COMPUTER APPLICATIONS

TOPIC
COMPUTERISED PAYROLL SYSTEM
COMPUTERISED PURCHASE ORDER SYSTEM

BY: 1536120006 To::Mrs. Upinder Kaur

B.B.A 2 (ASSI. PROF.)
 COMPUTERIZED PAYROLL SYSTEM
This is one of the most common applications used by many organisation.
The calculations in payroll are repetitive based upon a certain set of rules
formulated by the organisation.
Payroll, therefore, is seen as an area where most of the organisations would
like to change over to a computerised system.
 The input is the attendance, overtime, variable earnings, variable
deductions, etc. On the basis of these, the entire payroll is calculated and
payslips for the employees are generated.
Once the payroll has been calculated the entire information can be
restricted using computerised processing and can be printed in any required
format.
Seperate statements can easily generated for deductions made on behalf
of other agencies like PF,IT, etc.
 OF PAYROLL SYSTEM
The objectives of a payroll system are:

 Payment of wages and accounting there of

 PF ( Provident Fund) accounting
 IT (Income Tax) accounting
 Produce reports for management whenever required
 INPUT DESIGN
The main input doc. in this design is Data entry/modify form. To avoide
errorneous data entry input form is to be design very carefully. Note that
calculated fields like DP, DA, HRA, CCA, MA, PF, and IT need not be included
in this form. Format of this form is
Payroll Package
Add/Modify
Form
Employee Number Name

Father’s Name Designation

Date of joining Basic Pay

PF account no. Bank a/c no.

 OUTPUT DESIGN
Efficient and intelligent output design improves the system’s relationship with
the user and help in decision making. In output design, the system analyst has
to decide the format of the output reports. A no. of usrful reports are require
for this system. These reports are:

1.Payslip
Payslip is a document on which the precise details of
the pay for a particular employee are mentioned.
 FORMAT OF PAYSLIP IS:

D.S. Collage, Karnal Payslip for the Months………. / 2010

Employee number Name Designation Basic Pay DP

- - - - -
DA HRA CCA MA Total
- - - - -
PF Income Tax Net Payable Remarks
- - - -
 PAYROLL
Payroll is a document on which a precise details of the pay for all employees of
same categories/designation/departments. Payroll is required to the management,
payroll department. Accounts department and bank for direct credit the employees
accounts.
Format of payroll is:
D.S. College, Karnal
Payroll for the month……. / 2010
ENO Name Basic DP DA HRA CCA Total PF IT Net Payable

- - - - - - - - - - -

- - - - - - - - - - -

- - - - - - - - - - -

Total - - - - - - - - -
 PF REPORT
This report shows the PF deductions of all employees.
Format is:

D.S. College, Karnal

PF statement for the months ………. / 2010

ENO Name Basic PF PF Account No.

_ _ _ _ _
_ _ _ _ _
_ _ _ _ _
 INCOME- TAX STATEMENT
These are the statutory documents required by the Revenue Departments in
order for
them to check that the correct amount of income tax has been deducted.
There is
one document, known as “Form 16” per employee of which he or she
receives a
copy.
FILE OR DATABASE DESIGN
The payroll system works on a data files. Typically, following data files are required
for processing of wages records.
Employee file
Field name Data type Size Remarks

Emp_no Character 4 Primary Key

Name Character 25
Father_ name Character 25
Designation Character 20
Date_of_joining Date 8
Basic Numeric 5
 EARNING FILE
Field name Data type Size Remarks

Emp_no Character 4 Primary Key

Basic Numeric 5
DP Numeric 5
DA Numeric 5
HRA Numeric 3
CCA Numeric 3
MA Numeric 3
Total Numeric 6
 DEDUCTION FILE
File name Data type Size Remarks
Emp_no Character 4 Primary Key
Basic Numeric 5
PF Numeric 4
Income_tax Numeric 4
Net_payable Numeric 6
PF_ account Character 12
Bank_account Character 12

LEAVE FILE
Field name Data type Size Remarks
Emp_no Character 4
Casual_leave Numeric 2
Medical_leave Numeric 3
Earn_leave Numeric 3
Without_pay Numeric 3
ADVANTAGES OF A COMPUTERISED PAYROLL SYSTEM

o Accuracy: Computers calculations are more accurate then a manual clculations.

o Speed: The compute can manipulate and process data at very high speed.

o Reduced paper work.

o Neat and clean reports.

o Less number of employees needed.

o Less space is needed.

o Annual reports can be obtained directly from the previous stored data.
 COMPUTERISED PURCHASE
ORDER SYSTEM
Purchasing involve the procedure for ensuring that all the materials, components, tools equipment's,
and other items needed by the company are made available at the right time, right place ,and at
right price. For purchasing goods generally, the following procedures apply:

 Obtaining quotations of price, delivery data and quality from prospective suppliers.

 Placing order with suppliers.

 Checking goods received from correct type, quality and quantity.

 Passing details of accepted goods to the accounts departments for later payment of suppliers.

 Checking suppliers invoices and statements for accuracy before actually making payment.
 MAIN DOCUMENTS ARE:

 Purchase orders
 Goods received notes(GRNs)
 Purchase invoices
 Remittance advices
 Cheques
 Credit transfers
 Purchase records
Another, or purhaps the same record, holds details of the suppliers such as the method
of payment, terms of trade, and discount structure.
 FEATURES OF A TYPICAL PURCHASE SYSTEM ARE:

1. Inputs, which includes followings:

a) Purchase invoices
b) credit notes
c) adjustments
d) cash payments

2. Outputs, which includes:

a) list of transactions posted
b) An analysis of expenditure for normal ledger purposes.
c) list o creditors balance together with a reconciliation
d) copies of creditors account.
e) any purchase ledger system can be used to produce details of payments to be made
f) Other social reports may be produced for the following purpose:
i. Costing purpose
ii. Fixed asset recording
iii. Comparison with budget
3. Files used :
The main file in this system is the purchase ledger.
Various fields of this files should be as follows:
a) accounts number
b) name
c) Address
d) Bank details, if paid through credit transfer
e) Cash discount details, if appropriate
f) Details of transaction
g) Balance outstanding