Payroll software offers the ability to accommodate an unlimited number of pay types, labor classes and shift premiums based on a flat amount or percentage. In complex payroll environments (i.e. unionized rules, public sector pay grades, step increases, pay for performance, etc.), payroll software offers rules-based payroll in order to trigger pay rate types based on events or activity codes. An example of an event trigger could be an automatic pay raise to the next step after a 90-day probationary period, or premium pay based on activity code (i.e. hazardous duty, equipment operation, night shift, overtime, etc.).
These devices gather time information and interface directly with the payroll system. Some examples include time clocks, badge readers, biometric devices that function as timekeepers (these utilize fingerprint or eye scanning technology), security access authorizers, and attendance recorders. Some companies use Kiosks or internet based timekeeping, which allow the employee to enter time at a Kiosk set up on the floor, or from their computer, tablet, or smartphone at a distributed location.
Electronic timesheet entry is an area where technology provides tremendous advantages. Timesheets can be entered over the Internet via a Web browser. Secure online routing of timesheets and approvals through workflow capabilities have made the process of approving timesheets a real-time activity.
Leave tracking allows you to track vacation, illness, disability, maternity, parental leave and other employee absences. For unique requirements, custom absence codes can also be created. Trends and patterns can be identified through reporting tools and government reports can also be created (e.g. Family and Medical Leave Act (FMLA) reporting). Absence tracking allows you to maintain a running balance of various types of leave by employee including vacation, sick, personal holiday, unpaid leave and others. HCM software also offers the ability to input online leave and vacation requests through a self-service module or forms templates with automatic approval routing
Payroll can be run on standard, daily, weekly, monthly, and even off-cycle pay runs. This feature includes the ability to run trial payrolls to review payroll budgets, benefits costs, guaranteed net pay, or other factors before posting a payroll and printing checks. These trial payrolls provide the ability to analyze different payroll groups including department, company, individual, or other pay groups. Adjustments can then be made before posting the final pay run. This is particularly useful after bargaining agreements are negotiated with unions to ensure the pay rules and pay table adjustments are implemented at the appropriate intervals.
Payroll software provides unlimited pay groups, earnings types, deductions, work locations, benefits, departments, and tax tables to manage the payroll calculation process. You can set up standard checks or deposit directly to individual employees checking, savings or other types of accounts. Employees can also specify disbursements by a fixed amount, percentage, or interval that suits their needs (e.g. disbursements to retirement accounts from every paycheck or once per month). Quarterly tax reporting and year end government form information is maintained and reported on.
The ability to handle flexible deductions can be a very important capability of payroll software. This includes garnishments, child support, student loan repayment, retirement plans, monthly parking fees, union dues and other benefits. As mentioned above, you can also schedule these deductions.
Payroll software has the ability to process online employee expense forms. These expenses can be routed to appropriate personnel, approved online, and linked to accounts payable or paid through the payroll system. Travel management capabilities include premium and expense tracking, travel advances, cash receipts, and multi-currency functionality. This streamlined expense reimbursement process reduces the cost of managing employee expenses, while at the same time provides faster reimbursements to employees.