Recurring Problems with Accuracy of Payroll Transactions
Our client, a startup company experiencing rapid growth, encountered recurring issues with accuracy in the recording of payroll transactions. The client suspected the problem originated from the company’s outside payroll processor. The payroll processor, which was not one of the significant full-service payroll processors, was selected at the inception of operations when they had a skeleton staff. Since implementing the outside payroll processor, our client has had rapid growth, adding employees, and offering expanded benefits, including stock-based compensation. Furthermore, the client did not maintain written policies and procedures for payroll transactions. There was only one person at the company who had been in charge of and knowledgeable about payroll processing. The client felt that the payroll processor might no longer be the right choice and needed an independent and thorough review and documentation of procedures surrounding payroll processing.