5 Reasons Why Payroll Processing is Important: [Essay Example], 547 words GradesFixer
close
This essay has been submitted by a student. This is not an example of the work written by professional essay writers.

5 Reasons Why Payroll Processing is Important

downloadDownload printPrint

Pssst… we can write an original essay just for you.

Any subject. Any type of essay.

We’ll even meet a 3-hour deadline.

Get your price

121 writers online

blank-ico
Download PDF

Employees are considered the most important resource of the organisation. Thus companies spend copious amounts of time recruiting, training and maintaining sufficient employment for their business operations. One of the most important tasks thus is processing of their payroll. Employees need to be able to rely on being paid on a consistent basis without delays. Irrespective of the size of the organisation, payroll plays a huge role in maintaining the morale of employees to the financial stability of the company.

Typically processing of a payroll is time consuming and complex task. More so for smaller companies who do not have a dedicated person to manage their payroll. Bigger companies may have entire department dedicated to process payroll. Medium companies on the other hand may find it more efficient and cost effective to outsource their payroll needs.

Determine Compensation

Payroll shows an employee what his net worth is within the company. Every individual’s total compensation is built into payroll. This covers everything from their salary, benefits to bonuses, increments. Usually everyone has to go annual performance evaluations by their managers after which they are either given an increase in their salary or a bonus or both.

Increase Morale

Out of all the aspects of payroll, one of the most important is its impact on employee morale. If at any point of time payroll is late, employees may begin to question the company’s financial integrity. It may eventually lead to employees to start underperforming and be less engaged in their job if they feel it is not secure. They may also look for better opportunities and leave the company without prior warnings. Thus it is necessary that payroll be paid in a timely manner to keep employee morale high.

Maintain Company Reputation

Apart from all the financial obligations that the companies has towards its employees, they also have to ensure that all payroll activities adhere to the country’s tax obligations and comply with employment legislations. Efficiently being able to meet these tax obligations on time as well as upholding of legislative laws is a sure way to establish the organisation’s reputation as a stable employer. It is well proven to be a value-added branding proposition which helps to ultimately attract and retain the right pool of talent to the organisation.

Re-allocation of Resources

There are hundreds of manual tasks associated with payroll, which can be an extremely time-consuming and manual job. In addition it is mandatory that payroll be performed regularly every month. Thus many a times additional resources need to be employed to make sure that the accuracy and precision of payroll calculations is maintained.

It is for this very reason that companies these days tackle this issue by engaging a reliable payroll service provider. Their services allow for a more comprehensive data management and provides companies with the option to generate customised reports.

Payroll is responsible for connecting companies, their employees and other service providers that collect taxes on the sums they pay to their staff. Thus It is very crucial that payroll be precise every single time. This precision helps companies to become fully accountable to their partners in the payroll process and satisfies all obligations. And last but not the least, accurate and timely payroll saves companies the stress and hassle of having to backtrack and straighten out their accounting system when tax time arrives.

infoRemember: This is just a sample from a fellow student.

Your time is important. Let us write you an essay from scratch

100% plagiarism-free

Sources and citations are provided

Find Free Essays

We provide you with original essay samples, perfect formatting and styling

Cite this Essay

To export a reference to this article please select a referencing style below:

5 Reasons Why Payroll Processing is Important. (2018, December 17). GradesFixer. Retrieved March 6, 2021, from https://gradesfixer.com/free-essay-examples/5-reasons-why-payroll-processing-is-important/
“5 Reasons Why Payroll Processing is Important.” GradesFixer, 17 Dec. 2018, gradesfixer.com/free-essay-examples/5-reasons-why-payroll-processing-is-important/
5 Reasons Why Payroll Processing is Important. [online]. Available at: <https://gradesfixer.com/free-essay-examples/5-reasons-why-payroll-processing-is-important/> [Accessed 6 Mar. 2021].
5 Reasons Why Payroll Processing is Important [Internet]. GradesFixer. 2018 Dec 17 [cited 2021 Mar 6]. Available from: https://gradesfixer.com/free-essay-examples/5-reasons-why-payroll-processing-is-important/
copy to clipboard
close

Sorry, copying is not allowed on our website. If you’d like this or any other sample, we’ll happily email it to you.

    By clicking “Send”, you agree to our Terms of service and Privacy statement. We will occasionally send you account related emails.

    close

    Attention! this essay is not unique. You can get 100% plagiarism FREE essay in 30sec

    Recieve 100% plagiarism-Free paper just for 4.99$ on email
    get unique paper
    *Public papers are open and may contain not unique content
    download public sample
    close

    Sorry, we cannot unicalize this essay. You can order Unique paper and our professionals Rewrite it for you

    close

    Thanks!

    Your essay sample has been sent.

    Want us to write one just for you? We can custom edit this essay into an original, 100% plagiarism free essay.

    thanks-icon Order now
    boy

    Hi there!

    Are you interested in getting a customized paper?

    Check it out!
    Having trouble finding the perfect essay? We’ve got you covered. Hire a writer

    GradesFixer.com uses cookies. By continuing we’ll assume you board with our cookie policy.

    exit-popup-close

    Haven't found the right essay?

    Get an expert to write you the one you need!

    exit-popup-print

    Professional writers and researchers

    exit-popup-quotes

    Sources and citation are provided

    exit-popup-clock

    3 hour delivery

    exit-popup-persone