Payroll professionals: 10 best practices for the digital age!
Today, being a payroll manager no longer means (just) managing repetitive manual tasks. Thanks to the functionalities offered by management tools, payroll professionals have become data analysts within HR departments, and now play a role in providing information and advice to other departments, as well as to employees. Faced with the transformation of the profession, what are the fundamentals to follow? Here's a look at 10 best practices to help you excel!
1. ENSURE FLAWLESS, ON-TIME PAYROLL!
While the environment in which a payroll administrator works may be changing, the raison d'être of the job remains unchanged. It's all about ensuring that all payrolls are sent and received on time, and without error. This contributes to an optimal employee experience: any shortcomings in this area are likely to lead to disengagement and loss of confidence on the part of employees.
What's more, punctuality and accuracy in payroll are closely linked to job security: an essential factor at a time when more than 1 in 2 workers say they are concerned about the impact of the global economic situation on their income.[1]
A must for payroll professionals: to provide an accurate payslip, sent on time and without errors, it is now possible to rely on management tools that avoid spending time on repetitive tasks linked to data entry, monitoring and checking data reliability.[2]
2. MASTERING EARNINGS AND DEDUCTIONS...
Earnings and deductions codes make pay slip calculations complex. At a time when 93% of a payroll professional's time is still spent on recurring tasks,[3] a payroll automation solution can help you carry out this task without making mistakes, and save precious time... which you can use to answer employees' questions about the calculation of their payslip.
3. PROCESS CHANGES DURING THE PAYROLL CYCLE
To guarantee the best employee experience, it is essential to be able to process hours worked and overtime in real time, so that they are taken into account in the current month's payroll.
A key point to understand when upgrading your business: the processing of modifications depends on the retroactivity capability of your payroll solution, especially with the "fait générateur" (generating event) that will be implemented in 2027.[4] Once again, choosing the right tool can help you gain flexibility in this area.
4. APPLY THE 4-EYE RULE
When it comes to payroll, the 4-eyes rule means having a second person review and approve payroll changes made by one administrator.
As you know, payroll is the biggest expense for the majority of employers: this audit is a way of protecting the company, as well as yourself.
5. KEEP CERTIFICATIONS UP TO DATE
To guarantee payroll security, make sure your management tool is certified. By extension, you can also obtain certifications to keep up to date with best practices in your field, as well as to demonstrate your mastery of the payroll solution you're using. A great way to keep your expertise up to date!
How do you choose the right payroll solution provider?
Instinctively (and rightly), we think of selecting a tool whose functionalities help you to achieve your objectives: organization and data management, HR administration...
Another key point is that a supplier who supports you in the evolution of your business must be ISO-certified.[5] Legal innovations have an impact on day-to-day payroll management. In this respect, certification is a real vote of confidence, and a guarantee that the solution provided is effective.
6. HAVE A BACK-UP PLAN... ALWAYS!
What's the point of having a payroll contingency plan? This protective measure makes it possible to deal with unforeseen events, while respecting the time constraints imposed by the payroll cycle.
What does a contingency plan look like in practice? For example, you could create a process for revalidating payments from the previous period and correcting errors in the next payroll cycle. For this plan to be applicable in an emergency situation, it is essential to document and test it in advance. [6]
7. DOCUMENT PAYROLL PROCESS STEPS
This is essential to enable other professionals to take over in case of absence. To do this, arm yourself with pedagogy and train (or have trained) one or more of your colleagues.
These 4 tips will help you fulfill your mission:
- Take a step back and map out all the steps in the payroll process. Make sure you present them in a clear, easily accessible and comprehensible document.
- Test the process with the people who will be taking over from you, in your presence and on their own.
- Take the time to explain to your replacements all the issues and responsibilities involved in payroll management.
- Regularly update your payroll documentation.
8. PROVIDE RELIABLE REPORTS TO FINANCE
The data contained in the GL (General Ledger) report must be able to be processed automatically. Setting up your payroll management tool will enable you to calibrate the format of your reports so that they can be easily exploited, as well as limiting errors.[7] Mastering the tool that provides this data is therefore crucial: the trust placed in the payroll manager depends on it.
Finally, it's a way of streamlining work between the Finance and HR departments: as a payroll professional, you act as a link between these two business families.
9. STAY UP TO DATE WITH LEGAL AND CONVENTIONAL WATCH
Halfway between "Finance" and "HR", the payroll manager is also a legal referent: it is his or her responsibility to keep abreast of and apply current regulations.
How can I keep up to date with all the latest legal developments? While technical monitoring is essential, payroll professionals can also count on a high-performance payroll solution to apply all new legislation.
Some solutions on the market have been modeled, and legal and contractual monitoring is carried out directly by the publisher. [8]
Our expert payroll and payroll outsourcing can also help you with this time-consuming task 🙂
10. CREATE VISUAL, IMPACTFUL REPORTS FOR MANAGEMENT
A good analyst, the payroll manager is able to provide the CoDir, ComEx or ExCo with usable and comprehensible reports. This is a strategic mission, enabling them to pass on their expertise and support the company's development.
How can data analyses be presented so that they are fully accessible, understood and taken into account? For example, it's possible to use dashboards or graphs that can be accessed in real time, and shared with management.
THE WORLD OF PAYROLL IS NOT SET IN STONE...
In the digital age, the job of payroll administrator is gradually being enriched with new missions, going far beyond the calculation of remuneration.
Guaranteeing faultless payroll, mastering the subtleties of regulations, anticipating legal changes, documenting processes and reporting clear, reliable data: these are the fundamentals that enable payroll professionals to position themselves as an essential pillar of HR and Finance departments.
Far from being static, this role is constantly being reinvented, thanks to technological innovations and the transformation of organizations. By investing in the right solutions and adopting these best practices, you affirm the strategic role of payroll professionals within organizations, and play an active part in their evolution.
Armed with the right cards, it's up to you to play!
You want to professionalize your payroll department and...
- Adopt new practices at the cutting edge of digital technology?
- Evaluate your current tools and identify the functionalities that are essential in your context?
- Explore different ISO-certified payroll solutions to guarantee the security and reliability of your processes.
- Develop your skills through certification and specialized training.
- Call on our experts to help you implement a flawless payroll and build a genuine HR strategy.
Discover ACT-ON HRIS.
[1] OpinionWay Barometer, Confidence and well-being at work, 2022.
[2] French Ministry of Labor, Guide pratique du gestionnaire de paie, 2023 edition.
[3] Silae survey, Observatoire de la Paie, 2022.
[4] Collection reform project, Bulletin officiel des finances publiques, 2022.
[5] International Organization for Standardization (ISO), ISO 9001:2015 & ISO 27001:2013 standards.
[6] Ordre des Experts-Comptables, Les indispensables de la paie, 2021.
[7] Association nationale des directeurs financiers, Report on the digitalization of the finance function, 2021.
[8] Deloitte, Payroll digitization and outsourcing study, 2023.
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