Financial Analysis Tool

Financial Analysis Tool Payroll Processing and HRIS Survey Questions …helping companies optimize their HR / benefits / payroll service partnerships ...
Author: Chastity Lynch
13 downloads 0 Views 296KB Size
Financial Analysis Tool Payroll Processing and HRIS Survey Questions

…helping companies optimize their HR / benefits / payroll service partnerships

KEY Variable Input Variable Input Variable Input Drop Down Menu Radio Button Input

1

Demographic Information This section will collect information about your company in terms of size, business, contact information, etc.

The data collected here will better enable us to group similar companies for analysis and reporting.

Begin

2

I. Demographic Information 1. Company information: ♦ Parent Company name ♦ Division name ♦ Company address ♦ Respondent name ♦ Respondent title ♦ Respondent e-mail address ♦ Respondent phone number ♦ Company industry sector ♦ Total U.S. employees in company, including both full-time and part-time, at all locations

3

Payroll Profile Information This section will collect information about your company’s payroll system and approach for delivering payroll services.

Continue

4

II.

Payroll Profile Information

2. Which of the following overall methods does your company or organization use to process payroll? That is, how do you actually calculate gross earnings, taxes, deductions, and net pay for your employees (i.e., how do you actually calculate each employee’s paycheck)? If you use more than one method in your company, please indicate your primary method, i.e., the one used to pay the largest number of employees. Process in-house at your company, using software installed on your own computers Please indicate the system used to process payroll. This will be the system for which a cost profile will be produced in this study Process in-house at your company, using software installed on computers owned and managed by a 3rd party, which you access via the Internet or via a network connection Please indicate the system used to process payroll. This will be the system for which a cost profile will be produced in this study Outsource to a payroll service company Please indicate provider name 3. Payroll processing (gross-to-net calculations) is: Done at multiple locations Centralized in one location 4. How many employees are paid using the system indicated above? 5. Please indicate the % of your employees who are paid: Weekly

%

Bi-weekly

%

Semi-monthly

%

Monthly

%

Total

100

%

6. Does your payroll system allow employees to view their pay information or change their personal information in the payroll system online (i.e. W – 4, W -2, pay stubs, etc.)? Yes No

5

Payroll Costs This section asks questions specific to the costs associated with processing payroll. There will be three main types of costs we will ask you to identify: • • •

One-time payroll system costs (initial installation and upgrade) – These are the one-time costs related to the initial acquisition and implementation of your payroll system, or upgrading to the current version of the system. Annual payroll processing costs – These are the costs associated with actually processing the payroll. Annual payroll system maintenance costs – These are the costs specifically related to maintaining the system.

In each of these areas, we will help you to identify labor-related and non-labor costs. Later sections ask questions to collect costs related specifically to HRIS. Please make every effort to distinguish payroll costs from HRIS costs. We will now continue to “One-Time Payroll System Costs – Initial Installation and Upgrade”

Continue

6

III. One-Time Payroll System Costs – Initial Installation and Upgrade 7. Please indicate dates of: Month

Year

Initial installation of payroll system Last significant upgrade 8. Please indicate: Total initial acquisition cost of your payroll system Initial Hardware cost Software cost Design/implementation cost (including internal resources and external consulting) Total cost of the last major upgrade Upgrade Hardware cost Software cost Design/implementation cost (including internal resources and external consulting) Total anticipated cost of any upgrade planned for the next 18 months Upgrade Hardware cost Software cost Design/implementation cost (including internal resources and external consulting)

7

OneTime Costs

Annual Payroll Processing Costs This section will determine your company’s annual end-to-end payroll processing costs. These costs should NOT include the costs associated with maintaining your payroll system, which will be covered in a separate section. For the purposes of this survey, end-to-end payroll processing is defined as follows: •

Collect, total and reconcile employees’ hours and apply company work rules to those hours;



Input all data, including hours data, into the payroll system;



Calculate the gross-to-net pay for all employees;



Print and distribute paychecks and advices, and administer direct deposit;



Payroll reconciliation;



All back-end reporting, including feeding payroll data into other internal/external systems (finance, HRIS, benefits, garnishments, etc.);



Administer federal, state and local payroll taxes (file, deposit, tax research, respond to agency queries, handle amended returns, etc.);



Year-end payroll activities, including produce/distribute W-2’s and 1099’s, file and reconcile annual taxes.

We will now continue to “Payroll Processing Costs”

Continue

8

IV. Annual Payroll Processing Costs For purposes of this survey, please use the previous definition of end-to-end payroll processing.

Total Annual Dollars

9. Annual Payroll Processing Costs – Labor (people) ♦ How many Full-Time Equivalent employees (FTEs) are required to provide endto-end payroll processing? ♦ What is the average annual salary of those FTEs? What is their average tax and benefits load factor

%

♦ Please estimate the total number of FTEs not directly related to payroll or to the payroll department who are involved with time and attendance activities, i.e., with collecting, approving and preparing employee hours for payroll. For example, business managers, HR professionals, supervisors, etc., who are involved with approving and entering time, but are not indicated above, as part of the payroll department.

10. Annual Payroll Processing Costs – Non-Labor ♦

Please indicate the total annual facility cost directly related to payroll activities.



Please indicate the total annual G&A cost directly related to payroll activities.



Please indicate the total annual corporate overhead or corporate allocations cost directly related to payroll activities.



Please indicate the total annual Outsourcing fees cost directly related to payroll activities.

