salary-management
Salary Management — Payroll Run & Employee Pay Operations
You execute payroll: run pay cycles, generate payslips, calculate pro-rated pay, handle final settlements, process salary revisions, and reconcile the payroll register to the general ledger. Every employee gets paid exactly what they are owed, on time, with a clear payslip.
Mission: Accurate payroll run completed and submitted 3 days before pay date. Every payslip in employee hands within 24 hours of processing.
Phase 1 — Payroll Run Checklist
1.1 Pre-Run Validation (Run 5 Business Days Before Pay Date)
PRE-PAYROLL VALIDATION CHECKLIST — [Pay Period: DD Mon to DD Mon YYYY]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
NEW HIRES (to be added this cycle):
[ ] [Employee name] — Start date: [Date] — Salary: $[X] — Pro-rated days: [N]
[ ] Banking details confirmed: ✓ / ✗
[ ] Tax documents received (W-4/W-8/Form 12BB): ✓ / ✗
TERMINATIONS (final settlement this cycle):
[ ] [Employee name] — Last day: [Date] — Settlement calculation: $[X]
[ ] Accrued PTO payout: [N] days × $[X]/day = $[X]
[ ] Final pay and separation docs delivered: ✓ / ✗
SALARY CHANGES (effective this cycle):
[ ] [Employee name]: $[X] → $[X] effective [Date] — Approved: ✓ / ✗
DEDUCTION CHANGES:
[ ] New 401k/PF enrollment: [N] employees
[ ] Benefits changes (open enrollment / life event): [N] employees
[ ] Garnishment orders new/modified: [N]
VARIABLE PAY THIS CYCLE:
[ ] Bonus approved by Finance + CRO: $[X] to [N] employees
[ ] Commission payout approved: $[X] to [N] employees
[ ] Spot awards: $[X] to [N] employees
VALIDATION CHECKS (automated):
[ ] No employee with $0 or negative net pay
[ ] No employee missing bank account details
[ ] Gross payroll variance vs. prior period: [%] — acceptable range: ±10%
[ ] Variance explained: [list reasons — new hires, terminations, salary changes, bonuses]
APPROVALS REQUIRED:
[ ] VP Payroll reviewed and signed off: ✓
[ ] CFO approved (or Controller if delegated): ✓
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Phase 2 — Payslip Generation
2.1 Payslip Format (US Employee)
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
PAY STUB
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
EMPLOYER EMPLOYEE
[Company Legal Name] [Employee Full Name]
[Company Address] Employee ID: [XXXXXX]
EIN: [XX-XXXXXXX] Department: [Department]
Pay Period: [DD Mon] – [DD Mon YYYY]
Pay Date: [DD Mon YYYY]
Pay Type: [Salary / Hourly]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
EARNINGS This Period Year to Date
──────────────────────────────── ──────────── ────────────
Base Salary $[X,XXX.XX] $[XX,XXX.XX]
Overtime $[XXX.XX] $[X,XXX.XX]
Bonus $[X,XXX.XX] $[X,XXX.XX]
Commission $[X,XXX.XX] $[X,XXX.XX]
Other Earnings $[XXX.XX] $[X,XXX.XX]
──────────────────────────────── ──────────── ────────────
GROSS EARNINGS $[X,XXX.XX] $[XX,XXX.XX]
DEDUCTIONS This Period Year to Date
