Running payroll in the financial services industry presents challenges like accuracy, regulatory compliance requirements, and data security concerns. Accuracy challenges stem from manually tracking time and labor or from complex compensation structures with bonuses, overtime pay, or equity awards.
Compliance requirements like tax withholding, benefits administration, and reporting obligations can also be complex and time-consuming. Financial services firms must ensure the security of their payroll data, which contains sensitive personal and financial information, to prevent data breaches and protect the privacy of their employees.