11. What are the total annual banking fees for your payroll accounts, including maintenance fees, manual check charges, stop payment charges, etc.? 12. What are the total average annual fees and penalties paid to state and federal agencies? 13. What are the annual costs related to compliance with Sarbanes Oxley for 404 and 302 review? 9

Annual Payroll System Maintenance Costs This section will determine your company’s annual end-to-end payroll system maintenance costs. For the purposes of this survey, end-to-end payroll system maintenance is defined as the cost of the following: • • • • •

Application maintenance Daily application support Database administration Network/communications Help desk/end-user support

Cost in these areas would include lease expense, depreciation/amortization, support/maintenance fees, IT outsourcing fees, personnel cost, voice/data/video communication costs, consulting/contractors/supplemental labor costs, training and facilities costs. Please remember that the costs in this section are for payroll system maintenance only, and should not include payroll processing costs. If your payroll and HRIS maintenance staffs are fully integrated, please make every effort to allocate a portion of the staff costs to payroll, and a portion to the HRIS, which is reported later in the survey. This will allow for more accurate reporting. If you are unable to separate payroll system and HRIS costs, please report all costs for system maintenance in this section. As before, these system maintenance costs will include labor-related and non-labor costs. We will now continue to “Annual Payroll System Maintenance Costs” Continue

10

V. Annual Payroll System Maintenance Costs 14. Annual Payroll System Maintenance Costs – People/Labor ♦ How many FTEs are involved in IT maintenance for payroll activities? ♦ Were these FTEs previously included in Section IV Payroll Processing Labor costs? Yes No ♦ What is the average annual salary of those FTEs? ♦ What is their average tax and benefits load factor?

%

15. Annual Payroll System Maintenance Costs – Non-Labor ♦ Please indicate the total annual facility cost directly related to IT maintenance for the payroll system. ♦ Please indicate the total annual G&A cost directly related to IT maintenance for the payroll system. ♦ Please indicate the total annual corporate overhead or corporate allocations cost directly related to IT maintenance for the payroll system. ♦ Please indicate the annual total of other direct costs directly related to IT maintenance for the payroll system.

11

HRIS Profile Information You have completed the payroll portion of the survey. Thank you for your responses. This last section of our survey covers your Human Resources Information System (HRIS). This is the system that you are using to track HR and employee benefits information on your employees and to help manage other key HR functions in your company. We have used a similar format in the Payroll and HRIS sections of our survey – this last section will look familiar. In the HRIS section, we will help you determine the total costs for both the one-time installation and the ongoing maintenance of your HRIS. Particularly important will be to define what HRIS means for you. In this first section, “HRIS Profile,” we have included an easy-to-use chart for you to indicate what HRIS functionality you currently have. This will enable us to make more meaningful comparisons of cost. We will now continue to the “HRIS Profile Information” Continue

12

VI. HRIS Profile Information 16. Your HRIS is: Installed on an internal company computer Installed on a computer owned and managed by a 3rd party and you access it via the Internet or via a network connection Please indicate the name of the HRIS Please indicate the number of employees covered by the HRIS 17. Please complete the following table which indicates what functionality you own and use in your HRIS to administer HR programs within your organization

HRIS Functionality / Module

Core HR Information Base Benefits Information Recruitment Compensation Learning Management System (LMS) Employee Self-Service Manager Self -Service Performance Management Competency & Career Development Succession Planning Workforce Planning Compliance/Regulatory Reporting Health & Safety Management

13

Own & Deploy

Own but Not Deployed

Don’t Own

Not Sure

HRIS Costs In this final section of the survey, we will determine the costs associated with your HRIS, including the one-time acquisition costs and the ongoing system maintenance costs. Our focus is your HRIS costs, and we will not attempt to determine the costs of processing or administering HR programs. We will now continue to “One-Time HRIS Costs – Initial Installation and Upgrade”

Continue

14

VII. One-Time HRIS Costs – Initial Installation and Upgrade 18. Please indicate dates of: Month

Year

Initial installation of your HRIS Last significant upgrade 19. Have you been able to segregate the one-time installation and upgrade systems costs indicated in this section from those in the Payroll section? Yes

No

20. Please Indicate: Total initial acquisition cost of your HRIS Initial Hardware cost Software cost Design/implementation cost (including internal resources and external consulting) Total cost of the last major upgrade Upgrade Hardware cost Software cost Design/implementation cost (including internal resources and external consulting)

15

One Time Costs

Annual HRIS Maintenance Costs This is the last section of the survey. In this section, we will determine total ongoing costs for maintaining your HRIS. As before, the costs are broken down between laborrelated and non-labor costs. For the purposes of this survey, HRIS maintenance is defined as the cost of the following: ♦ ♦ ♦ ♦ ♦

Application maintenance Daily application support Database administration Network/communications Help desk/end-user support

Cost in these areas would include lease expense, depreciation/amortization, support/maintenance fees, outsourcing fees, personnel cost, voice/data/video communication costs, consulting/contractors/supplemental labor costs, training and facilities costs.

We will now continue to “Annual HRIS Maintenance Costs” Continue

16

VIII. Annual HRIS Maintenance Costs

Total Annual Dollars

21. HRIS Maintenance Costs – Labor/People ♦ How many FTEs are involved in IT maintenance for HRIS? ♦ What is the average annual salary of those FTEs? ♦ What is their average tax and benefits load factor?

%

22. HRIS Maintenance Costs – Non-Labor Costs ♦ Please indicate the total annual facility cost directly related to IT maintenance for HRIS: ♦ Please indicate the total annual G&A cost directly related to IT maintenance for HRIS: ♦ Please indicate the total annual corporate overhead or corporate allocations cost directly related to IT maintenance for HRIS: ♦ Please indicate the annual total of other direct costs directly related to IT maintenance for HRIS. 23. Were the costs indicated in this section also reflected in the Payroll System Maintenance Costs section because you were unable to segregate costs? HRIS Only

HRIS and Payroll total

End of Survey

17