What is Epayroll
What we call epayroll is essentially an electronic payroll. This would include being paperless and environmentally friendly, or “green.” It would also include the data entry – the part where you begin the process of the payroll by actually entering the hours or the wages that you’re paying employees. Being able to do this in the cloud through the web is what makes it an epayroll process.
More specifically, epayroll is simply another word for “electronic payroll.” The process can include being paperless, green, and environmentally friendly if the user chooses to go with direct deposit or payment cards for their employees. However, epayroll is primarily referring to the data entry functions at the “front end” of the payroll process.
The stage in your payroll process where you’re actually entering the hours or the wages that you’re paying employees is where epayroll differs from traditional methods. By having the ability to digitally enter your information directly into the cloud, or “electronically” on the web – you will drastically simplify your data entry functions
In other words, electronic payroll, or epayroll, means that instead of taking pen to paper and faxing it over, or calling it in on the telephone, you’re actually submitting your data online through an electronic service.
What is the difference between paperless payroll and epayroll?
Paperless payroll refers to the output of the payroll process itself after the input and processing of the data. It requires that all employees be on direct deposit or have payroll cards. This is an option where an employer puts wages onto reloadable cards instead of a direct deposit to an employee’s bank account.
By utilizing electronic services to move funds around, whether it’s for 401k or worker’s comp, everything is done as a paperless process. For example, Paperless Payroll Management Solutions from Accuchex, also known as “Green Payroll”, combines tax payment with direct deposit and online access eliminating the need to have a payroll package delivered every payday.
Epayroll, or electronic payroll, on the other hand, can be a part of a paperless or Green, payroll system. However, epayroll applies specifically to the data entry aspect of payroll, where the process begins. In other words, it refers to the entering or hours worked or the wages that are being paid to employees. Because this is done electronically, it is referred to as epayroll.
Ideally, all wages and tax payments are sent electronically and online access allows for viewing, printing and saving all the payroll data. Typically, and epayroll system also provide employees with access to their wage history by logging into their own portal.
When Should You Use an Epayroll Process
In truth, any business of any size can make use of an epayroll process. It doesn’t matter whether you have all your employees on-site, or have workers in multistate locations, an epayroll system will vastly speed up and simplify the payroll process.
However, epayroll is especially beneficial for a smaller business in a more remote location, since having all the data entry done digitally eliminates the typical delivery costs. There is no need for an overnight courier service which can be quite costly. In addition, a business using an epayroll system would have all of their employees on direct deposit and electronic services only.
If a business is especially concerned with the environment and also wants to reduce or even eliminate forms, files, and various paper reports.
Who Uses Epayroll
The ideal user of a paperless epayroll service is somewhat tech savvy and working with and navigating an app on their tablet or computer. An epayroll system like Time2Pay®, from Accuchex, for example, is easy to use and comes with full support.
As business continue to recognize the economic benefits, savings and increased efficiency of using epayroll technology for their payroll processes, many companies are opting for mandated electronic pay structures.
Businesses run the risk of potential legal problems, however, because many wage payment laws at state and local levels have not kept up to date with the advances of payroll system technology.
All businesses must be in compliance with applicable federal and state laws and proper administrative guidance when moving to a mandatory epayroll process.
Because of the differences in state laws and requirements, some businesses with locations nationwide may not be able to transition to a completely paperless payroll process with an epayroll approach.
Benefits of Epayroll
Epayroll systems can effectively manage pay slips, reports, reimbursements, payroll and time tracking functions. By including direct deposit and other digital output functions, they also allow businesses to minimize and even eliminate the costs of printing and delivering pay checks and pay stubs to employees.
One of the biggest benefits of epayroll is cost savings. Because you’re not paying for an outside delivery service to pick up a payroll package and deliver it, all the while running the risk of the driver losing the package or delivering a payroll package to the wrong address and compromising confidential and personal information. Peace of mind and the security of guaranteed confidentiality.
Security is a major concern for every business and for individuals. The threat of identity theft and cyber-theft of businesses is a growing reality and by eliminating paper pay stubs, businesses can drastically minimize the potential of sensitive information being at risk. If a pay stub doesn’t exist it can’t be lost or copied.
In addition, an online system will provide your employees the peace of mind and convenience of viewing their pay stubs securely and at home. And having an online paycheck system along with online reports also means no lost records.
