an amazing techniques to cut business costs via payroll automation
With the invention of modern technologies and software systems, access to information is limitless and completing tasks requires little brainwork.
In our digital and globalized economy, automation plays a key role to an organisation’s success.
Automation in business is the use of technology to execute recurring tasks where manual effort is replaced, this is done to minimize cost, increased effectiveness and efficiency.
Automation in business provides for clear accountability, customizable notifications to keep you alerted and updated with changes and modifications.
Automation remains an overwhelming and tremendous goal to both large and small scale businesses with it’s improved accountability, transparency and accurate data procession which could be accessed anytime.
With automation every details of a particular process is properly recorded and the information can be presented to demonstrate compliance during internal audits which helps find inefficiencies, protect the business from irregularities and maintain an accurate account of historical data.
Though the time, and financial expenditures utilized to introduce automated payroll systems to your business might be quite expensive but the benefits derived from it can never be overemphasized.
Here are some functions you can automate in your business.
- Email and Push notification
- Help and support
- Sales and Orders
- Time and attendance tracking
- Invoicing, etc
However our focus on this article would be centered on automating payroll systems in your business, it’s benefits and how it saves and cuts costs in your business.
With the high level and growing trend of computerization and computation of payroll systems in growing firms in the country,
Automated payroll facilitates planning, aids budgeting, monitor monthly payment of worker’s wages, ensures database integrity, facilitates easy storage, updating and retrieving of personnel records for administrative processess.
Automated payroll performs all manners of cash transactions and payments ranging from the basic salaries to more complex features like overtime,
reporting of payroll taxes, commissions, bonuses, wage deductions, etc, thus saving a tremendous amount of time and mitigation of errors.
Automated Payroll systems captures all payroll processes for small, medium and large scale businesses as it makes it more faster, smarter and more flexibly.
When a workforce grows in size, keeping track of work hours and timely paychecks for all the employees in your business could be challenging and tedious.
With the introduction of the automated payroll management systems to your business helps eliminate these challenges.
Benefits Of Automated Payroll Systems in Your Business
HUMAN ERRORS ARE COMPLETELY REDUCED –
Human errors are bound to often occur in the conventional manual payroll method due to the excessive calculations involved in
the process which amounts to devastating losses as employees are overpaid due to these errors and this might lead to decreased productivity which affects the business.
Automated payroll systems completely eradicates such errors and accurately transfers all the data into the software increasing efficiency and saves the business a lot of funds.
SAVES A GREAT LOT OF TIME
— The manual Payroll is usually labour intensive and time consuming due to the amount of time involved, with an automated system ,
information like employee’s work hours are effortlessly calculated as the system can collect and run payroll records saving lots of payroll processing time.
SECURED DATA –
There is high risk of loss of data when using the manual payroll sheets of which the resultant effect could be delays in payment of employees’ wages.
In an automated payroll systems, the processes are effective and time consuming.
How Payroll Automation Can Cut Business Cost
Statistics culled from the quarterly Automation Confidence Survey documented that about 44% of employers confirmed that the automated payroll saved their business money, time and also facilitated them to accomplish more with few resources available.
Small and medium size businesses adopted automation technology due to it’s time and money saving benefits which tremendously supported their small business survival.
With the introduction of automated payroll, the Federal Government of Nigeria saved 165 billion naira annually.
EASED TAX DEDUCTIONS
The mandatory and complicated tax rules and regulations that changes frequently makes it more arduous to calculate manually, using the manual payroll method to manage and keep track of these changes can be time consuming and incredibly costly.
The automated payroll systems helps keep tracks of the trends and updates in tax policies and regulations. Tax rates are coded into the system and accurately calculate
the witholding tax for each of the employees which immensely eliminates errors such as payment of duplicate charges.
Thus automated payroll systems simplifies tax filing bringing sooth and confidence to the employer that the tax filings are accurate and timely.
Automation Reduces Payroll Processing Costs
The time and cost associated with the error proned manual payroll systems in maintaining accurate time sheets, calculating pay rates,
overtime, paid and unpaid leave and a host of other factors paves the way for automated payroll systems as it reduces the costs and bureaucracies involved which much saved when errors are mitigated.
It is also a great time saver for the personnel in charge of the payroll processes. Thus with the automated payroll system the paperless payroll systems becomes obsolete.
Reduction In Labour Cost
Automation reduces the time and number of employees who spend time and much tasks in the payroll process.
More employers and business owners are adopting the idea of automation as the way of reducing and cutting down on workload so as to mitigate labour cost which is regarded as a viable option to increase profit.
Automation facilitates reduction of employee hours and through it’s quick and effective method there is then no need for redundant employees,
thus saving a significant amount of money as we are all aware that employees’ wages are one of the enormous expenses that employers face each month.
OMISSION OF ERRORS
Errors could be so fatal and devastating if payroll systems are not processed meticulously and could cost the business shattering losses as data, figures and amounts could be inflated unconsciously due to human flaws.
With the introduction of automation to payroll systems these risks are completely salvaged as it processes data accurately and void of errors.
Automation Assists in Financial Planning And budget for Both The Employer And The Employee
An automated payroll process allows funds to go into the payroll account allowing employers to budget more effectively.