The time when there just used to be enterprise software and the manual pen and paper method; the idea of maintaining spreadsheets became the popular norm. The cloud HR and payroll software were not there and enterprise-based software were very costly.
Hence, back then, it was alright to work with excel as it was the best and most feasible option for many businesses. But now, it may not be the best tool for payroll calculation. However, if you are a business who still relies on excel sheets for processing payroll, there may be the following beliefs restraining you from investing in an HR and Payroll software.
Let us take a look at them and know the truth.
Belief: Excel sheet can process payroll the right way. A software is not really needed.
Truth: Ask a payroll manager and he will tell you the real plight. You need to add one row after the other. On top of that, formulas and rules have to be remembered thoroughly. One wrong click has the calibre to destroy the whole of your payroll sheet. It has to be done with extreme vigilance and attention. One small error and the chaos and errors raise so much that your organisation may get hit with penalties.
Belief: Excel is very simple and it is exactly what my business needs. We don’t need automation.
Truth: If you are a small organisation, excel may seem to be all fun. However, as the headcount of the company rise, you will realise how difficult it is. Also, the statutory compliance keeps on changing and with it, the calculation keeps getting all the more cumbersome.
The cloud-based payroll software has all the statutory laws updated in it. Also, it can be integrated with modules like that of attendance. This automates the calculation and entry of data as well. This results in timely and error-free payroll management.
Belief: Excel can be used by anyone, using a software will require training
Truth: Using an HR and payroll management software is really easy and advance excel may be tricky. Prior to processing payroll, you have to know the right procedure to do it. Otherwise, things will go haywire. However, payroll software does most of the work on its own. Even if you are an expert in running excel, know that on an average, it takes more than seven days more to process a payroll via excel in comparison to a payroll management software.
The most common errors that happen when payroll is processed using Excel are related to data entry, copy-paste, wrong formulae, double entry and formats. They may go unnoticed and may lead to penalties for the company.
So, it is best to move past the Excel and choose a reliable HR and payroll software for better, faster, efficient, and easier payroll management.
Initiate the change today!