Whether they deal with it internally or outsource, payroll has historically been a large cost area for businesses. Ensuring accuracy, dealing with adjustments and paid leave, and complying with regulations is a complex, ever-changing process. However, modern software solutions are benefiting companies by bringing payroll in-house and connecting their payroll to their ERP solution for more control, better data collection and analysis, and significant cost-savings.
Here are 6 payroll trends helping businesses thrive in the digital age:
1. Automation and Integration
As analyzing and using data becomes an increasingly critical part of any organization’s success, more and more businesses are investing in payroll solutions that integrate completely with their ERP solution. Not only does this allow for better data collection and analysis, it reduces manual processes within payroll.
Companies are ditching the Excel spreadsheets, repetitive data entry, and paper-based payroll in favor of automated solutions that are quicker, more accurate, and allow for an integrated flow of employee data throughout the business.
2. Artificial Intelligence
Artificial intelligence is becoming more powerful and more common as a built-in feature of payroll solutions. AI functionality improves compliance and makes it much easier to process payroll without the risk of errors. For example, Integrity Data’s Payroll NOW for Microsoft Dynamics 365 Business Central integrates payroll data into company-wide analytics, Cortana machine learning, artificial intelligence, business intelligence, and more.
3. Real-time Payroll Distribution
As more and more workers use digital wallets to spend their money rather than carrying cash or accessing traditional bank accounts, new methods of payroll distribution are also emerging as one of the new payroll trends. New ideas range from various electronic delivery methods to distributing payroll in real-time. Modern payroll solutions offer more options for distribution, making it easy to automate whatever methods your business chooses.
More businesses are offering employees extended benefits such as financial wellness programs and flexible vacation and leave options to increase employee happiness, productivity, and retention. Innovative payroll and HR solutions enable you to manage everything from one integrated platform.
5. Gig Economy
Freelance and gig workers are becoming a more central part of the economy and beginning to play a role in the operations and output of more businesses. Because of this, organizations need flexible payroll solutions for multiple worker types, and the ability to make adjustments easily. It’s critical to have a solution that makes it easy to deal with compliance and taxation issues, as well as having the flexibility for payroll changes in situations where gig workers come and go, or get hired on as full-time employees.
The internet and the growing gig economy are a huge advantage to employers. Being able to find and leverage talent from in the world is an incredible advantage when it comes to hiring the best and brightest. However, this also introduces a wider array of regulatory compliance challenges such as the General Data Protection Regulation (GDPR). Avoid large fines by investing in a GDPR-compliant payroll solution.
Even for workers within the U.S., compliance can be a big challenge. For many businesses, ACA compliance and reporting are an additional source of confusion and potential fines. Organizations may need ACA software solutions to automate this process and ensure ongoing compliance.
Looking for an integrated payroll solution?
Integrity Data focuses on solutions that solve the real-world needs for teams and businesses like yours. You can trust that we will keep up with the latest payroll trends to make sure your company is competitive and in compliance. Contact us today to learn more about our payroll, HR, and ACA compliance solutions.