Managing the paying of your employees isn’t easy. A small organization can manage it manually, but it can be a hectic and time-consuming task for bigger ones. This is where a dedicated payroll management system comes in handy.
While there are many on the market, choosing the right one can be difficult. Understanding what to look for takes the guesswork out of selecting the best payroll software for your business.
4 Key Features of an Effective Payroll Management System
Organizations of all sizes are adopting reliable software systems to automate employee leave calculations, deductions, and payments. These software applications usually have many features, but let’s explore the ones that will benefit your business and employees the most.
1. Accommodating Multiple Methods of Payment
When it comes to getting your salary, do you prefer cash, cheque or bank transfer?
One key feature to look for in payroll management software is multiple payment options. Even though regular bank transfers are the most common, convenient and popular method of employee payment, it is definitely not the only one. Both full-time employees and freelancers appreciate it when you’re able to accommodate their preferred mode of payment.
2. Employee Notifications
Most employees want to know when their salary will hit their bank account. Since they could be anywhere when the payment is made, they’ll appreciate instant notifications linked to their mobile phones alerting them to the amount deposited.
3. Automated Features
From leave tracking to overtime records, employees can manage the payroll process themselves. This is a simple, safe and convenient option for both employees and employers. Here’s how it works.
Employees can track their own leaves using an automated payroll system. This feature helps them keep track of leaves and eliminates human error when calculating their salary. Employees can easily check their leave balance and apply for leave, allowing HR to focus on other tasks.
Updating employee details is an important but time-consuming process. With the help of self-management payroll software, employees can easily update their own personal details instead of leaving the job to human resources.
This enables employees to self-manage and log loans if they need advance payments.
Payroll management software can eliminate errors (and time) associated with HR having to track employee attendance and estimate overtime. Using self-service software with an ‘overtime calculations’ feature allows employees to easily record work hours on their smartphones and accurately calculate overtime.
Allowing employees to quickly access their own salary statements and leave records without bothering HR allows the latter more time to focus on other strategic activities.
4. Flexible Payment Scheduling
Businesses require flexible payment scheduling, but many payroll software applications don’t have this feature. An organization staffed by permanent full-time employees can set fixed salary dates, but business is changing. Today, many organizations work with freelancers and contract employees, so payment scheduling should be flexible enough to accommodate different types and times of payment. As a smart business owner, your payroll system should offer complete flexibility in terms of the contract, freelancer, and deadline payments, without affecting full-time employee payments.
There are many benefits to choosing the right payroll software for your business. Aside from ensuring employee satisfaction and enhanced productivity, it can make the lives of your human resource professionals a lot easier. Consider the above-mentioned factors and make a sensible choice that’s beneficial to everyone in your organization.