payroll checklist

Verify employee information and ensure it is up to date (e.g., name, address, tax withholding, banking details)

Review employee time records for accuracy and completeness

Calculate regular working hours and overtime for each employee

Determine any additional earnings or deductions for the pay period (e.g., bonuses, commissions, benefits, loan repayments)

Validate employee leave records and adjust accordingly

Confirm any changes in employee status (e.g., new hires, terminations, promotions, transfers)

Cross-check payroll data with approved timesheets and attendance records

Input employee hours, wages, and deductions into the payroll software/system

Calculate gross wages for each employee based on the applicable pay rate

Deduct statutory deductions (e.g., income tax, social security) and voluntary deductions (e.g., health insurance, retirement contributions)

Perform necessary calculations for overtime, shift differentials, or other special pay rates

Verify accuracy of calculations and review for any inconsistencies or errors

Generate payroll reports for review and reconciliation

Compare payroll data against previous periods for consistency and anomalies

Perform a thorough quality check of all calculations and deductions

Verify compliance with labor laws and regulations

Cross-reference payroll data with employee contracts or agreements

Generate pay stubs or electronic statements for each employee

Prepare bank transfer files or physical checks for payment

Reconcile payroll expenses with general ledger accounts

Obtain necessary approvals for payroll release

Distribute pay stubs and communicate payment details to employees

File payroll reports and records in a secure location

Update payroll registers and employee records with the latest pay information

Submit payroll tax payments and reports to relevant tax authorities

Prepare and distribute required tax forms (e.g., W-2, 1099)

Conduct periodic audits of payroll processes and records

Remember, this is just a sample checklist, and you can customize it according to your specific payroll process and requirements.