Payroll & Compensation
Increased business security and reliability with a pool of talented individuals always ready to assume key roles in your organization whenever necessary.
In a company, payroll can simply be stated as the sum of all financial records of salaries for an employee, wages, bonuses and deductions. Payroll plays a major role in a company for several reasons. From an accounting perspective, payroll is crucial because payroll and payroll taxes considerably affect the net income of most companies and they are subject to laws and regulations. From an ethics in business viewpoint payroll is a critical department as employees are responsive to payroll errors and irregularities: good employee morale requires payroll to be paid timely and accurately. The primary mission of the payroll department is to ensure that all employees are paid accurately and timely with the correct withholdings and deductions, and to ensure the withholdings and deductions are remitted in a timely manner. HoneycombERP® enables the management to generate the payroll on a click of a button and all the calculations are done with pin point accuracy.
Module Features
- Multi Pay Scales / Wage Structure & Revision History Management
- Automatic Payroll Preparation, Pay Slip Generation and Posting to Accounts
- Pay Types Management i.e. for Monthly, Weekly, Daily and Hourly Rates
- Manage Different Pay Cycles / Periods for Different Locations & Groups
- Flexible Allowance & Deduction Types (Regular & Irregular, Static & Variant)
- Request and Approval Process of Irregular Allowances & Deductions
- Separate Processing for Deductions against Funds & Donations
- Loan Request to Approval Process Based on Organizational Hierarchy
- Parallel Loan Processing for each Employee
- Loan Scheduling, Merging & Dormant Options
- Customized Overtime Rules, Rates & Organizational Policies
- Policy Based Bonuses & Individual Compensation Handling
- Integrated Tax Rules & Slabs & Manages Employee Withholding Salary Tax
- Gratuity, Provident Fund, Social Security (ESSI) & Old Age Benefit (EOBI) Management
- Summarized and Methodical Reports against Each Feature
Multi Pay Scales / Wage Structure & Revision History Management
A pay scale is a system that determines how much an employee is to be paid as a wage or salary, based on one or more factors such as the employee’s rank or status within the employer’s organization, the length of time that the employee has been employed, and the difficulty of the specific work performed. With HoneycombERP®, management can define Pay Scales in accordance to the company’s needs and requirements. The system keeps complete history of all the revisions made to the wage structure of the company as well as maintaining an individual’s pay amendment record.
Automatic Payroll Preparation, Pay Slip Generation and Posting to Accounts
With HoneycombERP®, complete payroll of an organization can be generated in a matter of minutes. The system calculates all the impacting segments (attendances, overtime, allowances, deductions, bonuses etc.) against the each employee and finalizes the payable amount. Changes and recalculations can be incorporated in payroll without limits, until satisfied before finalizing. Payroll can be reviewed before sending it for acceptance to higher management before payroll is finalized. Upon approval the system automatically posts vouchers to HoneycombERP® finance module and in accordance to the configured integration, the system charges appropriate accounts heads. HoneycombERP® is equipped to generate customized pay slips in addition to the generation of detailed salary sheet.
Pay Types Management i.e. for Monthly, Weekly, Daily and Hourly Rates
Organizations have a diversified workforce and they benefit a lot from the flexible calculation and management of varied pay types offered by HoneycombERP®. Monthly, Weekly, Daily or Hourly Based, no matter what the payment setup is, HoneycombERP® houses an intelligent pay calculation widget that automatically adjusts according to the payment type and computes appropriate payment on the basis of the set parameters.
Manage Different Pay Cycles / Periods for Different Locations & Groups
Many businesses now a days have multiple offices and this presents another matter of concern for the management where it is desired that payroll be generated separately for each working site. HoneycombERP® solves all the worries by allowing managers to control the segments for payroll generations. Each working site’s payroll can be generated separately empowering managers to better regulate the payment matters. Not only this the system enables also to accommodate outsource employees and contractor associated employees in addition to segregation on employee groups; consequently the management has matchless control over the finance.
