Everyone makes mistakes at work sometimes. In many cases, small errors are forgivable and easy to correct; payroll is an exception. When you're processing your company's payroll, even the slightest mistake can get you into trouble.
Developing a foolproof process for getting your employees paid will save your staff a lot of headaches.
The ripple effect from payroll errors
One little typo in a payroll spreadsheet might not seem like a problem, but these small issues tend to have larger ripple effects. The Fair Work Commission takes payroll non-compliance seriously, and if you have errors in your payroll processing, they will be exposed, and this can damage your company's relationship with its staff.
Employees will lose faith in their company's ability to pay them correctly, which can lead to trouble with staff morale and, eventually, troubling increases in employee turnover. This means greater costs for the business. It stands to reason that a key way to protect your company's working capital is to get all the details right when doling out paychecks.
Getting all the little details right
Accurate payroll processing starts at the very beginning of the employment experience. As soon as you bring a new staff member aboard, you take care to double-check that all their details - name, address, employment start and end dates, wage data and tax filing information - are accurate and up to date.
Get all the information right on your payroll forms.
If you have all this information verified, it will be easy to go back later and reconcile your payroll processing results to ensure they line up with the plans they laid out. If there are any discrepancies, you can identify them early. Should you predict that a payroll issue will cause problems with your company's financial stability, you can act fast to secure finance solutions that will bail you out.
Confronting cashflow issues head-on
If you ever have a payroll issue that causes major financial hardship for your business, there's no need to panic. These issues are often temporary, and you can get through them if you have access to cash during times of need.
At Earlypay, we can help with that. We have debtor finance packages available that let you collect cash quickly when you've billed customers. You don't have to worry anymore about gaps in cashflow slowing you down, and with quick cash, you can recover from any mistakes you make.
If you'd like to learn how Earlypay's Invoice Finance & Equipment Finance can help you boost your working capital to fund growth or keep on top of day-to-day operations of your business, contact Earlypay's helpful team today on 1300 760 205, visit our sign-up form or contact [email protected].