Hussain Al Shemsi Chartered Accountants

Payroll Processing

Payroll Processing in UAE

HALSCA is one of the most experienced Payroll Processing Company in UAE, providing excellent payroll solutions that can serve your HR needs. Payroll is one of the most important parts of the Human Resource division and a basic piece of every company. A company’s success depends on its employees and therefore it is necessary to place right people for the right position.

Payroll processing refers to the task of managing the payment of wages by a company to its employees. The steps involved in payroll processing typically include gathering employee time information for a selected time period, managing benefits & deductions, and distributing employee pay for that time period. Most companies use either a payroll software system for payroll, or else a third-party payroll processing service.

Benefits Of Hiring Payroll Processing Service In UAE

One of the main benefits of hiring a payroll processing service in UAE is to give you an assurance that the company’s bookkeeping and errors will be reduced. The cost of doing your own payroll can be costly as it takes a company’s time away from making business strategies. The time that should be spent on implementation and expanding your business can be taken away by this payroll process.

Payroll is essential part of the business and should not be taken lightly. The payroll process can be quite complicated which can be time consuming. It includes Wages Protection System payroll, wages and deductions, sick leaves, overtime and many more. The companies should adhere to laws and regulations related to payroll therefore clear records should be maintained. Therefore, there are multiple reasons why you should outsource Payroll Processing in UAE.

With HALSCA, being one of the best Payroll Management in Dubai, you can be assured of error-free, top-notch, and organized payroll services in UAE.

Bank Reconciliation Terminology

The key terms to be aware of when dealing with a bank reconciliation are:

  • Deposit in transit: Cash and/or checks that have been received and recorded by an entity, but which have not yet been recorded in the records of the bank where the entity deposits the funds. If this occurs at month-end, the deposit will not appear in the bank statement, and so becomes a reconciling item in the bank reconciliation.
    A deposit in transit occurs when a deposit arrives at the bank too late for it to be recorded that day, or if the entity mails the deposit to the bank (in which case a mail float of several days can cause a delay), or the entity has not yet sent the deposit to the bank at all.
  • Outstanding check: A check payment that has been recorded by the issuing entity, but which has not yet cleared its bank account as a deduction from cash. If it has not yet cleared the bank by the end of the month, it does not appear on the month-end bank statement, and so is a reconciling item in the month-end bank reconciliation.
  • NSF check: A check that was not honored by the bank of the entity issuing the check, on the grounds that the entity’s bank account does not contain sufficient funds. NSF is an acronym for “not sufficient funds.” The entity attempting to cash an NSF check may be charged a processing fee by its bank. The entity issuing an NSF check will certainly be charged a fee by its bank.

Importance Of Bank Reconciliation In UAE

It helps to ensure:

  • Accuracy of company’s cash records
  • Financial statements free from errors and fraud
  • Tracking the transactions using a well-organised documentation system
  • Assistance in spotting inefficiencies in your accounting system
Here At HALSCA

HALSCA has a team of experienced professionals who conduct analysis and evaluates the financial transaction and accounting records with a view to uncovering discrepancies and ensures and advises a better financial prospect for our client. Here at HALSCA we have been successfully providing top notch Bank Reconciliation Procedure services in UAE for many years.

Looking for Bank Reconciliation Services in UAE? Our experts here at HALSCA will assist you. Feel free to contact us.

Bank Reconciliation Procedure

The following bank reconciliation procedure assumes that you are creating the bank reconciliation in an accounting software package, which makes the reconciliation process easier:

  • Enter the bank reconciliation software module. A listing of uncleared checks and uncleared deposits will appear.
  • Check off in the bank reconciliation module all checks that are listed on the bank statement as having cleared the bank.
  • Check off in the bank reconciliation module all deposits that are listed on the bank statement as having cleared the bank.
  • Enter as expenses all bank charges appearing on the bank statement, and which have not already been recorded in the company’s records.
  • Enter the ending balance on the bank statement. If the book and bank balances match, then post all changes recorded in the bank reconciliation and close the module. If the balances do not match, then continue reviewing the bank reconciliation for additional reconciling items. Look for the following items:
    • Checks recorded in the bank records at a different amount from what is recorded in the company’s records.
    • Deposits recorded in the bank records at a different amount from what is recorded in the company’s records.
    • Checks recorded in the bank records that are not recorded at all in the company’s records.
    • Deposits recorded in the bank records that are not recorded at all in the company’s records.

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