What is payroll receipt?

What Does payroll receipt Mean

The document that is completed when a person obtains a payment in exchange for a certain activity performed is known as a receipt . Payroll , on the other hand, can be a list of names or the assets that an individual receives for their work.

The notion of receipt of payroll, therefore, is similar to the concept of receipt of fees . It is the document that an employer provides as proof that it has paid the payroll corresponding to an employee . For this receipt to be valid, the worker must sign the receipt, which certifies that the payment has actually been made.
Payroll receipts must include various pieces of information. The name of the contracting company with its tax details (company name, address, etc.), the name of the worker, the money given as salary and the date are some of the information that is usually included.

In some countries, payroll receipts are digital . This facilitates fiscal control by the authorities, since the worker's salary data is automatically registered in a system .
But not only for this reason has begun to obtain payroll receipts electronically but also for other important reasons, such as the following:

-Reduces the amount of paperwork that has to be carried out periodically.

-A significant economic saving is achieved by the company, which can reduce its expenses both in paper and ink for the printer.

-No less important is that the problem of space is eliminated when storing documents, since in this case the warehouse is a computer or an additional hard disk, as desired.

-It is committed to protecting the environment, taking into account that less paper is used, less light is used by not having to use the printer ...
When undertaking payroll receipts, the following fundamental aspects must be taken into account:

-It is essential that it be done following the official model that is established as such in the nation in which you live.

-As a general rule, the payroll will refer to calendar months. Otherwise, it will be essential to prove it in the most appropriate way.

-You must also include how the payment was made (cash, check, transfer ...).

-The relevant salary receipts issued must be kept by the company that has carried them out for at least a period of five years to be able to face different investigations that may be undertaken.
Importantly, the payroll receipt is proof of income for an employee. For this reason, many financial institutions request a payroll receipt when a person goes to request a loan , since in the document it is possible to verify how much money the individual receives and what payment capacity they have. The bank that grants the loan, by consulting the payroll receipt of its client, can verify its solvency .