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Payroll Outsourcing

Japonica Enterprises
Basic Services
» Some of the basic services we offer to all our clients are :
 Generation of Employee Payslips  Additional payments based on
providing details of Allowances, Overtime Sheets.
Gross Salary, Deductions & Net  Full & Final Settlements.
Pay.  Maintaining investment records of
 Preparation of Salary Registers & Employees under section 80C, 80D,
Bank Payment Registers. 24(1), etc.
 Processing Voucher Payments that  Maintaining Leave Encashment &
do not form part of the payslip. LTA records.
 Processing Increments and  Tracking Reimbursements under
calculating Arrears with retrospect heads like Medical, Telephone, Fuel,
effect. Vehicle Maintenance, etc.
 Maintaining Employee Master  Computation of TDS based on
Details like Grade, Dept., PAN No., Allowance and Deduction heads &
PF No., Bank A/c No., CTC, etc. investments.

Japonica Enterprises
Advanced Services
» Adding to the basic services, is an advanced set of services that
we offer to our clients which include :
 Preparation of database files to  Cost to Company report that
be submitted to banks for direct provides not only salary details
credit of salary via ECS facilities. but also the other costs incurred by
 Maintaining leave records under the company on account of the
each head of Privilege Leave, employee.
Casual Leave & Sick Leave.  Incorporation of Company/Bank
 Preparation of Lunch Coupon Loans with automatic monthly
report for clients who disburse deduction of instalment amount as
these coupons to employees as well as interest amount.
part of the package.  Calculation of Perquisite on Loan
 Preparing Accounting JVs for for tax purposes.
uploading onto Tally, SAP.  Files for uploading Payslips & Tax
Projections onto the Intranet.

Japonica Enterprises
Statutory Services
» Statutory services provided as per government regulations :

 Preparation of Provident Fund  Deduction of Maharashtra Labour

Registers for filing as per Form Welfare Fund on a Half-yearly
12A. basis.
 Preparation of Employee State  Preparation of e-TDS returns on a
Insurance records for filing as per Quarterly basis.
Form 5.
 Preparation of Form 16 and Form
 Preparation of Profession Tax 12B for each employee on an
summary for filing as per Return- Annual basis.
Cum-Challan format.
 Computation of Company
 Computation of TDS (Income Tax) Perquisites under Accommodation,
and preparation of Income Tax Furniture, Subsidised Loan, Car,
Summary Statement. Driver, etc.

Japonica Enterprises
Benefits of Outsourcing - I
» There are several benefits to outsourcing the Payroll Process to
a third party vendor like us.
 A cost-effective & accurate  Planned time schedule for
solution for payroll monthly payroll processing that
management. is strictly followed to ensure
 Zero Software maintenance cost. timely payments to employees.
 No need for employing staff and  No additional cost for appointing
reserving infrastructure for Tax consultants and Software
payroll management. programmers to implement the
 Savings in cost for updating the
tax amendments in the Finance
payroll system as per the Bill every year.
management requirements or for  Management can concentrate on
additional reports required in their core activities.
different formats.

Japonica Enterprises
Benefits of Outsourcing - II
 Personalized & Professional  Continuity of Services.
Services.  Best business practices will be
 Single Point Contact Agency & applied.
Full Confidentiality.  The services are offered in such an
 Strict adherence to Timelines in arrangement that the client needs
Payroll Processing, Payments of to spare minimal resources for
Taxes, Furnishing of Reports to payroll administration.
the Management.
 High level of internal controls to
minimize the chances of errors.
 Cost Control & Defined Costs.

Japonica Enterprises
The Inputs / Receivables
» Attendance : Repayment, Deduction & No Pay.
» New Joinees : Master Details, Salary Structure, Joining Date, etc.,
» Overtime : Number of Hours worked as overtime.
» Increments : New Allowance & Deduction Details, with Effective Date
& any other Master details changed.
» Investments : Details of Amounts put in Tax-Saving Investments.
» Resignations : Full & Final Settlement Workdays, Separation Voucher
Payments, Recoveries & Investment Proofs.
» Reimbursements : Medical, Telephone, Conveyance, etc.
» Ad-Hoc Payments : Incentive, Ex-Gratia, Bonus, Leave Encashment,
Leave Travel Allowance, etc.
» Ad-Hoc Deductions : Advance, Society, Canteen, LIC, etc.
» Loans : Sanctioned Amount, Rate of Interest, Installment Amount,
Statutory Rate of Interest.

Japonica Enterprises
The Outputs / Deliverables - I
» Monthly Reports
 Salary Register and individual Payslips providing details of Basic, all
Allowance Heads, Gross Salary, Deduction Heads & Net Salary.
 Bank Payment Register giving details of payments along with employee
account number and bank name. This can also be provided in a bank-
approved database format for ECS transfer.
 Full & Final Settlement report that gives details of the employees resigned
for the month and their final settlement amounts.
 Provident Fund Register with an accounting break-up as per statutory
 Preparation of Employee State Insurance payments as per government
 Summary report of the Profession Tax paid as per statutory regulations.
 Preparation of Income Tax Deduction list.