──────────────────────────────── ──────────── ────────────
Federal Income Tax ($[XXX.XX]) ($[X,XXX.XX])
State Income Tax — [State] ($[XXX.XX]) ($[X,XXX.XX])
Social Security (6.2%) ($[XXX.XX]) ($[X,XXX.XX])
Medicare (1.45%) ($[XXX.XX]) ($[XXX.XX])
Health Insurance Premium ($[XXX.XX]) ($[X,XXX.XX])
401(k) Contribution ([%]%) ($[XXX.XX]) ($[X,XXX.XX])
Dental Insurance ($[XX.XX]) ($[XXX.XX])
Vision Insurance ($[XX.XX]) ($[XXX.XX])
Other Deductions ($[XXX.XX]) ($[X,XXX.XX])
──────────────────────────────── ──────────── ────────────
TOTAL DEDUCTIONS ($[X,XXX.XX]) ($[XX,XXX.XX])
─────────────────────────────────
NET PAY $[X,XXX.XX] $[XX,XXX.XX]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
EMPLOYER CONTRIBUTIONS (company cost, not deducted from your pay)
Social Security (6.2%): $[XXX.XX]
Medicare (1.45%): $[XXX.XX]
Employer 401(k) Match: $[XXX.XX]
Employer Health Premium: $[XXX.XX]
────────────────────────────────────────
Total Cost to Company: $[X,XXX.XX] | Annual CTC: $[XX,XXX.XX]
PAYMENT METHOD
Direct Deposit to [Bank Name] ****[last 4]
Expected in account by: [Date]
TAX SUMMARY (YTD)
Federal taxable wages: $[XX,XXX] | Federal tax withheld: $[X,XXX]
SS wages: $[XX,XXX] | SS withheld: $[X,XXX]
Medicare wages: $[XX,XXX] | Medicare withheld: $[XXX]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Questions: payroll@[company].com | HR portal: [URL]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
2.2 Payslip Format (India Employee — Salary Slip)
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
SALARY SLIP
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Company: [Company Name] Month: [Month YYYY]
Address: [Registered Address] Pay Date: [DD/MM/YYYY]
EMPLOYEE DETAILS
Name: [Full Name] Employee ID: [XXXXXX]
Designation: [Job Title] Department: [Department]
Date of Joining: [DD/MM/YYYY] PAN: [XXXXXXXXXX]
UAN: [XXXXXXXXXX] Bank: [Bank] ****[last 4]
Location: [City] Work Days: [N] / [N]
EARNINGS (₹) DEDUCTIONS (₹)
────────────────────────────── ────── ────────────────────────── ──────
Basic Salary [X,XXX] Provident Fund (Employee) [X,XXX]
House Rent Allowance (HRA) [X,XXX] ESI (Employee 0.75%) [XXX]
Leave Travel Allowance (LTA) [X,XXX] Professional Tax [XXX]
Special Allowance [X,XXX] TDS (Income Tax) [X,XXX]
Medical Allowance [XXX] Salary Advance Recovery [XXX]
Performance Bonus [X,XXX] Other Deductions [XXX]
Other Allowances [XXX]
────────────────────────────── ────── ────────────────────────── ──────
GROSS EARNINGS [XX,XXX] TOTAL DEDUCTIONS [X,XXX]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
NET SALARY (IN HAND): ₹ [XX,XXX]
Amount in words: [Indian Rupees XXXXX Only]
EMPLOYER CONTRIBUTIONS
PF — Employer (12% of basic): ₹[X,XXX]
ESI — Employer (3.25%): ₹[XXX]
Gratuity Provision: ₹[XXX]
ANNUAL CTC: ₹ [X,XX,XXX]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
This is a system-generated payslip and does not require a signature.
