Why is the Area of ​​Labor And Payroll Accounting So Important in the Life of A Company?

Labor costs are significant, as, in addition to wages, various related costs and taxes are also borne by the employer. This, in turn, places a need for managers to manage the workforce properly and to take advantage of the cost savings provided by law.

It must not forget either that the labor, social security, payroll tasks complex, and diverse, perhaps one of the most complex legal environments should be carried out. Also, the relevant legislation is amended several times a year, which requires even more attention from professionals in the field.

Are you sure that your company complies with all legal regulations and takes advantage of cost savings opportunities?

Our experience shows that in many cases companies are not aware of the cost savings opportunities provided by the legislation and thus do not take advantage of them.

It is also common that companies often only start to deal with whether the area of labor and wage accounting works by the law when deficiencies and errors have already been revealed during an official inspection.

Did you know that if a labor fine is imposed on your company, you could be excluded from public procurement, tenders, or lose subsidies?

We recommend that you carry out our due diligence and/or consulting activities so that this does not happen to your company and even if it is important for you to be sure that your business:

1. complies with the legal environment,
2. prepared for possible official inspection,
3. exploits the potential for potential cost savings.

1. Labor and/or payroll due diligence

In the course of this activity, you can obtain information and make sure that the processes, the implementation of the tasks, and the documentation in the examined area comply with the laws and internal regulations.

The purpose of the screening is to review the practice in the areas considered to be risky, to draw attention to possible malfunctions and risks, and then to offer a solution to the problems that arise.

Screening process:

1. Together with the managers of the company, we define the areas to be examined.
2. Knowing the tasks, we make a specific offer to complete the task.
3. If our offer is accepted, we will carry out screening, of which we will prepare a written summary.
4. We formulate the necessary steps, which we describe to the client during the consultation.
5. If required, we also assist in the practical implementation.

During the labor inspection, the following are reviewed:

• personal materials, employment contract templates, information templates, job descriptions
• the process and documents of establishing and terminating an employment relationship
• mandatory notifications to public authorities
• working time and leave records
• process and documentation of working time schedules
• work breaks, observance of rest periods
• ordering and documenting extraordinary work
• payroll, documents

Screening of payroll accounting activities:

• check hr and payroll management system settings
• overview of payroll, approval, control processes
• review of monthly returns
• examination of fringe benefits

For both labor and payroll audits, the activity includes preparing a written summary and consulting on proposals.

2. Occasional professional consultation, advice, or continuous expert support provided in a flat-rate scheme

You can use our professional support in the following areas:

• issues related to the establishment and termination of employment
• rules for working time, leave, rest time, extraordinary work, calculation of allowances
• issues related to working hours, working time frame
• payroll issues, contribution and tax issues
• issues related to fringe benefits
• issues related to social security benefits