Payroll services Australia is some of the most important people to have working for your business. It can be difficult at the best of times to deal with money issues and the payroll can be a big pain. However, while you may be hiring a payroll service, you need to be very wary of who you trust with your sensitive data. Payroll fraud is a big problem and it can cause businesses to lose millions and even go out of business; so here are a few things you need to be wary when it comes to fraud prevention. Read more http://www.payrollserviceaustralia.com.au
Payroll Services Can Use the Ghost Employee
One of the most popular scams when it comes to payroll fraud has t be the old ghost employee. Now, a payroll service can basically add a name to the payroll but the person doesn’t work there and at times, doesn’t exist. However, the ghost employee still can be paid by the company and the money goes towards the fraudster. The amount of money that can be drained is astonishing and it’s important to take the time to check the payroll with employees names often. It can be a huge problem and one which is sometimes difficult to detect in large businesses. In smaller businesses, payroll services Australia can’t usually make this scam work if the employee count is very low but it can still happen.
Watch Out Of Commission Inflation
A lot of businesses have employees who are paid on commission but the payroll services provider could try to get more money from the business. They can easily increase or inflate the amount of commission on certain sales. This can lead to false sales records but they can end up getting away with thousands. It isn’t always easy to detect when using a payroll service however if you have a tight reign over the people working for you, it could be a lot easier to spot. Click here to read more information about Payroll service.
Falsified Hours Worked
Say employee A worked 30 hours a week, a scammer could easily up the hours to 35 or 40; and they could do so for each week of the month. If this goes unnoticed, it could potentially cost the company thousands within a few months if more than one employee is targeted. It’s the same with construction companies; payroll services that are fraudulent could inflate working hours and falsify documents meaning they bag the extra cash. Professional payroll services Australia are usually good but there are still scammers out there.
The Best Ways to Prevent Fraud
The probable best way to stop fraud in its track – keep out the history of the payroll services. However, sometimes, even the best can prove fatal so it is also important to bring in a third party audit company or accountant to go over every single piece of documentation every six or twelve months. If you do this, it might deter some potential criminals and maybe just be able to catch illegal activity before it gets out of hand also.
Don’t Get Scammed
Payroll can be a big nightmare for most since it deals with money and usually an outside firm is brought in to help deal with the issues. That can be a good thing, but if you choose the wrong people, it can be a bad thing. You have to be very wary and careful of whom you allow into your business and handle the payroll. Take the time to find the best payroll services Australia.