Payroll processing is one of the vital actions for business, and it provides immense benefits. It makes sure that the staff are paid accurately and promptly without any delay. To make the process smooth and efficient many organizations select to outsource payroll services. Today, on this topic, the accountant in Clifton Park, NY, will take you on a ride. Here we will explain the different types of payroll checks.
What are the different types of payroll checks?
1. Regular Payroll Checks
Regular payroll checks are the main root of staff compensation. It includes the wage charges and the hourly wages, earned by the staff for the particular pay period. Regular payroll checks ensure that the staff or employee receives the rightful and appropriate earnings.
2. Special Payroll Checks
Special payroll checks are categorized into three types: overtime payroll checks, bonus payroll checks, and commission payroll checks.
Overtime payroll checks include those benefits for employees or staff, who go beyond and work above their regular working time. This type of payroll check calculates the wages of the overtime workers. This payroll check considers various factors. It includes double-time and half-time wages.
Bonus payroll checks are mainly to reward an employee and give them incentives. It handles the bonus payment, adding extra payroll checks above the regular compensation. Bonus payroll checks are an additional reward for the staff based on the company’s performance and outcome.
Commission payroll checks are based on the sales performance of the agents and sales representatives. This type of payroll check includes the percentage of the checks or amounts generated from the sales or deals closed by the staff.
3. Reimbursement Payroll Checks
Staff are entitled to business-related expenses such as travel and insurance. This payroll is recompensed through reimbursed payroll checks. Payroll service providers must generate reimbursement requests promptly. They accurately process the reimbursement thereby, helping the employee to receive the reimbursed amount in an accurate and fixed time frame.
Conclusion
There are different types of payroll checks. Hence, it is important to select the one that suits your company or business. Look into the size of the business, and the number of staff. It will help you analyze and prepare the payroll checks accurately.
Hope, we have covered the topic in detail. But if you have more to add to the list, let us know in the comment section below.