As an employer, one of your obligations is to pay your employees correctly and on time, while complying with any regulations that are relevant. Being flaky with your payroll can have devastating impacts on your employee productivity and your company culture. Payroll management, however, is a tricky process to master and can be a big HR headache. These are the reasons you need to improve your payroll system today.
You wouldn’t make one of your staff members go to everybody’s desk and make sure their monitors are off if they’re not there, would you? Most monitors turn off automatically. They’re automated.
Making your staff do their payroll manually involves a lot of paperwork, and lots of tiresome repetitive steps that don’t involve thinking and become monotonous and boring. Nowadays, manual payroll admin is as silly as making your HR team turn off unused computer monitors—there are countless easy, automated payroll solutions at your fingertips that cost a lot less than hiring somebody to do all the admin paperwork.
Human-Calculated Payroll = Mistakes
All humans make mistakes. They can create organizational issues by not being completely consistent with all their record keeping, and they can even do their calculations wrong and cost you money (or employee morale).
Human error can lead to tax penalties. As an employer, you’re legally required to be accurate with your employee deductions and pay the appropriate taxes to your relevant tax agency, which is especially complicated if you have international workers. If human error causes you to not comply with these requirements you can suffer severe penalties if you get audited.
Many different software can do all the calculations for you, automating the process as much as possible and is certified to be compliant with tax authorities, so you don’t need staff reading up on regulations or spending hours doing calculations that can go wrong and cost you money.
Tech-savvy? You can still have problems
Many companies made the switch from manual to digital a while ago, but there are still problems for these tech-savvy businesses. Not all payroll programs are compatible and can be integrated with other automation programs. HR can be automated to a huge degree, as the software can handle expenses, learning and development, performance monitoring, and more. If you’re automating other HR processes, you can have problems with incompatibility. If you haven’t automated your payroll yet, make sure you get a software that is compatible with other HR processes, or even one such as peoplexcd.com that has other functions available as part of a suite.
Employee Absence Tracking
If you don’t offer paid absences, they can be a real headache for your business, with many potential mistakes. Even digital time sheets can be misused (resulting in time theft), costing the company money. Tracking these absences and factoring them effectively into payroll can be difficult if there’s any paperwork involved (including time sheets). Moving your timekeeping online and synchronizing it with your payroll system is the best way for you to avoid these mistakes and keep your HR as efficient as possible.