How Software Helps You Simplify Your Payroll

Advances in technology and software development have made it possible to simplify payroll processes and maximize business efficiency. Using software can help reduce your employees’ workload and reduce the likelihood of human error when it comes to paying employees correctly and on time.

You may wonder how this software works, and how it can help streamline payroll for your business. We’ll show you what it can do, as well as how it benefits your workers and your bottom line.

How the Technology Works

Automated payroll systems draw data from several sources to create the payroll register. These smart-systems:

  • Check that you have all the requisite data 
  • Alert administrators about missing information
  • Calculate salary according to base rates
  • Make adjustments for overtime and unpaid leave as applicable
  • Calculate deductions such as tax and pension
  • Create a payroll report
  • Send the payroll report to the administrator for authorization
  • Forward the instructions for payment once approved
  • Create payslips for employees
  • Save data to the appropriate accounts in the accounting software
  • Create reports for filing with the IRS and for business purposes

Finding the Right Payroll System for Your Business

It’s important to choose the right blend of features and functionality for your business. Consider these components when you’re trying to decide what payroll software works for you: 

  • Compatibility
  • Intuitive System Interface
  • Scalability
  • Compliance
  • Time-Saving Features
  • Security

Compatibility

Look at a package that will work with the systems you already have. Choosing an integrated HCM and payroll system can help ensure you’ll be all set to get this system up and running. Ideally, this system should be able to connect with your EHR and General Ledger as well. 

Compatibility With Your Accounting System 

You want a system that will integrate with your current accounting software. Doing so saves you the time and effort of having to enter the data twice or worry about formatting errors. 

The Exception to the Rule

If your current accounting software no longer works for you, consider switching to something new. You should also get new software if the developer no longer supports your previous version.

Why Is Unsupported Software Problematic? 

Performance issues aside, unsupported software creates a security risk. Small- to medium-sized businesses are prime targets for cybercriminals. 

Cybercriminals look for bugs or weak security systems to exploit in outdated software. If the version is no longer supported, the developer won’t create a patch for it, and you’ll become a prime target for a breach. 

Intuitive System Interface

Finding a product that offers full value for your payroll operations means choosing software that’s intuitive and easy to use. An HR and Payroll platform is something every employee will need to use for submitting timesheets and viewing paystubs, so you’ll want to find software that’s easy for your entire organization to adopt.

Look for a click and point system that lays out the options clearly and simply. The more user-friendly the system, the less room it has for error. 

Scalability

Look for a cloud-based system for easy scalability. Cloud-based systems allow you to increase or decrease the number of employees as needed. 

A scalable solution also makes payroll easier if your business expands in size rapidly or unexpectedly.

Compliance

Not complying with state and federal payroll legislation will get you in trouble. Check that the software is designed to help your organization maintain compliance with federal and state laws before you purchase it for your business. 

Time-Saving Features

Some developers load their software with extra features that you don’t need. Additional features add to the cost and may affect performance.

Before you purchase software to simplify payroll and HR management, make sure it has all features that will help you do that.

Security

Consider how well the software and the company that creates it will protect your information. Do they use dedicated or shared servers? What kind of encryption do they use? 

The more seriously they take their security, the safer you can feel about how they protect your information. 

Benefits for Your Business

Businesses choose to use payroll software for many reasons, including:

  • Cost-Effectiveness
  • Time Saved
  • No Transcription Errors
  • Fewer Misunderstandings
  • Employee Privacy
  • Higher Job Satisfaction

Cost-Effectiveness

Payroll software costs less per month than paying a human to do the job. The speed and accuracy that this software provides becomes increasingly valuable the larger and more complex your organization becomes.

Time Saved

Payroll software can pull timesheet data and automatically apply any shift differentials and secondary pay rates to save ample time on these complex calculations. Automation enables your organization to process vast amounts of data in seconds, completing your payroll in minutes. 

No Transcription Errors

Humans make mistakes, which can have expensive consequences for your company. When it comes to employee paychecks, there simply is no room for error. Automated payroll systems help ensure both pay accuracy and regulatory compliance.