Another significant benefit is the reduced impact on the environment. Businesses of any size produce a great deal of paper. An epayroll system, like Time2Pay®, allows users to only print out the specific physical paper reports that they want, or simply log in and save whatever reports they want to another file.
It’s totally paperless so a user is not producing excess paper, not having to create space for storage, and is not disposing of continual volumes of waste paper. This means decreased cost, increased security and greater convenience.
According to an APA survey, over 40 percent of U.S. workers still receive a paper pay stub. That is equivalent to almost two billion paper check stubs annually. In addition, over 74 percent of employees in the U.S. still receive paper copies of their annual Form W-2s.
While eliminating all paper may still be a long ways off for now, a large and significant reduction in paper use and waste paper accumulation can be achieved in a business with a green payroll system.
With the epayroll options available today, your company can choose to extend payroll automation and information access to employees and managers to further improve bottom line savings. Epayroll allows companies to move beyond the traditional payroll processing methods by incorporating email and the Internet.
More and more companies are using pre-planned e-mail alerts and web-based employee self-service portals to automate the key information and workflow processes that are critical to accurate, on-time payroll.
Epayroll provides employees with convenient 24/7 online access to their detailed payroll information, pay history and payroll elections and can significantly reduce pay errors and subsequent issues. Businesses benefit from the savings and increased productivity from automating and streamlining functions like timesheet collection, gross-to-net processing, paycheck distribution and W-4 changes.
Accuchex Epayroll Software
Time2Pay®, proprietary and robust Accuchex payroll management software provides you full access to all of your company’s detailed information, allowing you to view, update and manage your company and employee records 24 hours a day, from anywhere with ease.
In 2002, Time2Pay® was one of the first to the market offering cloud-based payroll computing, designed for easy and secure access on the web. With this innovative payroll platform, employers continue to be on the leading edge with the robust features and functionality. No more “store forward” and overlapping data entry. If you can access a web-browser, you can do your payroll, anytime, anywhere. You can enjoy the ease and cost-effectiveness of operating in a real time, web or PC environment.
Technology has allowed us to provide products and services more efficiently and cost effectively. In addition to is the expertise and commitment of each Accuchex associate.
Employee Self-Service. (E.S.S.)
Another component that can be employed with an epayroll process is Employee Self-Service or E.S.S. This gives your authorized employees 24/7 selected access to their own payroll information on-line. With E.S.S. your human resources personnel are freed from a great deal of work by allowing employees to view their personal wage history, evaluate their tax status, enrolled benefits, and emergency contacts themselves.
Functioning within a secure environment that is password protected, employees can accomplish a number of tasks including:
- Review their personal payroll data, including paycheck detail, historical check detail, year-to-date pay summaries.
- Review tax withholding status information and trigger for change compliance
- Confirm Direct Deposit profiles
- Review personal information including address, phone number, emergency contacts, etc.
- Review snapshots of their previous employment, skill sets, education credits, licenses, certifications, awards, etc.
- Review their current deductions including benefits premium contributions, allocated savings and garnishment and wage order goals.
Additionally, Employee Self Service is ideal for those employees who work in the field or far away from the brick and mortar business. Using specific access roles, employees can be given permissions to add or change information in certain fields and to print Direct Deposit wage statements and check vouchers.
Paperless Payroll Using Epayroll With an Online Payroll Provider
There are many reasons why businesses should consider transitioning to a “green payroll” process. Additionally, outsourcing your payroll process is often a great option, as well, especially for small to medium sized businesses that may not be able to afford dedicated human resources and payroll clerks.
Outsourcing payroll can save staff time, money and be the best payroll solution for your business. In addition, a payroll services like Accuchex offers related services including payroll tax services, insurance solutions, and HR functions.
As society becomes more environmentally aware and looks for ways to reduce excess waste, choosing an online payroll solution becomes a “green” choice. It greatly reduces paper usage, saving you money, and helps retain our natural resources for future generations.
With more and more people choosing direct deposit of their payroll checks, there is less need to print paper checks except for special circumstances. With the convenience of direct deposit, employees no longer have to leave the office during work hours to deposit their checks. With an expert payroll company like Accuchex, setting up your payroll online can be quick and easy and is a winning combination for everyone involved.