How Can Employers Stop Payroll Errors?

Failing to stop payroll errors frustrates your personnel, creates hassles for your HR team, and can cost you significantly in unnecessary over-payment or penalties for compliance violations. In the past five years, business owners paid more than 1.2 billion in back wages due to payroll infractions.

For business owners who are presently handling payroll in-house and want to improve the accuracy of their procedures, these are the two most important steps you can take to reduce payroll errors:

1. Automate Employee Time and Attendance

Manual payroll methods continually present opportunities for inaccuracies—missed punches, deliberate time theft, unwitting miscalculations, failure to withhold the proper amounts, inaccurate PTO tracking, and data entry mistakes. But accuracy is not the only benefit of automation. It also saves time (and money) by allowing your HR team to be more productive. Automated timekeeping takes the human error out of the payroll equation.

2. Outsource Payroll

Take advantage of the know-how of a payroll service provider who has earned the trust of companies in your industry. Outsourcing will reduce your audit liability substantially and simplify HR operations at your company. Worried that your company can’t afford to outsource payroll? Consider the big picture. If you are currently cutting checks for personnel, computing withholding amounts, reconciling data, filing the required tax forms, and tracking PTO and overtime, how much time does this take you? What is that time worth?

Perhaps you have an HR manager handling all things payroll. How much do you pay them? Is this person a payroll specialist? Do they vigilantly keep up with all changes to the myriad laws that impact your organization? Do you have an effective document management system at your organization? These are critical questions for all employers to examine.

GTM’s cutting-edge payroll processing technology resides alongside the other core features of the software including human resources and time and attendance to simplify your processes. We make it easy to keep track of employee data, all critical functions are in one database, and our platform lives in the cloud, so you can access it anywhere at any time. Request a free quote today so you can get back to growing your business instead of worrying about payroll and HR.