Free Payroll Tool
See what your payroll provider really charges
Most providers hide per-run and add-on fees. Audit your real cost per employee in about 30 seconds, free.
Run the Payroll Fee Auditor →Blog · Payroll Management · Agency
Marketing & PR Agencies: Payroll Features Every Business Needs (2026)
Marketing agencies need payroll configured for 1099 vs W-2 freelancer classification, project-based bonuses and multi-state remote teams, pay codes that general-purpose software leaves to the customer to build. BEG runs marketing agency payroll for $45 per employee per month inside the payroll software you already use, all-inclusive, live in 3 to 5 business days.
Pay codes a marketing agency cannot run without
Marketing agencies pay account managers and copywriters on different bases, and the payroll system has to hold every one of them as its own pay code with the right tax and overtime treatment: 1099 vs W-2 freelancer classification, project-based bonuses, multi-state remote teams and billable vs internal payroll allocation. A generic setup collapses these into hourly and salary, and the errors show up in the regular rate, in year-end forms and in the first wage claim.
Copywriters, designers and other creative staff can be exempt creative professionals only if paid a salary of at least $684 per week and their primary duty requires invention, imagination, originality or talent in a recognized artistic or creative field. Work that mainly depends on intelligence, diligence and accuracy does not qualify, and the test is applied case by case.
Account managers may fall under the administrative exemption only if salaried at the standard level, performing office work directly related to management or general business operations of the employer or its clients, such as advertising, marketing or public relations, and exercising discretion and independent judgment on matters of significance.
Tax handling specific to marketing agencies
The IRS decides employee versus contractor status under common law rules grouped into three categories: behavioral control, financial control and the type of relationship. There is no set number of factors and no single factor decides, and a remote worker is an employee if the business has the right to control what will be done and how. Form SS-8 can be filed for an IRS determination.
What is configured before the first run
At implementation every pay structure above is built as a code with its own taxability, its own overtime treatment and its own W-2 mapping, and the exemption status of account managers and copywriters is documented against the rule that supports it. That is the difference between software with the features and a payroll that uses them correctly.
The rules behind this page, with sources
General information, not legal advice. Every rule below was read on the agency page linked next to it.
- Copywriters, designers and other creative staff can be exempt creative professionals only if paid a salary of at least $684 per week and their primary duty requires invention, imagination, originality or talent in a recognized artistic or creative field. Work that mainly depends on intelligence, diligence and accuracy does not qualify, and the test is applied case by case. [DOL Fact Sheet #17D]
- Account managers may fall under the administrative exemption only if salaried at the standard level, performing office work directly related to management or general business operations of the employer or its clients, such as advertising, marketing or public relations, and exercising discretion and independent judgment on matters of significance. [DOL Fact Sheet #17C]
- The IRS decides employee versus contractor status under common law rules grouped into three categories: behavioral control, financial control and the type of relationship. There is no set number of factors and no single factor decides, and a remote worker is an employee if the business has the right to control what will be done and how. Form SS-8 can be filed for an IRS determination. [IRS Independent contractor (self-employed) or employee?]
Read the full guide to every managed payroll feature, explained, and the rest of the marketing agency payroll library.
Managed Payroll, Handled.
BEG manages payroll at $45 per employee per month, all-inclusive. Get an instant cost comparison for your business.
Frequently Asked Questions
How do you handle freelancers vs. employees?
Freelancers classified as independent contractors are paid through a 1099 contractor system. W-2 employees go through payroll. We help review worker classifications to reduce audit risk.
Can you handle performance bonuses for account managers?
Yes. Performance bonuses are processed as supplemental pay runs with the correct federal supplemental withholding rate applied, included on the employee's W-2.
How do you handle remote employees across states?
Remote employees in multiple states are standard. We withhold state income tax based on each employee's state of residence and pay state unemployment where the employee works.
What does BEG charge for agency payroll?
Agency payroll runs at $45 per employee per month. For a 20-person agency, that is $900 per month covering payroll, tax filing, year-end W-2s, and multi-state compliance.
What does managed payroll cost for a marketing agency?
$45 per employee per month, all-inclusive, inside the payroll software you already use, with no monthly minimum. 1099 vs W-2 freelancer classification, project-based bonuses and multi-state remote teams are configured at setup, not billed as add-ons.
Related Resources
Anthony leads payroll solutions at Business Executive Group, a national managed payroll firm serving businesses across industries including Marketing & PR Agencies. BEG manages payroll at $45 PEPM, all-inclusive, with deep expertise in compliance, multi-state filing, and industry-specific payroll requirements. Get instant pricing at beghr.com.
Authoritative source: U.S. Department of Labor: Wage and Hour Division
From the blog