Page 50 - Essentials of Payroll: Management and Accounting

Cr eating a Payr oll System
person might enroll in a cafeteria plan in order to deduct the medica-
tion cost from his or her pretax wages.
These and other scenarios will occur regularly, so the payroll staff
must have a procedure in place for handling them. One approach is to

create a separate form for each type of payroll change,but this can result
in a blizzard of paperwork. A better approach is to use a single, sum-
mary-level change document, such as the one shown in Exhibit 1.9.

EXHIBIT 1.9

The Employee Change/New Form

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