Review your Payroll System
When was the last time you did a review of your payroll system and processes? It’s not on the top of many companies ‘to do’ lists, but it should be. With the continuously evolving technology available to us today, as well as the legislative and regulatory changes that are constantly taking place, if you’re not reviewing regularly you’re sure to be falling behind.
A review of your payroll systems and processes might seem like it’s all too hard, but consider the other side of the coin. If your system isn’t utilising new technologies or opportunities for automation, is it costing you extra wages to get the job done? And if your payroll processes aren’t incorporating new changes to legislative requirements, how can you be sure you’re compliant? These are just two examples of how being out of date can have you out of pocket.
So how do you manage this task in such a way as to look after the best interests of your company? According to Andre of Payroll HQ, there are two big reasons why you need to address this issue sooner rather than later.
“I see this as a two fold question. Firstly, there is the importance of compliance. If you established your payroll system 10 to 20 years ago and have not updated any of your parameters, there is a good chance that you may not be compliant. It’s not just updating your software with periodic tax table changes. Over the last few years, we have seen many changes to superannuation, the way terminations are calculated plus a number of industrial relation changes through Fair Work.”
“Secondly, we are seeing more and more automation through better payroll technology. It is important that you software supplier is advancing and hopefully making your job a whole lot easier.”
For a big company, ensuring that the system you’re using is up to date with all modern technology advancements is a must. No one wants to work harder than they have to, especially when the tools are already there in many cases to ease the load. For a smaller company, it might be a case of deciding whether the best thing for your company is to hand the process off to a payroll managed services provider, such as Payroll HQ.
No matter the size of your company, you need to be reviewing the current systems and processes that are in place, looking for opportunities to improve productivity, value, and compliance. But don’t wait too long – the more you put it off, the further behind you will fall.