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Chapter 1: Getting start with Payroll module

1.1 Payroll Quick Start

Overview

Payroll is used to manage employee salaries, statutory deductions, leave records, claims, allowances, and payslip generation.

Objectives

After completing this chapter, you will be able to:

Task Result
Configure Payroll Ready
Register Employee Ready
Setup Payroll Component Ready
Process Salary Ready
Generate Payslip Ready

Payroll Setup Workflow

Core HR Setup
        │
        ▼
Create Payroll Components
        │
        ▼
Register Employee
        │
        ▼
Assign Salary Structure
        │
        ▼
Configure Statutory Information
        │
        ▼
Setup Account Posting
        │
        ▼
Assign Leave Approver
        │
        ▼
Ready for Payroll Processing


1.2 Payroll Quick Start

Purpose

The Quick Start Guide provides the minimum setup required before payroll processing.

Checklist

Step Status
HR Profile Setup ✓
Payroll Component ✓
Employee Registration ✓
Statutory Setup ✓
GL Account Posting ✓
Leave Approval Setup ✓

Notes

Complete every setup before processing payroll to avoid calculation errors.

1.3 Setup Statutory Data

Purpose

Configure government-required payroll deductions.

Examples

Component Description
EPF Employee Provident Fund
SOCSO Social Security
EIS Employment Insurance
PCB Monthly Tax Deduction

Exxample: Compensation Management

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Workflow

Payroll ↓
StatutoryModule
    ↓
Payroll Component
    ↓
Compensation
    ↓
+ Create New
    ↓
Enter Contribution Table
    ↓
Save


1.4 Setup Payroll Components

Purpose

Payroll Components define how employee salaries are calculated.

Example Components

Type Example
Basic Salary RM3000
Allowance Transport
Overtime OT Rate
Bonus Annual Bonus
Deduction Loan
Claim Travel Claim

Component Formula

Gross Salary
= Basic
+ Allowance
+ Overtime
+ Bonus


Net Salary
= Gross Salary
− EPF
− SOCSO
− PCB
− Other Deduction


1.5 Setup HR Profile (Core Module)

Purpose

Before payroll can be used, every employee must have an HR Profile.

Required Information

Field Required
Employee Code Yes
Name Yes
Department Yes
Position Yes
Join Date Yes

Workflow

Core
   ↓
HR
   ↓
Employee
   ↓
Create Employee


1.6 Register Employee

Purpose

Register employees into the payroll system.

Required Information

Category Information
Personal Name, IC, Gender
Employment Department, Position
Payroll Salary
Bank Bank Account
Statutory EPF, SOCSO, PCB

1.7 Setup Account Posting

Purpose

Example

Payroll Item GL Account
Salary Expense Salary Expense
EPF Payable EPF Liability
SOCSO Payable SOCSO Liability
Bank Payment Cash at Bank

Posting Workflow

Payroll
      ↓
Generate Payroll
      ↓
Post Journal
      ↓
Accounting Ledger


1.8 Setup Superior for Leave & Claim Approval

Purpose

Assign approvers for leave and claims.

Approval Flow

Employee
      ↓
Submit Leave
      ↓
Immediate Superior
      ↓
HR
      ↓
Approved


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