Every company requires payroll system for processing payment for its workers. As a company grows, the number of employees increases and it becomes difficult to manage most things related to employee details, leave management, payroll, training, etc. To simplify these tasks, various software packages are used by organizations like the employee compliances management system, employee self-service system, and payroll management system. These software packages reduce maximum work of the management and offer unique solutions that increase employee productivity and organizational efficiency. PC Soft’s exclusively designed ERP software comes with all-inclusive features and is completely designed as per your business requirements to deliver you higher results with accuracy.
While companies decide to adopt a payroll system, it helps them focus on two groups; the particular-functionality like increasing the leave balances, and additional general capabilities, like the existence of user rights.
For the generalized features, a decent payroll system gives you:
- Multi-user accessibility, multi-location accessibility
- Significant reporting abilities
- Compliance with the updated rules and regulations, and also
- Flexibility to expand.
With these functionalities, a company can effectively manage its internal management and also take required decisions with real-time reports. The steps required in processing a basic payroll are:
- Pay to Employee on Hourly Basis:
Payroll processing demands calculation of employee’s salary as the first step. The normal pay cycle includes weekly, semi-weekly for some organizations and monthly. In many companies, employees are paid hourly for which the management is required to complete a time sheet that is processed at the end of every week. The payroll manager ascertains every employee and her leader or supervisor approves the time sheet which is not done, gets invalid. Usually, the sick/personal, regular, or vacation hours are maintained on the timesheet and are salaried at regular pay. Also, the overtime pay is listed on the time sheet that is paid on time or as decided.
- The Salaried Pay:
The salaried employees are normally paid semi-monthly, monthly or also biweekly. They are not essentially required to complete or maintain a time sheet for the similar amount of pay every day. A salaried employee’s hours can change on the following grounds: if the employee had a salary change (increment) or is paid on a prorated basis, i.e. other unpaid days or due to termination). Normally, the payroll manager need not modify the details of a salaried employee, as the system mechanically calculates the due amount.
- Benefits to Employee:
Employees can choose to contribute to the company’s health insurance, retirement savings plan or canteen plans. These amounts are normally deducted from the have to be changed until the employee is altering his deductions. For this, the employee notifies the payroll manager in writing of the alterations. If the changes are acknowledged timely they are made operative in the next payroll processing.
- Processing of Taxes:
In relation to the statutory compliances of the organization, both the employee and the employer are required to pay the regular taxes. Some smart organizations allow the payroll software to compute such taxes and which are automatically deducted from the employee’s pay. A payroll manager is also accountable to deposit taxes to the government, to file quarterly and annual taxes.
- Payroll Amendments:
The payment hours when entered into the payroll software, payroll manager needs is required to crosscheck the information. He can also run some reports for demo and rectify the errors. Any errors spotted before the payroll is closed can be amended and presented on the current payroll system. In case of further revisions, the manager can perform them manually or can apply on the next payroll.
The manual processing of payroll like calculating salary from salary calculator can be really detailed and tiresome task. But these functionalities can expressively help the management to process employees’ salary and satisfy them. Our proficient team promptly delivers strong and reliable payroll software to any organization. So relax and help your organization with successful operative functions.