Cloud payroll software guide
What is cloud payroll software?
Cloud payroll software is a digital, web-based platform that companies can use for a variety of payroll-related processes, such as:
managing employee data
calculating taxes and superannuation.
The “cloud” part means that the provider hosts the payroll software on its own servers. The provider manages all backend processes (e.g. server management and data security), and offers service and support to your team as needed.
Read more: Understanding how ‘the cloud’ promotes business growth.
What businesses are investing in cloud payroll solutions?
Cloud payroll software is seeing the biggest spike in adoption among small to midsize businesses.
Small, growing teams might not have the capacity to manage payroll processes manually. In such cases, an automated, online payroll solution is essential. Cloud payroll providers offer multiple service tiers, so small and medium-sized businesses can pay for only the features they need (and scale up when they’re ready).
Cloud-based solutions allow larger companies to pay an unlimited number of employees (in multiple currencies!) and automate payroll reporting. Cloud payroll systems also streamline onboarding, as new hires can upload payroll-related information via the software. This makes them more efficient and cost effective to businesses than time-consuming and error-prone manual processes
Accounting firms can’t afford to spend valuable time on menial, manual tasks so often choose to free up capacity by digitising and automating processes, where possible. A cloud-based payroll solution streamlines payroll tasks, allowing accounting firms to focus on servicing their customers and other higher value work.
What are the main benefits of using cloud payroll?
Automated payroll calculations
Cloud payroll software automatically calculates:
accrued leave and other benefits.
Teams can also set custom calculations as needed.
Lower operational costs
The cost of cloud payroll software is minimal compared to on-premise solutions. There’s no hardware to install and maintain and the software provider oversees security and uptime, so businesses don't need IT staff to do this.
Less risk of human error
Cloud payroll automates calculations, reducing the risk of error. With fewer manual tasks on their to-do lists, payroll teams have more time to check (and double-check) any documents that do require manual input to ensure accuracy.
Automated compliance reporting
Most top-rated cloud payroll apps can automate STP reporting, track GST and lodge BAS, so you won’t need to worry about keeping payroll up-to-date and compliant in an ever-changing tax and regulatory context.
Centralised employee data
Cloud-based payroll apps keep all employee data in a centralised location and reflect updates in real time.
Automated employee onboarding
The administrative side of the employee onboarding process can be onerous as employers need to gather a lot of information for new recruits. Thankfully, cloud payroll software simplifies the process for everyone. For example, MYOB automatically:
provides new employees with necessary payroll forms
reviews employee forms for accuracy and completeness
creates new employee profiles once they’ve submitted their info.
This automation reduces back-and-forth, payroll-related communication between administrators and new hires, freeing up time and enabling a more streamlined and professional onboarding experience.
Simplified record-keeping and reporting
Cloud payroll software incorporates industry best practice so firms can maintain accurate and comprehensive records whilst eliminating redundancies and bottlenecks in their processes. With all data digitised and held in one centralised location, authorised users can also generate reports in just a few steps.
Additionally, many cloud payroll systems, like MYOB, include advanced reporting features that can help you identify inefficient processes, manage inventory and know when to hire more employees.
Modern cloud payroll app providers include data storage, maintenance and security as a part of their basic service package, ensuring secure payroll operations for businesses of all sizes.
Integration with existing workflows
Cloud payroll can easily integrate with the apps and software you use every day. That means if your employees love the time tracking app you’re using now, you won’t have to replace it when you launch your cloud payroll system.
Empowering your team with modern, digital tools will help them achieve more in their roles, while also delivering a more satisfying employee experience. This may help improve engagement scores and reduce staff turnover, helping to boost overall productivity.
How do you set up cloud payroll?
Setting up cloud payroll software requires minimal effort. Once you create an account, you can download and install your software in a few steps.
MYOB also offers mobile apps that employees can download and use to record their time and submit expenses for reimbursement.
Automate payroll and compliance with MYOB
Looking for a cloud-based payroll software that'll meet your team’s growing needs both now and in the future? MYOB has you covered.
Our software automates and optimises your payroll operations — saving your team time and enabling them to focus on the more pressing issues they face on a day-to-day basis.
Ready to get started? Sign up now to try MYOB free for 30 days.
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