The importance of accuracy, efficiency, and security within your payroll

The importance of accuracy, efficiency, and security within your payroll

The past year(s) has been difficult for many, but particularly payroll professionals across the UK. The introduction of the likes of the Coronavirus Job Retention Scheme (CJRS) during the pandemic made the pay process even more complicated.

Moving forward, a company’s payroll function is undoubtedly going to be under increased scrutiny and pressure as the UK continues to deal with rising living costs. 

External factors have influenced and will continue to influence the workload of payroll professionals, but the need for an accurate, efficient, and secure function is only further highlighted.

Achieving payroll accuracy and efficiency

Payroll is one of the most crucial elements of running a business, but it can also be one of the most complex. With 174 pieces of legislation directly affecting payroll, there is a lot to get to grips with.

The introduction of the General Data Protection Regulation (GDPR) in spring of 2018 brought more legislative headaches for employers. As such, a highly robust payroll provision is an essential business element.

Our payroll experts have pulled together a useful list to consider as part of standard operating procedure:

• Electronic Checklists – Record and check off all relevant payroll activity
• Checking – Standard checking to ensure exceptions and variances are reviewed
• Workload Management – Daily workload monitoring by managers to ensure critical activity is completed on schedule
• Reporting – Where appropriate, provision of reports for review with the opportunity to submit further changes to pay prior to provision of final reports
• Payroll Approval – As required, issue final payroll reports for approval prior to pay date
• Payroll Software – Use the right technology that aligns and interacts with other business systems

Keeping payroll data safe and secure

In relation to security best practice, the following internal processes should be considered:

• Risk and Control Awareness – Undertake staff training on how to identify and manage risk within payroll services
• Cloud-based Technology – Select the right technology. As more people work from home, a cloud-based platform can help safeguard against data breaches or loss
• Risk Assessment and Internal Controls – Regularly review current controls to improve the operating environment and manage non-compliance
• Business Continuity and Disaster Recovery – Have processes in place that ensure the payroll is always delivered on time and accurately
• Payroll Updates – Staff receive regular updates on statutory and legislative changes and also, where possible, attend in house and external payroll training sessions
• Client Records – Paper is a thing of the past – store records electronically with access restricted and reviewed on a regular basis considering GDPR requirements
• Confidentiality – Much like HR and finance, payroll must consider privacy and confidentiality. Payroll helps ensure the security of employee information
• Secure Electronic Data Exchange – To reduce costs and avoid loss of reporting or payslip information
• Policies and Procedures – Embed into the operation for key processes

We are here to help

At Azets, we have a dedicated payroll team who can ensure you pay your employees correctly and on time and remain compliant with the 174 pieces of legislation. Outsourcing your payroll to Azets gives you back time to focus on and grow your business. 

We’re proud of our robust and comprehensive processes and policies demonstrating our resilience and ability to adapt to unforeseen events. We agree requirements at the outset of any new assignment and a suitable schedule for data exchange. Continuity of service is key, and subsequently clients will be given a dedicated personal contact to liaise with. 

If you’d like to discuss payroll accuracy, efficiency or security, please get in touch with a member of our specialist payroll team.