CHAPTER 1
INTRODUCTION
Background of the Study HISTORY OF PAYROLL SYSTEM A computerized payroll system, the employer invests in a computerized payroll software. Using a software such as quickbooks allows the employer to enter the wages into the system after employer has manually calculated them. The payroll and check printing are processed through the system. The employer has access to payroll reports that can print and use to double-check against what the employer entered before printing the checks. This allows the employer to correct any detectable errors beforehand. Computerized payroll system allows the employee to process all normal payroll task via a computerized system, rather than by hand. Essentials like name, address, Social Security number and withholding rate for each employee are automatically filled in for every pay period until the employer make an employee’s record inactive. Mari’s Boutique&Goods was found by Mrs. Maribeth Boorman and was established on April 18, 2012. It is located at Artacho Street, Lingayen, Pangasinan. There are three working employees. Many different vendors offer computerized payroll system. Like different word processors or other computer programs, they largely offer the same types of features with slightly different interfaces. Payroll is essentially how employees are paid. It’s the legal paperwork involved. There's more to payroll than just handing out cash or checks. However, after gathering data on what the employees did and compared it to their salaries, some simple payday mathematics will let the employer hand out the dough.
Statement of the Problem
General Objective The main objective of the study is to design and develop a Computerizes Payroll System for Mari’s Boutique&Goods, that fast transactions, minimize the manual checking of employees, monitor the status of employee’s charges, deductions and generate the essential reports. A computerized payroll system must be able to keep and generate accurate reports on employee income. An equally important objective of any payroll system is to generate paychecks and pay stubs. Computerizing this task saves managers and business owners time and money; rather than reviewing time cards manually and calculating a check amount based on the hours worked, the payroll system should be designed to automatically calculate these figures. A computerized payroll system must automatically factor in the overtime pay. This helps employer stay within the law when it comes time to pay overtime. Additionally, since an employer can use the system to check the number of hours an employee works, the employer can shift schedules to avoid paying additional overtime.
Specific Objectives To minimize the manual checking of each daily time record. To develop a module that will generate essentials reports. To develop that will monitor the status of employee’s loan and other deductions such as cash advance and charges.
Importance of the Study This part of the study discusses about the importance of creating computerized Payroll System. It provides sample discussed how to run a Computerized Payroll System and here are some examples of how it run. Many employers use a timekeeping system, such as clock time, to track work hours employees '. Can separate this system regular hours from overtime hours worked. Payroll all people will do is make edits or adjustments, if necessary. If time employees are imported into the computerized Payroll system, the latter rounds up and down time employees appropriately, as the nearest quarter hour. It calculates the total hours worked and paid. It is saving the time spent manually calculating time and reduces errors. If the person enters Payroll time system itself, automatically calculates its income, based on its input. The system calculates all pay frequencies, such as weekly, biweekly, and twice a month. Only people attended Payroll data which the reduction is based, such as form for withholding information federal income tax. Necessary you a manual payroll system to print paychecks on a typewriter or by hand. A computerized Payroll system has direct deposit capability, which saves money spent on live checks and reconciliation. Moreover, paycheck and pay stub generation occurs rapidly, regardless of the quantity developing a computerized system and Prints Payroll reports. If the employee wants to double - check before printing Payroll stubs paychecks or pay, just refer to the corresponding report. A computerized payroll system allows hard - copy printing of Payroll registers pertaining to each pay period. Also saves its information systems without boundaries. The system generates reports to ensure compliance with tax Payroll tax. This includes quarterly and annual wage reporting and development of employee forms. If a related departments such as accounting office holding Payroll taxes and reconciliation of the company, print the required reports would require the department through the computerized system. Furthermore, these days, such as vacation and personal time, taken and paid to benefit the track system.
Scope
The study will covers the process of preparing the pay slip of each employee, monitors loans, cash advances, charges, keeping the records and easily computers the basic pay, regular overtime pay, pay during day off, special and legal holiday pay, deductions.

Limitations The study does not cover any other not employee of the Mari’s Boutique&Goods. This is not a group pay slip. This system is not cover by any deduction that may not belong to the pay slip. And also the other income that not belong in Mari’s Boutique&Goods.
Definition of Terms
COMPUTERIZED PAYROLL SYSTEM A computerized payroll system has many prominent advantages over paper systems. They prevent clerical error in calculating hours and a gross payment. They also automatically deduct taxes based on the gross payment.
PAYROLL
In a company, payroll is the sum of all financial records of salaries for an employee, wages, bonuses and deductions.
WORK HOUR It is the period of time that an individual spends at paid occupational labor. Unpaid labors such as personal housework or caring for children/pets are not considered part of the working week.
OVERTIME HOUR It is the amount of time someone works beyond normal working hours. Normal hours may be determined in several ways.
REGULAR HOUR It is usually when a store opens and closes.
TOTAL HOUR Compute the number of hours you work every week counting overtime and then average these hours over a set period.
PAYCHECKS
It is traditionally a paper document (a cheque) issued by an employer to pay an employee for services rendered. In recent times, the physical paycheck has been increasingly replaced by electronic to bank accounts. Such employees may still receive a pay slip, but any attached cheque is marked as non-negotiable and cannot be cashed.