Palgaarvestus

Palgaarvestus, or payroll accounting, refers to the systematic recording and calculation of employee compensation, including gross wages, deductions, and net pay. It combines elements of accounting, human resources, and tax compliance to ensure timely and accurate remuneration and reporting.

Core elements include determining gross pay (salary, hourly wages, overtime, bonuses, fringe benefits); applying contractual and statutory deductions (income tax, social security contributions, unemployment insurance, pension); and other withholdings such as advances or wage garnishments. Net pay is the amount transferred to employees after deductions.

The payroll process typically begins with collecting attendance or time data, applying pay rates and allowances, calculating deductions and benefits, generating payslips, and posting to the payroll ledger. It also involves remitting taxes and contributions to authorities and preparing payroll reports, summaries, and year-end statements as required by law.

Compliance and governance require staying up-to-date with tax rates, contribution rules, and reporting deadlines, as well as ensuring data privacy and security. Accurate record-keeping of contracts, timesheets, payroll registers, and employee data is essential. Audits or inquiries may scrutinize calculations, remittances, and disclosures.

Technology and practice: Many organizations use payroll software or ERP integrations to automate calculations, invoicing, and salary reporting. Key roles include payroll staff, human resources, accounting, and management. Common challenges include regulatory changes, data integrity, and integration with accounting systems, HR platforms, and pension schemes.