What Impact Does Payroll Accuracy Have On An Organization?

Requirements: Review the information and questions below. Provide a detailed 4-5 sentence explanation on how you would solve the problem or issue, based not only on the readings in the chapter, but your own personal experience and/or any additional outside research you perform. If quoting a source directly, make sure to cite that source, but do not rely solely on quoted materials.

Issue: Accuracy in payroll reporting is one of the most important aspects of the entire payroll process. Rounding to the full dollar, guessing what hours were worked instead of using an accurate time card, closing a pay period late, miscalculating tax amounts, and missing journal entries are just some of the various mistakes that companies can make.

Questions to be Answered:

1) What is the impact on employee morale when these errors occur?

2) What is the impact on the credibility of the business when these errors occur?

3) What, if any, are the legal ramifications to the business when these errors occur?