payroll manager
The work
Payroll managers supervise the daily work of a payroll department or team, which is responsible for making sure that wages are paid correctly and on time.
In smaller teams or companies, payroll managers may carry out general payroll administration duties with their team, such as:
- calculating and issuing pay by cash, cheque or electronic transfer
- deducting tax and national insurance payments
- calculating overtime, shift payments and pay increases
- processing holiday, sick and maternity pay and expenses
- liaising with personnel departments to issue P45 forms and pay staff who are leaving.
Their management responsibilities include:
- supervising and training their team
- helping to create payroll policies and procedures
- advising on tax and pay laws
- managing computer software and systems
- analysing and reporting on financial data.
Payroll managers can work for a company’s payroll or finance department, or for a payroll bureau that provides payroll services for smaller companies.
Hours and Environment
Most payroll managers 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 manager you should:
- have good spoken and written communication skills
- be comfortable working with numbers, and have good IT skills
- be able to lead and motivate a team
- understand complex laws
- be a clear and logical thinker
- be able to work to strict deadlines
- be well-organised and pay attention to detail
- be discreet and able to work with confidential information
- be interested in business and finance.
Entry
You will usually enter as a payroll administrator, doing routine clerical and computer work. With further experience and qualifications, you can then progress to payroll supervisor and payroll manager.
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.
You may be able to get into this job through an apprenticeship scheme. Funding for apprenticeships is available for 16-24 year olds and some over-25s. To find out more, visit www.apprenticeships.org.uk. For information about apprenticeships in other parts of the UK, see Scotland, Wales and Northern Ireland.
Training
You will usually be trained on the job. You may also be able to study for payroll 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 in the Payroll Office
- Diploma in Payroll Management
- Advanced Diploma in Payroll Management
- Masters Degree (MSc) in Payroll and Business Management.
You can study for all IPP qualifications by distance learning. The Foundation and Diploma qualifications are also available as twelve-week fast-track courses at one of the IPP's nine regional training centres in England and Scotland. The IPP also offers various short courses for continuing professional development. See the IPP's website for more information.
Opportunities
Payroll managers 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.
There is usually a clear promotion structure from payroll administrator to supervisor and manager. Managers might move to different types of organisation to develop a range of experience.
Annual Income
Figures are intended as a guideline only. Pay is likely to be higher in London and the south east.
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
PO Box 13514Shirley
Solihull
B90 9BP
Tel: 0121 712 1000
Burford House
44 London Road
Sevenoaks
Kent
TN13 1AS
Tel: 01732 458080
154 Clerkenwell Rd
London
EC1R 5AD
Tel: 020 7415 7660
51 Gresham Street
London
EC2V 7HQ
Tel: 0845 257 3772
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