Payroll management is a detail-oriented task that seems to be very time-consuming and labour-intensive. The possibility of missing out on any detail or accidentally omit details is often seen during payroll processing.
To prevent this from happening, we have come up with a payroll processing checklist that will simplify the execution of this task in the business.
Things To Complete Before You Use The Process Payroll Option
There are two ways for payroll processing as Quick Process and Process Payroll. To use the latter option, a business needs to complete the following activities.
- Lock previous payroll
- New additions of employee
- Employee separations
- Confirmation updates
- Employee data updates
- Update payment details
- Salary revisions
- Update one-time payments
- Update one-time deductions
- Update any other amendments in salary
- Loans update
- Stop processing of salary
- Update loss of pay or leave without pay
- Update arrears
- Update full and final settlements
- Reimbursement claims
- Lock IT declaration
- Download IT declaration
Once all the above-mentioned items are performed, a business can click on Process Payroll to finish the processing activity. Savvy and Suite is a leading company that offers the best level of payroll processing services to its customers. It tailors payroll processes to meet several objectives, such as dedicated payroll support or comprehensive handling of the entire payroll operation.
What is Quick Process?
This is an advanced option available to process payroll. It is a single-click activity that will result in the calculation of all reimbursements, salary components, settlements, statutory components, arrears, that includes TDS, or income tax. Once the processing is done, you are all set to begin the salary pay out and verification activities.
Key Steps Involved In Processing Of Payroll In A Business
A lot of businesses want to know what is payroll processing and how to execute it in the business. So here are the steps that every business should execute for effective payroll management.
- Review any modifications to the employees such as address change, the addition of new hires in the database, omitting details of terminated employees, change status if an employee gets transferred to another company, and update rates.
- Once the above amendments are done, a business should approve, and submit timesheets in the system. It will review the employees’ hours for precision and reasonableness. Ensure that the records are complete and clear.
- Insert and review any extra payments required such as:
- Retro pay
- Evaluate taxes and deductions for rationality and correctness
- Print checks after doing a final review of the modifications
- Ensure that all those who are supposed to get the payroll information have it. Make sure that the payroll records of your company adhere to FLSA regulations. Ideally, you should keep these documents only for a maximum of seven years and not more than that.
- It is a good idea to partner with payroll processing experts as they offer efficient and expert payroll management services. From processing of payrolls to filing tax to the administration of benefits, professionals at these firms take the best care of everything.
Many businesses find payroll management to be an overwhelming task. Nowadays you have several software and payroll reconciliation that simplifies the execution. The above tips will serve as guidance while you perform payroll management in the business.