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How to Prepare a Brand New Payroll System

A payroll is a vital part of running any business, and that often means that new business owners can struggle to get their payroll set up. Even long-standing businesses can be thrown into disarray if they suddenly have to alter or replace their existing payroll system, and finding ways to alleviate those problems can be important.

But how do you prepare a new payroll system without a solid starting point? Or, more usefully, how can you streamline things so that you have a payroll processing system ready to use sooner?

How to Prepare a Brand New Payroll System

Plan Ahead

Always plan out systems like this, even if you are using the framework of a previous payroll system or following a template from some other source. You want to understand the entire process of how you will set up, integrate, and operate the payroll system once you have it in place.


This will save you time and money when it comes to the initial setup, and it will also allow you to understand what areas of the system you want to make changes in if any issues come up. For example, if you plan ahead and set up any relevant payment platforms early, then you might be able to start using the payroll as soon as you have all of the software in place.

Choose Software

No matter how much payroll processing work is done manually, the software is the backbone of most financial tasks that a business will have to undertake. Finding the right kind of software for your particular needs might sound tough at first, but a large part of that comes down to common sense.

For example, if you struggle to produce paystubs reliably, then pay stub software (like a paystub generator) can become invaluable. In other cases, you might need something that can help manage tax amounts or even just software that can keep track of which payments have already been made.

The right software and tools can significantly simplify a large part of how your payroll works. Spending some time getting useful software can save you a lot more time in the future and can even remove some common roadblocks or setbacks that you might otherwise run into.

Understand What You Need

When you are planning out a new payroll system, you need to make sure you understand all of the things you will need to do. This might sound like obvious advice, but there can be a lot of factors to consider when you are attempting to build a new payroll processing system from nothing.

Think about who needs to access the system, how you are securing it, where important files are stored, and even details like the overall accessibility of the system. Even the most basic payroll system needs to actually function properly.

The more you prepare, and the better you understand your overall idea, the easier it becomes to construct a payroll system that works well and can scale up as your business grows. Just remember that you are always able to make changes, so don’t be afraid to adjust different elements of your payroll processing system in the future.


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