People management activities like maintaining employee records, keeping track of work hours, and processing payroll will only get more complex as your business expands. Even the tiniest businesses can handle these responsibilities using spreadsheets, but as your business grows, you’ll need to start looking into hiring outside support. In the absence of outsourcing, you’re most likely looking at HR software, which may or may not include payroll. It’s important to calculate the return on investment of HR and payroll software before making a final selection.
In this RisePath blog, we’re taking a closer look at whether or not payroll software is worth the investment for your business.
Is Payroll HR Software Worth It?
To avoid ruining the surprise, we don’t want to reveal our destination. Payroll software’s return on investment is expected to be much above average. Fortunately, there’s plenty of data to support that.
More than 500 company owners from a variety of sizes participated in our State of Payroll study. We wanted to learn about the greatest payroll difficulties they were facing. These were the top three responses:
- Accuracy and avoiding mistakes are essential.
- Managing numerous jobs at the same time
- Maintaining a timely payroll process
Here are three ways payroll software might help alleviate your biggest headaches.
Payroll Processing Errors and Inaccurate Data.
Payroll errors may have a significant impact on both finances and morale. Among the most typical payroll blunders you may come across include:
- Misclassifying employees
- Miscalculating pay
- Deadlines Missing payroll
- Tax forms Neglecting to send out
- Failing to keep finished records
According to a survey, 82 million Americans have had their paychecks messed up. And this is a major issue since the survey indicated that after just two difficulties with their payment, 49% of employees would begin searching for new employment. Payroll mistakes and errors may cost your firm thousands of dollars in overpayments, and missing payroll tax deadlines can result in late fines, penalties, and, in the worst-case scenario, significant litigation expenditures.
Payroll Software Helps
A large percentage of payroll software’s return on investment is due to the reduction of payroll mistakes. As an added benefit, payroll software integrated with your HR system may decrease or even eliminate the need for duplicate entry—a common cause of payroll errors. Payroll software makes it simple to run reports, submit taxes, and issue paystubs. Inputting payroll information is less likely to result in an error or date change when data such as hours, wages, account numbers, and withholdings are automatically updated in both systems at the same time.
Multiple Job Responsibilities – Have You Been Overwhelmed?
Keeping track of taxes and payrolls isn’t the only thing on the minds of many payroll specialists. According to our State of Payroll study, some of the additional duties that payroll managers are responsible for:
- Employee relations & responsibilities
- Recruiting & hiring
- Training & development
- Benefits management
- Office management
- Performance reviews
- Onboarding & offboarding
- Executive assistant
- Legal & Compliance
- Travel coordination
- Culture initiatives
Every item on this list is crucial, but don’t stop there; they’re all equally vital, too. This implies that other important activities may fall between the cracks if you don’t get assistance with your payroll. That implies that in addition to payroll mistakes, you’ll also have to deal with a long list of other probable problems, all because you’re spending a lot of time on payroll.
Payroll Software Helps
With the correct payroll software, many payroll chores may be automated or simplified, allowing you more time to work on other critical projects.
Unable to finish Payroll On Time
I believe that this is a direct effect of the preceding two issues. It’s difficult to finish payroll on time if you’re managing a complicated procedure, avoiding or correcting mistakes, and completing everything else on the to-do list at the same time. To add insult to injury, the process of preparing reports may be so time-consuming that it ends up being permanently put on the back leaving, burner you unable to make strategic choices about payroll or convey your status of payroll to the company.
Payroll Software Helps
Payroll software helps streamline and speed up the payroll process by handling things like tax filing and overtime computations. Payroll software offers reports, so you can simply produce reports that help you anticipate labor expenses and make data-driven choices, rather than wrestling with formulae in your spreadsheets or attempting to figure it out manually.
As long as you don’t have many workers or your organization is so sophisticated that you require a whole payroll department, payroll software is a great investment in your company’s long-term viability. Is that the case? We’d appreciate it if you could give us the benefit of the doubt and give us the benefit of the doubt. If we didn’t trust that RisePath HRTeam would make the payroll process quick, straightforward, and accurate, we wouldn’t have decided to recommend it. RisePath HRTeam’s world-class integration provides you with:
- One source of data that may be relied on for accurate payroll data.
- Using RisePath HRTeam, your workers will be able to easily access all of their payroll data, including W-2s and direct deposit accounts.
- By minimizing the need for double-input and automating overtime computation, hours may be saved on data entry.
- A three-tier backup redundancy scheme, robust data encryption, constant monitoring, and a variety of different data centres ensure that your data is safe and secure.
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