Proper payroll administration is important to make sure that the payroll of a company runs in a smooth manner. To achieve this goal, payroll administrators should record all hours worked accurately, timely and correctly pay employees, as well as comply with relevant tax laws. As Charles Spinelli says, payroll administrators may also assist employees who experience problems with their pay or need to make a change. They even tend to educate the staff about their salary and benefits.
Charles Spinelli talks about the payroll administration process
In simple terms, the phrase “payroll administration” implies to the administration of employee expenses within an enterprise, along with the payment of wages to employees. To report payroll taxes to the tax authorities, it also is important to register employee benefits, like pension or profit sharing. Payroll administration involves the practice of coordinating and supervising the payroll policies and processes of a company. It includes a wide range of legal and logistical responsibilities that are focused on making sure that the employees are paid transparently, accurately and on time. These responsibilities range from calculating the gross pay of an employee to supervising record-keeping requirements and filing annual tax forms.
The manner in which companies assign the tasks associated with payroll administration would rely on its size and type. Larger companies, for instance, are likely to have the resources to employ multiple specialists, with each of them focusing on a specific administrative area. On the other hand, smaller businesses generally depend on a couple of generalized administrators. They may even opt to outsource payroll administration altogether.
The specific responsibilities of payroll administrators may vary, but their key goal generally includes guaranteeing smooth and compliant payroll processes. They also help resolve wage issues or errors, and educate everyone about legislative changes or payroll policy. The duties of payroll administrators generally include:
- Assisting with any government audits
- Filing and submitting tax forms and payments
- Preparation of payroll reports for managerial review
- Processing expenses and reimbursements submitted
- Adding and removing new hires and terminations from the payroll system
Regardless of the manner in which it is structured, payroll administration aids a company to avoid lawsuits and costly fines by complying with diverse federal, state, and local laws. It helps foster a positive relationship between a firm, its employees as well as the surrounding industries. Making sure that the company employees are correctly paid helps build trust, which can ultimately boost employee engagement. This can ultimately elevate employee performance and lower employee turnover rates at a company. A payroll administration program must have a good grasp on applicable tax and labor laws, include a communications plan for informing employees, and also have a well-organized archive for record-keeping.
As Charles Spinelli says, a robust payroll administration setup shall also make the payroll process more efficient by providing employees multiple payment options. These options can include direct deposits, paycards, or on-demand pay. The flexibility and convenience of multiple payment options allow employers to meet the needs of their workforce in a more efficient manner, while streamlining the final step of the payroll process.
