Excel is useful for recording employees’ P-files, clock-in/out data, rostering, leave application, payroll, etc. As long as it is data related, Excel is required. Many people use Excel because it is free. But Excel still brings trouble to employers, for example, it does not have the set up of basic payroll compliances, and employers often have to spend extra time worrying about their own payroll’s legibility.
While modern society is constantly installing in us the concept of “digital transformation”, “automation”, and “artificial intelligence”. Thus, many employers choose to use a payroll system or even an HR system to solve their problems in human resources management.
So what’s the difference between Excel and payroll system, as well as Excel and HR system? How does a payroll/HR system work for employers?
Payroll System VS Excel
Payroll with Excel can lead to the following situations:
- Loss of data when the computer crashes
- Time consuming and complex formulas
- Hard to ensure compliance with HK regulations
The following are a mere few reasons why you should start using a payroll system instead of Excel.
- Complete your payroll within minutes
The calculation process of Excel is long, and it is vulnerable to computer crashes. Auto Paying other platforms is also a headache during the post calculation stage.
With payroll systems, the powerful AI engine will complete payroll in a few minutes to quickly generate payslip. After calculating, employees can check their own payslips and tax reports in the App.
- Encrypt data in the cloud
Payroll is the most important and sensitive information of a company. Excel has password-protected files, but there is still a risk of losing data when the computer crashes.
With payroll systems, only specific people with authorisation can see payroll information, such as bank information, basic salary, allowance, MPF, tax reports, etc. And all data is encrypted in the cloud.
- Payroll complying with the Employment Ordinance
Finally, A payroll system allows you to perform your payroll in compliance with the Employment Ordinance.
To sum up, a payroll system can provide all the necessary payroll requirements mentioned above to meet a variety of business scenarios and efficiently complete payroll.
HR System VS Excel
Human resources management with Excel can lead to the following situations:
- Hard to cooperate among multi-users
- Information is out of sync
- Time-consuming and labour-intensive manual reporting
The following are a few reasons why you should start using an HRMS instead of Excel.
- Suits multi-users more
Excel only allows a single editor during the process. There are no track records, format alignment, and collaborativeness.
On the other hand, an HR system allows employers and employees alike to edit their side of the process.
- Automated data tracking; real-time update
Many employee’s payroll are based on attendance data including lateness, early leave, absence and more. If you calculate via paper or traditional attendance machines, you need to first export the data, manually import it into the sheets, and then calculate the salary.
An HR system can automatically record employees’ clock-in/out, leave balance, OT and more, which will eventually be calculated into payroll. No need to search for data from several sheets anymore！
- Download report by one click
- Scheduling cost report provides the information of the employee’s working time and cost during the specified time
- Autopay report (support HSBC, Bank of China, Standard Chartered Bank, Hang Seng Bank, Bank of East Asia, DBS Bank, etc.)
- MPF remittance statement (Support Manulife, HSBC, BOC-Prudential, Sun Life Financial, etc.)
- Tax forms(IR56B, IR56E, IR56F, IR56G, IR56M)
HRMS supports downloading of schedule cost reports, helping employers to view employees who have met or will meet Ordinance 418, and protect employees’ entitlements in a timely manner. In addition, Autopay reports, MPF remittance statements, tax forms can also be quickly downloaded and submitted. There is no need to manually fill in the information every time.
Thus, the system will not only save lots of time but also make errors clear to the employer and make changes immediately.
Workstem – your best assistant in HR issues
Many SMEs may be discouraged from HRMS due to the high cost and have to endure the inconvenience brought by Excel. Workstem is a cloud-based system that can be paid monthly or annually according to the headcount. It can be purchased and used at any time.