Payroll journals. They’re important, aren’t they?
After all, they record the financial impact of all payroll processes.
For finance departments, payroll journals are particularly important as they provide all the details about how much a company is typically spending on its employees each month.
However, there is often a problem.
While payroll journals hold information that is crucial to running any successful business, manually extracting the data from payroll software and then transferring it to accounting software is much easier said than done.
Options for integrating payroll journals with accounting software
1. Integrated payroll and accounting software.
Pros – Changes affecting payroll are automatically reflected in the accounting software
Cons – Often the case that one of the softwares is better than the other – e.g. accounting is more sophisticated than the payroll software – or that they are both fairly standard – neither addresses a company’s specific needs
2. No integrations
Pros – More flexibility in choosing individual payroll and accounting software
Cons – Users are required to build the journals themselves so that they are compatible with the accounting software
3. Supported integrations
Pros – Specialised payroll software that is set up to integrate payroll journals with all major accounting softwares
Cons – The transfer of data can be manual
This is an issue Pauline has faced numerous times in the past with her employer, Hooli.
Hooli’s finance manager, Craig, is constantly badgering her about how the payroll journals she extracts from the company’s payroll software don’t integrate with the accounting software they use.
This is a long-running problem, one that has seen Hooli experiment with an integrated payroll and accounting provider in the past.
While this method did mean that the journals and accounting software were in perfect sync, for poor Pauline, running payroll each month became a literal nightmare.
This was until they discovered PayFit.
PayFit’s customer support team helped Hooli to successfully integrate the payroll accounts on PayFit.
Craig was then able to download the payroll journals and then seamlessly upload them to the company’s accounting software. The transition to PayFit has been a real time-saver too – without the need to tweak exports, over two hours has been saved each month.
This has meant that Hooli is able to enjoy the best of both worlds.
First, they’re able to use specialised payroll software that can support their needs and, second, are able to download their payroll journals and easily add them to their accounting software.
Which accounting software can be used?
Through PayFit, you can benefit from automated generation of CSV exports that can be directly imported on Xero, QuickBooks, Sage 50cloud and NetSuite.
Interested in finding out how PayFit can support your payroll needs? Why not book a demo with one of our payroll specialists?
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