A Complete Guide on How to Manage and Process Payroll in Singapore

If you want to be in the good books of authorities, you must be careful and prompt with the execution of your Singapore payroll. If you are a newbie business owner, here is a guide to manage and process payroll in Singapore.

What is the Singapore Payroll?

As a Singapore employer, you must pay your staff accurately and on time. As per the Employment Act, you must pay them within 7 days of the end of your pay cycle.

However, the trouble is that you must follow pre-defined labour and payroll rules and regulations as if your life depended on it. Keeping abreast of changes in these rules requires time and is challenging for business owners.

It is a job for professional firms like payroll services in Singapore.

The payroll itself has multiple components you have to factor-in in the calculations of employee salaries, mandatory contributions, taxes, deductions, Etc.

Look at the payroll process in Singapore from any angle, and you will find it time-consuming and complex. Doing it in-house can tax your HR or Finance department. It reduces these specialists to manual data entry operators. It is best not to waste their skills and talent.

So, you have a decision to make, whether to reduce your workload by hiring a firm providing payroll services in Singapore or bogg down your internal resources with extra work they may not have deep insights into.

And even if you employ payroll personnel, there is no guarantee that they will be able to handle all the payroll challenges that fate may throw in your face.

Failing in your payroll compliance eventually leads to grave issues:

• It may lead to fines or penalties for you and your company.

• Most importantly, it can sour your relationship with your employees.

• A resentful work environment is terrible for productivity.

• It may also harm your reputation with your suppliers, vendors and lenders.

If you only understand the consequences of non-compliance in-depth and nothing else, it will still fulfil your purpose of going through this guide to manage and process payroll in Singapore.

Why Choose the Best Payroll Services in Singapore?

Here, the guide to manage and process payroll in Singapore presents a few critical reasons to convince you to hire a third-party firm:

Eliminate Human Errors

Payroll processing means lots of calculations. And you know a simple mistake can lead to wrong salary amounts unless spotted in quality checks. Even if you catch it, it will delay your salary disbursement as you will need extra time to redo the calculations.

Payroll mistakes can happen due to using old tax rates, wrong formulas, or simply because of typos.

Payroll services in Singapore know how to run a streamlined payroll. It is what they do day in and day out. Their specialists simply know how to reduce human errors. They do it by automating your tasks by using the latest software systems and technology.

Eliminate Fines and Penalties

Your firm, providing payroll services in Singapore, knows how to calculate the correct amounts of mandatory contributions like CPF and Foreign Workers Levy.

Their payroll experts calculate these amounts using the latest rates. By doing so they help you deposit these amounts in time with the proper authorities and avoid fines and penalties.

Employee Satisfaction

Employees are eager for the arrival of payday. Timely payment of their salaries is a highly motivating factor for them. And they respond with enhanced productivity and efficiency. Both these things matter for the positive bottom line of the company.

Paying the employer's and employee's CPF contribution on time also matters. Your payroll services in Singapore execute these tasks impeccably. It shows that you care.

Business Growth

When a business grows, it hires employees in increasing numbers. It expands the scope of business operations. You start feeling that the time at hand is short.

If you have geographically distributed employees, it also contributes to the complexity of the payroll. It is when you need the best payroll services in Singapore to give your task a professional touch. They take care of statutory, tax, and labour-related regulatory compliance.

This guide to manage and process payroll in Singapore is for reference only. If you are having payroll difficulties, you need to contact and discuss your needs with a representative of the best payroll services in Singapore.