What is Payroll Processing?
‘Payroll Processing’ refers to the processing of the salaries of all the employees in an organization. It includes the functions required to arrive at the ‘net salary’ of the employee and disburse the same to every employee.
However, it involves multiple other functions too apart from the salary calculations. It includes coming up with the various policies required to disburse the salaries which takes into account the deduction of taxes and well as the leaves taken and other factors in order to arrive at the final salary figure.
Even after arriving at the final net pay figure, one needs to cross check whether it is statutory compliant, make sure that the amount is disbursed accurately, and generate reports based on it