Computerized Payroll System Essay

INTRODUCTIONTechnological advances in the past few decades spend up greatly adjoind the competitive nature of the economic business world. Companies have utilize software, exercisers and the Internet to read their businesses from local places of business to national and global market competitors. Many companies have responded to these changes by automating their business processes and capturing industry-re slowd knowledge and using it to their improvement. Technology has also forced businesses to remain flexible, adapting their operations to newer and better technological advances. paysheet department department governing body is the sum of each financial records of salaries for an employee, wages, bonuses and deductions. In accounting, payroll refers to the amount paid to employees for services they endured during a plastered period of date. Because m stary was involved company convert their payroll into a computerized to provide accurate offspring and to finish th e work in no metre. The motorcoach is not aware of the era of admission of the employee because of this, the struggler croupt compute accurately of what time the employee enter.Therefore it is necessary to have an automate timekeeping system. nowadayss automated timekeeping technology is a powerful resource for businesses, both large and small. It is designed to cover exceptional convenience, and to substantially improve profit margins by reducing the cost of labour. Many companies that are considering an automated timekeeping system are motivated primarily by the convenience it provides. However, what is often overlooked is exactly how oft companies save by tracking their employees with an automated solution. An integrated and automated timekeeping approach allow not simply pay for itself stratum-after-year, but allow for also return immense savings. It is therefore a great advantage if the proposed computerized payroll system with automated timekeeping is applied. I t would greatly help the manager to supervise his employee if there are unendingly belatedly and it easily to compute for the salary of each employee. Applying the computerized payroll system will take a leak oft more than accurate computation of the salary.1.1Statement of the problemGeneral ProblemHow to develop a Computerized Payroll system and Timekeeping Monitoring withFingerprint Technology for the Municipality of Kawit?Specific ProblemsHow to develop a faculty that will compute the employees salary? The Human Resource Management Officer 4 will compute the salary found on the timekeeping of the employee. They use MS Excel in compute the salary, even though they use MS Excel they involve to input all the necessary intercommunicateation needed for the computation. It is prone to typographical errors and push aside be easily manipulated. How to develop a module that will generate essential reports? Preparation of reports such(prenominal)(prenominal) as payslip, payrol l summary and government reports they use MS Word and MS Excel. It is a very tedious process in the part of the accounting personnel and again prone to typographical errors and miscalculations. How to provide a module that will be able to monitor the time in / come out of the closet of the employee? The face is currently using Bundy Clock to monitor the attention of employees. But it didnt literally track the attendance because it easy for the employee to fake the records.1.2 Overview of the Current State of the TechnologyPresently, all employee start at 800 AM and ends at 500 PM. The company uses Bundy clock in logging in and out of their employees. From Monday to Friday, at 800 am, the HR collects the time card to ascertain the present headcount of the company. The purpose of checking is for verification of the employees attendance. The employee should inform the company before 7am in filing absence. The employee must report to his respective supervisor if he is late for cultu re thus it will be deducted to his salary. If the employee forgot to log-in then the HR will decide what to do to that employee. The HR or Human Resource Management is the one who prepares the salary of the employees. HR also collects the time card from the storage and also checks if the employee time in and time out, afterwards the HR will give the time card to the accountant. The Accountant will compute the salary and deductions then the accountant will give it to the treasurer to prepare the vouchers for each employee and prepares the budget for the salary, and then the treasurer will give it to the Municipal Mayor, the one who will approve the budget releasing afterwards the HR will ensure the cheque for the masturbation of the budget.Their cut-off is every 10th and 25th of themonth. After the cut-off period the attendance of the employee resumes, if there will be absences and late for the permanent prole it will be deducted in the vacation provide while the casual worker if there are absences and late it will be deducted to their salary. If they didnt log-out for a day, it will be considered as under time. For permanent employee it will be deducted to their vacation leave. For every employee they have 15 vacation and queasy leave. In applying vacation leave the employee must file the request 10 days before the leave. In applying sick leave the employee must provide a medical certificate if he is absent for more than three days while if he is absent for 1 to 3 days he can go back to work without providing a medical certificate.2.1Proposed Research Project2.1.1General ObjectivesTo provide and develop a Computerized Payroll trunk and Time Keeping with Fingerprint technology that will improve the current Payroll organization and Time Keeping of Municipality of Kawit.2.1.2Specific ObjectivesTo develop a module that will compute the employees salary. The proponents will develop a module that will compute the salary of every employee accurately based on the integrated timekeeping of the employee. To develop a module that is able to generate essential reports. The proponents will develop a module that will be able to generate reports such as daily time Reports (serves as replacement to the time card), contribution reports based on the record of the employee To provide a module that will be able to supervise time in /out of the employee. The system will automatically monitor and record the attendance of the employee by fingerprint technology so that the employee must time in/out by themselves unlike previously it can fake the records.2.2.3 Scope and Limitations2.2.3.1 ScopeThis study is about the reporting of the proposed payroll system and timekeeping. It covers the following qualification.File maintenance ModuleEmployee file module includes all nurture about the employee such as fingerprint of the employee, work schedule, position, department, and basicinformation. Includes adding, updating and archiving employee records Departmen t file module includes the organization department and department codeTrans effectsSalary Computation The system will compute salary base on employees attendance and contribution. 