3 Important Payroll Management Tips for Employers
Many US employers have a hard time managing payroll, with 54% of American workers saying they encounter payroll problems. These problems range from late payment to getting paid the wrong amount.
Regardless of what problems plague your payroll, the effect on your staff’s morale can be massive. 49% of all employees will commence a new job search after just two problems with their paycheck. That means that if you don’t start taking payroll management seriously, you’re well on your way to losing a large portion of your top talent.
If you’ve been struggling with payroll management in your company, you’ve come to the right place. Here are three actionable steps you can take today to stay on top of your business payroll at all times.
1. Hire a Qualified Payroll Team
One of the most practical payroll management tips is to ensure that you have competent payroll staff. Payroll employees need to be able to handle all demands of their job without making errors. They need to carry out their duties well to avoid compliance penalties and keep job satisfaction in your company high.
You’ll want to carefully check candidates’ academic qualifications during the hiring process. It also helps to ensure that the team you hire has considerable experience in company payroll.
Of course, you’ll need to provide training on any aspects you deem necessary. For instance, if you’re planning to introduce payroll cards in your company, you may want to equip your payroll team with more info on how they work before you fully adopt the approach.
2. Automate Your Payroll Management Process
As you’re probably already aware, processing company payroll can take lots of time and money. When you go about things manually, the process becomes susceptible to errors. This is especially the case when your business starts to grow and the staff expands.
Automating your payroll process can help make things much easier for you. Not only do you get everything done much faster, but you also get to ensure high levels of accuracy. The secret is to make sure you get payroll management software you can trust.
3. Document the Payroll Process
Another valuable tip on how to manage payroll successfully is to document your current system. Adopting this strategy can prove valuable when the time for auditing and analyzing your payroll system comes. It makes it easier to spot any weak points in your system and resolve them.
Keep in mind that you’re documenting your payroll system because you’ve found that it works. Be sure to include all your payroll processing steps, besides your standard reporting and check-handling procedures. Document any guidelines on how your payroll should be processed manually in the event of an emergency.
Stay on Top of Your Payroll Management
The ability to deliver your employees’ paychecks accurately can keep staff motivated and improve retention. The good news is that proper payroll management isn’t the preserve of gurus. Provided you have a skilled payroll team and keep your process automated and well documented, you’re set.
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