Payroll queries: hr@[company].com
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Phase 3 — Pro-Rated Pay Calculations
3.1 New Hire Pro-Ration
NEW HIRE PRO-RATED PAY
Employee: [Name]
Start Date: [Date]
Annual Salary: $[X]
Monthly Salary: $[X] / 12 = $[X]
For semi-monthly payroll:
Pay period: [Start – End]
Calendar days in period: [N]
Working days in period: [N]
Working days employee was active: [N]
Pro-rated gross = Monthly salary × (Active working days / Total working days)
Pro-rated gross: $[X]
For bi-weekly payroll:
Annual salary / 26 pay periods = regular pay = $[X]
Days in pay period: 14
Days employee was active: [N]
Pro-rated gross = Regular pay × (Active days / 14) = $[X]
3.2 Salary Revision Mid-Period
MID-PERIOD SALARY CHANGE
Employee: [Name]
Change Effective Date: [Date] (mid-period)
Old Annual Salary: $[X] → Old Daily Rate: $[X]
New Annual Salary: $[X] → New Daily Rate: $[X]
Days at old salary: [N] → Earnings: $[X]
Days at new salary: [N] → Earnings: $[X]
──────────────────────────────────────────
Total gross earnings this period: $[X]
Phase 4 — Final Settlement (Full & Final)
4.1 Final Settlement Calculation
For employees leaving the company:
FULL & FINAL SETTLEMENT — [Employee Name]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Last Working Day: [Date]
Notice Period: [N] days | Notice served: [N] days
Notice buyout: [N days shortfall × daily rate = $[X]] (deducted if short)
[N days excess × daily rate = $[X]] (paid if over-served)
EARNINGS PAYABLE
Salary for period [start] to [last day]: $[X]
Pro-rated salary for partial month: $[X]
Unused PTO payout: [N] days × $[X]/day: $[X] (per policy)
Annual bonus pro-rated: [months/12 × target]: $[X] (if applicable per plan)
Gratuity (India — if > 5 yrs service): ₹[X] = 15/26 × last basic × years served
Leave encashment (India — EL balance): ₹[X]
Any approved pending reimbursements: $[X]
─────────────────────────────────────────────────────────────
Total Earnings Payable: $[X]
DEDUCTIONS
Notice period shortfall: ($[X])
Outstanding salary advance: ($[X])
Corporate card balance: ($[X])
Equipment not returned: ($[X]) (at depreciated value)
Commission clawback (if applicable): ($[X])
Any other dues: ($[X])
─────────────────────────────────────────────────────────────
Total Deductions: ($[X])
NET SETTLEMENT AMOUNT: $[X]
Payment within: [30–45] days of last working day (per local labor law)
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
4.2 Exit Compliance Checklist
Pre-final settlement — confirm:
[ ] IT equipment returned and documented
[ ] Access revoked (all systems, email, VPN, cloud)
[ ] Corporate card surrendered and balance cleared
[ ] Ongoing project handover confirmed with manager
[ ] COBRA notification sent (US — within 14 days of coverage end)
[ ] Reference letter request noted
[ ] Non-compete/NDA acknowledgment obtained
[ ] Exit interview completed
[ ] Form 16 issued by June 15 (India)
[ ] Final payslip issued with settlement breakdown
Phase 5 — Payroll Register & GL Reconciliation
5.1 Payroll Register Summary
PAYROLL REGISTER — [Pay Period] — [Pay Date]
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Emp ID | Name | Dept | Gross | Total Deduct | Net Pay | Method
───────|─────────────|───────|──────────|──────────────|──────────|───────
[ID] | [Name] | [Dept]| $[X,XXX] | ($[XXX]) | $[X,XXX] | DD
[ID] | [Name] | [Dept]| $[X,XXX] | ($[XXX]) | $[X,XXX] | DD
───────|─────────────|───────|──────────|──────────────|──────────|───────
TOTAL | | | $[XX,XXX]| ($[X,XXX]) | $[XX,XXX]|
EMPLOYER TAX SUMMARY
Social Security (employer): $[X,XXX]
Medicare (employer): $[XXX]
FUTA: $[XXX]
SUTA: $[XXX]
─────────────────────────────────────
Total employer tax: $[X,XXX]
TOTAL CASH OUTFLOW THIS PAYROLL: $[XX,XXX]
(Net pay + all employee tax deposits)
GL JOURNAL ENTRY:
Dr Salaries & Wages Expense (6000): $[XX,XXX] [gross payroll]
Dr Payroll Tax Expense — Employer (6050): $[X,XXX] [employer taxes]
Dr Benefits Expense (6060): $[X,XXX] [employer benefits]
Cr Cash — Payroll Account: ($[XX,XXX]) [net pay]
Cr Federal Tax Payable (2300): ($[X,XXX]) [federal withholding + FICA]
Cr State Tax Payable (2310): ($[XXX])
Cr Benefits Payable (2320): ($[XXX])
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
Quality Rules
- Payroll must be submitted to the payment processor at least 3 business days before pay date.
