Payroll Administration

Payroll Administration

Payroll administration is defined as any of the tasks necessary to organize the compensation of employees for the hours that have been worked. This may include keeping totals for hours worked by employees, rates of pay and managing payments to employees.


For a small business owner, payroll administrative work is often performed by the business owner initially as there may be few employees. Software may be used to facilitate ease of payment and tracking of payroll concerns or payroll may be managed on paper. Often, software used for payroll purposes can make issuing paychecks easier as well as helping business owners to keep track of payments made. This can also help with direct deposit payments for employees or managing company accounts used for funding payments.

When payroll must be organized for only a few employees it may be easy to keep track of payments but as employee numbers grow it is important that enough time is devoted to payroll upkeep. This can help to prevent errors in both accounting and payroll to ensure that employees receive the appropriate amount of compensation per pay period. Payroll administrators are also responsible for making sure that payments are delivered on time to employees.

Payroll administration also includes making sure that company payroll policies adhere to employment laws. This can apply to overtime that has been worked, holiday pay or other payroll changes. As businesses grow and employ more workers, it becomes increasingly important to have someone who is capable of processing payroll.

Payroll Administration Benefits

  • Handle your day-to-day payroll tasks.
  • Process your payroll from input to verification, including reconciliation and audit·
  • Manage your pay period and year-end processes, including tax forms.
  • Handle remittances (deductions, reconciliations, etc.) to government agencies and other third-Party vendors.
  • Provide monthly standard reports, including historical data.
  • Provide employee access to address and payment information changes, online pay statements and tax forms. 

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