Wondering Why to Use an Online Paystub Generator? The answer is simple: It saves time and makes the process faster. If you struggle to create a manual paystub, an online paystub generator is the key to your solution.
This blog post will explore why using an online paystub generator is a time-saving process and why spreadsheets don’t help much.
What is a Pay Stub?
Before knowing the benefits of an online paystub generator, let’s first understand what a pay stub is. A pay stub, also known as a paycheck stub, is a document the employee can use to confirm his funds and deductions from the gross pay that lead to the final amount.
What is a Online Paystub Generator or A Paystub Generator?
A paystub generator is a tool that allows you to create your pay stub and print it out without any hassle. Online paystubs can even allow you to customize templates based on your needs so that they can be later on used for income proof.
Some generators may give you full access to completely change the template per your needs, but some free generators only provide the basic template for filling in the details.
Information Needed to Create A Paystub:
Cross-check the following information for every employer:
- Payroll Cycle: The number of pay periods calculates how much salary an employee pays on a month’s payroll cycle. It also determines the payroll for the hourly working process.
- Wages: Wages can be based on salary or calculated based on hourly working hours.
- Tax Withholding: State, Federal and Local Taxes amount is withheld from taxes.
- Benefits Deductions: The amount deducted for the employee’s share of insurance premiums or the funds invested in his retirement plans.
Advantages of Using Online Pay Stubs Generators:
Using an online pay stub generator can offer several advantages for self-employed individuals:
- Authentic & Convenient Processing of Payroll: While you use an online payroll generator, it is important to notice that the payroll processing is accurate and timely. This eradicates the possibility of human errors. Not only does generating paystubs online save time, but it also reduces the workload of HR administration.
- Tailor-Make Templates: Few online generators allow you to customize your templates with your company’s brand and logo. Customizable templates help employers connect information pieces to the employees, like benefits and deductions.
- Improved Documentation: Online generators support employers in maintaining an accurate and organized record of payroll information. These generators provide a digital analysis of each employee’s pay stub without having a document misplaced.
- Self-Service for Employees: Online paystub generators allow employees to access their paystub easily. Employees can keep track of their earnings and deductions while accessing their pay stubs. However, providing access to their pay stubs opens a transparency window between employees and employers.
Proper Useage Of a Paystub:
While entering information on a paystub generator, make sure that you insert the correct information, including your gross pay. This is the actual amount your employer makes before the deductions are made.
Ensure that each amount getting deducted does not have an estimated value. This removes the authority from the document, and the results are not processed correctly.
Calculating Net Pay
Calculating a Net Pay is shown below with a simple example:
|(HRA) House Rent Allowance||1,40,000|
|Deduction for (EPF)||21,600|
The net salary is the difference between gross salary and total deductions, that is, 2,46,400.
Why Spreadsheets Are a Problem?
Regarding spreadsheets, they are in their perfect place when needed, but they can’t handle business operations. But spreadsheets are great for storing datasheets and formatting charts and graphs.
Let’s see why they have been a problem with paystubs:
- Reporting: Spreadsheets lack the power to allow you to look into the data across multiple spreadsheets. Sorting these multiple spreadsheets can be a time-consuming task. Ultimately, running a company successfully without full control of your data isn’t easy.
- Practical Error: Threat will always be a hurdle for spreadsheets. Human error is a definitive threat that should be encountered immediately. Example: A missing semicolon or negative sign can confuse investors while checking a paystub.
- Difficult in Troubleshooting: You might test these spreadsheets to eradicate human errors. It’s natural to have interrelated spreadsheets data distributed across multiple workstations and folders. Even if you trace the location of every file, tracing the login of a human error can take forever.
Online paystub generators are the perfect tool for organizations with many databases on their desktop to arrange. You can finally eradicate human errors, get rid of the deadline, and get an instant paystub via these online paystubs generators available in the market.
Are you looking for an online paystub generator? Stub builder is your answer. It is the most efficient and accurate tool to create your paystubs easily.