High quality, reliable, most-sought-after, cost-effective, automated, and integrated payroll management is what we promise to deliver to all our clients. Payroll on the cloud is the value addition that really propels the world of payroll management and that is exactly what we promise to deliver. To enhance this process, we incorporate our in-house made software tools named We-Process and AI-based Compliance Chatbot, which play their part in making our payroll management an extremely seamless one. Our payroll automation platform not only combines the latest practices but also adopts a futuristic approach to take the experience a step beyond, right from Biometric hardware implementation to time & attendance and leave management
The first step is the Payroll Audit. A payroll audit is an analysis of a company's payroll processes to ensure accuracy. Payroll audits examine things like the business's active employees, Pay Rates, Wages, Statutory Deductions, and Tax Liability of employees & the employer’s duty to file the returns. Payroll Managers have a big task of playing with numbers, checking & releasing the salary, statutory deductions, filing the returns, etc. It’s important to check & review the processes at least once in a quarter.
Payroll Audit procedures can help:
The second step is the Payroll Structure Design
A salary structure is a hierarchy of jobs that are assigned to salary ranges within an organization. These compose of pay grades that reflect the value of a job within both the internal organization and the external job market. Providing a foundation for pay policy decisions and a method for fair pay practices, a salary structure lays out a strong foundation that helps the organization to thrive in the future.
The third step is the Employee Data Management
The maintenance of employee data management is of utmost importance, be that for the purpose of auditing, analysis, or legal needs. An employee database software is like a storage unit where one can store, manage, and track all employee data and it contains a myriad of employee personnel fields such as name, age, job title, salary, etc for an Humans Resource to refer from. A comprehensive employee data management solution that acts as a single-source-of-truth for all your employee data is the need of the hour if you are keen on effectively managing your organization’s personnel information. While the Employee Master stores the personal information of the employees including their timesheet and leave details, the Humans Resource document manages the licenses, certificates, and bond documents, and Employee Lifecycle, as the name suggests is the place where the entire work history of an employee from hiring to retiring is carefully stored. Manual data management methods are close to extinction in this 21st century, and a digital solution is a mandate considering factors such as ease of access and higher levels of accuracy. At Karma Management Global Consulting Solutions Pvt Ltd., all relevant information pertaining to employee details are stored digitally.
The fourth step is Management Information Systems (MIS)
MIS is a collection of tools, procedures, and software to perform various business tasks at different levels in an organization. MIS primarily serves the functions of controlling and decision-making at the managerial level. Monthly MIS like joining of a new employee, employee separation, salary disbursement, CTC, etc along with many more following Reports / DashBoard can be generated from the system like:
1) PAY PROCESS
2) MANAGEMENT AID REPORTS
3) Bonus & Gratuity Processing
4) STATUTORY STATEMENTS
Conducting a payroll audit regularly can help you any organization to safeguard themselves against payroll fraud. It also ensures that your tax calculations & deductions are accurate, along with making sure that proper payments and employee contributions are being made which are completely compliant with the necessary rules and regulations. With the payroll structure, it is easier to process the categorization of jobs into classes and/or grades. It also keeps track of the salaries of new employees and the dates of their annual increments and promotions. With MIS, our clients, at a glance can have a look at the financial statements of his organization.
Challenges - A big client ABC Company, having 10,000 employees at PAN India basis working at multiple locations in Construction Industry, where the Payroll system was decentralized and having different allowances applicable to each region. Payroll at some places calculated manually, they were facing lots of problem in the reconciliation of salary disbursed at all locations as lots of transfer happening from one region to another region.
Solution- It took us almost one month to understand their demographic spread and their salary structure. However, it became very easy when we mapped them on the Biometric Attendance System having integration to our in-house developed HRMS system. We also, observed that there were having multiple cases of excess salary paid and double settlement of F and F, etc. That also helped to save their wage bill as the OT amount got reduced after Biometric System was introduced at all locations.