Payroll Clerk, CAA Portable Careers

Payroll clerks serve one of the most basic functions in any organization: they must ensure that all employees are paid timely and accurately.  Their responsibilities involve calculating vacation time, accrued retirement benefits, and tax and insurance withholdings.  They must also verify employee timecards for accuracy and ensure that laws are followed concerning overtime and the minimum wage.  Advances in data processing systems have allowed payroll clerks to take on more complex responsibilities, such as assisting in implementing the company sponsored retirement plan.  They are also usually responsible for maintaining accurate employee information and processing employee earnings statements for tax purposes.

Though a high school diploma is the generally accepted minimum for employment, many employers likely will require some kind of education after high school, either a four-year degree in business, or a short-term diploma or certificate related to business or management.  Postsecondary courses in computer skills, communication, and finance will certainly enhance one’s resume, as the evolving nature of the work will cause payroll professionals to be capable of handling many diverse responsibilities.  Professional certification through the American Payroll Association is also available to increase potential job opportunities or to advance within an organization.

The Department of Labor projects a three percent growth in the number of people employed as payroll clerks from 2006 to 2016.  Though the increased use of automated timekeeping and payroll processing has diminished the traditional role of payroll clerks, job candidates who demonstrate superior communication and computer skills will be even more attractive to employers.  As mentioned above, job candidates with a stronger education background will require less on-the-job training and will be able to “branch-out” in terms of their duties to an organization.  Prospective employees may find more job opportunities in companies that specialize in payroll processing; candidates who increase their knowledge of new investment and insurance products will improve their likelihood of employment in traditional firms.

As of May 2008, the mean annual earnings of payroll clerks in the United States are estimated to be $35,500.  An individual’s earnings, however, are influenced highly by geography, size of employing firm, and scope of his/her job duties.  The top five industries that employ payroll clerks, according to the Department of Labor, are private firms, accounting and payroll services, elementary and secondary schools, local government, and employment services.