what is a payroll officer?
As a payroll officer, you are responsible for administering payroll. Your job involves calculating employees' dues from their attendance sheets. You also process salary entitlements, including superannuation, and remunerate payroll taxes. You must determine the amount each employee is paid and the statutory deductions from salaries. A payroll officer also plays a role in the company's financial reporting, putting together monthly, quarterly and yearly payroll statements. Annual reports ensure companies comply with government regulations and reporting standards.
what does a payroll officer do?
Payroll officers undertake various tasks that involve crunching numbers and collecting data. You ensure the payroll information is up to date and workers are paid on time. Aside from maintaining payroll records, you set up new employee records. You use company policies to determine workers' salaries from work hours and employee leave days. A payroll officer can work in various industries. That means you could work in retail and consultancy companies or technical sectors like manufacturing, agriculture and construction.
payroll officer jobsaverage payroll officer salary
The median remuneration package for payroll officers is $60,000 per year. The salaries fluctuate depending on experience, business sectors and qualifications. A payroll officer pays a salary of $55,000 per year at entry-level positions. With experience and more responsibilities, your remuneration package increases. Some payroll officers take home a salary of over $72,000 annually.
what factors increase the salary of a payroll officer?
As a payroll officer, your remuneration package depends on your qualification and experience level. That's why entry-level payroll officers receive a lower remuneration package than experienced ones. Your qualifications also determine your earnings. When you have additional skills, you will likely earn more since you take on other responsibilities. Your location may also influence your salary due to cost of living fluctuations, with higher remuneration packages in metro areas due to the high demand for payroll officers.
types of payroll officers
Payroll officers depend on the clients they work for and whether they work internally or provide services to various clients.
- internal payroll officers: you provide in-house payroll services for your company. You process salaries and statutory deductions and remit employment taxes on behalf of your employer. You also prepare monthly and annual payroll reports and assist in implementing the company's employee policies.
- external payroll officers: you provide consultancy services to various companies. For instance, you calculate and administer payroll services for specific clients and help them comply with statutory regulations. Since you manage multiple accounts for different clients, organisational skills are vital in ensuring you adhere to the policies of each company.
working as a payroll officer
As a payroll officer, you are a crucial member of the organisation since you manage the payment process. Read on for insights on the duties and work environments of payroll officers.
-
job description
The standard tasks of payroll officers include:
- collecting and compiling the timesheets for employees: your primary task is to ensure workers receive their pay on time. You collect timesheets on time to ensure that part-time and weekly wages are paid. You also input the correct information into payroll software to calculate the correct monthly payment for full-time workers.
- calculating work hours: as a payroll officer, you collate each employee's work hours. While the work hours for full-time employees are standard, employees on hourly contracts or with irregular shifts use a timeclock to track work hours. You collect information on recorded hours to prepare accurate pay.
- calculating deductions: employees have deductions and benefits that affect their salaries in their remuneration package. During payroll processing, you calculate the deductions for workplace schemes and employee benefits like car allowances to determine the right remuneration to pay an employee.
- preparing employee remuneration: you should factor in overtime, commissions, bonuses and any incidents that warrant extra pay. Calculating accrued bonuses and overtime pay ensures employees receive the full remuneration package and all the necessary taxes are paid. You also handle the superannuation for every employee and account for annual leave and paid holidays.
- ensuring tax compliance: you remit all taxes to the national tax office monthly under the single-touch payroll (STP) system. You ensure the government receives all the taxes and deductions related to employee pay for the tax year.
- delivering payslips: when you have the correct salary figures, you schedule electronic payments and deliver checks to ensure employees receive salaries on time. When the payment process is complete, you send payslips to employees in electronic or paper form.
- creating payroll reports: as a payroll officer, you create different reports analysing the salaries and taxes paid. The reports are usually a requirement by the ATO and for internal bookkeeping functions and are needed in the event of pay disputes.
-
work environment
You work in various industries as a hired in-house resource or an external payroll provider as a payroll officer. Regardless of the business sector, you will likely work in the human resources or accounting departments. Most payroll officers work in office environments and accomplish their tasks from a computer. There is minimal travelling unless a client requests a meeting at their premises. Since technology is used to process payroll, you can work from a remote location or work from home to complete all the tasks.
-
who are your colleagues?
