People, not pay: debunking payroll career misconceptions

Ask a young person what they want to be when they grow up and they might tell you they want to be an engineer. They might also mention education, medicine or law. These were the findings in a 2022 BBC survey during National Careers Week. Among the top 10 most desirable jobs were engineer, veterinarian and even footballer.

So, where does a career in payroll fit into this? Hearteningly, according to a 2022 survey by Uptree, some 47% of students said they wanted to go into a career in finance.

Both surveys revealed one key common denominator: people want to make a difference. Uptree revealed that 57% of students seek ‘meaningful work’ while the BBC said 28% wanted to feel good about what they do. A further 17% wanted to feel like they were helping people.

What do the professionals love about payroll?

As traditional incentives take a back seat and rewarding work takes centre stage, the people-first benefits of payroll come to light. In January 2022, the Chartered Institute of Payroll Professionals (CIPP) asked payroll teams why they loved their job. Helping others was a recurring theme:

• “For me, payroll is people. It comes with responsibility and accountability. I have been in payroll for 34 years now and I still love it.”
• “I have been in payroll for over 35 years and to this day, always learning. Our employees are my customers, always treated with respect and an empathetic ear.”
• “After being involved in payroll for 20 years, I have seen how much the payroll function has grown and evolved to become an integral part of the employee experience.”

It’s evident that payroll is less about number-crunching and more about helping others. It’s also a lucrative career, with salaries surging by up to 15% in 2022. But to encourage the next generation into this rewarding role, we need to bust the myths about payroll.

Myth 1: Payroll is not challenging enough

Perhaps the most common misconception is that payroll is a simple data entry job. True enough, it’s possible to get an entry level job in payroll without a university degree. However, the skills required keep the role varied and challenging.

For example, payroll requires proficiency across multiple technologies, from accounting software to general IT. With the ever-evolving technology being rolled out across the sector, payroll offers a continual learning experience.

Professionals also need to be up to date on the latest legislation, managing issues such as maternity leave, sick leave and hybrid working.

Myth 2: Payroll is a lonely job

There’s an oft-cited stereotype of the accounts department hidden away from the rest of the office. This could not be further from the truth. Payroll teams need to work closely with human resources to ensure everybody is paid on time, in line with their individual requirements.

These requirements may change as employees’ lives change, for example, starting a family or switching to remote working. As such, it’s important to be in touch with everybody in the organisation and keep on top of their movements. It could truly be the difference between a happy and an unmotivated employee.

Myth 3: Payroll offers little scope for progression

The notion of a dead-end data entry job is outdated and untrue. Thanks to the transferable skills on offer with payroll, there are plenty of opportunities for progression. Better still, applicants don’t always have to take the traditional higher education route. They may find senior opportunities by working on the job.

Staff may progress from payroll clerk and administrator rolls through to data analysis or manager and supervisory roles. They may even cross-train and go into accounting or operations roles. With the broad range of skills required, there are many paths to pursue. It’s no wonder the CIPP’s survey respondents have had such long careers.

Myth 4: Payroll has no flexibility

A 2023 survey by the Chartered Institute of Personnel and Development revealed that 4 million people had changed careers due to a lack of flexibility. Payroll is not about being present for every payday in the month – it’s about working flexibility to accommodate yours and your staff’s needs.

You may be flexible with the clients you work with or the regions they operate in. You may also have the freedom to set your own hours, for example, working part time to cover childcare needs. As there are so many tasks in payroll, there’s no danger of getting bored, either.

Myth 5: Payroll only focuses on wages

Many people may feel that payroll professionals are only valuable once a month – on payday. In reality, the nature of the job means that payroll staff are a vital asset at all times. These teams do more than tax and national insurance.

They help to streamline and simplify internal processes, affecting everybody in the company. They need to keep abreast of changes in legislation such as IR35. Most importantly, they have a huge responsibility for employee wellbeing. Imagine the value a staff member places on being able to watch their child’s school play, or look after a relative with an illness.

Why pursue a career in payroll?

While payroll offers a lucrative career choice, it’s truly the people-centric nature that makes the job so appealing. A career in payroll would suit anybody who:

• Is passionate about learning and discovering new technologies
• Loves working with people across all departments
• Enjoys solving problems with flexible solutions
• Stays on top of updates and has attention to detail
• Seeks career progression and long-term job security.

The job market is changing – payroll is ahead of the curve in keeping up with these changes, putting people and progression first.

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Photo by Jakub Żerdzicki on Unsplash