7 Time-Saving Tips for Smooth Payroll Management in Your Business

Payroll management

Business owners are responsible for paying employees correctly and on time. This can be a complex and time-consuming process, especially if you have several technicians on your payroll. However, there are simple steps you can take to make payroll management much more efficient:

Maintain Accurate Employee Records

Accurate information is important when dealing with payroll. Create an up-to-date database of your technicians’ contact information, information, job title, hourly rates, benefits, and workload to avoid potential errors when processing payroll.

Keep Current With Tax Laws

The rules and regulations governing payroll in Australia can be complicated. If you’re not aware of current regulations, you could be subject to hefty penalties. Keep abreast of any updates to state or territory payroll tax laws and the Federal Government’s Fair Work Act. You should also have a clear understanding of superannuation contributions and deadlines. Currently, the minimum amount is 9.5% of an employee’s ordinary time earnings.

Streamline Data Entry and Time Tracking

It can be difficult to get an accurate record of how many hours technicians have worked. More often than not, the hours worked are roughly estimated, which can lead to over- or underpayment.

With a digital timesheet management system, technicians can easily track the time they spend on a job. All they have to do is click start when they begin working, hit pause when taking breaks, and select stop when they finish. The system will then generate a report complete with details on breaks, travel time, and task items completed. From there, you can quickly and easily calculate how much each technician should be paid.

Reduce Manual Payroll Processes

Manually managing payroll takes a lot of time. You have to enter each technician’s timesheet into the system, verify the job done, and process the payments. If the data or calculations are wrong, it can cause delayed payments and incorrect amounts being paid to your technicians. In some cases, you could be overpaying for work that wasn’t completed, which is detrimental for your bottom line.

Payroll automation is the best way to avoid these issues. With payroll automation, you can feed timesheets directly into an accounting database like Xero without additional data entry. The accounting software then calculates the billable hours, subtracts deductions and tax withholding, and approves payments. This entire process can be completed with just a few clicks with zero errors, saving you a significant amount of time and money.

Schedule Payroll

One of the best ways to ensure timely and accurate payments is to schedule your pay cycle in advance. Set a specific day in the month or week when you will process payroll. Then, create an internal schedule composed of soft deadlines for when employees need to submit their timesheets and any other relevant documentation. This will give you ample time to get all the necessary documentation and review reports for payroll calculations.

You can then use payroll automation systems to issue direct deposit payments and pay slips to your technicians on a scheduled pay date. This allows you to avoid any delays that could frustrate and demoralise your workforce.

Be Transparent

Open communication is key to maintaining a happy and productive workforce. When it comes to payroll, technicians need to know when they will be paid, how payment is determined, and what taxes and deductions will be taken out of their paycheck.

Top job management systems typically feature technician portals, where users can easily check the status of their payments. These portals are great for payroll FAQs and announcements regarding pay cycle changes. By being upfront with your workforce, you can avoid any issues or confusion down the line.

Choose the Right Payroll Software

While payroll automation can save you a lot of time, it’s important to choose the right software for your business. Make sure to do your research and compare different payroll software programs to find the one that fits your specific needs.

WorkBuddy, in particular, offers a comprehensive and seamless payroll automation solution for field service, asset maintenance, and facilities management businesses. It features intuitive timesheet management, technician portals, and automatic billable hour calculations. Plus, it has tight integrations with Xero accounting software, where you can easily classify salary levels, automate superannuation contributions, schedule pay cycles, and more.

Payroll management doesn’t have to be a headache. Book a personalised demo today to see how WorkBuddy makes payroll a breeze.

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