Inquiry Regarding Deduction Calculation in Payroll
Dear Sirs,
I would like to ask if there is a possibility in the Payroll system to set various deductions, such as social security contributions, as a percentage (%) instead of a fixed amount.
Thank you in advance for your response.
No, this is not possible
Manager payroll features are very basic
Most businesses are better served using a local payroll solution which is configured for the payroll calculations in their jurisdiction
Payroll calculations are different in every country and change often
An accounting software package such as Manager could never met the needs of payroll processing
It is in the ideas (so may happen at some time in the future). Probably best is future discussion occurs there
To optimize Manager’s Payroll functionality, consider using it in conjunction with a spreadsheet program. Payroll formulas, such as net salary calculations and other pay-slip components, can easily be set up and managed in a spreadsheet.
With strong spreadsheet skills, you can efficiently apply changes when employees’ salary structures or figures are updated. Afterward, you can use the “Batch create” feature in Manager to generate pay-slips and make accounting posts, provided you have correctly set up employees, pay-slip items and accounts.
This method is ideal for businesses with 2 to about 50 employees. However, depending on the complexity of salary items and pay-slip details, as well as the frequency of pay-slip generation, and your spreadsheet skills, this approach can scale to handle up to 200 or more staff.
By complementing Manager with a spreadsheet program, where inconsistencies in formulas or calculations can be easily identified through various checks, you can enhance the accuracy and flexibility of your payroll process.
I find this approach highly efficient. Additionally, statutory returns from payroll data can be effortlessly extracted using spreadsheet lookups and formulas and compared with balances or reports in Manager.
The “Batch Operations” feature further enhances Manager’s capability, making it a powerful tool for managing payroll and other accounting tasks.
Anyone with the IT skills to manage a Payroll system you described in Excel, should be running a Payroll business
Well, how else will you do it and where else will users do calculations when pay-slip item formulas and pay-slip structures cannot be stored in Manager.
It works perfectly for me.
Most small businesses would be better served using an online Payroll service that is designed for use in their country and takes into account their country regulations concerning payslips, tax deductions, pension contributions, etc, etc
The monthly totals could then be fed into Manager for their accounting purposes.
That may count for many by World bank classified High-income and Upper middle-income countries see:
However, @Abeiku and also most of our businesses operate in lower levels of income countries where even basic services as electricity and water are compromised and internet often absent, sporadic or expensive. I think @Abeiku’s explanation has merit in such circumstances also because the payroll systems are mostly far less complex.