Are you a startup looking for the perfect blend of deep-tech unified business application and finance experts? Wondering how managing Accounting, HRM-Payroll and Compliance functions through one application run by dedicated Accountant and Payroll experts can help you? Struggling to decide what's the best buy?
We have you covered. The blog highlights the top 17 features of an all-in-one Finance and HRM application and Finance experts. For the busy folks, simply download our snappy checklist.
What is a HRM & Payroll, Accounting Application
HRM Payroll Accounting application is a cloud-based software that automates Accounting, core HR, Payroll and Compliance functions through one system. It enables businesses to manage the hire-to-retire experience of an employee in an organization through a single application.
Payroll Accounting refers to the process of computing, tracking, filing and paying employee salaries. It encompasses key tasks such as:
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Monitoring employee work hours
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Capturing and tracking leave and attendance
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Computing employee salaries
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Generating pay slips
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Calculating F&F settlement
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Determining taxes
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Disbursing salaries
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Maintaining payroll cost reports
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Providing real-time view on employee expenses, reimbursement, claims, project status etc.
However, Payroll Accounting covers a broader scope of accounting functions namely:
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Recording and computing overtime pay
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Capturing, approving and computing sick, paid and unpaid vacation leaves
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Calculating company benefits, bonuses and profits
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Making payments for government benefits
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Recording and filing employee taxes
So, we know what an HRM-Payroll and Accounting application means and is expected to do. Now let's get into the top 17 attributes of a best-to-buy all-in-one application.
What are the features?
The main features of an all-in-one HRM and Payroll Accounting Application vary from one software to another. However, an ideal application must have certain essential and desirable features.
- One workforce: It should be an application that connects all employees with vendors, customers, banks and accountants on one platform. HRM, Payroll and Accounting should be managed through a single sign-on interface and not through multiple sign-ins and tools.
- Centralized employee data: The application should be a central, self-service portal for employees. This means it should capture all the important employee data including salary, benefits, tax status etc.
- Hire-to-retire experience: A fully integrated application should manage the entire employee joining to exit process. One system should manage the entire employee lifecycle process - onboarding, employee experience, performance and feedback management and exit processes.
- Leave and attendance: It should be a space to manage leave and attendance records easily. Employees should be able to check sick leave, leave of absence and overtime records.
- Alerts and Notifications: The application should constantly remind employees of important events through notifications for eg. tax payments, salary due dates etc. It should alert and remind employees of pending tasks for eg. approvals for submitted leave requests.
- Connected Accounting: An HRM Payroll application should be connected to Accounting. When it is all on one system there is a universal dashboard view of every business transaction in the company.
- Real-time Reporting: Payroll Accounting on one application ensures real-time recording, tracking and reporting of financial data. This helps startup owners forecast, plan and make strategic business decisions.
- Time and Attendance Tracking: Time, attendance tracking and management help employees to clock in and out and track their working hours, leave and vacation time. It helps employees manage their time effectively and take better decisions.
- Payroll processing: Payroll application should automate computing employee salaries, benefits, bonuses and deductions, processing payments, and generating pay stubs.
- Tax compliance: It should ensure compliance with tax laws and government regulations. The application should automatically calculate and withhold payroll taxes, generate tax forms and update based on changes to tax laws.
- Connected Banking features ensures easy payout to employees by connecting to the startup bank through API and H2H banking.
- Employee self-service: The application must include a self-service portal for employees. It should let employees access pay stubs, update personal data, request time off and track project status, claims, expenses etc.
- Payslips: There should be a salary slip module to easily generate payslips. This will help employees and businesses keep a tab on the payment records.
- Expense management: The application should allow expense receipts to be uploaded in real time with instant alerts to Accounts for processing claims. The employee dashboard should auto-reflect the stage where the claims processing is at.
- Dedicated Accounting and Payment rooms: Another desirable feature is to have separate sections for Accounting and Payment. This will help Accounts stay on top of overdue transactions and avoid reimbursement delays.
- No per-user-based fee: It is advisable for the application to not follow a per-user-based license fee model. This increases the cost burden on startups.
- Services-Application combination: Another USP is to see if managed services and a unified application are offered as a bundled package. This means having the best of both worlds. World-class Accountants and Payroll professionals manage a company's HR & Payroll Accounting functions through one application.
We have already covered the benefits of Payroll Accounting on one application. Let's address how you can go about choosing the right HRM-Payroll and Accounting Application.
How To Select The Best HR & Payroll Accounting Application?
HR & Payroll Accounting applications for startups can entirely transform the ease of doing business. It automates mundane payroll procedures improving business efficiency and freeing up your resources' time from administrative processes.
When investing in an all-in-one Accounting and HRMS application carefully weigh your company's objectives, needs and budget. Take some time to consider all the reasons why you want to invest in an application. Start by being clear about the objectives and the outcomes you desire.
Begin by asking yourself a few basic questions:
- Does the application have all the 17 specific features listed above?
- Does it have HR, Payroll Accounting and Compliance all on a single platform and accessible through single sign-on?
- Is it a universal system that connects employees, vendors, suppliers, banks and accountants all on one platform?
- Can it customise payroll solutions according to specific business needs?
- Is it scalable adapting throughout the start-growth-maturity-exit lifecycles of my business?
- Does it fit within my company's budget? Is there any hidden fee?
- Is the pricing plan flexible? Does it strap you into a year-long contract? Are there drop-out charges for leaving mid-way before the expiry of the plan?
- Is the application self-service i.e. requiring no technical assistance during set-up?
- Does it offer a free trial?
Answering these vital questions will help you select the best HR & Payroll Accounting application for your startup. Let's study these factors in detail.
Key Features:
Below are few key features to watch out for during a product demo.
- Payment Type: How do you want to pay your employees? Direct deposits or pay checks? You want your Payroll Accounting Application to be flexible to support different payment types.
- Pay Period: When do you want to pay the salaries? Every week, bi-weekly, or at the end of every month? Choose an application that lets you pay your employee whenever you want. Supplement wages: If you pay your employees bonuses, commissions, or benefits you need an application that can support supplement wages.
- Time and attendance: Time and Attendance helps track the working hours of your employees. You can have your employees enter the hours online or enter them yourself.
- Supports Core HRM: One application should manage employee onboarding, experience, feedback and performance and exit stages of every employee.
- Custom employee dashboard: Employees should get a custom self-service dashboard. They should be able to monitor all projects, claims, expenses, reimbursement, project status tracker etc.
- Self-service: The application should be easy-to-use and deploy. It shouldn't require any technical assistance and should make it easy to run the payroll process. Even so, if you think technical services support is your priority then compare what's on offer.
- Human Expertise: If professional services are your priority then consider signing up with a service provider who provides both. Get Accountants and Payroll professionals backed by a unified application to get the best of both worlds.
- Contract: Don't get strapped into iron-clad, annual contracts. Go for a transparent option. Opt for quit-at-anytime without penalty, or additional fee if you dropout early.
What's the best bet?
Entries AI perfectly blends Accounting, HRM-Payroll and Compliance application and Finance experts for growing startups. It marries Accounting and Payroll services with an all-powerful business application. Together, they can catapult your company's growth to a stratospheric level.
It checks all the boxes of an affordable, unified SaaS Accounting, HRM and Payroll and Compliance application. It is delivered through a dedicated team of highly qualified Accountants and Payroll professionals. It is custom-built for startups to transform them into a performance powerhouse.
Go through this checklist carefully to see if Entries AI checks all these boxes and more.