Tag Archive: online payroll


Philip Meyer

Philip Meyer

Connected Services enables SME companies to extend their desktop payroll with an online solution that eases the growing burden of HR managers and payroll administrators.

Connected Services includes a web-based self-service tool that enables employees to manage and maintain their own information online, thereby carrying some of the overall HR administration responsibility. They are able to make online applications for leave, loans, bursaries, travel claims, view their payslips and update personal information no matter where they are so long as they have an internet connection.

The adoption rate of online business software for new entrants into the market is increasing, posing the question of how to bridge the gap between the growing trend towards online software adoption and the traditional desktop application users in the same market segments.

The advantages and conveniences of connected services assist with expediting the many benefits of dual-deployment business software models such as client-side hosted applications with significant connected services capabilities and functionality, together with a seamless upgrade path to ultimately complete cloud-based models facilitated by vendors.

Connected Services has workflow capabilities based on the organisation chart or specific workflow orders per online form. Once an employee applies for leave online and it is management approved, the payroll & HR systems are automatically updated. The software also provides for leave scheduling, particularly practical over traditional December holidays when “skeleton staff” is required. The programme helps to manage minimum staff levels by providing system warnings.

When applying a connected services solution such as Self Service, companies should consider a hosted solution.  This guarantees quick deployment at low implementation cost, meaning companies do not have to invest in additional infrastructure to host the online application. All a company needs is an internet connection and a computer.

Frictionless (automated) payroll legislative updates
Frictionless updates are another example of connected services. This functionality enables traditional desktop applications to seamlessly update over the internet with minimal intervention from the end-user of the software.

Users no longer need to visit a website to download and install updates or CD versions manually as the connected services functionality does it all for them, directly from their payroll software. The days of CD-based updates and disruptive installation and implementation cycles are over.

RSS Feeds within payroll software
Another component of Connected Services allows HR managers and payroll administrators to receive RSS feeds to their desktops notifying them of legislative and tax changes as well as new system software releases so that the company is always on track and up to date.

The internet and, more specifically, cloud-based and online business applications constitute some of the most compelling opportunities for streamlining the way business is now conducted. It is reassuring that the optimisation of internet capabilities will almost certainly not amount to a one-size fits all model.

It is rather the incremental evolution of traditional desktop software, leveraging the internet where it is appropriate and business enhancing, that is playing an important role in the evolutionary shift to complete cloud-based business software provisioning, billing and deployment. This is providing a flexible and extensible migration path to the cloud, taking into account preferences of individual business requirements, as will pure cloud-only offerings.

Reduce payroll fraud and bank rejections with automated payroll software
Opt for a payroll vendor that can offerID number and bank account validations, as well as Employee Credit Checks and the delivery of secure salary EFT payments directly from the payroll software.

Companies need to take steps to avoid paying fake employees and can reduce payroll fraud and bank rejections, ensuring that they avoid stalling when processing salary payments. By combining monthly employee ID Number validation and verification with monthly bank account validation and verification together with secure payment services, companies  ensure that not only are they paying the correct employee through the correct bank account, but also that the payment is expedited in the most secure manner possible.

By validating and verifying the ID Numbers on the payroll, companies create complete peace of mind in the knowledge that not only has their employee provided a valid ID Number but also that the ID Number has been verified as belonging to the associated employee and is recorded on the Department of Home Affairs list of official ID Numbers. This eliminates both fake ID Numbers as well as ID Numbers not associated with the given employee.

With secure salary EFT payments, payment batches can be created automatically within a payroll system without creating the infamous “text files” which on some payroll systems needed to be stored on the hard drive of the Payroll Administrator’s computer and then forwarded or transferred to the authorised user of the banking software for transmission to the relevant bank. Avoiding editable payment  text files improves efficiency and eliminates yet another potential area for payroll fraud, ensuring a tamperproof payment is imported into the banking software.

By performing credit checks on employees, companies and Human Resource managers are provided with valuable information on existing and potential employees including judgments, defaults, notices / alerts, fraud listings / indicators, marital status spouse details and all residential address details. Reports can sourced from the three main credit bureaus in South Africa, namely TransUnion, Experian and XDS.

For more information on in-payroll software ID Number and Bank Account validation and verification services, contact Sage Pastel Payroll & HR and enquire about their Sage Pastel Connect Module.

For the latest legislative news, connect with Sage Pastel Payroll & HR. on Twitter (Payroll News), LinkedIn, Facebook.

By Karen Schmikl, Legislation and Liquid Product Manager at Softline VIP, part of the Sage Group plc. 

Karen Schmikl

Karen Schmikl

When Softline VIP launched its first online payroll system, Liquid, we never dreamed the uptake of the product would be so astonishing.  One year later, we have 900 clients that have signed up to Liquid, servicing around 8 200 employees.  Liquid is experiencing tremendous growth for a young system and serves as a good example of the increasing shift in the industry towards an online mindset.

At the heart of Liquid’s design, was the development of an online payroll system that is user friendly.  We wanted to make sure that the user did not need a trainer or a consultant, negating the need for human intervention to a large extent.  The fact that a score of clients signed up – online – without even contacting Softline VIP, speaks volumes for the product.

I believe that online offerings will be playing an increasingly larger role in all markets across the board.  The cloud is however far from replacing desktop applications and greatly compliments any desktop offering at present.  The demand is certainly there with clients increasingly showing interest in the use of desktop solutions in the cloud.  A solution that provides more accessibility and something that is not bound to a desk that can be used from anywhere, fits the description of what the market wants.  New technology, such as the launch of HTML5 will further enhance this thinking by making online offerings platform friendly, further mobilising the market to use any device, anywhere.

The beauty of using an online solution is that you don’t need to be a technical IT guru to use the programme, you simply log on.  You actually need to be more tech savvy to load a software programme on your desktop machine or laptop.  Some of our users find themselves in rural areas and having access to a consultant or IT support is challenging, whereas an online offering eliminates the need.  Connectivity does however remain a concern with many outlying areas only having access to 3G, if at all.  Despite the fact, many still prefer an online solution as it makes financial sense.

If you had to look at an online offering purely from a software perspective, you would however be forgiven to think that it is the more expensive option.  But when you consider the bigger picture, it may not necessarily be the case.  Users do not have to worry about antivirus programmes, upgrading hardware, loading software, the running of a datacentre or making back-ups.  It is part and parcel of an online offering in addition to a telephonic support centre for added peace of mind.  It just makes financial sense, making it the ideal vehicle for SMEs who do not have the initial cash flow to afford the software infrastructure needed.

A year ago, very little people knew about online payroll systems.  The enormous growth that we have experienced with our online payroll solution, clearly indicates that the market is considering different ways of doing their business.  The demand for online solutions will continue to accelerate, slowly but surely closing the education gap and the fear of the unknown.