Chapter I INTRODUCTION

An ENTERPRISE RESOURCE PLANNING (ERP) is a cross-functional enterprise system driven by an integrated suite of software modules that supports the basic internal business processes of a company. ERP gives a company an integrated real-time view of its core business processes such as production, order processing, and inventory management, tied together by ERP applications software and a common database maintained by a database management system. ERP systems track business resources (such as cash, raw materials, and production capacity) and the status of commitments made by the business (such as customer orders, purchase orders, and employee payroll), no matter which department (manufacturing, purchasing, sales, accounting, and so on) has entered the data into the system. ERP facilitates information flow between all business functions inside the organization, and manages connections to outside stakeholders.
This PAYROLL SYSTEM is a part of an ERP. This system involves calculations and registering of cash payment of the company to their employees (which involves Salaries, Incentives, Benefits and Taxation) as stated by the law itself.
Even though PAYROLL is normally under Human Resource Department of a company, yet this system makes it much more independent from the core of the said department. A PAYROLL is the sum of all financial records of salaries for an employee, wages, bonuses and deductions. In accounting, payroll refers to the amount paid to employees for services they provided during a certain period of time. Payroll is crucial because payroll and payroll taxes considerably affect the net income of most companies and they are subject to laws and regulations

1.1PROJECT OVERVIEW

Payslip Generation

Salary Computation
Payroll Report Generation

Payroll System

Deductions and Taxation Calculation
Financial Reports

In and