In short:
- Payroll software produces payslips, including absences and variable items.
- In France, it also prepares the DSN, the monthly payroll filing.
- How the vendor updates calculation rules is a decisive criterion.
- Payroll data is sensitive and must be protected.
What payroll software is for
Payroll software calculates pay, social contributions and net amounts, then produces payslips. It keeps each employee’s history and prepares social security filings. For a business with employees, it reduces calculation errors and the time spent each month.
Essential features
- Payslip production with variable items (overtime, bonuses).
- Absence management: leave, sick leave, other absences.
- Social security filings: generating the DSN in France.
- Accounting export to the accounting tool, or to invoicing software when it includes accounting features.
- Employee portal to view payslips online.
Points to check before choosing
| Criterion | Question to ask the vendor |
|---|---|
| Regulatory updates | How are changes to calculation rules built in? |
| Collective agreement | Is the company’s agreement supported? |
| Integrations | Does the software connect to the HRIS and accounting? |
| Support | What help is available for the initial setup? |
Sensitive data and teamwork
Payroll data (salaries, bank details, absences) is among the most sensitive in a company. Exchanges between HR, accounting and management are better handled through secure collaboration tools than through email attachments. Payroll software can also connect to the CRM or other tools to track sales commissions.
Frequently asked questions
What features should you expect from payroll software?
Payroll software should produce payslips, take absences and variable items into account, prepare social security filings such as the DSN in France, and export entries to accounting. How the vendor updates calculation rules is a key point.
What is the DSN?
The DSN (déclaration sociale nominative) is the filing through which employers in France send their employees’ payroll data to social protection bodies every month. Payroll software generates it from the payslips.
Payroll software or outsourcing?
Software keeps payroll in-house and requires skills to set it up and check it. Outsourcing hands payslip production to a provider, such as an accounting firm. The choice depends on headcount and available skills.