Today, automation is enabling employees to give their time to more valuable tasks by automating repetitive and time-consuming business processes. With the availability of cloud-based solutions, even startups and other small entities can get access to these automation tools.
In this article, we will discuss how you can automate the payroll system of your business based in the Philippines.
Advantages of deploying an automated payroll system
Online spreadsheets are commonly used for computation in the Philippines. However, it is also true that the country’s labor and tax rules are complex and evolving fast. In such a scenario, an automated payroll system from a reputable software solutions provider like Ramco systems can bullet-proof all your payroll calculations.
Takes less time
An automated payroll system can help in processing the monthly or semi-monthly payrolls in a matter of minutes. With this system, there is no longer a need to haggle with complex spreadsheets or prepare and send the payslips manually. All of this would leave the employer with some strategic time on hand for other important processes.
Better data security and privacy
Manual data processing can be detrimental to your data security and privacy. On the other hand, a cloud-based payroll solution will ensure effective data security by providing the following benefits:
- control over data collected, shared, and used with multi-level access and approval
- data protection against external attackers or insiders
- proper system and data backups
Better employee satisfaction
With an automated payroll system, employees receive up-to-date information on various aspects. This is because the system has a clear and intuitive workflow. Moreover, it has a portal which contains all payslips and other important documents.
Better integration of other processes
The features of cloud payroll systems vary across systems. However, the advanced ones allow you to interlink certain business processes. These include the following.
- Payroll accounting entries
- HR processes like Recruitment, Appraisals, 201 file, Memos, etc.
- Performance monitoring of projects or business segments
- Invoicing during billable hours
How to make the transition
Configure the system and set it up
This is an important step because, for the payroll system to be effective, the system and the internal policies of your company (payroll groups, payroll cut-offs, leave policy, etc.) should match.
Effective payroll solutions are configurable and usually fit most of your policies. However, in some cases, you may have to make some adjustments to your internal policies, or your solution provider may have to customize the system, which can be easily done if you choose a reputable service provider like Ramco Systems.
The next step is to import the year-to-date payroll data into your new system. This will ensure that all the payslips sent to your employees have the right year-to-date figures, further ensuring that your payroll annualization is done smoothly.
It is highly recommended to do parallel runs for at least two payroll cycles to validate new automated payroll system’s computations. In this step, you’ll realize that your previous payroll solution was inefficient and wasn’t computing payroll correctly.
Once your new payroll system if fully validated, you can run the system live and leverage the benefit of your automated solution.
Some current payroll offers in Philippines
In Philippines, you can get your payroll processed by an automated system and the option you choose will depend on what your needs and resources are.
- Run payroll yourself
Some companies may opt for automation and cloud tech but still want to be in charge of their payroll system. This requires a longer training phase and the cost may vary depending on the solution provider, the number of employees and your specific requirements.
- Outsource payroll
Companies, like startups and SMEs for instance need to ensure that they focus on their business and not waste time managing payroll as it can be easily outsourced to expert service providers like Ramco Systems at a reasonably affordable price. Even the set-up fee is minimal (though the fee may vary according to the business or scope of the project).
Now that you know how you can easily automate the payroll of your business based in the Philippines or any other country, get going with the process right away.