Importance of Reimbursement Module in Payroll Software
Modern companies offer a variety of reimbursements to their staff. These reimbursements have become an important component of the benefit package, and now encompass much more than the traditional expense account. With these changes in the reimbursement and the increasingly dynamic nature of workforce, the reimbursement process has become a much more complex and time consuming function of Human Resource department. Traditionally this has been done via email or excels by the department. However as companies diversify, go multi-location and employs thousands of employees manual disbursement of this information becomes tedious and is error prone
The reimbursement module of Payroll software has the ability to process online employee expense forms. These expenses can be routed to appropriate personnel, approved online, and linked to accounts payable or paid through the payroll system. Travel management capabilities include premium and expense tracking, travel advances, cash receipts, and multi-currency functionality. This streamlined expense reimbursement process reduces the cost of managing employee expenses, while at the same time provides faster reimbursements to employees.
The Reimbursement module help employees to manage and submit their reimbursements and claims online and also provide managers with an online option for approval. Employees can view details of his claims and check the status real time. Online Modules of a payroll software extends relevant payroll related information to employees, managers and teams which enables them to perform important tasks and activities which ensures that payroll processing runs smoothly at the same time making sure that cost consuming activities are curtailed leading to a more efficient HR/Finance department.
A complete Reimbursement module to help you check reimbursement-head- wise balance due to each employee, given reimbursements, track bills submissions and also record dependents bills wise. Broadly the activities that can be automated with the help of Reimbursements Module in the Payroll software are
- Reimbursements accounting can be made in Payroll
- Several reimbursement codes be defined with pre-set maximum values
- Monthly / Yearly reimbursement transactions can be entered
- Component wise / employee wise reimbursement codes can be generated
- Monthly reimbursement processing can be generated
- Get complete reimbursement information like opening balance, entitlement, closing balance, previous transactions, etc. during claims process
- Year end processing with balance transfer to other components.
- Show reimbursement components in regular payslips or generate separate reimbursement payslips.
The Sage Pocket Reimbursement Module allows transparency into the reimbursement processing, eliminating human error and allows management to easily understand and control reimbursement costs. Some of the benefits are
- Allows you to set CTC related reimbursements, define dynamic reimbursement components like fuel, transport, medical etc. and define limits for each component.
- It gives you the option to link the reimbursement with the payroll module or else to pay it outside of the salary.
- If the monthly reimbursement entitlement is not availed of entirely then the residual amount accumulates till the end of the financial year when it is taxed and paid to the employee.
- The reimbursement module is also linked with increment in the payroll module, as well as the full and final settlement.
You can check http://www.pocket.in for more information on Reimbursement module of Pocket Payroll Software in India.