Depending on your employer and the industry you work in, your colleagues might include payroll clerks, payroll specialists, hr managers, business analysts, and office managers. You might also be working close to human resource officers, and other specialists that could consist of, but are not limited to, accounts payable officers, accountants and office managers.
-
work schedule
A payroll officer can work either full-time hours of 9 am to 5 pm or part-time hours. Payroll officers rarely work overtime, but sometimes, they work evenings to meet deadlines and ensure the payroll is processed on time. Some payroll officers work on short-term contracts or are freelancers, allowing them to set their preferred work hours.
-
job outlook
Payroll officers are highly sought after. The introduction of single-touch payroll (STP) requires qualified payroll officers with in-depth knowledge of employee remuneration packages. As a payroll officer, it is important to upskill to remain competitive. Improving your qualifications also prepares you for alternative career pathways like becoming a human resource officer, office administrator or compliance officer.
-
advantages of finding a payroll officer job through randstad
Finding your payroll officer job through Randstad provides essential benefits such as:
- a wide variety of training and development opportunities
- an experienced contact person to provide help if needed
- a range of opportunities in your area
- get paid weekly or monthly, depending on the job
- temporary and permanent contracts
Want a permanent contract? A temporary job as a payroll officer is often a stepping stone to an attractive permanent job. Thousands of people earn a permanent contract with great employers every year thanks to a temporary job found through Randstad. What's more, many companies recruit their permanent employees through Randstad too.
education and skills
There are no strict credential requirements for becoming a payroll officer. However, many employers expect payroll officers to have vocational qualifications. Some of the educational requirements to consider for the role include:
- University courses: completing a vocational programme or college course proves your expertise to employers. Most payroll officers pursue a certificate in accounts administration or a diploma course in payroll services. The courses equip you with the fundamentals of payroll administration. You also require additional training in payroll systems and software like Xero and MYOB. If you want to progress to higher positions, consider completing a diploma in human resources management or a bachelor's degree in a relevant business course.
- work experience: as a payroll officer, you require work experience to provide effective payroll services. You can gain experience in the field through internships and entry-level jobs like becoming a payroll clerk or an accounts assistant.
payroll officer skills and competencies
Some of the skills and competencies of a payroll officer include:
- attention to detail: a payroll officer needs the ability to spot problems and resolve issues swiftly. When you are detail-oriented, you can spot issues in the payroll process and fix them promptly. Your attentiveness to details reduces the margin of error in payroll calculations and reporting.
- integrity: as a payroll officer, you handle significant confidential and sensitive information concerning employees. You are also responsible for paying everyone their dues. Integrity is essential for ensuring privacy and keeping employees' details secure.
- continuous learning: technology and payroll regulations are evolving, and it is essential to learn to keep up with the changing requirements continually. Attending learning and development courses is important to help you understand things like new tax rules.
- maths skills: payroll administration involves crunching numbers. Having solid maths skills is useful for double-checking facts and figures manually. Maths skills also help you think logically and analytically to accurately complete your work.
- it competence: as a payroll officer, your job involves preparing payroll activities using software and digital systems. IT competence helps you complete your functions accurately. Knowledge of cybersecurity is also valuable for keeping the information secure.
FAQs about working as a payroll officer
Here are the most asked questions about working as a payroll officer:
-
what is the duty of a payroll officer?
As a payroll officer, you use single-touch payroll systems to process employees' salaries in your company. You collate the timesheets and attendance to calculate the hours worked and corresponding pay. You also complete tax calculations and deductions and remit them to the national tax office. Sometimes, you prepare monthly and annual financial statements on payroll functions.
-
how much do payroll officers earn?
The median remuneration package for payroll officers is $60,000 annually. The salary fluctuates depending on the experience levels and skills. Senior payroll officers earn over $72,000 per year. You also receive multiple benefits and allowances for working in the role.
-
what skills are necessary for a payroll officer?
A payroll officer requires exceptional technical and numeracy proficiency to calculate employees' work hours and corresponding salaries. You need excellent problem-solving and detail-oriented skills to prepare payroll. Your attentiveness to details also helps you avoid errors and disputes.
-
how do I apply for a payroll officer vacancy?
Applying for a payroll officer job is easy: create a Randstad profile and search our payroll officer job offers. Then simply send us your CV and cover letter. Need help with your application? Check out all our job search tips here.