Ensure proper classification of employees as hourly or salaried based on their job roles and responsibilities. Familiarize yourself with labor laws and regulations to determine the appropriate classification and understand wage requirements for each category.

Implement a reliable system to track employee work hours accurately. This can include time clock systems, biometric scanners, or digital time-tracking apps. Regularly review and approve timesheets to ensure accurate payroll calculation.

Calculate gross wages for each employee by multiplying their hours worked by their hourly rate or by using their agreed-upon salary amount. Account for overtime hours and apply the appropriate overtime rates as per labor laws.

Deduct federal, state, and local taxes from employees' gross wages as required. Additionally, withhold any authorized deductions such as insurance premiums, retirement contributions, or garnishments. Ensure compliance with tax laws and regulations when making these deductions.

If your restaurant operates in an environment where tips or service charges are collected, ensure proper reporting and distribution. Comply with tip reporting requirements and ensure that tips are allocated appropriately to employees based on established policies.

Invest in payroll software specifically designed for the restaurant industry. These tools automate payroll calculations, tax withholdings, and reporting, reducing manual errors and saving time. Select a software solution that integrates well with your existing systems.

Stay updated on labor laws and regulations to ensure compliance. Understand minimum wage requirements, overtime rules, paid leave policies, and any other labor-related requirements specific to your location. Consult with legal and HR professionals if needed.