- Any payroll run variance vs. prior period > 10% must be explained before submission.
- Final settlements must comply with local labor law timelines (US: final check by last day in most states; India: 30–45 days from last working day).
- Salary data is strictly confidential — access limited to HR, Payroll team, and executive leadership.
- Payslips are personal and private — never share one employee's payslip with another person.
- Salary advances require written request, manager approval, and Finance sign-off; maximum one month's net salary.
- Every payroll run must be approved by the VP Payroll before submission — no exceptions.
More from aviskaar/open-org
cfo-finance
Use this skill when a CFO, VP Finance, Controller, or Head of Finance needs to orchestrate the full financial operations of a company — from strategic financial planning and investor reporting to day-to-day control of accounts payable, accounts receivable, payroll, tax compliance, and revenue operations. This is the top-level financial orchestrator that commissions all finance sub-skills, maintains the single source of truth for all company numbers, drives budget allocation, manages cash flow, ensures regulatory compliance, and produces board-ready financial reports. Trigger this skill when anyone needs a comprehensive view of company finances, a board pack, a fundraising data room, or needs to coordinate across invoicing, payroll, commissions, procurement, taxes, and expenses simultaneously.
48payroll-compensation
Use this skill when a VP Payroll, Head of People Operations, or Payroll Manager needs to manage all employee and contractor compensation flows — including payroll runs, salary administration, statutory deductions, benefits administration, equity grants and vesting, variable pay bonuses, contractor invoice processing, and full payroll compliance across jurisdictions. This skill orchestrates the salary management sub-skill. Trigger when running payroll, onboarding employees with compensation packages, processing salary changes, calculating bonuses, managing equity schedules, processing contractor payments, handling payroll tax filings, or producing total compensation reports for People and Finance leadership.
25accounts-payable
Use this skill when a VP Accounts Payable, AP Manager, Controller, or Finance Operations Manager needs to manage all outgoing payment flows — including vendor invoice processing, purchase order generation and three-way matching, vendor onboarding and management, employee expense reimbursements, and payment scheduling. This skill orchestrates purchase order management and expense management sub-skills. Trigger when processing vendor bills, approving purchase orders, managing vendor master data, running payment batches, processing employee reimbursements, or producing AP aging and cash disbursement reports.
5tax-compliance
Use this skill when a VP Tax, Tax Manager, Controller, or Finance Director needs to manage all tax obligations of a company — including corporate income tax, GST/VAT/Sales Tax, payroll taxes, transfer pricing, R&D tax credits, and multi-jurisdictional tax compliance. Trigger when computing tax provisions, preparing tax filings, responding to tax authority notices, evaluating tax implications of business decisions (new geographies, M&A, restructuring), managing indirect taxes on invoices, or producing the tax compliance calendar with all deadlines for the CFO and board.
4invoice-management
Use this skill when an AR specialist, billing analyst, revenue operations manager, or finance team member needs to generate, dispatch, track, and collect on customer invoices. Covers the full invoice lifecycle: creation from contract/PO/delivery data, formatting and dispatch, payment tracking, AR aging management, collections follow-up, credit notes, and invoice reconciliation. Trigger when creating a new invoice, checking payment status, managing overdue accounts, issuing credit memos, or producing AR aging reports.
4account-intelligence
Use this skill when a product firm, consulting firm, system integrator, or federal contractor needs to research a target company or government agency and produce an executive-grade Account Intelligence Report as a formatted .docx file. Handles any industry vertical — Life Sciences, Financial Services, Healthcare, Manufacturing, Energy, Retail, Technology, Federal/Government, and more. Fully automates the pursuit research and document generation process. Includes AI Agentic Solutions vision, IP and Research Opportunity mapping, and high-definition charts and visual dashboards.
3