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Key Responsibilities and Required Skills for Payroll Officer

💰 $55,000 - $80,000

FinanceHuman ResourcesAccounting

🎯 Role Definition

The Payroll Officer is a cornerstone of any organization, serving as the critical link between the company and its employees' financial well-being. At its heart, this role is about precision, trust, and timeliness. You are the guardian of the payroll process, ensuring that every employee is paid accurately and on time, every time. This position goes beyond simple data entry; it involves a deep understanding of complex regulations, a meticulous eye for detail, and a commitment to maintaining confidentiality. A successful Payroll Officer upholds the company's integrity and directly impacts employee morale and satisfaction, making it a function of immense responsibility and value.

📈 Career Progression

Typical Career Path

Entry Point From:

  • Payroll Assistant / Administrator
  • Human Resources Coordinator
  • Accounts Payable/Receivable Clerk

Advancement To:

  • Senior Payroll Officer / Payroll Specialist
  • Payroll Team Lead / Supervisor
  • Payroll Manager

Lateral Moves:

  • Compensation & Benefits Analyst
  • HR Generalist (with a focus on total rewards)
  • Staff Accountant

Core Responsibilities

Primary Functions

  • Manage and execute end-to-end payroll processing for all employees, ensuring the timely and accurate disbursement of salaries, wages, bonuses, and commissions.
  • Diligently verify and process new hire information, terminations, and changes in employee status, such as promotions, transfers, and salary adjustments.
  • Scrutinize and validate timesheet data for accuracy, completeness, and proper authorization before committing to a payroll run.
  • Calculate and process a variety of pay components including overtime, shift differentials, retroactive pay, and other special payments in accordance with company policy and labor laws.
  • Administer and ensure accurate calculation and deduction of statutory and voluntary withholdings, such as taxes, social security, health insurance premiums, and retirement plan contributions.
  • Maintain a state of constant readiness and compliance with all federal, state, and local payroll, wage, and hour laws, proactively staying current with legislative changes.
  • Prepare and remit payroll tax payments and file all quarterly and annual payroll tax reports (e.g., 941s, 940s, W-2s) with impeccable accuracy and on schedule.
  • Reconcile payroll data prior to transmission and meticulously validate confirmed reports, ensuring that all inputs and outputs are balanced and fully accounted for.
  • Serve as the primary, trusted point of contact for employees regarding payroll-related inquiries, providing timely, clear, and professional responses to questions about paychecks, deductions, and tax withholding.
  • Manage the setup and administration of wage garnishments, levies, and other court-ordered deductions in strict compliance with all legal requirements.
  • Generate and distribute a variety of standard and ad-hoc payroll reports for key stakeholders in Management, Finance, and Human Resources.
  • Collaborate closely with the Human Resources department to ensure the seamless integration and integrity of employee data between the HRIS and payroll systems.
  • Partner with the Accounting team to complete journal entries and reconcile payroll-related general ledger accounts on a monthly and quarterly basis.
  • Spearhead the year-end payroll process, including the comprehensive reconciliation and issuance of W-2 forms and other required annual tax documents.
  • Participate in the implementation and user acceptance testing of new payroll system modules, upgrades, or integrations to enhance efficiency and functionality.
  • Conduct regular, systematic audits of payroll data and processes to identify and correct discrepancies, thereby ensuring data integrity and procedural compliance.
  • Administer and maintain employee leave balances, including vacation, sick time, and personal leave, ensuring accruals and usage are tracked accurately.
  • Process and manage off-cycle and manual payroll runs for special payments, final termination checks, or critical corrections as circumstances demand.
  • Develop and maintain comprehensive payroll process documentation to ensure operational consistency, knowledge sharing, and to facilitate training for backup personnel.
  • Support internal and external audits by providing requested documentation, reports, and clear explanations related to payroll processes and records.
  • Investigate and definitively resolve payroll discrepancies by collecting and analyzing information, identifying root causes, and implementing effective corrective actions.
  • Uphold the utmost confidentiality and security of all payroll and employee information, strictly adhering to company policies and data privacy regulations.

Secondary Functions

  • Assist the finance and accounting teams with month-end closing activities and payroll-related account reconciliations.
  • Support the HR team in benefits administration tasks that have a direct impact on payroll deductions, such as open enrollment changes.
  • Contribute to the continuous improvement of payroll processes by recommending and helping to implement new procedures or system enhancements.
  • Prepare workers' compensation reports and assist with the annual workers' compensation audit as required.

Required Skills & Competencies

Hard Skills (Technical)

  • Payroll Software Proficiency: Demonstrable experience with at least one major payroll platform (e.g., ADP, Workday, Paychex, Ceridian, Gusto).
  • Regulatory Knowledge: Strong, up-to-date knowledge of federal, state, and local payroll and tax regulations (FLSA, FICA).
  • MS Excel Expertise: Advanced proficiency in Microsoft Excel, including VLOOKUP, pivot tables, and complex formulas for data analysis and reporting.
  • Accounting Acumen: Solid understanding of general ledger (GL) accounting principles and the process for creating payroll-related journal entries.
  • System Integration: Experience working with integrated HRIS, Time & Attendance, and Payroll systems.
  • Garnishment Processing: Knowledge of the correct procedures for handling and processing wage garnishments, child support orders, and tax levies.

Soft Skills

  • Meticulous Attention to Detail: An unwavering commitment to accuracy and precision, leaving no room for error in financial calculations and data entry.
  • Unquestionable Integrity: A high level of ethics and the ability to handle sensitive and confidential information with the utmost discretion and professionalism.
  • Analytical & Problem-Solving: The ability to diagnose discrepancies, research issues, and identify effective, sustainable solutions.
  • Superior Organization: Exceptional time management and organizational skills to manage multiple tasks and consistently meet strict, recurring deadlines.
  • Effective Communication: The skill to clearly and patiently explain complex payroll information to employees, management, and external agencies, both verbally and in writing.

Education & Experience

Educational Background

Minimum Education:

  • An Associate's degree in a relevant field or an equivalent combination of professional experience and training.

Preferred Education:

  • A Bachelor's degree is highly preferred.
  • Professional certification such as the Certified Payroll Professional (CPP) or Fundamental Payroll Certification (FPC) from the American Payroll Association (APA) is a significant asset.

Relevant Fields of Study:

  • Accounting
  • Finance
  • Business Administration
  • Human Resources

Experience Requirements

Typical Experience Range:

  • 2-5 years of direct, hands-on experience in a full-cycle payroll processing role.

Preferred:

  • Experience processing payroll for a multi-state workforce is often highly valued and may be required depending on the organization's footprint.
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