Glossary
What is payroll?
Payroll is the process of working out what each employee is paid for a period, applying the statutory deductions and contributions that apply, paying the net amount, and filing the returns and forms that follow the pay run.
A payroll run turns inputs, days worked, leave, overtime, pay structure and any one-off adjustments, into a gross figure, then into a net figure after tax and statutory contributions, and produces the payslips, challans, returns and year-end forms that the law of each country requires.
The statutory half of payroll, the rates, slabs and filings, is country-specific and changes often, which is why many teams split the work: an HR system holds the record and compiles the inputs, and a payroll partner or provider does the computation and the filing.
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