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Payroll Software in India: Why manual payroll is inefficient?

Payroll Software in India: Why manual payroll is inefficient?

Payroll management is often considered that one task that irks HRs the most. It not only demands a lot of auditing but also a lot of compliance with the statewide rules, regulations. Even a misplacement of zero accounts for a gross loss. As per a recent study by the IRS, 33% of employers face loss in millions because of the payroll errors alone in India. The causes of these errors may be many but the root cause has to be one- NOT USING A CLOUD PAYROLL SOFTWARE in India. Here are some ways in which the in house manual payroll management is ruining your business by being inefficient. 

1. Administrative burden

Payroll brings with itself ounces of the administrative burden. When a company has no online software for automating payroll the data input, calculations, collections and transfers everything has to be done by humans- HR staff. Doing it all does get tricky and lengthy in contrast to using Payroll software. Because when you use payroll software, the HR staff needs to click and get the work done. 

2. Incompatible software

When you start using software for automating just one small payroll task or get 3 different tools to manage 3 different tasks related to payroll then it becomes equally or even more inefficient. This may even consume a lot of time of the HR. On the other hand, when you get a robust consolidated HR and payroll software in India, the HRs have time with them to invest in other important HR tasks like engagement, attrition and more. 

3. Organizational issues

This is in continuation with the previous point. Payroll requires a lot of organisation of data. So, keeping a log of employee data, payroll sheets and other documents related to payroll manually on paper becomes very tough and archaic. There is no space for inefficiency when employees are using Online HR software that cuts the need for paper usage to zero and keeps the documentation safe and assembled online.  

4. Tracking employee absence

It is hard to keep a tab on the movement of employees in your office especially when the headcount in continuing to grow. Getting it done manually, using biometric or by creating timesheets without keeping in sync the payroll software also makes it tough for the company to track absences, and pay them accordingly on time. However, if you use payroll software in India or abroad, you can get rid of this issue. The payroll for every employee would then be calculated accordingly. 

5. Compliance issues

Compliance is one of the many things that delay payroll processing or increases the chances of it being erroneous. If even a slight error is made the repercussions can be very costly and draining for the company. This problem can also be solved if good payroll management software is implemented in the company. The software makes sure you are in compliance with the state employment laws no matter how many states you are using the single software for. A diagnostic check for any disparity is also run by most of the HR software to make sure no error is left. 

Tax laws, especially in India, are quite intricate. If you want to run your business smoothly and not suffer losses due to a minute error in payroll then you must get an HR software. It will clearly help you save a lot of time and money. 

So, if you have not deployed a payroll software yet, you must get one. Treat it as an investment and not an expenditure. Because of this, you will be able to focus on so many other aspects to grow your business. 

Now, if you are facing any trouble in finding payroll software, make sure you start looking for references or search on the internet for it. Research, make a list, take demos, compare and then invest in the HR software that fits your budget and fulfils your requirements. 

Author Biography.


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