ˈpeiroul / Payroll


Payroll is the total compensation that an organization must pay to its workforce for a specific period or on a particular date. It also refers to the process itself of paying employees.

It covers the recording of working hours, the calculation of each worker's salary, and the distribution of compensation, either via direct bank deposit or by check.

Additionally, every payroll period, the individual or department in charge must record and deduct the taxes, insurance premiums, retirement plan contributions, or social security payments from each employee's paycheck before distribution.

Each payroll may differ from period to period due to variables such as overtime pay, sick leaves, and holiday pay.

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