Fewer Misunderstandings

There are no misunderstandings about how to interpret timesheets with payroll software. Employees input their timesheets and reimbursement claims. Then, the system works out the payment based on the same criteria, delivering accurate and consistent results every time.

Employee Privacy

Software gives you better control over the information because it’s collated automatically. Your employees enter their timesheets into the system, and their supervisor authorizes the payment. Other parties can’t access the system, increasing employee privacy. 

Higher Job Satisfaction

By automating payroll, you save employees hours of collating statistics and calculating deductions. You also ensure that your employees get paid correctly, and on time, so they don’t have to worry about their paycheck.

Limits Employee Changes

These systems have built-in safeguards to prevent unauthorized access. The administrator may limit the information that employees can change. For example, employees may be allowed to change their address and direct deposit information, while needing approval for other aspects of their personnel file. 

Automated Timesheets Simplify Things

The software often allows for timesheets to be recorded automatically. Employees must sign into the system to activate the time stamp. The company may incorporate IP address requirements or geofencing to confirm that the employee is only able to sign in from approved locations - whether that’s in the office or out in the field.

Benefits for Your Employees

Payroll technology makes life easier for everyone. Employees benefit with:

  • More control of personal information
  • Simpler administrative processes
  • Easy access to statistics
  • Better accuracy in results

More Control Of Personal Information

Before this type of technology, updating personal information meant filling out forms. Employees would then have to wait for Human Resources to act on the change, which often meant following up several times.

The self-service option of modern software allows employees to make the changes themselves using an immediate and paperless process. This streamlined process has a direct effect on payments and other benefits.

Simpler Administrative Processes

Faster Leave Applications 

The system updates the staff leave calendar automatically. An employee can input their dates and send their request. 

The supervisor then gets an alert to check the application. They can also view all leave requests in one central location.

This system makes it easy to manage staff capacity. Applications don’t get lost under a mountain of paperwork, and supervisors can keep track of who applied first. Employees may also apply for sick leave and upload doctor’s notes hassle-free. 

Simple Expense Claims

Employees may upload their claims using their smartphones or tablets. They confirm the expense by taking a picture of the receipt, saving time, and allowing for faster reimbursement. 

Easy Access to Statistics and Pay Receipts

Employees can view their available leave, salary, and deductions paid. If they lose their pay stub, they can download a copy and access their information with their smartphones from anywhere. 

Employees can also access the system to check their timesheet approval status, reducing their time spent contacting HR.

Better Accuracy in Results 

Employees benefit when the software eliminates miscalculations due to transcription errors or delays in overtime or expense reimbursement. 

Employees don’t have to wait for someone to input and collate the data. The system does the work in a fraction of the time it would take a human employee.

What About Part-Time Employees? 

You can set different timelines and requirements for payments for part-time employees as well as full-time equivalents that may split their time between various departments, locations, or funding sources.

It’s easy to set up the employee ahead of time, and then pay them as required. You simply authorize the payments and send them through.

Are There Any Safeguards Against Double Payments and Errors? 

Once you submit the payroll, it’s marked as paid. If you try to resubmit it, the system will alert you that it has been paid. 

The payroll report provides a preview that makes it easy to check the list for any anomalies. In fact, our software uses advanced analytics to compare your current payroll to previous payrolls to help identify any anomalies that may need your attention. You may make changes at any time before you authorize the final payment.

Why Not Use Free Payroll Software? 

Free payroll software has limited applications, and it’s often insufficient for health and human services organizations that have complex operations and payroll needs. Free software may be able to calculate basic salaries for a limited number of employees, but it alls short when it comes to running reports or handling complex pay scenarios. 

DATIS offers a cost-effective and customizable solution that ensures your payroll will be processed easily and efficiently every time.

Find Out How DATIS Can Simplify Payroll Processes With a Free Demo

Our software solution speaks for itself. Schedule your free custom demonstration with DATIS to see how our software solution meets your organizational needs. Our consultants will answer any questions you may have. 

Request a demo or contact us today at 877-386-1355 to find out how we can simplify payroll for your business today. 

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