A Study on Implementing A Smart Payroll Automation System to Reduce Administrative Errors at Femtosoft Technology

Abstract

Payroll Management is an integral part of any organization that significantly affects employee trust, statutory compliance and financial correctness. Manual activities undertaken at various stages of in the Payroll have resulted in frequent problems like wrong salary calculations, statutory deductions like TDS and Provident Fund errors, lack of transparency on the pay slip generation at Femtosoft Technology. The HR and Finance departments must deal with such inefficiencies, and it can affect employee satisfaction as well. The study used descriptive research design and census sampling technique which involved all 53 employees from HR and Finance Department. Structured questionnaires using 5-point Likert scale were used to collect the primary data and payroll records, company reports and policy documents were used to gather secondary data. The Chi-Square test revealed a highly significant association between lack of employee training and the use of outdated payroll systems that could be considered synergistic causes of payroll inaccuracies (χ² = 62.709, p < 0.001, V = 0.647). The identified gaps were addressed by developing the payroll automation module in Java using Java Eclipse and Java Swing which included features like automation of salaris calculation, tax and deduction processing, integration with attendance, automatic generation of payslips, secure data storage. The system will streamline manual processes, improve accuracy, transparency, and compliance in payroll management and reduce the time and effort required for manual tasks.