It’s no secret that payroll errors can have negative impacts on otherwise successful businesses. Employees come to work with the expectation of receiving an accurate paycheck on-time. If pay day is frequently interrupted by mishaps and inaccuracy, your business is placing itself into a high-risk situation that may be tough to escape.
This article covers the impact of payroll inaccuracy and how the use of automation can mitigate payroll errors.
Time and Money Wasted
Miscalculated payroll stems from miscalculated data. If your business is managing employee hours manually, human error becomes part of the equation. Relying on inaccurate data leaves businesses to shell out unnecessary and costly payments for incorrect employee time and attendance records. The extra time and effort it takes to correct mistakes that result from error prone payroll processing is time that could be effective elsewhere. Records filled with payroll errors drain business productivity.
Loss of Employee Trust
When it comes to employee performance, payroll is a key player. According to TLNT.com, 70% of employees working at each of the top 4 most valuable firms in the US report that they “Don’t trust HR.”
Over time, frequent occurrence of payroll errors will start to define your business and can quickly bring harm to its reputation. Employees may become discouraged by the constant expectation of late and/or inaccurate paychecks. Many employees live paycheck to paycheck and rely on the accuracy of the weekly or bi-weekly check, over time, continued payroll errors put a large strain on the personal lives of the employee–– potentially causing them to look for jobs elsewhere. Former employees may spread word of poor payment execution, warning others. Current employees may inform new talent of the struggles and distrust they feel regarding the HR department and payroll processes. Proper payroll management is a key component of your company’s relationship with your employees.
Avoid Payroll Errors with Automation
Managing payroll is one of the most essential and challenging responsibilities for every business. Your payroll staff must always be up to date on all of the continuous changes in rules, regulations, complicated employee salary structures and compliance issues. And if you are a small business, these challenges can be monumental when manually processing payroll.
With an automated workforce management system, not only will all business processes be streamlined, but records are accurately verified and payroll errors are corrected prior to being sent to your payroll provider. The data collected through the workforce management system is stored within the secure cloud database. The cloud makes it easy to access information and trends that matter most to your business.
Most workforce management systems provide payroll integration. Payroll integration allows businesses to share secure and verifiable employee data with their payroll provider.
Integrated payroll systems ensures that information is reliable across the board for all systems – HR and Payroll. Since the process is automated and operates in real-time, managers can review and approve employee time for payroll processing with greater efficiency and accuracy. With mobile access, this process can be immediate.
VCS Intelligent Workforce Management
Visual Computer Solutions creates intelligent workforce management software that reinvents how you work and scales as your business grows. Compatible for all private businesses, government organizations and public safety agencies, VCS software simplifies employee scheduling, time & attendance, human resources and payroll for today’s modern workforce.
To learn more about our products, visit https://www.vcssoftware.com/solutions/
VCS provides public and private sectors with ultramodern workforce management tools that better manage their most complex workforce management needs and tedious business processes. Backed by 20 years of experience, VCS’ platform boasts industry-specific products and services, carefully crafted to make employee management, time & attendance, human resources, and payroll easier for the entire workforce.