Total Payroll Expenditure

A breakdown of the total payroll expenditure for the current fiscal year, including gross wages, taxes, and benefits.

The total payroll expenditure for the current fiscal year amounts to $5 million, which constitutes approximately 30% of the company's total operating expenses. This figure includes $3.5 million in gross wages, $1 million in tax withholdings, and $500,000 in benefits such as health insurance and retirement contributions.

Cost per Employee Analysis

An analysis of the average cost per employee, comparing it against the previous fiscal year to assess trends.

The average cost per employee stands at $50,000, marking a 5% increase from the previous year. This rise is primarily due to an increase in average wages and enhanced benefits offered to attract and retain talent in a competitive market.

Departmental Cost Distribution

Examination of payroll costs distributed by department, highlighting areas with the highest expenditure.

The Sales Department accounts for the largest share of payroll costs at 35%, followed by the Research and Development Department at 25%. Administrative and support departments make up the remaining 40%. The higher costs in Sales are attributed to performance bonuses and commissions.

Overtime and Additional Pay Analysis

Analysis of the costs associated with overtime, bonuses, and other additional pay elements.

Overtime payments this year increased by 10% compared to the last fiscal year, amounting to $200,000. Additional pay components, including bonuses and commissions, totaled $300,000, with a significant portion linked to sales targets achievements.

Process Efficiency and Software Costs

Evaluation of the costs related to payroll processing, including software subscription fees, system maintenance, and labor costs for the payroll department.

Payroll processing costs, including software subscription and maintenance, stand at $100,000 annually. Labor costs for the payroll department are $250,000. An analysis suggests that the introduction of more advanced payroll software could increase efficiency and reduce labor costs by 15%.