What is Payroll Management System?
A payroll management system is an employee management system that helps to manage all your employee's financial records in a simple and automated fashion. For example, it manages employee's salaries, deductions, bonuses, and generation of pay-slips, etc. Importance of payroll management system Payroll management helps improve employee engagement and regulatory compliance. Without an efficient payroll management system , employers could face wage claims and expensive penalties. Different phases of the payroll management process Payroll process generally consists of three phases:- Pre-payroll: In this phase, employers gather relevant data for the pay period. This data is based on defined company policies and regulatory requirements, including exception time and employee adjustments, such as new hires, salary increases or changes to benefit deductions and tax withholdings. All of these information is verified and used to process payroll further. Calculations: After