3 solutions for payroll management
This article was updated in October 2018.
Managing payroll for the human resources manager can quickly become a Chinese puzzle. It's not just a matter of drawing up the document, it's also a matter of making the preliminary calculations in compliance with legislation, then declaring and paying the corresponding charges. Especially since the simplified payslip is mandatory for all small and large companies, SMEs, SMIs, and has been since January 1, 2018. You can choose between 2 options for managing payroll: in-house, or outsourced. But have you considered using online payroll software to meet all your payroll obligations with certainty?
Let's take a look at how IT tools can simplify the monthly production of pay slips in line with new legislation, and facilitate transfers to employees' bank accounts:
Solution 1: In-house payroll management
With this type of management, you have the in-house skills to carry out your payroll and all related activities: preparation, social and tax monitoring, calculation and checking of pay slips, social security declarations, etc.
Benefits
One of the advantages of having software installed on your computer is that you can be sure of having a permanently accessible database.
You can do what you want without having to wait for an e-mail from your service provider. When an employee comes to see you because he's lost his pay slip for June 2013, you'll be able to print out his pay slip again on your own.
You'll also be able to do your own data extractions, produce certificates, etc.
Disadvantages
Depending on the number of employees in your company and your business, it's highly likely that the person who does the payroll won't be doing just that. They have other tasks, even on a part-time basis.
So, when calculating the cost of this activity on the pay slip, we don't count a full-time person. Moreover, when calculating the cost of this activity, don't forget to add the fixed cost of using and configuring the software!
And don't be fooled by current legislation: the salary remains a leitmotif for most employees! A legal watch is necessary (especially the day after a sunny bank holiday!) to ensure that everything is correct on paper.
It's a time-consuming task, but one that can't be avoided unless you call in an outside legal firm.
Solution no. 2: outsource your payroll
No more worries with payroll outsourcing: you write a cheque at the end of the month and all the payslips are drawn up for you! It's an alternative with its own advantages and disadvantages, just like those presented above.
Advantages
You will be dependent on an accounting firm or a company specialized in payroll management. It's a simple solution, because you have almost nothing to do: just send the data every month with information on employee presence and absence.
This means that you don't need to employ skilled staff for this activity. The service provider handles everything: legal, payment, charges... and everything has to be right!
If there's ever a delay in payment or a fine, all you have to do is turn to your "expert".
Disadvantages
So far, this solution is just a thorn in your side, and yet... You lose autonomy over your employee data.
Access to your employees' information is no longer possible, so no more extractions and no more controls... You can trust your eyes closed on this one! As for the cost per bulletin, the savings may be relative.
In fact, in this context, the cost per pay slip will be impacted by all the comings and goings and modifications made to production: incoming employees, documents for outgoing employees, changes in status, social security declarations...
Solution 3: Manage payroll with online software
Online payroll, also known as "ASP" (Application Service Provider), is a mix of in-house and fully outsourced management. The biggest advantage is that you don't have to pay to install the application. It's simply a subscription with, as with all payroll management, a cost per pay slip.
Only advantages
In practice, this is the most popular payroll management solution for small and medium-sized businesses. It appears simple and inexpensive, with a low cost per pay slip.
Online software packages also offer a full range of associated services, including social security declarations, legal updates, settings and advice.
From one month to the next, there are no surprises! Within the company, the burden of payroll management is lightened. All that remains to be done is data entry and distribution of pay slips.
The burden of responsibility for payroll accuracy is shared with the online solution. This means you, the company manager, can rest easy! Well... for this Human Resources dossier on payroll at least!
Of course, the database is online with all your employees' information: in the wonderful world of the Cloud! All you need is a good Internet connection.
The data is stored and hosted by the service provider. And the database, as with in-house management, is available for viewing and retrieval at any time.
Which payroll software to choose?
It's all about choosing the right tool for your needs. Before deciding on one payroll management software package rather than another, it's a good idea to ask yourself about in-house skills and the willingness to spend time on this activity.
Other important points to consider are the size of your workforce and the specific features of your business. Regardless of the size of your workforce, payroll management can be as simple as it is complicated for specific areas of activity (shift work with associated bonuses, convoluted calculations of surcharges or absences, etc.).
Your choice should be guided by a solution that simplifies your payroll management as much as possible.
Payroll software
We steer HR managers towards some of the most effective HR solutions on the market: discover payroll software that provides rigorous support for the HR function on a daily basis.
PayFit: the choice of SME payroll departments
Payroll managers who use PayFit are in the best position to talk about it. Watch their testimonials in the following video:
The administrative manager sets PayFit upstream to simplify payroll processing and reap several notable benefits:
- the solution integrates the constraints linked to the new law in force since January 1, 2018,
- pay slips are automatically issued and sent by email to each employee,
- the software automatically calculates social security contributions and employer contributions,
- employees have access to a personal online space where they can enter their own expense claims and paid leave requests, download their pay slips or modify their personal information, etc.
Payfit greatly simplifies administrative management: remote payment and social declarations to URSSAF, DSN, DPAE, pension funds, provident funds, etc.
Companies using PayFit: Konbini, Station F, Le Slip Français, Pumpkin, Alan, Heetch, La Belle Vie, Lunette Pour Tous, etc.
Price: on request. Please note: PayFit also publishes an HRIS tool for optimizing working time management and other strategic areas related to the responsibilities of an HRD...
Fiche-paie.net: ideal for small and medium-sized business pay slips
Fiche-paie.net's promise to small and medium-sized businesses and start-ups is that you can prepare your payslips in just 2 minutes. Video demonstration of the software:
Fiche-Paie.net simplifies the administrative management of payroll, in particular through :
- publishing legal documents that comply with legislation in force on January 1, 2018,
- management of the Nominative Social Declaration,
- calculations performed by the solution,
- management of packed lunches, overtime (etc.),
- automatic generation of payslips,
- 1,000 integrated collective bargaining agreements.
Fiche-paie.net is aimed at entrepreneurs who want to optimize costs and save time on payroll management in complete autonomy: rates are adapted according to the number of monthly payslips.
Companies using Fiche-paie.net: AlloMarcel, OPTIMARK, Autobacs, Monde Connecté, Mambo Pizza, DIMIDOM, etc. Very affordable price for small businesses: from €7.90 ex VAT. A small price to pay for a happy payroll manager...
Simplified personnel administration
While online payroll software eliminates calculation errors and boosts productivity, this type of solution has become a competitive factor for human resources managers.
It allows them to focus more time and energy on more strategic issues, such as career management and training.
Small business managers are not left out either: by using online payroll software, they save precious time which they too can put to good use, such as devoting to winning new customers...
Article translated from French