Given the ever-evolving nature of payroll compliance, the ability to pivot and adapt is vital to acing an audit and avoiding costly penalties. By regularly evaluating the regulatory landscape, you position your organization to readily address this challenge.
How do businesses avoid payroll compliance mistakes?
One of the best ways to address regulatory pitfalls isn’t legal counsel on speed dial or a rainy day fund; it’s empowering your employees to take ownership of their data. After all, no one knows their compensation and personal banking information better than your employee. Eliminating the need for HR and managers to reenter data late in the payroll process helps reduce the pressure they face and curb discrepancies.
Based on nationwide research, many organizations are still processing payroll the hard way. In a survey of 300 U.S. HR, payroll and accounting professionals conducted by OnePoll on behalf of Paycom, 58% said issues with direct deposit and banking information led to payroll noncompliance, for which their businesses were held liable. On top of this, 4 out of 5 respondents said their stress levels increased due to payroll errors.
What if their anxiety could be alleviated? With employee-guided payroll, it can.
How does employee-guided payroll help reduce noncompliance?
By educating your entire workforce and giving them the right tools to further automate the process, you help boost financial wellness, retention and compliance. When your staff strengthens payroll’s integrity through greater involvement before it runs, the uncertainty that often lies at the root of discrepancies is reduced.
Businesses tend to move fast as they drive toward success. Some mistakes may be inevitable. Even when errors are avoided, certain developments may require retroactive payroll adjustments. As the costs of faulty processes continue to climb, it’s more important than ever to ensure you have the policies and procedures in place to maximize employees’ HR tech usage and help eliminate needless, risky data reentry.
In this guide, you’ll learn:
- what the most common payroll compliance mistakes are
- the cost of payroll noncompliance
- how to prevent payroll errors with employee-guided payroll
- how Beti® helps prepare accurate payroll every time