Payroll processing in HR is an elaborate process that involves a lot more than salary calculations. The process can be intimidating if you do not know how to go about it which is exactly why this handy guide will navigate you through the intricacies of payroll processing.
Payroll processing is an essential business function that involves arriving at the ‘net pay’ of the employees after the adjustment of necessary taxes and deductions. For efficient payroll management process, the payroll administrator needs to plan the payroll process step-by-step.
Here’s a list of tasks that our team of payroll experts accomplish during payroll processing.
- Develop the organisation’s pay policy that includes flexible benefits, leave encashment policy, and more
- Define payslip components – basic and variable pay, HRA, LTA, etc.
- Collect other payroll inputs from the transport service provider or the food/canteen vendor
- Arrive at the net pay by calculating gross salary and deducting the statutory and non-statutory sums
- Finally, release employee salary.
- File returns and deposit dues such as TDS, PF, and more, with respective authorities.