payroll specialist

As a payroll specialist, you’ll work in an organization’s human resources or accounts department. To make sure that every employee receives an accurate paycheck promptly, you will oversee all activities associated with your employer’s payroll management system. Other administrative duties that you’ll be expected to take care of include collecting personal information from employees and calculating the number of hours employees work during each payroll cycle. After collecting the necessary data, you organize, tabulate and use it to calculate the appropriate weekly or monthly compensation based on the company's salary policy or hourly pay rates.

Most experts working in payroll departments have a finance and accounting degree or an industry certification in payroll. Computer skills and attention to detail are also needed to prevent mistakes being made when wages and hours are calculated.

Every company has to pay its employees, so payroll specialists can be found in organizations of all sizes. The business sectors you could work in include information technology, retail and construction along with sales and marketing. If you handle the payroll needs of a small organization, your duties could include other human resources tasks like developing onboarding procedures and training programs for new employees. If you are hired by a larger company, you will likely handle payroll matters only while working alongside other human resource professionals and payroll specialists. You could also find a payroll specialist’s position with a human resources consultancy firm that handles wage and hours matters for small and medium-sized businesses.

Would working as a payroll specialist suit your skills and interests? Then read on to find out what competencies and qualifications you need to thrive in a payroll specialist role.

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average payroll specialist salary

Would you like to know what a payroll specialist earns? Where the highest salaries are paid for a payroll specialist? Then check out this payroll specialist salary page and find out all about the salary of a payroll specialist in the USA.

increasing payroll specialist salary

As a payroll specialist, your compensation package is influenced by personal factors such as your education level or the amount of experience you bring to the table. The business sector and part of the country you work in could also influence your compensation. Employers in many fields are willing to pay premium rates to attract experienced candidates who possess the skills they seek. If you have a degree and additional certifications, your take-home salary could be higher. If you want to increase your salary, you could look for training opportunities or obtain relevant certifications.

The size of the company you work for could also impact your earning potential. Small companies rarely have the means to pay top salaries, but they often have friendlier and more supportive workplaces. Multinational corporations tend to pay more, but the work is more complex and demanding.

Female with blue blazer holding a touch pen and a tablet, sitting at a desk
Female with blue blazer holding a touch pen and a tablet, sitting at a desk
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types of payroll specialists

Payroll specialists can be junior payroll specialists or lead specialists, depending on the size of the organizations they work for and their job duties.

  • junior payroll specialist: As a junior payroll specialist, you’ll perform the bulk of the payroll department’s administrative tasks. You could work on your own or with a small team to verify staff information, check working hours and deductions and calculate payroll. You may also be tasked with disbursing paychecks. Most junior payroll specialists report to lead administrators.
  • lead payroll specialist: As a lead payroll specialist, you’ll supervise other payroll specialists, organize work schedules and audit payroll reports. Lead payroll specialists often handle management and executive compensation, and they are sometimes called upon to draft or revise corporate payroll policies.
  • external payroll specialist: If you work for a company that provides payroll outsourcing services, you’ll handle the payrolls of several small and medium-sized businesses. You probably won’t visit any or your employer’s clients, but you will be expected to make sure that they remain in compliance with federal, state and local wage and hour laws.
     
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working as a payroll specialist

Working as a payroll specialist involves processing employee compensation and handling other administrative duties. Read on to discover more about a payroll specialist's typical tasks and work schedules.

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payroll specialist skills and education

There are no generally accepted specific requirements for becoming a payroll specialist, but having relevant qualifications and experience could improve your chances of landing a good job. One of the first things that a prospective employer will look at if you seek a position as a payroll specialist is your educational background.

A high school diploma or GED could be enough to get an interview for a payroll specialist position, but a degree would increase your chances of being hired. A degree in any field would likely impress a hiring manager, but a bachelor’s degree in accounting, finance or human resources management would be most useful. If your long-term aspiration is to become a senior payroll or human resources executive, a master’s degree could help you to reach your goal.

There are also several professional credentials that could give your career as a payroll specialist a boost. The Uniform Payroll Certification from the National Association of Certified Public Bookkeepers is highly respected, and you will be given up to a year to prepare for the test. The Fundamental Payroll Certification is certification that you could obtain right away as there is no work experience requirement.

skills and competencies

Some of the skills and competencies that payroll specialists should possess include:

  • problem-solving skills: Incorrect or late paychecks can damage company morale, so payroll specialists should be able to handle these issues when they arise. This involves going through columns of figures to identify where the mistake was made and then taking the steps necessary to replace the incorrect paycheck or cut a second paycheck.
  • computer and software proficiency: As a payroll specialist, you will use various computer applications to store employee data safely, keep track of the number of hours worked, process paychecks and prepare payroll reports. These programs are designed to be easy to use, and most of the companies that make them offer in-person or online training.
  • mathematical skills: To succeed as a payroll specialist, you will need to be comfortable working with numbers and complex data. If your math skills are good, you should be able to avoid mistakes when calculating wages and deductions.
  • organizational skills: Payroll specialists have a lot of tasks to complete during each pay cycle. If your organizational skills are good, you’ll find it easier to plan and complete these tasks. This is important because employees expect to be paid on time. You will also have to meet strict payroll tax filing deadlines.
womale looking at her file
womale looking at her file
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FAQs about working as a payroll specialist

Here you will find answers to the most frequently asked questions about payroll specialists.

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