Is Your Payroll Software Ready to Adapt New Payroll Trends for 2021?
The year 2020 and 2021 has been a challenging time for humans. Industrial sector has experienced challenges as well. A sudden shift from office to home has proved to be positive for various sectors but it can’t be denied that there are certain industries which cannot function on virtual note. These changes have increased the need to plan the future for the payroll considering these changes.
Let’s dig a little and understand few changes that can be experienced in future:
Outsourced payroll to experience downfall
Even today organizations tend to opt for outsourced payroll software in India. With time organizations have realized outsourced payroll had advantages and disadvantages. However the disadvantages weighed more than the advantages. Employers have started to ponder on the advantages of opting a payroll software instead of outsourcing.
No doubt advantages such as no requirement of training of the employees or hiring an in-house expert is diminished by outsourcing the payroll process. But the last minute changes are capable of halting the payroll processing for the entire organization.
Flexible payment options
Pandemic has made it inevitable for the new changes. The world has come to a standstill. It has increased the requirement of increasing flexibility. The change from a check to a direct deposit has not been easy. It started from the day when the employee had the option to choose to opt for a check or digital transfer to evidently shift to complete digital transaction.
Cryptocurrency has taken a leap in these years. The experts have predicted that payments using cryptocurrency will increase by the end of 2021. As attitudes towards cryptocurrency have turned positive. The companies might even introduce rewards using cryptocurrency. Payroll vendors have started considering accommodation of payments via cryptocurrency.
AI in Payroll
There is no doubt in how advanced the world has become with the assistance of artificial intelligence. Technological applications aim in automation of various processes. Similarly, vendors dealing in payroll software in India have started pondering on introducing new features for auto functioning of the payroll department. AI works towards automation of tasks diminishing the risk of error and backing the payroll to focus on development of the organization.
Payroll software can be efficient with great compliance. As payroll deals with transactions related to the organization including obligations implemented by the government. A minute error has the potential to cause chaos within the organization. AI aims to decrease the risk of error and maintain a fair check on the employee’s life cycle. Payable tax details, auto update of the tax rules, changes in the EPF scheme implemented by the government to name a few.
With changing times the gig economy has taken a leap. Organizations have started to consider hiring new employees based on the requirements. Earlier employer’s haunt candidates to work as full time employees. But the pandemic has changed how businesses function. They have started hiring employees on contractual basis and freelancers for a specific period of time. Payroll software has to be designed in a way that can equippe to process payments for such employees. Payroll software in India in future is expected to be capable of processing payroll for independent employees and contractual employees.
Payroll software aims in keeping the application updated with features in accordance with the requirement of the upcoming generation. The vendors have considered three main factors while updating a software, i.e integration, scalability and support. As changes mend by the vendors might not support the application integrated with the existing software. The support system established by the vendor smoothens the transition and keeps upping the opportunity for the employees to learn new skills.
These are a few features that can be seen in the future which a payroll software can experience. Technological advancements are meant to rise with time. It is wise to stay prepared for the upcoming changes with well structured IT infrastructure.