The purpose of this report is to discuss the effectiveness of the internal procedures used to administrate the payroll function and provide information to other stakeholders within the payroll team at EC Harris. EC Harris has recently acquired three companies which have led to the payroll numbers increasing and changes to the procedures and reports produced.…
This sets a new trend in the business world, where every step is taken to reduce operating costs and maximize profit. The three major benefits that IBM hopes to realize with this partnership are an increase in professional services for their employees, a decrease in costs associated with not having to manage a health care and pension program for 800,000 people, and an increase in new customers by offering its outsourcing HR skills to other businesses. Of these the biggest benefit is that IBM Global Services and Fidelity announced that they are forming a relationship to market HR payroll and benefits outsourcing services. Areas of joint cooperation will include providing clients with consulting services around evaluating and implementing HR and benefits outsourcing solutions.…
For an organization which is considering replacing its internal payroll system with a payroll outsourcing service, the direct revenue enhancements and cost reductions for a company which is into internal payroll system may include increase in productivity of the company’s employees since they can now focus on doing more productive things, and improve the profitability. For instance, this holds true for small businesses with employee strength of 10-20. Moreover, the other direct cost reduction could be avoiding IRS Penalties. According to the IRS, 40.00% of small businesses pay an average penalty of US$845.00 per year for late or incorrect filings and payments. Outsourcing of payroll may help the company to avoid the penalty notices. The other direct revenue enhancements could be reduction on transaction costs. The outsourcing company may enable the employees to claim reimbursement statements and other things online. The indirect revenue enhancements could be building brand in the other countries. For instance, the outsourced company features its partner’s Logo Branding which enables the company to display the company name, and logo in all employee and client access pages. The other indirect cost reduction could be the use of best technology. This holds very true for small businesses which don’t have technology strengths such as latest version of payroll software and the most recent tax table installed on their computer.…
The payroll chart clearly defines the process and procedures that will allow for the proper internal controls and risk management. The duties are properly assigned to establish separation of duties, which is a good way of deterring fraud and preventative controls are established to avoid costly human errors. Segregation of duties is established by having four different individuals assigned to different duties for the payroll avoiding giving full control to one person. The individuals who have different roles are the employees, managers, payroll administrator and the outsourced payroll company. Outsourcing payroll is also a preventative control in avoiding the high costs that can incur due to late filings or tax errors, which would be the liability of the outsourced payroll company.…
The Payroll Project will provide you with extended practice in keeping payroll records and accounting for payroll transactions. Your completion of this project involves an application of the information learned in the preceding chapters. The work provided resembles that prevailing in the office of every employer in the United States subject to the provisions of the Federal Wage and Hour Law, income tax withholding laws, social security laws, and unemployment compensation laws. Even though most payroll systems now employ computers, it is important that the practitioner understand the operations performed by the computer. If your assignment involves the use of Appendix A (computerized option) to complete this project, it is suggested that you do at least one of the…
The benefits for the organization to replace its internal payroll system with a payroll outsourcing…
Wray, Grover, "The Role of Human Resources in Successful Outsourcing," Employment Relations Today, Spring 1996, Vol. 23, No. 1, 17-23. Companies are increasingly outsourcing noncore activities to world-class providers that make the activities their core competencies. HR’s role in the outsourcing of any business process and the best management practices that both the provider and client can implement to ensure a successful transition are discussed.…
Evaluate the costs and benefits of outsourcing each task you are considering. This means conducting research on what a qualified contractor will charge to effectively perform the task on a regular basis. Then, you need to balance this cost against the impact the task has on your HR department. For example, if your HR department staffs two payroll specialists at a total cost of $100,000 per year in salaries, taxes, and benefits, this may be a function you can outsource if you can outsource for $50,000 per year.…
For this case study, I have chosen to use ADP (automated data processing) to base this application study on. ADP offers human capital management solutions including payroll services, human resource management, benefits administration, talent management, time and attendance, HR BPO, retirement services, and insurance services for small, mid-size, and large businesses “ADP is the leading payroll processing and human resources benefit outsourcing company, reported its earnings for the third quarter…
Morgan is handling all payroll with an Excel spreadsheet on his computer. This process severely needs to be revamped and either out-sourced or automated. By automating or out-sourcing the payroll process, employees would be able to receive their pay via direct deposit or a check mailed to their address on file. This would free up a considerable amount of Mr. Morgan’s time. With this type of HRIS employees could clock in and out, this would all download to a system that Mr. Morgan is able to see, but that he doesn’t have to calculate all employee’s pay. This would help take out some of the risk factor of human error when determining…
When your small business chooses new payroll software, the process of implementing the new system can be overwhelming to many business owners. The payroll services experts at Simplified Tax Inc in Sparta, WI, understand that implementing a payroll system requires extensive preparation and patience. Their tax experts explain the process of creating a seamless payroll process.…
As the change in the payroll system is a technological change in IT (Simnett, R., pg 311), there is an increase in inherent risk within several areas. The change in IT systems may lead to errors that may occur through the conversion of systems, the information from the old system may not be compatible with the new system regardless of how similar the systems may be or the new system may not work as management intended or it may be unreliable. Disregarding the fact that the two systems may be similar, the information given states that the new system has been streamlined which may increase the inherent risk as the performance of the new system is unknown. Furthermore, due to the new change in systems, there is now an issue regarding whether the staff are competent to run the new payroll system which gives rise to another inherent risk for the external audits to consider.…
The current system outsources payroll processing, which costs the company more than $8,000. Transferring data in the current system involves multiple parties. For example, an employee’s supervisor writes a written submission of changes…
This Project Is entitled as “WordPress Using Advanced Payroll and Employee Management System” is a online based web application designed to help in quality assurance of the project. In this project developed using Advanced PHP and MySQL mainly database and informations schema are managed by SQL dabase. The Front end PHP communicated with backend “MySQL”. All these are the open source that can be easily got from the internet.…
Nowadays some company using a Computerized Payroll System so that they can work much easier. All establishment are becoming modernized, they use modern technologies to make their transaction fast, easy, and accurate in order to avoid waste of time and for the sake of safety and security. Payroll is one of the difficult work things to do, because they are the one handling the reporting, salary for the employee, wages, bonuses, deduction and depositing payroll taxes to the appropriate agency in an accurate and timely manner is vital to the businesses. Late and inaccurate deposits may result in penalties and interest charges.…