Payroll Meaning with Masters

Introduction to Payroll

Payroll Meaning with Masters : In Tally Prime, Payroll is the process of maintaining the employees information such as attendance and absent records, calculating wages, withholding taxes, calculating all benefits and deductions. Payroll is helpful in calculating salary of employees by maintaining employees record based on their work time, as part-time or full-time. The payroll function ensures timely payments of salary as it is the main function to calculate employees salaries based on their worktime.

Payroll Masters

If you want to calculate Payroll Masters and generate Pay Slip we need to firstly define some Payroll Masters. Here are the following masters are available in the Payroll function:

1. Employee Category
2. Employee Group
3. Employee
4. Units (Work)
5. Attendance/ Production Type
6. Pay Heads
7. Payroll Voucher Type

Here we define Payroll Masters by these options

Employee Category

In Tally Prime, the “Employee Category” feature helps business organization manage their employees by organizing employees in different categories based on specific criteria such as areas, departments, or branches. This categorization helps in payroll processing, reporting, and performance tracking.

For example: If a company has two branches in Delhi and Mumbai then he can categorize the company’s employees by their specific workarea.

Employee Group

In Tally Prime, the “Employee Group” feature helps business organization manage their employees by organizing employees in different groups based on specific criteria such as roles, departments, or projects. This categorization helps in payroll processing, reporting, and performance tracking.

For example: If a company has different departments he can group employees based on their departments such as sales department, marketing department, advertisement department etc.

Employee

In Tally Prime, the “Employee” feature helps you record each employee detail with their specific category and group. You can enter employee’s date of joining, details of salary and other important details in this feature.

Units (Work)

In Tally Prime, the “Unit/Work” feature allows you to measure employee’s worktime by time work or quantity. This can be important for calculating wages and managing payroll efficiently. This is especially useful for those with hourly wages or piece-rate pay structures.

Attendance/ Production Type

In Tally Prime, the “Attendance/ Production Type” feature is useful for recording the attendance and production data of employees. It is useful for managing employee records, tracking work hours, and ensuring accurate payroll processing.

Pay Heads

The salary components constituting Pay Structures are called Pay Heads. A Pay Head may be an earning, which is paid to an employee, or a deduction, which is recovered from the employee’s salary. In Tally Prime, the “Pay Head” function is used for the various components of an employee’s salary structure.  It includes all types of earnings and deductions applicable to employees, which enables accurate payroll processing.

Payroll Voucher Type

In Tally Prime, payroll vouchers are used to manage employee compensation and related entries. There are three types of Payroll Vouchers which are as follows:

1. Attendance Voucher: It is used to record the attendance details of employees.
2. Payment Voucher: It is used to record all types of payments made by the business, including cash and bank transactions.
3. Payroll Voucher: It is used to record payroll data for employees and employer contribution.

Conclusion

In this blog, we have discussed that how does the Payroll Management can be used for calculation of employee’s salary and how it makes your work easier. I hope you have find this blog useful. If you want to get more such information related to Tally Prime features and functions, then please visit our blog.