UBS

Payroll Management System: Meaning, Features, Benefits, And Top Solutions

June 22, 2022
Payroll
Payroll Management System

In every industry, automation has helped dramatically to transform and streamline several processes. The same holds true for payroll management too.

In today’s fast-changing business world, payroll management systems have lessened the strain on the HR departments through their ability to add value to every aspect of the payroll process.

A good number of businesses across India are already embracing payroll software and making the most of it. However, a good section of the corporate world is still hesitant about this change. This is certainly because of the lack of knowledge.

In this blog, we will tell you everything related to payroll management systems and why every organization should use them.

What is a Payroll Management System?

As the name suggests, payroll management systems are automated tools used to streamline payroll tasks.

Payroll Management System

Unlike manual tools, HR managers do not have to juggle with papers/spreadsheets using payroll management software.

HR managers just have to give the necessary input to the system and it takes care of the rest.

Such systems empower HRs to do every payroll-related task effortlessly, that too in no time.

What Are The Must-Have Features in Payroll Software?

Features in Payroll Software

Not every payroll software in the market will simplify your payroll management process. For that, the software should offer the following features:

  • Easy Customization

Different companies have different payroll needs. Say, for instance, some companies may not require a compliance management module but for some, it can be a necessity.

In such a scenario, a system should offer customization features to its users. This way, you can customize and design a perfect system for your company.

Not to forget, you should clearly know your payroll needs to customize a system in the right way.

  • Direct Deposit

The next feature is direct deposit. Direct deposit helps HR managers to deposit salaries to employees’ bank accounts in a few clicks.

If a system has this feature, HR professionals will never have to spend a large chunk of time preparing checks for employees.

Also, the direct deposit feature also ensures timely salary payout, which will keep employees happy.

  • Tax Filing Services

This is one of the important features every payroll system must have. It is no news that tax filing has a big role in compliance.

If done manually, tax computation can be error-prone as well as time-consuming.

payroll

Fortunately, payroll solutions with tax-filing features help in calculating and filing taxes in just a matter of minutes. So, HRs can now sit back and relax.

  • Employee Self Service

Payroll management systems are not just meant for HRs but also for employees. Top-notch solutions such as UBS come with ESS features to provide autonomy to employees.

Employees often feel dependent on HRs for every trivial thing. With ESS features, no employee will ever feel the same.

From editing data to downloading payslips, they will be empowered to do a lot of things on their own.

  • Compliance Management

One of the daunting parts of payroll management has to be ensuring compliance. It is extremely hard to keep up with the changing laws and regulations, especially when you are stuck with a host of duties.

An efficient solution to this problem is investing in a payroll system with a compliance management feature. It not just avoids non-compliance but also sends reminders to HRs whenever they forget any important update.

  • Mobile Application

Last but not least, select a payroll management system that offers a mobile application as well.

Work from home and hybrid work models are a new reality and mobile accessibility is a must today.

It will help HRs to carry out several payroll tasks on the go and give employees access to several important documents.

What Are The Benefits of Payroll Management Systems?

Benefits of Payroll Management Systems

If you are lucky enough to end up with a payroll system with all the features we discussed earlier, you can enjoy the following benefits in the long run: 

  • Engaged Employees

In a traditional office, every employee will have one or another complaint related to payroll management in their organization.

However, when employees will receive their salary on time with direct deposit features and have the autonomy to do many things with ESS features, they will certainly be happier and more productive.

  • Saved Money

No employer likes to pay fines/penalties or get into legal trouble due to compliance issues. It is not as easy as it sounds. Expenses involved in compliance issues are huge.

Since payroll software ensures 100% compliance, employers can also be tension-free and save a lot of money.

Furthermore, payroll systems also cut down hiring costs as it takes care of almost everything.

  • Increased HR Efficiency

Another biggest benefit of payroll software is that it takes the whole payroll burden off HRs’ shoulders.

benefit of payroll software

When crucial tasks like employee management and compliance will be automated, HR managers will eventually have time and energy for other value-adding tasks.

They can even spend time upskilling themselves, which is just a dream for most HRs working with traditional tools.

  • Smooth Remote Work

As we already mentioned before, WFH and hybrid models are the future. So, it is the responsibility of every employer out there to empower HRs with payroll software.

Such systems will allow HRs to manage and process payroll anytime, anywhere, that too using any device. All they need will be a good internet connection.

  • Improved Bottom Line

All the aforementioned points will directly affect the bottom line of the organization.

For example, happy employees will take good care of customers and provide an excellent experience.

Similarly, HRs can invest their saved time in revenue-generating operations of the business.

In essence, businesses can enjoy more profit with a one-time investment in the right payroll management system.

What Are The Top Payroll Management Systems?

There are many systems in the market but here are the top ten payroll management software:

Top Payroll Management Systems

Wrapping Up

So, payroll management systems help enterprises to process payroll on autopilot. Also, such systems allow even mid-sized or smaller-sized firms to avail themselves of the benefits that have been traditionally out of reach.

So, do not wait any longer and embrace payroll automation asap!

FAQs

What is the importance of payroll management systems?

Payroll management systems help businesses to say goodbye to payroll challenges by automating the payroll process.

What are the uses of payroll management system?

Payroll management systems compute payroll, tax, deductions, bonuses, and more. It also sends reminders to HRs, generates salary slips automatically, and provides real-time analytics.

What is payroll management?

Payroll management is the process of systematically managing employees’ financial reports including salaries, bonuses, deductions, and much more.

Alpesh Vaghasiya

Alpesh Vaghasiya

The founder & CEO of Ultimate Business Systems Pvt. Ltd. (UBS), I'm on a mission to help small and medium-sized companies to grow to the next level of accomplishments. With a distinctive knowledge of authentic strategies and team-leading skills, my mission has always been to grow businesses digitally. The core mission of UBS is Connecting people, Optimizing the process, Enhancing performance.

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