by 
The Curious Bag
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In an effort to pay their employees accurately and timely, employers devise payroll systems. A payroll system is the system the employer uses to process his payroll and to maintain payroll records. There are many advantages of using a payroll system.
Time Saver
A payroll system often includes using payroll software, which reduces time spent figuring wages and taxes manually. Further, if the employer uses a payroll outsourcing company, he relieves himself of payroll responsibilities.
Allows Structure
Payroll software stores all the employees' payroll data, eliminating unnecessary paper filing and creating a more structured environment. If hard-copy filing is necessary, payroll documents should be filed in confidential cabinets designed specifically for payroll.
Tax Deduction
A payroll system ensures that employees' taxes are withheld and paid, and that W2s are issued timely and accurately. A payroll system also ensures that the employer's quarterly and annual taxes are filed.
Tracks Benefits
Payroll software keeps track of employees' benefits such as 401k contributions, as well as accrued and used vacation, sick and personal days.
Check Generation
Payroll software allows for quick generation of payroll checks. The payroll system may include direct deposit, which sends the employees' pay straight into their bank accounts.
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