Payroll software helps you to calculate bonus, Provident fund, etc very easily and efficiently. When deductions of a certain employee exceeds earning resulting in negative salary, the software can be set-up in a manner that it can give priority to deductions till the salary is not negative. It provides complete income tax system, which includes form 16, form 24, etc. This system computes the estimation income of an employee based on income of current month. Data from the payroll can be ported to any financial accounting system. Arrears Module refers to the idea of pre-dated increments of employees. This module means salaries of previous month can be re-computed after taking into effect the increment compared to actual salary paid in that month. An aspect behind it is to calculate incremented salary in that particular month and not of current month. Payroll management is a complex function that requires omprehensive, flexible, software that fit the way you do business. Companies find that online payroll is an employee benefit that makes it easier for everyone.
Points Of Payroll Software:
This system has a compact field definer, which can store any number and type of employee related information like Experience, Blood group, Site, Designation, P.F. Number, ESIC Number, etc. You can practically every number of an employee like his, Phone, fax, Pager, Shoes, Apron number, Mobile number etc. for which other wise a separate file has to maintained.
Loan Accounting And Leave Accounting:
This module allows all types of Loan accounting systems to be maintained. This includes Loans without interest. Loan with interest, with both loan and installment deducted every month. Loan with interest, but loan interest is not deducted immediately. It can be carried forward into a special deduction head, which accumulates automatically. The deduction of loan interest may be after deduction of principal payment. Incentive calculations. Incentives may be point based or production based. They may also be based on company department or performance based. It can also keep a track of OT calculations. Further it can be configured to maintain a single or a double OT system based on the requirement. In addition, it maintains the leave records and keeps the track of P. L., S.L. and other leaves which are user-defined. At the end of the year, it can calculate balance leave encashment details.
Arrears Module Along With Priority Calculations And Short Recovery:
This refers to the phenomenon of "pre-dated" increments of employees. This module means salaries of previous month can be re-computed after taking into effect the increment compared to actual salary paid in that month. An important aspect about arrears is that the incremented salary has to be computed as per the logic prevailing in that particular month and not of current month.
Priority Calculations And Short Recovery:
This is to handle negative salary. When deductions of a certain employee exceeds earning resulting in negative salary, the software can be set-up in a manner that it can give priority to deductions till the salary is not negative. The values can be carried forward to the next month and so on. Technically, short recovered in the following month.
Income Tax Module:
This module caters to one of the most complicated tasks in a payroll software based on the investment an employee makes it computes the exemption and posts it back to the payroll system. The only data to be entered is investment declaration.
Porting Data From ATR:
Data can be ported from any Automatic Time recorder provided a consolidated number of days-worked information is provided by the ATR. Most of the ATR provide this information but there are few systems which do not provide this data.