How accurate is your payroll? Research shows that accuracy for payroll management plays an important role in building loyalty and trust with employees. Errors involving payroll can lead to a number of problems which extend beyond compensation and in severe cases can be very costly to resolve. Here are some ways in which you can ensure your payroll is as accurate as possible.
Frequently Audit Payroll Processes
As a business becomes larger and grows its workforce it becomes crucial to frequently audit the payroll processes. This will help you verify the data of employees while ensuring that accurate reports are generated. You will also be able to analyze existing policies and make the necessary changes to employee benefits.
Keep Up To Date On Overtime And Payroll Tax Laws
Payroll tax laws will differ from one jurisdiction to another and are growing in complexity each year. Remaining abreast of the newest regulations which are associated with payroll is extremely important. There are a number of ways in which you can remain compliant, it is best to take advantage of every option available.
Gather Attendance And Time Data
The U.S. Department of Labor states that more than 4 million Americans will obtain eligibility for overtime pay, based on the new changes which have been made to the Fair Labor Standards Act. Anyone who earns below $47,477 per year will need to receive time and a half earnings for any overtime they work. As you can imagine, collecting accurate data regarding the attendance and time of your employees has become ever more important, for business of all sizes. Fortunately, there are attendance and time software programs which make the process easy and will save you a significant amount of time and headaches.
Onboarding Data Must Be Documented Accurately
When a company grows and new workers are recruited the amount of available data will increase correspondingly. It is absolutely essential that this data is as accurate as possible. The best way to do this is by making use of a superb checks and balance system so that the onboarding process will be more streamlined for the human resources department. If the data that is placed in your company databases is inaccurate this can lead to a number of problems that can ultimately result in severe liability. The more organized you are regarding this, the better.
The Importance Of Payroll Software
A number of companies are turning to payroll software to ensure the accuracy and integrity of their payroll management. This software is much more affordable than hiring a third party to manage your data and can also be more secure. Human error has always been a problem in the HR department and due to new laws and regulations the consequences for making mistake is more severe. Therefore, automated systems go a long way to make sure errors are reduced while ensuring that the right people get paid and in the correct amounts. All in all, quality payroll software is worth the price and simple to maintain.