“Nowadays, companies are busier due to the numerous transactions it has to accomplish in an 8 hour period. Employees, specifically those who process payroll, can be overburdened due to
the large volume of salaries that must be computed. Timely submission of payroll costs to the finance department is crucial in releasing the salary in time. Late salary is de-motivating to workers and affects productivity. Even small business owners with few employees need to establish a good payroll system since many details such as overtime can be overlooked.
For this reason, many companies nowadays procure an accounting software that eases the burden of preparing the payroll. This type of software is not complicated to use since it is already an application like excel spreadsheets. It is considered an information system, a type of database that also executes functions like computing. There is no need to learn a programming language, just a quick orientation on how to use the software.
Normally, accounting software can record normal transactions such as payroll (salaries, taxes, wages, deductions), accounts payable, accounts receivable and trial balance. By using an accounting software, daily transactions become more efficient since the billing statements, checks, vouchers, purchase orders, and receipts are automated. The only thing that must be ensured is the input of accurate figures which already depends on the user.
Aside from enhanced efficiency in transactions, an accounting software can also enhance record keeping by getting rid of manually preparing journal entries to be posted in the general ledger since these are automatically updated upon inputting information from related reports like purchases, sales, payment of expenses and the like. Another benefit of using this software is that man hours can be reduced thereby cutting costs on overtime which brings less labor costs.
The accountant can focus on more important tasks such as reports and updates on bank statements. There are many types of accounting software that can be prepared according to the business requirements; however, most software covers basic accounting transactions needed even by large business. This accounting software can be developed in-house by programmers which is tailored fit to the unique transactions of a corporation.
For smaller business, several brands of accounting software can be purchased. It is also possible to modify third-party software to better suit the needs of a small business. In this age of technology, products such as these software help business owners make time for more important tasks.”