Organizations spend a lot of time recruiting, training, and maintaining an efficient employee base for smooth business operations. A payroll template for Google Sheets can be an essential part of such systems.
Large organizations use software like Rippling, Gusto, and Paycheck Flex to maintain payroll records. But smaller organizations usually rely on user-friendly and affordable software like Google Sheets and Microsoft Excel (even for something like calculating compound interest). These spreadsheets can also scale with your business as it grows, so they’re a smart choice for beginning entrepreneurs.
This article will provide a step-by-step guide for creating your payroll template Google Sheets. Read on to learn how to use the template and build your own from scratch.
Table of Contents
Payroll is the total compensation an employer must pay to the employee according to the set period on a specified date for the settled wage rate. It is the process of compensating employees in exchange for the work they do or your organization.
It features a list of:
Larger organizations outsource this task to personalized specific firms for efficiency. These firms handle paycheck processing, employee benefits, insurance, and accounting tasks such as tax calculation, etc.
The main aim of maintaining successful payroll operations is to reduce mistakes and boost productivity. The second key point is ensuring timely payments to promote job satisfaction.
Many finance technology firms, including Finch, Bitwage, Atomic, and Wage Stream, are leveraging technology to simplify the payroll process.
This technological addition to the important payroll maintenance task provides excellent convenience and speed along with digital pay-roll related documents that withhold innovative technology-enabled services required by the gig and outsourcing economy.
But, these services are costly.
That’s why a payroll spreadsheet is the right solution for smaller businesses. A well-established system to calculate payroll has multiple benefits.
Using a Google Sheets payroll template for recording payroll activities is a smart move, as the user-friendly interface allows you to edit and store information all in one place. The changes are saved automatically, so you do not have to worry about losing your data!
It is simple to use and super easy to set up and get running. And the inherent sharing capabilities of Google Sheets makes it easy to scale as your HR team grows.
Let’s take a look at how we built these templates so you can make your own payroll template.
STEP 1: Open a new sheet on Google Sheets and add the following headers:
STEP 2: Fill in the different fields with the relevant information.
NOTE: For the tax field, enter the tax percentage in decimals, e.g. 0.2 for 20%, and then format the cell as a percentage.
Calculating Overtime Pay: For the Total O.T. pay field, use the =MULTIPLY function to multiply the total overtime hours by the specific Over Time rate for each employee.
STEP 3: Next, use the =SUM function to calculate the Gross Pay. You can also include cell L3 in the function like so
=SUM(J3,K3,L3)
if there is a value in the reimbursements field.
STEP 4: Use the following formula to calculate the Net Pay
=(M3+L3-(M3*N3))-SUM(O3:Q3)
Done! That’s how easy it is to create a payroll Sheet template!
In addition to payroll, you can use various other Google Sheets template can be used to track your cash flow. Some of the applicable Google Sheets templates include:
You can download a payroll spreadsheet template online for a professional database of payment information for your employees. You could also build one from scratch. The guide on the page can help with that.
To create a salary spreadsheet template for your employees, you need to identify the headers of information. Now enter the relevant information under each head. In Google Sheets, you do not need to make the calculations manually. Just enter the formula for relevant calculations, and it will perform the function for you.
You can also apply the same formula throughout the column with just one click. Read the step-by-step guide provided in this article to create a customized payroll spreadsheet according to your preference.
Small-scale organization managers have multiple administrative tasks on their hands. Mismanaged payroll can lead to delayed payments and, therefore, dissatisfied employees. You may also overpay or underpay your staff without effective payroll. Using the payroll template for Google Sheets included in this article can help avoid these issues and is an excellent option for a growing business.
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