Payroll Interview Questions and Answers

Many of us find ourselves quite nervous at the thought of appearing for an interview – and it is our fault! Why? It is simple. If we do not put in enough time and effort to prepare for an interview, we are sure to be nervous about it and eventually mess it up. But we are not merely messing up an interview; we are also messing up our careers.

Preparation can take the edge off an interview for payroll positions. Ask yourself questions that you may be asked at an interview. What will your responsibilities be? Where does your position sit within the organization? What skills do you possess that make you eligible for this position? How would you handle unhappy customers or coworkers who are not exactly amiable?

If you can answer your own questions, you have most of the interview aced. The manner in which you conduct yourself will go a long way in making you appear as a good candidate in front of an interviewer so show your confidence. If you do not know an answer, do not attempt to give a wrong one – it is always better to admit not knowing it.

Payroll Interview Questions and Answers

How would you define payroll? Also outline the routine steps part of a basic payroll processing protocol?
Payroll can be defined as a list with names of all employees of a company along with their payable wage amounts. Payroll processing includes filling up of W-4 forms by all employees, creating a payroll records system, calculating applicable deductions, determining the suitable payment methods and making deposits.

Give us a brief overview of what a payroll clerk work involves?
Payroll managers compile payroll data, verify time and attendance and process periodic transfers of pays to different accounts.

What are the 3 skills you think a payroll clerk must have?
Well, I believe strong analytical skills, good command on mathematics and attention to detail are must haves for any person in the role of a payroll officer.

Why is accuracy so important for someone handling payroll activities?
There are so many calculations that one has to do and even the slightest of inaccuracy can mess up an entire payroll system. Accuracy is very important because of the amount of money involved. If payroll personnel do not pay attention to what money is going where, all accounting procedures go haywire.

Define computerized payroll systems very briefly.
Computerized payroll systems include complete employee information including loans, pay structures, reimbursements, salary slip generation and income tax management. Since everything is computerized, it is easy to handle calculations and manage printing activities.

How would you handle an employee’s ire due to a payroll error?
Since neither machines nor humans can make sure that payrolls are accurate every time, one does come across annoyed employees. If such an event occurs and I discover that the fault is at my end, I always apologize and make arrangements to correct the error immediately.

List three important skills for someone working in a payroll position.
People working in a payroll position need to be accurate, possess the ability to make sound decisions and have a high level of proficiency.

Differentiate between a pay slip and a paycheck?
Pay slip is a slip that contains all details of the employees like total wages, deduction details, tax cuttings and the like. While a paycheck is a certification that the employee has earned a certain amount and can cash it form the bank.

What is gratuity? How is it calculated?
Gratuity is an amount accumulated over the tenure of employees, calculated using a certain formula and is payable when an employee retires or resigns. The formula for calculation of gratuity is: basic pay divided by no of working days in a month multiplied by total number of years worked.

What are payroll source documents?
All documents required for payroll processing and filing are called payroll source documents. These include attendance records, time records, pay-in slips, job sheets, tax information, salary details and the like

Which computerized payroll systems are you familiar with?
I am familiar with UltiPro, BambooHR, KRONOS and Namely. I am a quick learner with a knack for software operations and usually learn to operate unfamiliar software in very limited time and supervision.

How do you conduct payroll tracking and reconciliation?
For payroll reconciliation I ensure and verify that all accounts are in agreement to payable dues after tax deductions. For payroll tracking I use Intuit online payroll tracking software and also cross check the timings personally.

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