Computerized Payroll System

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  • Topic: Database, Entity-relationship model, SQL
  • Pages : 12 (3783 words )
  • Download(s) : 797
  • Published : April 26, 2013
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CHAPTER I
INTRODUCTION
1 Background Of The Study
Processing payroll can be one of the most complex tasks facing a company. Aside from simply paying employees, companies will need to file taxes, submit reports and process year-end data for tax-reporting purposes. These problems are being encountered by several companies. The manual payroll system they are currently using calculates the payroll for each pay period entirely on paper. They will need to calculate taxes, over time, under time and any other applicable deductions and additions to each employee’s actual earnings. The problem with the manual payroll system is if ever one had committed mistakes, whatever input was made from the start will automatically affect the whole calculations, and it will probably consume much time in doing so. A payroll system involves everything that has to do with the payment of employees and the filing of employment taxes. This includes keeping track of hours, calculating wages, withholding taxes and other deductions, printing and delivering checks and paying employment taxes to the government. With most companies have many employees, the programmers chose payroll system because it will help record, compute, and process wages, other deductions and taxes quicker and it will produce accuracy of any data stored in the database. The researchers interviewed a company which is owned by Mr. Rodenillo Yara that is currently using the manual payroll in computing the salary of the employees. The company is manufacturing different kinds of window glass. It is a family business that is located in 1 Merchant St. Lucena City and they have 153 temporary employees and 24 regular employees. To help the company from its manual payroll system is the goal of this study as to design and develop a computerized payroll system that will allow the HR staff to complete payroll calculations – such as tax, wages, and other deductions – in a fraction of time that they would take to work out manually.

1.1 Statement Of The Problem
This study aims to design and develop a computerized payroll system. The following problems are: Consuming much time in computing salaries, Incomplete Report Generation, Lack Of Security, and Miscalculations. Consuming much time in computing salaries. Since there are more than a hundred employees and the company has no automated payroll system, the HR is consuming a lot of time in computing the payroll system. Miscalculations, since the only tool for computation is pen and a calculator, miscalculation happens most of the time which is not good for the company because it is their loss and sometimes the loss of the employees. Incomplete Report Generation, there are times where the reports generated are incomplete especially the ones that are for safekeeping. Lack of Security, since the files are kept in file cabinets, files that are keeping the track of employees’ records are not secured, it might be loss or damage anytime.

1.2 Objects Of The Study
1.3.1 General Objective
The researchers aim to design and develop a network-based for Lucena Art Center Corporation. 1.3.2 Specific Objectives
* To conduct an interview about the problems of an existing payroll system. * To gather data of an existing payroll system through the use of direct method or interview method. * To analyze the problem of an existing payroll system through the use of DFD. * To develop a system with a database that will backup employee records, calculates total gross and net pay of each employee and generate reports regarding payroll records.

1.3 Significance Of The Study
This study aims to develop a computerized payroll system for the company. The developed system hopes to benefit the following: * Company
They will be able to properly manage their establishment’s payroll system by adapting to a more innovative way of computing their employee’s wages as a result of utilizing a computer-based transactional...
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