It is a solution provided by a third-party company or software that manages the process of calculating and distributing employee salaries, as well as managing related tax and payroll responsibilities such as employee wages, withholding tax, filing tax forms for employees and some other HR functions.

These services often combine the management of employee-related tasks, such as hiring, benefits administration, and compliance, with the back-end processing of payroll and taxes ensuring employees are paid accurately and on time. This may include training and development, managing employee benefits and insurance to ensure compliance with employment laws and regulations

It is a software or process used to manage and automate the calculation, distribution, and reporting of employee wages and salaries.

It is the process of calculating and paying an employee's salary for a specific pay period, along with accounting for taxes, deductions, and benefits.Example of Payroll Calculation for Cyprus Minimum WageLet's assume an employee in Cyprus works full-time, 40 hours per week at a rate of € 20 per hour. Their gross pay for the week would be € 1000 (40 hours x € 7/hour ) and has been employed for more than 6 months.Gross Monthly Pay: €1,000 (Cyprus minimum wage for employees with over 6 months of employment)Note: This is the gross monthly pay before any deductions.The actual net pay an employee receives will be lower due to various deductions (social security, GESY, HRDA, etc.) For the minimum wage there is no tax since the amount earned per year will be lower than € 19.000. This example does not include any overtime pay or other potential earnings.

It depends on the specific needs of the business, such as company size, industry, budget, and required features. The highest the employee’s qualifications de higher the salary.

Choosing a new payroll provider involves assessing your business needs, comparing features and costs, and ensuring that the provider aligns with your company's goals.
Read here what steps you should take before switching payroll providers?

Creating and managing human resources payroll involves creating a system to handle employee salaries, deductions, benefits, tax compliance, and reporting.

These two roles are distinct but intertwined within a business. As they both deal with employees, their responsibilities focus on different aspects of the employee experience.

Cyprus has implemented a national minimum wage to ensure fair compensation for full-time workers in various sectors. In the initial period of employment the minimum wage is 900 euros and after six months with the same employer it is 1000 euros.

Some leading payroll service providers recognized for their comprehensive offerings are: ADP, GUSTO, PAYCHEX, ONPAY, QUIXKBOOKS PAYROLL

1. Determine Your Payroll Needs: Assess your company's size and complexity: The number of employees, payroll frequency, and benefits offered will influence your needs.Consider your budget and resources: Factor in the cost of payroll software, potential fees, and the time required to manage payroll in-house.Evaluate your technical expertise: Do you have the necessary skills and software to handle payroll processing accurately?2. Choose a Payroll Method: ● In-house payroll: This involves managing payroll internally using accounting software or spreadsheets. It requires significant time and expertise.● Payroll software: This option provides software to manage payroll tasks, often with features like direct deposit and tax filing.● Professional Employer Organization (PEO): A PEO becomes the employer of record, handling all HR and payroll functions.● Payroll service provider: This option offers a range of services, from basic payroll processing to comprehensive HR solutions.3. Gather Necessary Information: Obtain an Employer Identification Number (EIN): This is required for tax purposes.Collect employee information: This includes names, addresses, Social Security numbers, and tax withholding information.Determine pay rates and payment schedules: Decide on hourly rates, salaries, and how often employees will be paid (e.g., weekly, bi-weekly, monthly).4. Set Up Your Chosen Payroll Method● If using payroll software: Follow the software provider's instructions to set up your account and enter employee information.● If using a payroll service provider: Work with the provider to set up your account and integrate their services with your existing systems.5. Process Payroll: ● Enter employee hours and any other relevant information.● Review and approve payroll calculations.● Issue paychecks or initiate direct deposit.● File and pay taxes on time.