Pen and paper might work if you’re running a small mom ‘n pop shop with 1 part-time employee. However, if you’re running a full-fledged small business with dozens of employees, a payroll system is a must.
A payroll system should facilitate operations and function as an ally of the personnel department of all companies. Today, many payroll services with all their advantages are competing with each other to find as many clients as possible. While more choices are better, choosing the best is increasingly challenging.
Companies’ accounting departments are always looking for ways to increase their profitability, facilitate their operations and reduce costs and time spent unnecessarily. One of the major concerns revolves around the management of the personnel department. At that time, a payroll system should facilitate operations
Read on to understand better the advantages that a payroll system should offer for your business accounting needs.
Integration between modules matters big time – failing to seamlessly integrating between them means ineffective operations, lost data, or – even worse – data leaks.
You can process the payment of several companies at the same time, and you can also automatically calculate the figures, making it easier to control the tax obligations that your company and customers have to comply with.
A complete system should allow you to automatically have the earnings and payroll reports of all your employees as well as all of the companies for which you provide accounting services.
You can still count on various reporting services, such as overtime, period events, meal ticket cost and transportation voucher, wage ratio, salary readjustments, temporary contracts, medical examinations, etc.
The system needs to provide the ability to record the tax payments and generate the required information automatically, straight from the same application. In addition, it is essential that you have the capability to customize employees’ taxation needs according to their region, performance and so on.
Selection of events for receipt aside
Think of the companies that your accounting firm meets. If some of them demand to make payment receipts of profit sharing, allowances and other income that are not tied to the employee’s salary, it is essential that you can do it seamlessly. An online payroll system – a quality one, that is – allows this to be done without much bureaucracy and complexity.
Proper balancing of the book
As you have a control over your employee’s income information, you need to make reporting impossible to update existing data. Otherwise, balancing the book can become a hell of a job for your accounting team with all the updates.
Management of out-of-office events
Employees often take their days off not in the same time. This often results in HRM and accounting woes. A payroll system can help your HR department in managing the pay of your employees easily via the system, reducing potential errors.
Streamlined salary payments
The online system allows employees to pay salaries to key banks in an automated way. This avoids problems of delays or errors in the salaries of your clients’ employees and, indirectly, you will be assisting your company’s HR.
Not only that, but you can also process the the salary payments to your employees, which include the 13th salary, admission reports and current routines in an integrated way.
Better control over expenses
With the monthly closing system, you can have more control over the salary expenses your company, including hew hires’ salaries.