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  • Ashton Corporate Services

6 Ways to manage a payroll system effectively

Payroll management is one of the most important and crucial aspects of any type of business or organisation. The business owners and HR department require a reliable payroll system to ensure that work is completed accurately and on time. However, payroll management is a difficult task because many different factors must be taken into account when running a payroll system.

1. Organizing

Organizing is the key to increasing the efficiency of your payroll system. When dealing with a large amount of data and financial numbers, the HR department must ensure that all information and financial reports are properly organised.

Creating a comprehensive payroll calendar to keep track of important deadlines and ensure that all required forms and payroll taxes are submitted on time is one example of an organisational strategy. Furthermore, tasks such as distributing bonuses or other forms of compensation to employees should be divided into sub-tasks. Payroll and HR services will be streamlined as a result.

2. Fulfill Legal Requirements

In general, Malaysian law contains all of the important and relevant information about specific payroll processes. If you want to maximise the efficiency of your business, you must ensure that all legal requirements are met. Furthermore, keep in mind that payroll-related legislation is constantly changing. If you hire the services of a professional accounting firm in Malaysia, you won't have to worry about such changes because the firm will cover them completely.

3. Standardization

Many businesses make the mistake of not implementing standard practises when it comes to payroll systems, which is a major issue. As a result, the entire payroll and HR services are disrupted because everyone is constantly changing the processes to suit their needs.

This type of problem is relatively simple to resolve. All you need to do is ensure that payroll management is as efficient as possible by implementing the best payroll practises. As a result, managers and employees will be well-versed in how to deal with payroll and HR services.

4. Outsource Payroll System

Outsourcing payroll management to an accounting firm is perhaps the most important way to effectively manage a payroll system. Outsourcing your payroll system has numerous advantages. It will streamline your company's payroll and HR services.

It will benefit your entire company because qualified and competent individuals will manage the payroll processes, ensuring that all important payroll tasks are completed efficiently and on time.

5. Automation

Payroll management is unquestionably a time-consuming task. It will take a significant amount of time, money, and energy to perform payroll processes manually. Furthermore, there is a higher probability of missing some important deadlines, which can result in penalties. On the other hand, if you automate the majority of your payroll processes, you will be able to easily meet the deadline and make the process more efficient.

6. Distribute Duties

Payroll and human resource services include a wide range of tasks and responsibilities. You should distribute such responsibilities in a fair and transparent manner to ensure that every member of your organisation is able to contribute to the success of your company. You should also consider dividing payroll tasks into sub-tasks and distributing them evenly among your employees to ensure that all tasks are completed on time.


Finally, keep in mind that payroll management is a difficult task for the majority of businesses. Nobody expects you to manage the entire payroll system on your own. If you choose to outsource your payroll system to a Malaysian accounting firm, you can rest assured that the experts will handle the payroll and HR services, thereby increasing the efficiency and productivity of your entire business. Contact us at to find out more about our payroll solutions.

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