I still see small businesses going onto their Internet banking monthly and making individual net pay payments to their employees.
That may be OK if you are a micro business with two of you as Director-shareholders and one or two staff on fixed pay with little variations for overtime.
But it’s more of a slog if you have more staff than that.
Maybe you are not aware of what your finance staff go through. You may say that each staff member is already set up as a trusted payment destination, so all my payroll manager has to do is input the amounts and then submit the batch for my approval.
That’s true, but it still takes time. They will be typing the figures and treble-checking them to make sure they have the right amount and are not paying it to the wrong person. They will check the bank total against their payroll report total to make sure it agrees, or hunt for the difference if not. Then there may be a last-minute adjustment to overtime or holiday, and its on also to the pension auto-enrolment submission….
What’s the solution? Implement a payroll software that integrates with an ebank account to automatically send the take-home pay amounts for each employee to the ebank with no other human intervention, time input, or potential for error. You authorise the payment batch in the same way you probably do now, and out they go on the scheduled payday. Simple.
If there is a last-minute payroll change, cancel the payment to that person—this does not mean you have to reload the whole batch—and send the new pay amount via the integration.
How is your business making its net pay payments?