Payroll Securities and Confidentialities (Essay Sample)

Payroll securities and confidentialities
Name
Institution
Tutor
Date
Introduction
Payroll information should be the discrete information it should be handled with a lot of confidentialities. Payroll consists of performing the task necessary to ensure payment to employees is done and that the business is operated legally. Payroll has data concerning the employee and employer. All specifications and identifications of the employee and usually the contract he has with the employer. It is, therefore, important to maintain confidentiality regarding this matter in case this information leaks the financial situation between the employee and employer can be at risk (Jenkins & Hunt 2011).
Measures to ensure security and confidentiality
Payroll confidentiality can be strengthened by allocating the necessary payroll duties to particular individuals. If a particular employee is processing tax withholding forms then time cards should be assigned to another person. And the system should be programmed in a way that it only handles what the specific individual is assigned. If this is not managed well then some individual with knowing various information can end up processing their payrolls even from their houses (Jenkins & Hunt 2011). Confidentiality can also be strengthened by controlling how and who keeps hard copies of payroll information. The software being used should have a password that should be known by only the person in charge. However for hard copies a room should be set aside where the documents should be stored away from unauthorized individuals and the key to the room should be in the care of the specific individual assigned. If the person in charge of the payroll is one, then he should work in an area separate from the employees’ area. These personnel should be cautious of payroll information confidentiality in fact it is important for them to sign a privacy and security agreement. He should ensure if he leaves office then his computer must be logged off (Jenkins & Hunt 2011).Information to be kept as per the Act
The employer's name must be stated in the act, his business number must not be left out. Since it’s between him and the employee the employee’s name, date of job commencement the mode of employment should also be included in the act. The payment records must also be included the rate of payment including gross amount stating deductions if any and giving the exact net pay. If bonuses were there, they should be stated, and any deductions must also be stated. Work hours must be recorded so that in cases of overtime then the payments should be calculated and given. For part-timers, payments are worked out by counting the hours and the amounted calculated (Jenkins and Hunt 2011).Taxations Payments made to employees including salaries bonuses allowances and wages are some of the types of taxes to be withheld. Company director’s payments, office holder’s payment, unused leave payments, payments for work is done, and sickness, accident and compensation payments are also types of taxes withheld (Jenkins and Hunt 2011).Inclusions in the payroll reconciliations
Salaries or wages paid must be verified to be correct. Verification must be made that e...