Payroll refers to the process by which employees receive their salary. Functions involve balancing and reconciling payroll data and depositing and reporting taxes. ... The payroll department delivers payroll checks, maintains compliance with tax laws, records paperwork for new hires and edits existing employee files.

One of the most important tasks thus is processing of their payroll. Employees need to be able to rely on being paid on a consistent basis without delays. Irrespective of the size of the organisation, payroll plays a huge role in maintaining the morale of employees to the financial stability of the company

The first and most important goal of any payroll system is efficiency. Efficient payroll systems save time and money by ensuring that paychecks go out on time in the correct amounts each pay period. Once the system is set up, many parts can be automated, to reduce errors and delays.