Flexible Allowance & Deduction Types (Regular & Irregular, Static & Variant)
Allowances and Deductions are the main segments of any employee’s salary breakup besides other factors. With HoneycombERP® composition of an individual’s salary can be managed with great ease. The system allows to create allowances and deductions types matching the custom needs of the organization. With HoneycombERP® regular, irregular and fixed / static allowances and deductions can be associated to any individual making it possible to manage demanding institutional necessities.
Request and Approval Process of Irregular Allowances & Deductions
Following the standards of HoneycombERP®, each action is a suggestive request that is in-effective till it gets the final approval; requests for irregular / special / ad-hoc allowances and deductions also are dormant till the approval is granted. Once approval is granted each values (deduction or allowance) is reflected in the calculation of payroll automatically.
Separate Processing for Deductions against Funds & Donations
HoneycombERP® manages the funds and donations separately by incorporating the company’s formulas and policies and implementing them automatically. Any funds and their contributions are calculated in accordance to the rules and regulation of the business and also in line with the laws of the land. Records against each individual is maintained separately and can be reviewed in detail at any stage.
Loan Request to Approval Process Based on Organizational Hierarchy
HoneycombERP® facilitates the administration to accomplish loan management in a comprehensive yet easy way. With the facility to configure loan categories suiting the custom needs of the company, any management can achieve control over lending. Each posted loan request goes through the approval process following the hierarchical chain of command.
Parallel Loan Processing for each Employee
Every individual if allowed by the organizational rules, is entitled to apply for a loan. It becomes a hectic and cumbersome activity to manage loans from multiple employees as a single individual may have two or more active loans with different per month deduction values. HoneycombERP® simplifies the process by managing each loan separately and simultaneously calculating all loans deductions, retired and remaining amounts alongside charging appropriate financial heads.
Loan Scheduling, Merging & Dormant Options
There are situations where the administration decides to waive off an employee’s loan deduction for a month or put the deductions on a halt till further orders. With HoneycombERP® situations like these and others can be handled with ease with options to merge two loans, make a loan dormant and waive off deduction for a specific month. Superior control and flexibility is achieved and management’s decision can be implemented with comfort.
Customized Overtime Rules, Rates & Organizational Policies
Every company has its own set of rules and regulations and same is the case with overtime. HoneycombERP® has a dedicated rule engine that incorporates all the formulas and policies and applies them accurately to achieve a well-controlled and standardized environment. Complex policies like group based overtime rules and others can be handled with ease and the in case a certain employee group is to be denied or allowed to avail overtime, it can be achieved with the flexible overtime rules configurator.
Policy Based Bonuses & Individual Compensation Handling
Every organization has its rules and regulations for employee bonuses and additional compensations in certain eventualities. HoneycombERP® provides a way to handle these situations by offering a specialized bonus policy implementer which on the basis of the information fed, calculates the bonus amount and handovers the information to the payroll for disbursement.
Integrated Tax Rules & Slabs & Manages Employee Withholding Salary Tax
A withholding tax, also called a retention tax, is a government requirement for the payer of an item of income to withhold or deduct tax from the payment, and pay that tax to the government. In most jurisdictions, withholding tax applies to employment income. With HoneycombERP® in accordance to the laws of the land, tax slabs can be defined and the system automatically calculates per month deduction value. Tax values are integrated with payroll and also comprehensive reporting is available to further enable the managers’ deal with tax related matters.
Gratuity, Provident Fund, Social Security (ESSI) & Old Age Benefit (EOBI) Management
HoneycombERP® automatically manages gratuity, provident, Social Security and Old Age funds in a very comprehensive manner. The system enables the managers to define EOBI contributions as per government rules and the rest is done by the system itself. All the calculations are fully integrated and are directly visible in payroll.
Summarized and Methodical Reports against Each Feature
HoneycombERP® houses multiple Reporting widgets against each section of the Payroll & Compensation Module. Each widget is capable of generating reports from different angles, based on several filtration criteria. Both detailed and summarized reports are available to managers enabling them to get the required information accurately any time.