Payroll Management System

A payroll management system streamlines and automates the process of paying a company’s employees. Accurate and timely payment of wages play a crucial role in the functioning of an enterprise and for this, an affordable, efficient and smooth payroll process is mandatory. The role of payroll management system is not limited to calculating wages of employees; it includes talent management capabilities that simplifies HR processes. An integrated talent management solution will have the tools and reports required to maintain compliance, including employee verification, tax compliance, minimum wage and overtime compliance and equal employment opportunity compliance.

Out of the diverse payroll services available, choosing the best one that suits your business is essential. You need to ask the right questions while evaluating the efficiency of your payroll process.

• Money spent on payroll system

Enterprises need to analyse the size of their business and allocate a fixed budget for payroll processing. It is advisable to go for a system which offers a transparent cost per employee per month structure.

• Flexibility of payroll system

The payroll system must be flexible and compatible enough to grow with your business, to add or modify any number of salary components and to quickly adapt to new regulatory changes.

• Security of payroll system

Payroll systems store sensitive employee data including their contact details that makes it vulnerable to hacking. While evaluating payroll management systems utmost importance should be given to data protection and security and password protection of the payroll system must be ensured.

In today’s technological era, data lies at the heart of an organization’s decision making. Technology plays a fundamental role in almost every aspect of business, providing insights that help you tackle key business challenges. CIOs and other IT leaders need to embrace technology into their business operations to stay relevant in the ever-changing corporate environment.

The alignment of business with IT is crucial for the success of an enterprise, as the alignment permits the integration of IT to the strategy, mission, and goals of the organization. On the employee side, if they have access to data and information, it enables them to make better, faster decisions and become more productive. Non-traditional users were deprived of access to data and information by certain companies until recently. As a primary step to Business-IT alignment, non-traditional users should be bestowed with the right to access data.

It is high time that companies moved away from systems of record and adopted systems of engagements. Systems of record are ERP-type systems that companies depend upon to manage their business. Whereas systems of engagements  refers to the technology adopted by an enterprise to help facilitate the customer journey via more customized and seamless collaboration. Content management processes and strategies will have to be changed to enable the transition from systems of record to systems of engagement.

Under systems of engagement, disconnected systems such as supply chains, vendor ecosystems and business operations must be connected. This is made possible with the help of cloud-based platform technologies.

Systems of engagements ensure that applications are not detached from each other or isolated from the rest of the organisation and that IT teams remain in sync with the business units that rely on IT solutions. With the help of social media elements like timelines and feeds, one can identify the problems within the enterprise and communicate live status updates to users and team members.

If you want your company to climb the ladder of success, make sure to champion the principles of access, engagement and contextual integration.

All these years you would have enjoyed a tax-free life in the UAE, but with the introduction of VAT on January 1^st, 2018, your life is bound to change. Even though the rate of VAT is as low as 5 percent, the cost of living is going to increase, which will have an adverse effect on the purchasing power of consumers.

VAT will provide the UAE with a new source of income, but middle-class people will have to hold their budget tight. Employees are looking forward to a hike in their salaries, so that the current rise in cost of living gets compensated.

VAT has been imposed on electricity and water bills, gold jewellery, cars, fuel, clothes, entertainment, communication services and numerous other items. Shopaholics might have a tough time since they will have to think twice before purchasing their favourite pair of shoes or watch. If you are planning to buy gold, you will have to pay 5 percent tax on the whole piece rather than on the making charges. So, if the ornament is worth Dh1,000, you will have to spend an additional Dh50, to grab the jewellery. This might put at least some consumers in dilemma, whether to buy it or not. Consumers will have to face similar situations, while they are on a shopping spree.

However, consumers can breathe a sigh of relief as certain items and services have been exempted from VAT, that is zero rated. VAT will not be charged on nursery school, pre-school, elementary school and government-funded university fees. But tax is applicable for certain school accessories such as pencils and notepads as well as school uniforms and bus fares.

People using public transport and international flights need not worry about tax, since these services are excluded from tax. Also, you don’t have to bear the burden of VAT on certain financial services such as loans, mortgages and life insurance products.

If you plan well and manage your finances properly, VAT will have minimum impact on your daily life. You would have spent money on unnecessary items all this while; filter your expenses and spend money on things you need and love!