Payroll

We support you in the process of calculating and paying your employees' payroll, maintaining control of sick leave, vacations, and more.

This service enables enterprises to ensure compliance with current labor and social security regulations regarding overtime calculation, labor settlements, income tax withholdings, among others, by outsourcing this function to our firm.

Why work with us?

Through the use of a human resources management platform that is constantly updated, we are capable of handling all payroll-related matters from the company's registration with the Social Security Fund to the calculation of employee termination benefits. This service includes, among others, the following:

• Calculation of bi-weekly or monthly payroll.
  Calculation of annual bonus payroll.
  Calculation of labor termination settlements.
  Registration of the company with the Social Security Fund.
  Enrollment of employees with the Social Security Fund.
  Monthly preparation of pre-processed Social Security payroll and payment of corresponding fees.
•  

This outlines the scope of the proposal: Professional Payroll Services

Preparation of bi-weekly or monthly salary payment payroll. To effectively fulfill this service, we require a copy of the employment contract clearly stating the monthly salary amount and any additional benefits payable beyond legally mandated ones (annual bonus, vacations, and seniority bonus).
 
Unless otherwise specified, each payroll will cover a bi-weekly period.

The company will provide exact dates for which the corresponding calculations are required.
The same applies to the calculation dates for the annual bonus, which requires a special payroll.

Personnel Actions: We require timely written communication from the company regarding any personnel actions resulting in changes to economic conditions for staff.

These actions include:

• Termination
  Instant bonuses
  Vacations
  Merit bonuses
  Salary increases
  Any other applicable payments
  Payment of new benefits

It is common practice for individuals to use vacation days as a pool against which previously agreed-upon leave days are drawn. Therefore, to accurately accumulate and track vacation days taken by individuals, ensuring precise calculation during settlements or resignations, we require either your management of this information or accurate updates sent to us for accumulation through our system.

On a bi-weekly basis, on the specified date, we will email the payroll information for the period, enabling the company to proceed with issuing checks or ACH payments.

Bi-weekly payment receipts, bonuses, vacations, annual bonuses, and other payments required by the company are issued via email. 

We will maintain up-to-date information for each employee concerning: 

• Pending vacation days and accumulated vacation balance payable.
  Company-covered incapacity days and accumulated incapacity days to which employees are entitled, provided that incapacity days taken by staff are promptly reported for accurate record-keeping.
  Details of lateness, absences (justified or not), and overtime hours for each worker, provided that these incidents are reported promptly for proper record-keeping.
  Details of pending labor benefits for each employee: annual bonuses, vacations, seniority bonuses, notice periods, and severance pay.

Social security fund, employee registration and enrollment 

We offer the service of enrolling company employees in the social security system. This registration is crucial and must be completed on the employee's first workday, especially for Occupational Risks coverage in case of accidents.

The payroll payment service includes the following: once the entity is registered and the initial payroll is submitted, we will issue subsequent payrolls through the system. 

• Registration of salary income and income tax withholding in the SIPE system.
  Entry notices - new personnel and exit registration (no additional cost provided notifications are timely and do not require additional office-related procedures at the main office (Clayton).
  Monthly provision of a report generated from the SIPE system (Pre-processed). 

List of employees and earned salaries – Monthly form 03 

This report, required by the General Directorate of Revenues, includes all employees, taxable income calculation, income tax computation, minus applicable withholdings, and balance payable to the tax authorities.

Through Executive Decree 186 of 2021, the General Directorate of Revenues (DGI), under the Ministry of Economy and Finance, modified the filing frequency of Form 03 (Payroll 03). Executive Decree 20 of 2022 states that the form shall be monthly, with taxpayers submitting the declaration settlement of withheld amounts to the DGI within 60 calendar days following the month's end. 

Bi-weekly and Monthly Payroll Reports 

• 
  Bi-weekly journal vouchers, including by cost center if necessary.
  Report on labor benefit reserves (vacations, annual bonuses, seniority bonuses, and severance pay).
  Income certification letter by employees (upon request).
  Monthly provision of detailed payroll reports electronically generated from our payroll system.
  Provision of journal voucher report for payroll entry electronically for payroll payment.
  Generation of standard reports directly from our payroll software.
  Employment letter (every two months per employee upon request, deliverable within three business days).
  Upon request, one annual salary certification for individuals filing personal income tax.