Key Segregation of Duties in Payroll

Question 1

Approval of wage or salary changes

Answer 1

Human Resources

Question 2

Updating of personnel records

Answer 2

Human Resources

Question 3

Updating of payroll records

Answer 3

Human Resources

Question 4

Approval of time sheets and job classification

Answer 4

Operating or Supporting Department

Question 5

Preparation of payroll

Answer 5

Payroll

Question 6

Distribution of payroll checks

Answer 6

Treasurer

Question 7

Comparison of monthly departmental payroll expense to budget

Answer 7

Operating or Supporting Department

Question 8

Calculation and recording of payroll taxes

Answer 8

Payroll

Question 9

Key segregation of duties

Answer 9

1. The supervision function should be segregated from the personnel records and payroll-processing function
2. The disbursement function should be segregated from the personnel records, supervision, and payroll-processing functions.
3. The payroll-processing function should be segregated from the general ledger function.