payroll administrator
The work
Payroll administrators, also known as payroll clerks, make sure that wages are paid correctly and on time. They can work for a company’s payroll or finance department, or for a payroll bureau that provides payroll services for several smaller companies.
The work could involve:
- calculating and issuing pay by cash, cheque or electronic transfer
- deducting tax and national insurance payments
- creating records for new staff
- processing holiday, sick and maternity pay and expenses
- calculating overtime, shift payments and pay increases
- liaising with personnel departments to issue P45 forms and pay staff who are leaving
- general clerical and computer work.
Hours and Environment
Most payroll administrators work a standard 37 hour week, Monday to Friday. They may sometimes need to work flexible or longer hours at busy times. Part-time and temporary work is available.
The work is office-based.
Skills and Interests
To be a payroll administrator you should:
- be comfortable working with numbers
- have good IT skills
- have good spoken and written communication skills
- be well-organised and pay attention to detail
- work well as part of a team
- be able to work to strict deadlines
- be discreet and able to work with confidential information
- be interested in business and finance.
Entry
There are no set entry qualifications, but you will need to feel comfortable with maths. Employers may prefer you to have some GCSEs (A-C)/S grades (1-3) or equivalent, particularly in English and maths.
You will find it helpful to have previous experience of office work, especially in related areas like book-keeping or accounts. Computer experience is also useful, particularly in using spreadsheets and databases.
You may have an advantage if you take a foundation-level payroll qualification before looking for work, such as:- the Institute of Payroll Professionals (IPP) Foundation in Payroll Administration
- the International Association of Book-keepers (IAB) Level 2 and 3 Certificates in Manual or Computerised Payroll.
Apprenticeships may be different in other areas. For further information see Scotland , Wales and Northern Ireland.
Training
You will usually be trained on the job whilst helping more experienced staff with routine clerical and computer work. Your training may include the use of specialised payroll software such as Pegasus.
Employers may also allow you to study for qualifications whilst working, such as:
- NVQ/SVQ Levels 2 and 3 in Payroll Administration (available from the Association of Accounting Technicians)
- IPP Foundation in Payroll Administration, which is suitable for both new and experienced payroll administrators.
- Professional Certificate in Team Management
- Diploma in Local Government Pensions Management
- Diploma in Payroll Management
- Advanced Diploma in Payroll Management.
Opportunities
Payroll administrators are employed in all kinds of companies, especially in larger organisations such as:
- local authorities
- retail chains
- manufacturers
- banks
- health services.
There are also payroll bureaux which look after the payrolls of a number of client companies.
Promotion to payroll supervisor or payroll manager is possible, with experience and further qualifications.
Annual Income
These figures are intended as a guideline only. Pay is often higher in London and the south east.
Trainee payroll clerks often start on around £10,000 to £13,000 a year.
Experienced payroll administrators can earn between £13,500 and £20,000 a year.
Payroll supervisors usually earn around £17,000 to £22,000 a year.
Payroll managers can earn £20,000 to £40,000 a year, depending on location and the size of the company.
Further information
154 Clerkenwell RdLondon
EC1R 5AD
Tel: 020 7415 7660
Burford House
44 London Road
Sevenoaks
Kent
TN13 1AS
Tel: 01732 458080
51 Gresham Street
London
EC2V 7HQ
Tel: 0845 257 3772
PO Box 13514
Shirley
Solihull
B90 9BP
Tel: 0121 712 1000
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