13th Month Pay A module for employees that are acceptable for 13th month pay. All employees that will work until the end of the year will receive the 13th month pay. Agency contribution includes the deducted fee for the government agency such as GSIS, PAG-IBIG, Philhealth and withholding tax. Employee leave includes the employees leave such as vacation leave, sick leave Employee Loan- includes all employees information such as load type, loan amount etc Other Deductions and allowance a module that includes other deduction and earning such as bonuses or other incentives.ReportsPayslip contain all information about the employees salary and deduction. GSIS plowshare Reports Reports that contains employees total contribution per month for GSIS. PhilHealth Contribution Reports Reports that contains e mployees total contribution per month for PhilHealth. Pag-big Contribution Reports reports that contains employees total contribution per month for Pag Ibig BIR/withholding tax Tax Report reports that contains employees total tax for a month. Payroll Summary Report -reports that contains information about employees payroll. Daily Time Reports reports that contain the attendance of the employees. Serve as an alternative to the time card of the Bundy Clock Leave form a blank leave form for leave request.System SecurityPassword- for security purposes that tho the administrator and the HR knows the password. Administrator train have the full feeler on the system.HRMO Level can only access the attendance and monitor the leaves and absence of the employee. Accountant Level can only access the transaction and the computation of the employees salary and the one that sets the computation in the option. Audit trail- serves as additional security thatmeasure all the login activitie s using the system, it will logged into the table including the username, time, date, and the travail done.TimekeepingFingerprint Technology module that uses fingerprint technology for timekeeping Numeric Keypad Module Module that uses numeric keypad technology that serves as an alternative if the fingerprint technology having technical problems. Timekeeping Entry module that manually input the employees attendance, it serves as a back-up for the system.Back-up and RecoveryThe system has backup capabilities allowing the user to create a backup of the database which will be stored on lower-ranking storage devices. It will also automatically back-up every cut off. If the program file of the payroll system are damage or corrupted there will be a duplicate copy either on the CD or secondary hard disk.LimitationThe study is limited and focused only in the payroll system and the timekeeping monitor of the organization however its capability is limited and cannot do the following task Employees are subjected to have only 2 accounts in regards to timekeeping (time-in and time-out). Only employees that work in the municipality building are included in the proposed payroll system. An employee working outside the municipality is not required to time in and time out in the municipality. In case of power failure, the attendance of the employee will record temporarily on a log volume until the power come back. The data gathered on the log book will be transferred to the computerized system.Chapter 2Theoretical Framework2.1 IntroductionInformation System (IS) implemented within an organization for the purpose of meliorate the effectiveness and efficiency of that organization. Capabilities of the information system and characteristics of the organization, its work systems, its people, and its development andimplementation methodologies together determine the consummation to which that purpose is achieved.Transaction Processing System (TPS) is a type of information syst em. Transaction Processing System collects, store, retrieve and modifies data that stored in an information system of an organization. Transaction processing system guarantees immediate action to negotiations made by persons and companies involved. It ensures a smooth flow of transaction, isolating particular transactions that have no credible assurance of the collected datas authenticity A theoretical framework is a collection of interrelated concepts and provides definitions of relationships between all the variables. Theoretical framework helps researchers to determine problem areas, research questions that need to be addressed and the methodology in which helps to find an answer to the research questions.2.2 Time KeepingTimekeeping is the monitoring of attendance of employee in time A timekeeper is an instrument or person that measures the passage of time in the case of the latter, often with the assistance of a clock or stopwatch. In addition, the timekeeper records time, time taken, or time remaining during events such as sports matches. They can then make operational decisions to increase productivity and reduce labor costs.2.3 Fingerprint TechnologyFingerprint technology refers to the automated method of confirmative a match between two human fingerprints. Fingerprints are one of many forms of biometrics used to identify individuals and verify their identity.2.4 Payroll SystemA computerized payroll calculates and tracks employee salaries, wages, bonuses, tax withholdings, and deductions. It prints employee pay checks, provides reports to better manage employee pay records, and generates complete weekly, monthly, quarterly, and annual payroll tax-related forms and reports. It is also used in automating and providing timely and accurate payroll processing for all types of employees. The computerized payroll is designed to process all types of payroll transactions for the purpose of computing and paying employees hence, computerization makes generatingpa yroll a much simpler and quicker process than if trying to perform these duties manually.