Payroll Software | Along with the proliferation of new businesses and companies, ranging from Start Ups, multinational companies, to MSMEs, automatically the number of employees employed is also increasing. With so many employees working in a company, of course the company also wants practical things for efficient and appropriate services, one of which is in terms of paying their employees.
Just imagine if a company with a lot of employees and have to calculate their salaries manually, of course, will spend a lot of time on this alone. It’s really very inefficient, isn’t it? Therefore, many companies and business owners calculate the salaries of their employees using payroll software? $42,82
What is Payroll ?
Before we talk about payroll software, let’s first clarify what payroll is. The term “salary” actually refers to employees who are paid by the company in which they work.
However, most companies generally use the term to refer to money paid to employees or various records that describe how much money each employee wants.
Salary can affect every aspect of an organization, from the reputation of the company to the morale of its employees. One of the motivations of employees to work in the company is also the salary. If they feel that their salary is lower, they will tend to work less than optimally and even quit their job.
The accounting and economic definition of payroll is a payroll method specially developed by a company to make the payroll process more effective and efficient for employees.
Payroll can also refer to the company, department, system, or software used to process payroll including taxes and BPJS.
Tb calculation. based on the number of hours worked or the number of days in a week plus the total number of hours worked by an employee in a month, overtime allowance, vacation pay and deductions under Article 156 of the Labor Code.
The payroll system can be edited regularly by any company, starting with weekly, bi-monthly, monthly or daily.
Payroll is a very important function in any business and requires understanding of the latest laws, detailed tax knowledge to determine proper withholding and filing, and a highly organized and reliable method of paying out cash to employees.
Each company can have its own payroll structure made up of different payroll components that are unique and not shared by other companies.
Definitions Payroll Software
Payroll software is a type of software that makes it easy for companies to calculate the salaries of their employees. Often times, these calculations also include elements of employee attendance data, overtime, meal allowances, social benefits, BPJS and PPh PS 21. This software is usually integrated or part of the HRIS (Human Resource Information System) used by the company.
With this payroll software, companies can easily calculate the salaries to be paid to employees based on the system-integrated working time calculation or attendance data. Then the system automatically transfers the company’s salary or deposits to the registered employee’s account.
Many companies use payroll software primarily because it is able to calculate certain taxes or deductions before the salary amount is totaled and paid out to employees.
Why do companies need payroll software?
The monthly payroll must be accurate and regularly error-free. For this reason, investing in payroll software should not be taken lightly, especially if you have a large business.
With this software, companies no longer have to worry about error calculations and salary mailings as they can be resolved directly by the system.
Benefits of Payroll Software
The use of this software saves time and energy, controls the wage costs of employees and also eliminates errors.
The process of calculating and transmitting employee salaries can be completed in a short time, so that the finance and HRD departments can perform other tasks.
In addition, it will be more beneficial for the company to have software that is able to manage payroll itself without hiring or using third-party services. Not only can owning the software itself save more money, it can also eliminate potential misunderstandings about salaries and minimize the number of people who have to interact.
Software payroll features
Calculation of the deductions and the salary amount
After determining the gross salary, the system automatically calculates deductions such as taxes, insurance and BPJS health / employment. All deductions are credited directly to the gross wage amount before they are automatically de To be credited to the employee’s account.
Indeed, certain payroll software systems may automatically include reimbursement of reimbursements, non-BPJS treatments, and other employee expenses.
Create tax form
There are several payroll software available that are capable of generating tax forms according to the needs of companies and employees. The tax form can then be printed out or sent to the relevant party.
Save data automatically and securely
Saving data manually is time consuming, difficult, and requires a lot of paper and storage space. Since payroll software is operated through a system, companies no longer have to prepare these things. Old data can also be easily deleted when it is no longer needed.
Can be adapted to the needs of the company
Not all companies have the same needs and can adapt them to the chosen payroll system. Companies can communicate their needs to their respective providers.
For example, small businesses require fewer features than large businesses, given the number of employees and the not-too-large need.
On the other hand, large companies want to invest in payroll software that integrates with other aspects of planning and resource management, such as: B. attendance management functions, scheduling, licensing and others.
Self service
By using payroll software, employees can directly access information about salary levels, deductions, working hours, bonuses and others. This function also enables employees who want to submit something automatically without having to send a cover letter to HRD.
Cloud based software
Right now, almost all payroll software is cloud-based, so you can access it anytime, anywhere, as long as you use an internet-connected device. This cloud-based system is also automatically updated in the event of a change in tax policy, so that the salaries of employees are always adjusted to the state regulations.
Reporting on demand
The high frequency of transactions related to payroll certainly requires easy-to-read reports for the analysis process. Together with accounting, you can create detailed salary transaction reports based on your company’s needs.
That’s the explanation about payroll software, hopefully it’s useful and don’t forget to share it with your friends. Okay