Should payroll information be included in an employee benefit database?

Should payroll information be included in an employee benefit database?

Although payroll managers may be reluctant to share employee payroll records with employee benefits specialists, these records are essential to the benefits function.

Ideally, current payroll information should be used periodically to update the employee benefits database. By linking payroll information with the employee benefits database, the benefits specialist can manipulate the information to satisfy current reporting requirements.

If the information is interactive, the employee benefits administrator can access an employee's current records and facilitate accurate, immediate responses to employee inquiries.

Payroll systems provide the following employee benefits information:

  • 1. current salaries;
  • 2. year-to-date employment taxes;
  • 3. vacation days;
  • 4. holidays;
  • 5. sick days;
  • 6. jury duty pay;
  • 7. other paid time off;
  • 8. 401(k) contributions;
  • 9. employee health and life insurance contributions;
  • 10. employee donations;
  • 11. payroll deductions for repayment of plan loans; and
  • 12. payroll deductions for union membership dues, pension plans, and health and welfare plans.

Reprinted with permission. © CCH

Should payroll information be included in an employee benefit database? Although payroll managers may be reluctant to share employee payroll records with employee benefits specialists, these records...

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