Global Payroll Manager

In internationally active companies, payroll accounting often faces special challenges. For example, if there are expatriates, cross-border commuters or employees who temporarily work in a domestic or foreign home office, the coordination and implementation of payroll accounting is complex. All relevant salary components must be correctly assessed for tax and social security purposes according to local law. In addition, home and host country payroll must be synchronised. Data from one country must be reported to the other country and processed there. Local tax and social security requirements must always be taken into account. In addition, challenges arise, for example, from the cost recharging in cross-border situations. 

KPMG has had a market-leading solution, Global Payroll Manager, for many years. As German payroll tax law places special requirements on German companies, we have developed a version specifically for the German market that allows companies to manage and monitor the global payroll processes for employees working across borders. In the new design, a complete workflow has been integrated to improve usability for all stakeholders without sacrificing the functionalities of the existing technology.

For data generation, the software solution accesses the relevant data and payment sources, for example from the ERP system. In a standardised data processing process, a tax and social security assessment of the salary components (so-called country tax grid) takes place - taking into account the tax characteristics of the employees. In the event of redundancies or missing data, a system error message informs the users and, if necessary, also the locally responsible persons. After a fully automated check of the data, the Global Payroll Manager transfers it to a central salary database. Based on this, the software creates monthly and annual salary information for the employees as well as comprehensive reporting.

• Preparation of payroll: Automated preparation of salary data from all payment sources of KPMG clients.
• Verification of data: Configuration of client-specific check logics to ensure data quality and data completeness.
• System-inherent communication and troubleshooting: communication on data abnormalities and troubleshooting with client contact persons within a closed environment.
• Tax assessment of salary components: Linking of salary components with tax and social security assessment per country.
• Payroll Instructions: Creation of (Global) Payroll Instructions to instruct local client payrolls to ensure payroll compliance on a global level (complete reporting of data to the relevant payrolls).
• Reconciliation: Automated check of whether the values / wage types processed in Payroll correspond to those in the Payroll Instruction.
• Reporting: Creation of salary statements for employees and for all relevant tax processes (e.g. "Year-end Compensation Accumulation Overview")
• Allocation: Client-specific automation of the cost transfer process in connection with international employee assignments between the relevant cost centres (e.g. between the sending and receiving company / cost centre)
• User dashboard: Cost overviews of the assignment programme as well as per employee based on real-time data

• Flexible IT-based payroll management solution that can be implemented quickly and cost-efficiently
• Fulfils local tax and social security requirements by applying flexible assessment logic at employee and wage type level
• Simple and needs-based configuration of reports enables fast data exchange
• Client and country-specific configurations are possible at any time
• Easy integration of relevant (internal and also external) payment and information sources
• Automation of test steps in data processing and reporting
• Simple operation and comprehensible work steps for easy onboarding of local contacts (Global Mobility and Payroll)