Good question, right? But what exactly is an optimal payroll process? And where should you start if you want to get one in place?
Let's take it from the very beginning: When we talk about the payroll process we are talking about payroll all the way from input to output. That is, from the collection of data relevant to the payroll process, such as data from HR system, from time and absence records and maybe even from travel and expense reimbursement, through the entire payroll run, - and all the way until payroll is paid, until the pension or reimbursement basis is calculated, and until it is all recorded in finance.
The payroll process can be extensive
What we are trying to say is that the payroll process can be both large and comprehensive, and that it is about much more than payroll in the bank account (although this of course it is super important and must be correct). If you do all this correctly, and the payroll process plays along with you, you will be able to carry out the necessary checks and controlls ahead of the payroll run, and in that way you will be able to avoid unnecessary overtime work and stress just before payroll must be paid.
We tend to compare the payroll process to eating an elephant: You have to divide it up, and take one bite at a time. In this way, you get an overview and control of every single bit, and then the task does not become so overwhelming when you first have to run payroll (this is only a metaphor – no elephants were harmed in the process).
Everyone who works with payroll , want to have full control , and everything you can do to get an overview and control ahead of the salary run is therefore both good and smart:
- If you retrieve data from external systems, you should do the checks a little in advance so that you are well prepared when payroll must be run
- If you have outsourced payroll your supplier probably has a number of deadlines for when they must have input - plan well so that you can deliver what you need, on time
- If you have a system with integrations, you must follow up that these work as they should, so that any errors that might occur do not stop the payroll process
How do you follow up error lists
To follow up error lists continuously, and not the day before payroll is to be paid out is a clear recommendation. You must also get an overview of which controls/checks are to be carried out, and by whom, in the various process steps. In this way, the division of tasks is clear and everyone knows what they have to do before the payroll process starts.
Have you heard of the Payroll Control Center?
Did you know that there is a solution that gives you full control? It's called Payrol Controll Center (PCC among friends) and is simply a gift to everyone who works with payroll . PCC comes with separate roles for payroll administrators and payroll employees, and gives you the opportunity to grant different access for the various tasks. With PCC, you get an overview and insight throughout the entire payroll process, and you remove the need for manual control reports. PCC actually allows you to detect and correct errors before productive payroll runs .
When you use the Payroll Control Center, you automate all the steps in the payroll process, and you can both validate and control data continuously, regardless of when payroll run productively. With PCC, you get access to a solution that allows you to set up checks on data consistency and master data before the first payroll run!
With Payroll Control Center you get:
- A clear and intuitive display of statistics and key figures
- Handling of error messages and rejections
- Very good activity logs give you both an overview and insight
