonal
employees pros and cons below.
■ Lower payroll costs
■ Less risky hiring
■ Flexible workforce
■ Less time for training
■ Uncommitted employees
■ Employees lacking loyalty ■
This article first appeared on the
Patriot Software blog.
CPA Practice Advisor
Table of Contents for the Digital Edition of CPA Practice Advisor
From the Editor: The Land of the Free
How to Get Started with Client Accounting Services
Crafting a Strategic CAS Plan
From the Trenches: Do Your Best Tax
2019 Product Review: Sales & Use Tax Systems
Marketing Your Firm: Marketing to the Home Care Nursing Industry
Marketing Your Firm: Your Bedside Manner: 3 Steps to Improve Client Trust
2019 Product Review: Hosting Service Providers
A Year in the Life of a Payroll Accountant: The Pros & Cons of Temp vs. Seasonal Workers
A Year in the Life of a Payroll Accountant: 6 Retirement Tips for Generation X
The ProAdvisor Spotlight: Newest Features in QuickBooks Online Advanced Speed Workflow
Guest Column: 7 Productivity Hacks for the Strategic CFO
The Staffing & HR Advisor: You May Be Overlooking Top Performers When Hiring
The Millennial Advisor: The Problem with Price
The Leadership Advisor: The Change We Can Control
Bridging the Gap: 3 Small Steps Toward Transformation
Special Feature: The Unseen Talent Pool
CPA Practice Advisor - 1
CPA Practice Advisor - 2
CPA Practice Advisor - 3
CPA Practice Advisor - From the Editor: The Land of the Free
CPA Practice Advisor - How to Get Started with Client Accounting Services
CPA Practice Advisor - Crafting a Strategic CAS Plan
CPA Practice Advisor - 7
CPA Practice Advisor - From the Trenches: Do Your Best Tax
CPA Practice Advisor - 9
CPA Practice Advisor - 2019 Product Review: Sales & Use Tax Systems
CPA Practice Advisor - 11
CPA Practice Advisor - 12
CPA Practice Advisor - 13
CPA Practice Advisor - Marketing Your Firm: Marketing to the Home Care Nursing Industry
CPA Practice Advisor - Marketing Your Firm: Your Bedside Manner: 3 Steps to Improve Client Trust
CPA Practice Advisor - 2019 Product Review: Hosting Service Providers
CPA Practice Advisor - 17
CPA Practice Advisor - A Year in the Life of a Payroll Accountant: The Pros & Cons of Temp vs. Seasonal Workers
CPA Practice Advisor - A Year in the Life of a Payroll Accountant: 6 Retirement Tips for Generation X
CPA Practice Advisor - The ProAdvisor Spotlight: Newest Features in QuickBooks Online Advanced Speed Workflow
CPA Practice Advisor - Guest Column: 7 Productivity Hacks for the Strategic CFO
CPA Practice Advisor - The Staffing & HR Advisor: You May Be Overlooking Top Performers When Hiring
CPA Practice Advisor - The Millennial Advisor: The Problem with Price
CPA Practice Advisor - The Leadership Advisor: The Change We Can Control
CPA Practice Advisor - AICPA News
CPA Practice Advisor - Bridging the Gap: 3 Small Steps Toward Transformation
CPA Practice Advisor - Special Feature: The Unseen Talent Pool
CPA Practice Advisor - 28