5 Ways A Modern Payroll Management System Can Help Your Business Thrive

Since the advent of the Industrial Revolution as far back as the mid-1800s, humankind has been using machines and automation to rid themselves of repetitive and tedious tasks.  As time progressed and technology expanded rapidly - often beyond what we could have imagined! – we saw the arrival of software, mega-processors, and Artificial Intelligence. All of this is geared toward making our lives easier and freeing us up for more productive tasks. Today, we use automation everywhere - from heavy machinery to mobile-phone apps, to order food, to…well, this list is a never-ending one! Similarly, the use of automation in HR has been an ongoing one. Payroll process automation is probably among the first such tasks that come to mind.  ~~~   Cost-savings   ~~~ Modern payroll management systems help businesses save money in numerous ways. From reducing work hours spent on repetitive tasks, to minimizing costly errors through to efficient tax calculations. All this ultimately results in cost savings for the employer as well as the employee. This blog highlights the top ways in which a modern, automated payroll management system can help your HR employees complete their tasks faster, spend their time more productively, and ultimately, help your business to grow. Let’s look at the top 5 ways: 1) Time savings  Payroll processing is often a time-consuming and resource-intensive task – it includes several factors like work hours clocked, attendance punch-in, punch-out, and leave days.  A good payroll management system automates several tedious tasks, including salary calculations, tax deductions, and report generation to free up HR and accounting teams for other, more value-added tasks. Attendance integration: For a smooth and correct calculation of the number of paydays, amounts to be paid (etc.) the time-attendance system must be seamlessly integrated with the payroll management system. Only then can salaries be processed and paid accurately and on time.  Payroll automation goes a long way in relieving HR to focus on more important tasks that can improve the company’s operations holistically.   ~~~   Payroll Calculations & Accounting   ~~~ If it isn’t the error-free calculation and payment of salaries, then what is payroll?  The entire objective of automated payroll software is to ensure the correctness of the numbers, with a clear explanation of each of the components that make up the whole.  Therefore, be sure to examine the system minutely, understand its benefits, and only then purchase it.    2) Accuracy, verification & structure Speed and resource usage aren’t the only elements that improve – or, weigh down – a payroll management system. Another huge problem is the accuracy of it all, namely, the various salary calculations, payouts, salary structure, and breakup (etc.). This often causes numerous errors, discrepancies, and results in disagreements between HR and employees. It is widely known that the workforce holds accurate salary calculations and timely payouts as the most important requirements of payroll. Therefore, be sure to select payroll software with robust algorithms that consider all factors in making the correct calculations. And, furnishing a comprehensive salary report for the employees to review later.  Remember, payroll errors are time-consuming and costly to rectify, and using a modern payroll management system ensures accurate calculations. It also adheres to all government regulations and compliances.   3) Regulations, compliances, and taxes An area of payroll management that is often ignored – even, disregarded - by most people is that it isn’t just a simple matter of salary calculations and payouts. Importantly, all such calculations and payments are governed by several Govt. regulations, including assessment and filing of taxes, and statutory compliances like professional taxes, ESI, EPF (etc.)   ~~~ Direct Deposit   ~~~ As more and more transactions take the online route, why should your payroll payouts lag behind? Instead of grappling with issues such as late salary payments and cumbersome processing issues that cause delays, you must invest in modern HR software that has convenient features for making direct deposits. Quick, easy, and secure.   Therefore, your payroll software should be able to successfully incorporate all such compliances that are applicable to each employee based on the latest rules and guidelines. This function and its updates are inbuilt as an automatic feature in today’s payroll software. After all, you wouldn’t want to get embroiled in a lawsuit, would you?   4) Self-service Well, we live in the Do-It-Yourself (DIY) and Self-Help age, don’t we? Stock-market apps, health-calculator apps, chat-bots…the list is already long and all around us! Similarly, payroll software is no different. Employee satisfaction and employee engagement are key objectives of modern payroll software – this is achieved by software that has suitable Employee Self Service (ESS) features. With this, employees can conveniently conduct a host of payroll-related actions on their own, thus saving them and HR, a lot of time and effort. Again, this is another way through which not just HR teams but company-wide employees are able to save time. Ultimately, this contributes to improved company productivity.    5) Scalability Lastly, the scope and breadth of your payroll software is crucial. Unless it can adapt to the needs of a growing or changing business, you will struggle to keep up.    ~~~   Payroll Processing: One-Click!    ~~~ One-Click payroll processing is a significant benefit of today’s automated payroll software. From salary computation, compliances, payouts, and documentation, everything can be triggered by a One-Click process after your pre-salary calculations are complete.    Imagine if you started out with 20 employees and have rapidly grown to 200. Plus, you continue to grow, adding new employees every quarter. Additionally, your business requires you to use various contractual equations i.e. permanent payroll employees, contractual employees, part-time workers, retainer-based consultants, commission-only workers…the combinations are many. The best payroll systems will be able to scale as your business does. Not only that, it will also have features, plug-ins, and benefits that will come into play – or, become even more useful - as you grow. As a result, you can add new pay calculations, employee types, and locations without any disruptions to your business operations.   Conclusion: As is evident, the benefits of using a modern payroll management system are numerous. Not only does it generate direct benefits like faster, more accurate, and easier payroll calculations and payouts, but it also has a significant indirect impact on your business such as enabling your employees to focus on more productive tasks by freeing up their work hours. Ultimately, it leads to a more productive and profitable business operation with happier employees.   Merging contemporary HR management software with an advanced payroll administration system can assist companies in conserving resources and enhancing employee contentment.         Sign up for a Free Demo of Cyberium HR Management Software Now