Payroll refers to the process by which employees receive their salary. Functions involve balancing and reconciling payroll data and depositing and reporting taxes. The payroll department takes care of wage deductions, record keeping and verifying the reliability of pay data. The payroll department delivers payroll checks, maintains compliance with tax laws, records paperwork for new hires and edits existing employee files. Payroll professionals are also responsible for calculating reimbursements, bonuses, overtime and holiday pay.
Why Do You Need Payroll System
Payroll management system is a vital part of an organisation. The payroll department is not only responsible for employees’ salaries but also play a vibrant role in protecting the company’s reputation, by ensuring compliance with various legislations.
The Automated payroll system ensures that the activities of an organisation adhere to the country’s obligations and compliance. The efficiency of meeting tax obligations on time and upholding of legislative laws can further establish the organisation’s reputation as a stable employer.
With all the paperwork and excel calculations that come synonymously with payroll, it can be an extremely time-consuming and manual job. Having an automated payroll system can help your organisation have accurate, precise and up-to-date payroll calculations.
Employees need to feel assured that they can be paid on a consistent and timely basis by the company. A late and inaccurate payroll might cause employees to question the financial stability of the organisation. This might compromise on the work environment within the organisation, resulting in underperformance and ignorant behaviour towards the organisation.
Automated Payroll allows an employee to feel his net worth within the organisation. Payroll is not limited to the salary of an employee but also the bonuses and benefits. Based on annual performance evaluations, employees are typically rewarded with a salary increase or bonus, or ideally, both. This, in turn, might boost an employee’s performance, translating to a positive effect on the organisation