Payroll Audit with Action Plan Implementation

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The project is conducted in 6 phases, from Audit to Correction with our full Indemnity Clause:

 

 

 

  1. Payroll Information Accuracy - confirm that your payroll information is accurate and up-to-date.

 

  • Check the salary or hourly rate in the payroll system for each of the employees paid during the period.
  • Compare the rate in the payroll system to that physically paid out to the employee to ensure that gross pay calculations are accurate.
  • Check the total hours worked for each employee according to the time cards or other time reporting system for that pay period.
  • Make sure that the hours reported are equal to the hours on the paycheck.
  • Verify that any employee who received sick or vacation pay was eligible at the time it was paid.
  • Compare the payroll totals on the tax remittance reports with reports generated by the payroll system to ensure proper reporting of all payroll amounts.

 

 

  1. Payment accuracy - Ensure that proper payments and employee contributions are being made.

 

  • Entering and coding regular and overtime hours;
  • Wage adjustments
  • Bonus calculation
  • Comissions
  • Vacation time
  • Sick time
  • Child support orders,
  • Federal income tax
  • Social Security tax
  • Medical deductions
  • Others

 

 

  1. Employee situation and benefit status - Verify current employment and benefit status of employees.

 

  • For each person that received a paycheck during the year, verify that the person was employed during the time period for which the check was issued.
  • Compare current benefits participants list to Active Employee List
  • Assess current benefits criteria
  • Assess current benefit practice risks

 

 

  1. Employee Personnel Files Audit

 

  • Offer letter
  • Signed employment contract
  • Job description
  • Benefits documentation (Healthcare, Private Pension Plan, Dental care, Transportation, etc)
  • Promotion letters
  • Vacation notice
  • Confidentiality agreement
  • Payroll deduction authorization
  • Wire transfer instructions
  • Others

 

 

  1. Action Plan

 

Action Plan is delivered with the following content:

  • Observation and priority
  • Risk
  • Financial Exposure
  • Recommendation
  • Solution Delivery Time

 

 

  1. Corrections

 

All action steps required to fix the problems or issues stated above, done by our Payroll Specialist (or team) in your office or remotely.

 

 

Indemnity/Hold Harmless Clause – Our Guarantee!

 

Whenever there is an implementation in place, we include a hold harmless clause, so you can rest assure we will do our best to prevent any financial or legal harm

 

“The Contractor shall defend, indemnify and hold the Customer, its officers, and employees harmless from any and all claims, damages, losses or suits including attorney fees, arising out of or in connection with the performance of this Agreement, except for injuries and damages caused by the sole negligence of the Customer. “