If anyone studying ICB Payroll, this is the summary presentation for Learning Module taken from the ICB Payroll and Monthly SARS Returns Textbook

1. L E A R N I N G M O D U L E 2
PAYROLL AND MONTHLY
SARS RETURNS
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

2. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Employee expectations – pg 45
• Costing human resources
• First Approach pg 46
• Second Approach pg 46
• Fixed costs
• Variable costs
• Opportunity costs
• Payroll Administrator – pg 47
• Typical Duties of a payroll administrator
• Tasks
• Payroll and Payroll forms pg 47
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

3. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Plan payroll cycle and agree to payroll cycle – pg 50
• Payment options
• Internal equity
• External equity
• Salary management
• Human Resources
• What is a payroll cycle – pg 50
• Pay periods
• Weekly
• Bi-weekly
• Two to three times a year
• Bi-monthly
• Monthly
• Yearly pay cheque
• Commission
• Per-job basis
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

4. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Issues a payroll administrator need to deal with – pg56
• Fraud
• Segregation of duties
• System access
• Processes and procedures
• Alignment
• Mistakes and SARS
• Conforming to legislation & statutory regulations
• Payroll Admin Manual
• Verification
• Compilation
• Recorded
• Indication
• Final report
• Earnings and deduction codes
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

5. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Training and Resource allocation – pg 57
• Change management –pg 57
• Unfreezing
• Transition
• Refreezing
• Economics and Cost Effectiveness
• Statutory requirements and organisation procedures –
pg 58
• UI19
• PAYE, SDL, UIF = 7th of the month
• Medical Aid payments in advance
• Pension Fund contributions (Debit order or ACB)
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

6. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Prevention of payroll fraud – Pg61
• Valid and accurate control mechanisms
• Payroll fraud
• Segregation of duties
• System access
• Processes and procedures
• Alignment
• Credibility with employees, clients & SARS
• Risk assessments
• Review processes
• Recommendations
• Identify fraud instances
• Origin of fraud
• Weaknesses in system
• How fraud took place
• Confidentiality
• Forensic experts
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

7. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Prevention of Payroll Fraud continued
• Internal controls – pg 62
• Reasonable assurance
• Prevent fraud and corruption
• Protect resources from
• waste,
• loss,
• theft or
• misuse
• Uses resources efficiently and effectively
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

8. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Prevention of Payroll Fraud continued – pg 62
• Employees personal data
• Verifications
• Information
• Correspondence
• Final payroll prior to pay roll run
• Internal controls – Risk Management:
• Adequate segregation of duties
• Custody and accountability for resources
• Prompt and proper recording and classification of transactions
• Authorisation and execution of transactions
• Documentation
• Management supervision and review
• Computer access and control
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

9. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Evaluation and review – Pg 63
• Work outcomes
• Use Performance reviews to:
• Encourage and reinforce good performers
• Goals and challenges
• Training and talent
• Identify problems and resolve them
• Motivate and encourage
• Performance reviews key points:
• Keep focused on results
• Do measures adequately equate with job success
• Opportunity to motivate staff
• Build relationships and understanding
• Be positive
• Support the values of the company
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

10. PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
• Reporting deviations – pg 64
• Reasons for deviations
• Discuss deviations
• Discuss misunderstandings
• Discuss possible improvements
• Implementing corrective action – pgs 64, 65
• Joint identification of problems
• Explore change
• Explore management opportunities
• Work integration
• Business opportunities
• New revenue streams
• Employee understands expected competence and delivery
• Set new goals and objectives
• Find answers
• Performance reviews not limited to formal reviews, should be continuous
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

11. • Developing procedures to meet specified needs
• Procedures are developed that meet identified
needs and conform to statutory and organisational
requirements
• Tools
• Structure
• Compliance with obligations
• Legislation
• Staff morale
• Respect for employees
PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

12. • Designs and specifications for procedures are
developed in conjunction with users
• What kind of workplace
• Number of employees
• Level of sophistication of employees
• Top vs bottom layers
• Managers
• Unionised
• One or many workplaces
• HR Department
PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

13. • Designs and specifications for procedures are
developed in conjunction with users continued
• Three principles for drafting policies & procedures:
• Use clear and simple language
• K.I.S.S.
• Pick format suitable to business
• Different Formats
• Standard forms
• Checklists
• Step-by-step
• Specific rules or principles
PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

14. • Benefits and costs are formulated and agreed with
decision makers
• Centralised management of salaries function
• Reduce reconciliation time
• Human factor calculations
• Implement and maintain procedures
• Why
• Fit the workplace
• Three golden rules
• Best format
• Policies as part of employment contracts
• List of policies
• Laws and or collective agreements
PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns

15. • Users must be provided with support to enable them
to implement agreed procedures
• Practicality of procedures often look easier on paper than
what is actually achievable in practice
• Installed procedures must conform to relevant
statutory and organisation requirements
• What laws apply
• Specific laws and agreements applicable to company
• Policies and procedures don’t conflict with legislation
PLAN, ORGANISE, IMPLEMENT, MONITOR AND
WORK WITHIN THE PAYROLL ENVIRONMENT
ICB Junior Bookkeeper: Payroll & Monthly SARS Returns