Do you get nervous every time you have to rush to meet your employees' monthly payroll deadline? Do you have constant stress as a result of the additional OT or transportation allowance that adds to the workload of your payroll process? Do you realise we can't even forget about CPF calculation and crediting?
A payroll system can help you automate salary payment processes, reducing time-consuming work and errors for easier payroll processing. This will free up time for other HR or business activities while saving you time on payroll processing each month. The best payroll system for your company is essential to its success. Under the Employment Act, the Singapore Ministry of Manpower (MOM) requires employers to provide itemised payslips to employees. These paystubs also include CPF computation and crediting.
According to the CPF Act, the employee must declare an accurate CPF contribution. This is done to determine whether or not illegal kickbacks are being paid. For example, if you declare $3,000 to MOM but only pay the employee $1,500 in gross pay, you could end up in hot water.
Your employee's wages are used to calculate CPF contributions. As a result, it is critical to provide accurate wage information to the CPF Board so that the correct amount of CPF contribution can be verified.
Calculating employee and employer CPF contributions can be a difficult task, especially in large corporations where the HR executive must perform the time-consuming CPF contribution calculation for each employee. How much time will be lost if the HR executive does this for over 500 employees each month? Intangible costs include wasted money.
A payroll processing automation system that automates CPF payroll calculation simplifies and speeds up the process significantly. With a few clicks, it can also automate CPF calculation and release payslips.
The automated system enables the company to reduce or even eliminate unnecessary time spent on CPF miscalculation and human errors, resulting in no employee payments being late.
Reference site - https://en.wikipedia.org/wiki/Payroll