One of the most important aspects of payroll processing is organization. If you don’t have payroll software to help keep your time-sheets, payments, and employees organized, Excel is a great program with many benefits that can help you through every pay period successfully.The following tips will help improve your experience when using Excel for payroll:
- The Excel Payrol Calculator. If you haven’t already done so, download the Excel Payroll Calculator. This nifty template automatically processes tax deductions and employee pay based on criteria that was entered into the program. This is one of the best tools for anyone who has difficulty with complex tax calculations. The Excel Payroll Calculator can be downloaded for free if you already have Excel installed on your computer.
- Enter all of the employee's information the first time. While you can access an employee’s information at any time you wish, entering his or her information the first time will help prevent unnecessary research at a later.
- Withholding tax and deductibles. The Excel Payroll Calculator automatically calculates the tax that needs to be deducted for every employee. When entering the employee’s weekly pay, you should still verify that the deduction percentage is correct. Once you have verified the taxes and withholding amounts for each employee, you can then complete the calculations. date. Make sure you have all of the information on hand when you’re creating an employee profile for the first time.
- Verify hours worked and tat all calculations are correct. On the bottom of the Excel screen, there is an option that allows you to view each employee’s pay stub. Click on this link to open the pay stubs and verify that the information is correct. Since Excel works with complex calculations that can easily be changed, you always want to double-check that each employee’s pay has been calculated accurately.
- Keep up-to-date with new versions of the template. Keeping up-to-date with new versions of the Excel Payroll Calculator is very important. Because tax rates and deduction amounts change all the time, Excel is always updating the template with new calculations. Check the Microsoft Office website once a month to ensure that you still have the most up-to-date version of the template.
- Backup your data. Like all other relevant business information, you should back up all employee data and payroll information onto a separate hard drive. This will ensure that you have accurate records in the future should something happen to your current computer. Once you have backed up the data, store the external hard drive in a safe place.
- Use third party for payroll services. While Excel is a great way to keep track of your company’s payroll, third party payroll will guarantee that all information is accurate, will always keep up with current tax rates, and will inform you of any changes in the tax code. It’s best to use the Excel Payroll Calculator in conjunction with a third party payroll service to ensure that all information is accurate.