Simplifying the Employee Payroll Process: 6 Time-Saving Tips


It’s not just employees who find payroll annoying. Most employers loathe dealing with payroll. It’s not a surprise given how the tax code changes every year or two.

That means adjustments in the paychecks of every single employee. How often does that go right for everyone?

Yet, the payroll process is an unavoidable evil if you want to stay in business. Employees expect it, after all.

The good news is that you can make your payroll process simpler and less time-intensive. Keep reading for six tips on doing just that.

1Direct Deposit

93% of people get paid via direct deposit. Using direct deposit instead of printing off checks or, worse still, writing them out by hand takes an entire step out of the process.

2Provide Digital Pay Stubs

Much like running off physical checks takes time, so does running off printed pay stubs. Then you must distribute those pay stubs.

It’s not a big deal when only six people work for you. It becomes a big deal if you have a couple of hundred employees.

If you don’t have the software for digital paystubs, you can find one at

3Pay Everyone at the Same Time

The fewer times you must process payroll, the more efficient you make the process. If you pay hourly workers bi-weekly, pay your salaried workers bi-weekly.

You won’t get back 100% of the time you spent on running payroll extra times for different employee groups. You will get back some time that you can use for other tasks.

4Use Payroll Software

Payroll processing software often comes with a lot of bells and whistles that make your life easier. Some provide time-tracking options or can integrate with popular time-tracking software systems. Many can also help you track paid time off accrual and use.

5File Taxes Online

The federal government and most state governments require that you file your taxes promptly each quarter. Filing electronically saves you time and the hassle of a trip to the post office. You also get a convenient, electronic record of when you filed.


Many businesses also outsource payroll. Payroll processing services essentially take the whole process off your hands. They do the math, calculate the taxes, and set up direct deposits.

While convenient, you shouldn’t set-it-and-forget-it with payroll. Check in with the service to ensure they complete payroll processing each pay period.

Simplifying Your Payroll Process

Simplifying your payroll process often begins, ironically, with some extra work. Setting payroll software, direct deposit, or digital pay stubs usually means altering existing processes. That means training people in a new way of doing things.

Even outsourcing takes some work upfront.

You must find a payroll service, establish an account, and provide them access to your time tracking system. Either that or you must install their preferred time tracking system. You must also supply them with employee pay rates and tax information.

Once you get these changes in place, however, you’ll enjoy a smoother, saner payroll process.

Looking for business efficiency tips? Check out our business section on this site for more articles.


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