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Advanced Level

Payroll Processing Guide

Process employee salaries, manage statutory compliance, and automate payroll in LaabamOne ERP.

65 minutes
Complete Guide

What is Payroll Processing?

Payroll Processing involves calculating employee salaries, managing deductions, ensuring tax compliance, and disbursing payments. It includes statutory deductions like PF, ESI, TDS, and professional tax.

Payroll Workflow:

Attendance → Salary Calculation → Deductions (PF/ESI/TDS) → Salary Slip → Payment

Key Payroll Modules

Employee Master Setup (15 min)

  • Create employee profiles with contact details
  • Add bank account information for salary transfer
  • Configure PAN, Aadhar, UAN, ESI number
  • Set joining date and department

Salary Structure (25 min)

  • Define salary components (Basic, HRA, DA, etc.)
  • Configure allowances and deductions
  • Set PF, ESI, Professional Tax rules
  • Create salary templates for different grades
  • Assign salary structure to employees

Attendance & Leave (10 min)

  • Import attendance from biometric/sheets
  • Process leave applications
  • Calculate LOP (Loss of Pay) days
  • Handle overtime and shift allowances

Process Monthly Payroll (10 min)

  • Run payroll for the month
  • Auto-calculate gross salary and deductions
  • Generate salary slips
  • Review and approve payroll

Payment & Compliance

  • Generate bank payment file
  • Email salary slips to employees
  • File PF, ESI returns
  • TDS challan and Form 24Q

✅ You've completed the Payroll Processing guide!

You're now ready to process salaries and maintain payroll compliance.

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