How to select the Best Payroll Software

If you are running an organization and your payroll department is still working manually by maintaining paper records for the processed salary and taxes, then maybe you need to bring in efficiency in the department by automating it with the help of a payroll software.

A payroll software is an application that was made by understanding the various workflows involved in processing payrolls. All those workflows were analyzed and data sets were created to capture the data systematically in a database. This database was then given a user-friendly layer in the form of a front end graphic user interface that could allow the accountants to use it easily.

A good payroll processing software should have the following features:-

• Calculate Wages

The payroll software should be capable of calculating the wages of the employees by considering various parameters as set by the organization. Some of these parameters can be:-

• Calculating wages according to the attendance
• Calculating wages in accordance with the taxes and investment declaration by the employee
• Calculating wages considering the benefits, if any, that has to be passed on to the employee based on the eligibility
• Calculating wages in accordance to any undergoing loan with the current organization
• Calculating wages based on the bond amount agreed upon while joining the company
• Tax Calculation

Since the tax calculation requires a number of parameters to be considered, therefore the payroll software should be able to handle these calculations accurately. It should be able to calculate and submit e-TDS for the employee automatically

• Challans and Forms

It should be able to generate and maintain various challans and forms like provident fund challan, tax submission challan, ESIC form, Form 16, Tax reconciliation statement, Income tax ITNS 281 challan etc. The storage, as well as retrieval of these forms, should be as easy as possible.

• Pay Slips

It should have the ability to save and print the payslips of the employees. A good payroll processing software has a feature for archiving the old pay slips to create space for the new ones.

• Reports and Audit Trails

For the purpose of analysis and audit, the payroll software should be capable of generating various kinds of reports based on the employee’s information and the wages processed. It should have ready made templates to make it easy for the accountants to select the fields as well as the dates that are required for the purpose of analysis.

Along with pulling out the report, it should also have an option for doing audit trails to check the accountants who performed the actions on the employee master database. This helps the organization to find out any discrepancy, if happened, by tracking down with the user id of the accountant, who worked on it. Smart payroll software can also record the sessions of the accountants while they work on the software. This helps in easily auditing any mistake made by the accountant

Summary

So while in a lust to choose the best payroll software one must make sure that it has all the features mentioned above, in it. Such a software doesn’t only help in improving the efficiency of the accountant but also helps in preventing the leakages of money that might happen due to the ignorance of the accountant while doing their day to day work

Eilisys technologies has been doing a successful run in delivering flexible and quick payroll systems, leave management and Ess management solutions since the year 2000