Payroll clerks manage the entire payroll process within the organization. They source the payroll data from time-sheets of employees, they are responsible to compute the salary and prepare salary statements. The payroll clerks are also responsible to provide a detailed report regarding an employee’s salary structure. They can also prepare the paychecks of the employees.
Job Description – Payroll Clerk
The candidate who applies for the position of payroll clerk should handle all tasks on an end-to-end basis. They should ensure employees submit their time-sheets on time so that they can compute the salary on time. The payroll clerks are also responsible for crediting the salary of the employees on time. They should also have excellent math skills. They should also pay proper attention to every detail before processing payroll.
Skills Required – Payroll Clerk
- They should have basic math skills.
- They should also have the ability to manage the payroll software while payroll is being processed.
- The payroll clerks also require proper business acumen to work as a payroll clerk.
- They should also know about compliance to process payroll.
- They also need proper leadership skills to manage the payroll process.
Job Responsibilities – Payroll Clerk
- They ensure employee time-sheets are timely verified and validated.
- They also enter personal information related to employees in the payroll system.
- The payroll clerks should also answer all questions for employees regarding their payroll.
- They are also responsible for calculating other aspects of payroll which include bonuses, commissions, and relevant taxes, and the deductions related to payroll.
- They also add new employees to the payroll software.
- The payroll clerks also add promotions for each financial year.
- They also process employee terminations within the organization.
- They also issue paychecks to the employees.
- The payroll clerks also update the payroll records for employees.
- They also process payroll reports periodically.
Requirements – Payroll Clerk
- They should hold a high school diploma.
- They also should have a degree in the accounting field.
- The payroll clerks should also have relevant experience in the payroll department.
- They should also be able to handle payroll software to process payroll timely and efficiently.
- They should also have a strong sense to pay attention to detail.
- The payroll clerks should also have strong organizational skills.
- They must also be efficient team players.
Frequently Asked Questions
1 What does a payroll clerk do?
Ans. They process payroll for the employees, they are responsible for timesheet collection. They also enter the employee data in the payroll system. The payroll clerks also ensure payroll gets reviewed by them before they credit the salary in employee accounts.
2 Make a list of skills needs by the Payroll clerk?
- They should have relevant experience to manage the payroll.
- They also need proper technical expertise to manage payroll.
- The payroll clerks should also develop a good business acumen to work in the payroll department.
- They should also have proper knowledge of compliance procedures so that they can work proactively in the payroll department.
- They also need leadership qualities to work independently.
- The payroll clerks should also handle employee queries with a positive approach.
3 What is the role of a payroll clerk?
Ans. They should manage the entire payroll process. The payroll clerks also ensure all payroll activities should be in place before they process the payroll through the payroll software. They also need to have excellent computer literacy skills; this helps them to assist employees to get their payroll on time.
4 How does a payroll clerk become effective in his job?
Ans. A payroll clerk should know how to handle tough calculations at work. They should be able to calculate the net payable amount for each employee. They should be able to make accurate deductions from the salary to ensure the right amount gets credited to the employee account each month.
5 Is payroll a good career choice for candidates?
Ans. Managing payroll offers an ambitious career option to all candidates who aspire to work in the payroll department. The payroll clerks should also be good with numbers to excel in this role. They should gain relevant knowledge to produce payroll reports every month for the management to review them in the best possible way.
6 Make a list of various payroll activities done by a payroll clerk?
- They should compute the salary for employees.
- They should also know allowances and deductions.
- The payroll clerks should also compute the net payable amount for all employees.
- They should also be able to compute the salary through payroll software or manually.
7 What are the different stages of payroll?
- Select a payroll schedule.
- Enter employee information.
- They can calculate the gross amount.
- The payroll clerks should also determine the deductions in payroll.
- They can create a payroll slip and distribute the same to employees.
8 Where do employers advertise for the payroll clerk?
Ans. They can advertise the job posting on the job sites. They can hire payroll clerks through employee referral schemes. The payroll clerks can also hire through newspaper ads. Relevant experience in payroll is an added advantage for payroll clerks. The payroll clerk must also apply for relevant jobs by demonstrating their skills in this department. They also ensure timely payments for employees in the organization.