Running an accurate and timely payroll is a must for businesses today. Even if you are a payroll (or HR) department of one, there are ways you can improve your process and save your company time and money.
Open the Lines of Communication
Typically within a business there are a few people who share payroll responsibilities. This can mean there is an employee who is the main payroll functionary, and there is a backup person for when said payroll functionary gets sick or goes on vacation. Or, you can have multiple people involved in the process. Whatever your specific situation, I am confident there are ways you can cut down the cost (and improve efficiencies) within your payroll.
A payroll calendar is a great way to let everyone know what needs to be done and when it is due. Each person involved in processing payroll should have one of these so everyone can be held accountable. This is step one in helping your team get on the same page.
Use Software that Works Together
Instead of inputting time and having to double check that your hours are correct, use a timekeeping software that will allow hours to flow directly into payroll. This eliminates manual data entry (which reduces the room for error) and it saves time. Not to mention having a time and attendance system in place can save you money in the long run.
Utilizing Direct Deposit
While you will have some employees who enjoy getting checks handed out or mailed to them, it makes more sense to migrate your workforce to direct deposit. There are a few reasons direct deposit works well.
Not having to print checks saves time for the payroll and operations departments
Reduces the amount of time employees have to wait for their pay
Reduces the room for error
A great way to get resistant employees used to the idea of direct deposit is to still offer access to pay stubs. This can be achieved through employee self-service (ESS). Using ESS will allow employees to retrieve pay stubs online (and print it if they chose).This can ease the tension of going completely paperless on payday.
What are your payroll best practices? Share your ideas and successes below!