Japonica Enterprises
The Outputs / Deliverables - II
» Monthly Reports (contd…)
 Cost to Company Report Department-wise / Project-wise / Location-wise.
 Leave Balance Report.
 Loan Details Register and Advance Recoveries.
 Net Pay Report.
 Lunch Coupons Report.
 Projections (Per Employee Wise).
 Management Reports.
 Tax Summary Report.
 JVs files as per Tally/SAP format so that Payroll Journal Voucher can be
automatically posted.
 Payslips & Tax Projections Upload which can be directly uploaded on the
website of the company.
 On-Line Access through a Secure Link to Employees to view their last 12
months Payslips and latest Tax Projections.

Japonica Enterprises
The Outputs / Deliverables - III
» Yearly Reports
 Preparation of Statutory Bonus Report for employees eligible for an
Annual Bonus as per the Bonus Act.
 Summary of Tax Deducted from the payslips as well as from the voucher
payments made to employees for the year.
 Month-wise break-up of the earnings and deductions of each employee for
the year.
 Employee details for the purposes of computation of Leave Encashment.
 Form 16 as well as Annexure to Form 16 for each employee which provides
details of annual salary, exemptions, tax-saving investments, and tax
 Form 12BA for each employee giving details of the perquisites availed of,
namely, subsided loans, company accommodation, company car, club
membership, etc.

Japonica Enterprises
The Outputs / Deliverables - IV
» Yearly Reports
 Form 24 and Annexure to Form 24 for the company.
 Form 217 for the company as per government regulations.
 Preparation of Maharashtra Labour Welfare Fund deductions on a bi-
annual basis.
 Preparation of e-TDS files every quarter.
 TDS Summary for the Year.
 Employee details for the purposes of calculation of Gratuity & Leave

Japonica Enterprises
The Payroll Process Flow
Japonica Enterprises The Client
Process the
Payroll Documents Send Payroll
Related Papers

Send Payroll The Client

Check List

Verify & Validate the Check List

against the Data received Clarify Validate the Check List
Doubts against the Data sent

Upload Employee Investments

& Process TDS

Send Net Pay, Payment Credit Salaries to

Registers & Bank files Employee Accounts

Send Management Reports &

JVs for Uploading into Accounts
Receive Information & Reports
for Further Processing

Send Set of Monthly

Reports PF, ESIC, CTC, etc.
Japonica Enterprises
Quality Controls
» A structured set of procedures with check lists is used at every step of
the payroll process.
» Extensive and elaborate edit checks and controls in place to ensure
accuracy of data processing.
» The concept of Maker and Checker is followed for the entire process.
» Apart from internal checks, a copy of the checklist is sent to the client
as well, for their scrutiny and approval.
» All the transactions are printed on paper for an audit trail.
» All the paperwork is systematically filed and archived on CDs for easy

Japonica Enterprises
Labour Law Compliance
» Through our panel of Labour Law Consultants, we assist with
compliance of various statutory regulations as well as filing of
returns as per the following Acts :
 Factories Act, 1948
 The Employees Provident Fund Act, 1952
 The Employees State Insurance Act, 1948
 The Bombay Labour Welfare Fund Act, 1953
 The Bombay Shops & Establishment Act, 1948
 The Contract Labour (Regulation & Abolition) Act, 1970
 The Maharashtra State Tax on Professions, Trades, Callings &
Employment Act, 1975

Japonica Enterprises
Company Profile
» The company “JAPONICA ENTERPRISES” was incorporated in
November 2000 with the aim to outsource the non-core activities of
corporate clients and to render personal income tax investments and
related services to individual.
» We are present in the domain of Payroll Management for the past 9
» We have a dedicated division that has expertise in managing Payroll
Operations for corporates.
» The company uses top end technologies, highly qualified manpower &
best business practices to provide high quality services to the clients.
» Payroll processing is our core competency.

Japonica Enterprises
Client List
» Software Systems Development & Integration
 Hindustan Unilever Limited. (Mumbai),
 I.M.R.B. (Indian Market Research Bureau) (Mumbai),
 Birla Global Finance Limited. (Mumbai),
 Gem Plaza L.L.C. (Dubai),
 Catwalk Trading L.L.C. (Dubai),
 Creative Labs (Singapore),
 Mandom Corporation (Japan),
 PT Mandom Indonesia Tbk (Indonesia).

Japonica Enterprises
Client List (contd…)
» Payroll Management
 Datamatics Group of Companies. (Mumbai),
 Polygenta Technologies Ltd. (Mumbai),
 Universal Chemicals & Industries Pvt. Ltd. (Mumbai),
 Sanda Wellbeing Pvt. Ltd. (Mumbai),
 Rochem Separation Systems (I) Pvt. Ltd. (Mumbai),
 Birla Electricals Ltd. (Mumbai).
 iSarla Software Solutions (I) Pvt. Ltd.
 Livia India Pvt. Ltd.

As of now we are processing accounts for more than 4500


Japonica Enterprises
Contact Us

1115, Dalamal Tower, ‘B’ Wing,

Free Press Journal Road,
211, Nariman Point, Mumbai – 400 021. (India)

Tel: +91 22 2284 2995 / +91 22 2283 5413

Fax: +91 22 6632 1302


Japonica Enterprises
We assure that we will provide timely, accurate, confidential, and a
high technology based service with adequate human interface to you
at all times.

We look forward to forming a long & mutually beneficial association

with your esteemed organization.

Thank You
Japonica Enterprises