5 mistakes to avoid when running payroll

1. Not complying with Revenue

When you run payroll, once you have finalised your payslips and before you pay employees, you must submit payroll information for each employee to Revenue in real-time. To do so, you can download a file containing the payroll information and upload it through Revenue Online System (ROS). However, a much easier way is by using Revenue compliant payroll software that can communicate with ROS to seamlessly exchange the information in just a few clicks. If you do not report the correct information to Revenue or if you do not submit the information on time, you may be charged penalties.

2. Not complying with GDPR

When processing payroll, you are dealing with a lot of personal information. Using a GDPR compliant payroll software means you and your employees can rest assured that all personal data is stored and managed in a safe and secure manner.

3. Not backing up payroll data

When running payroll, it is highly recommended that you always keep a back-up of all payroll data. It is also advised that this back-up is saved somewhere other than on the hard drive of the computer you use to process payroll. Using a cloud platform or an external device to back up data is the safest option to ensure you never lose valuable information, should something happen to your computer.

4. Having inexperienced or untrained staff run payroll

While using the right software has made processing payroll easier than ever before, it is still not something that should be assumed is easy and straightforward to do. When staff running payroll are inexperienced or untrained, you are leaving your business open to problems like employees being paid the wrong amounts, penalties for non-compliance, time wasted correcting errors and overall damaging your reputation as a business. It is also important that staff keep up-to-date and informed about any changes to payroll legislation or employee entitlements.

5. Inefficiency and human error

Your efficiency when running payroll will depend greatly on the level of automation used. Automation cuts down on the repetition of uncomplicated tasks. Automation not only saves your business time and money by allowing you to process payroll quicker, it also does so by reducing the possibility of human error. A payroll software must be used to automate payroll processes.

Solution:

You have two options when it comes to ensuring none of these mistakes are made by your business when processing payroll.

Option One: Outsource your payroll to a professional.

Option Two: Choose a payroll software that ensures all these mistakes are easily avoided.

While outsourcing your payroll duties to a professional might seem like the simplest option, it may not be the most cost effective one. You can save money while having the same peace of mind that your payroll is being processed correctly by running your payroll in-house with the right payroll software.

BrightPay is a multi-award-winning payroll software that automates payroll processing. BrightPay’s integration with ROS means that you can stay compliant while saving time by being able to send payroll information to ROS quickly and easily. Our integrations with accounting packages allow you to send payroll information from your payroll software directly to your accounting software. BrightPay also has an integration with payment platform Modulr which allows you to pay employees directly through the payroll software, eliminating the need to create bank files.

 When it comes to the General Data Protection Regulation (GDPR), BrightPay Connect, our optional cloud add-on, helps you stay compliant by offering a secure online portal for employers to share payslips with their employees as well as other HR documents. If you choose to email payslips, they are password protected. Two-factor authentication adds a second layer of security for users logging into BrightPay Connect. A security code will be sent to the user via email or text which needs to be entered to log in to the employer dashboard, lowering the risk of data breaches.

If you or any of your colleagues are working remotely, BrightPay Connect allows for full working from home functionality. When there is more than one user working on the same employer file at the same time, BrightPay Connect will notify you and stop you from creating any conflicting copies that could result in mistakes in the payroll.

While there will be a learning curve with any new software, BrightPay’s user friendly interface and intuitive design makes that learning curve a lot less steep. BrightPay’s website has a comprehensive library of support documentation that takes you step by step through payroll processes. If you cannot find the answer you are looking for here, BrightPay’s support team can be reached by phone or email; offering BrightPay customers free help and guidance when they need it. Other useful resources that can be found on our website are our guides and ebooks, video tutorials, blogs and webinars. Previous webinars can be watched on demand from our website. We also host regular live webinars which often give updates on new payroll regulations. Anyone can join our webinars for free.

Why not book a free demo today and discover how BrightPay can help you avoid payroll mistakes and make processing payroll a breeze.