Payroll can be complicated and ensuring payments to employees are compliant with the relevant award or arrangement can be difficult for the board or management to comprehend.
Cutcher & Neale have developed a high-level payroll review especially designed for Clubs. From this review, we can report whether the payroll process is functioning effectively, or whether a more detailed review is required. The last thing you need is unwanted media attention for incorrectly paying employees and a comprehensive review can reduce the risk of this occurring.
In our vast experience completing external audits of our clubs and hospitality clients, most of the issues we come across are payroll related. In most cases, these issues relate to systemic problems where employees have been set up incorrectly within the payroll system. Other examples include:
- Inconsistency in applying allowances as ordinary time earnings for superannuation.
- Incorrect leave accruals.
- Incorrect payment of superannuation on termination payments.
- Delays in processing award increases.
We recommend that management sit down with payroll staff and find out what processes they have in place to ensure that payroll is processed correctly.
A common issue is not fully understanding the payroll system resulting in incorrect or inefficient practices. If so, further training may be required.
Both rostering and payroll systems are advancing quickly, and the integration of both systems allows a more seamless payroll process allowing further time in analysing payroll data. Integration of data within rostering, payroll and accounting systems is paramount.
Many new rostering systems can actually project the weekly payroll costs so management can use this as a tool to compare to projected sales and looking at ways to minimise wages and improve the bottom line.
Our clubs & hospitality team can review your payroll giving comfort to management and the board that payroll is being processed correctly.
Our review will also consider efficiency and best practices giving confidence to the board and management that this system is operating effectively.
If you would like help from our team or further information, please contact Nick Nancarrow to discuss payroll reviews further.
