Post job

What is a payroll administrator and how to become one

Updated January 8, 2025
4 min read
introduction image

A payroll administrator manages an organization's payroll system. This includes processing employee payments, calculating taxes, and ensuring compliance with labor laws. They work with human resources departments to maintain accurate employee records and ensure that employee benefits are administered properly. Payroll administrators also handle deductions for things like healthcare, pensions, and other benefits. They must stay up-to-date on changes in tax laws and generate reports on payroll expenses.

ScorePayroll AdministratorUS Average
Salary
3.6

Avg. Salary $46,596

Avg. Salary $59,228

Stability level
6.6

Growth rate -3%

Growth rate 0.3%

Diversity
5.9
Race

American Indian and Alaska Native 1.53%

Asian 6.15%

Black or African American 9.47%

Hispanic or Latino 19.11%

Unknown 6.08%

White 57.67%

Gender

female 83.96%

male 16.04%

Age - 49
Race

American Indian and Alaska Native 3.00%

Asian 7.00%

Black or African American 14.00%

Hispanic or Latino 19.00%

White 57.00%

Gender

female 47.00%

male 53.00%

Age - 49
Stress level
6.6

Stress level is high

7.1 - high

Complexity level
6.9

Complexity level is challenging

7 - challenging

Work life balance
5.9

Work life balance is fair

6.4 - fair

What are the pros and cons of being a payroll administrator?

Pros

  • Consistent and stable work

  • High demand for payroll skills

  • Opportunity to improve organizational skills

  • Gain knowledge of employment laws and regulations

  • Ability to work independently

Cons

  • Need to meet strict deadlines

  • Required attention to detail

  • Risk of errors leading to financial penalties or employee dissatisfaction

  • Need to stay up-to-date on changing tax laws and regulations

  • Requires the ability to adapt to different software platforms and systems

Payroll administrator career paths

Key steps to become a payroll administrator

  1. Explore payroll administrator education requirements

    Most common payroll administrator degrees

    Bachelor's

    51.4 %

    Associate

    27.2 %

    High School Diploma

    9.7 %
  2. Start to develop specific payroll administrator skills

    SkillsPercentages
    Customer Service9.41%
    Data Entry6.88%
    Payroll System5.52%
    Human Resources5.09%
    Payroll Data4.31%
  3. Complete relevant payroll administrator training and internships

    Accountants spend an average of 6-12 months on post-employment, on-the-job training. New payroll administrators learn the skills and techniques required for their job and employer during this time. The chart below shows how long it takes to gain competency as a payroll administrator based on U.S. Bureau of Labor Statistics data and data from real payroll administrator resumes.
  4. Research payroll administrator duties and responsibilities

    • Manage year-end W2 audit/corrections and distribution.
    • Manage employee direct deposit accounts and initiate ACH reversals when necessary.
    • Manage all requisitions using PeopleSoft for the administrator and all assign departments.
    • Maintain KRONOS timekeeping system, review, sort and distribute employee upload file and multiple misc.
  5. Prepare your payroll administrator resume

    When your background is strong enough, you can start writing your payroll administrator resume.

    You can use Zippia's AI resume builder to make the resume writing process easier while also making sure that you include key information that hiring managers expect to see on a payroll administrator resume. You'll find resume tips and examples of skills, responsibilities, and summaries, all provided by Zippi, your career sidekick.

    Choose from 10+ customizable payroll administrator resume templates

    Build a professional payroll administrator resume in minutes. Browse through our resume examples to identify the best way to word your resume. Then choose from 10+ resume templates to create your payroll administrator resume.
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
    Payroll Administrator Resume
  6. Apply for payroll administrator jobs

    Now it's time to start searching for a payroll administrator job. Consider the tips below for a successful job search:

    1. Browse job boards for relevant postings
    2. Consult your professional network
    3. Reach out to companies you're interested in working for directly
    4. Watch out for job scams

How did you land your first payroll administrator job

Zippi

Are you a payroll administrator?

Share your story for a free salary report.

Average payroll administrator salary

The average payroll administrator salary in the United States is $46,596 per year or $22 per hour. Payroll administrator salaries range between $33,000 and $64,000 per year.

Average payroll administrator salary
$46,596 Yearly
$22.40 hourly

What am I worth?

salary-calculator

How do payroll administrators rate their job?

-/5

5 stars

4 stars

3 stars

2 stars

1 star

Payroll administrator reviews

profile
A zippia user wrote a review on Dec 2022
Pros

Fixing the time sheet. And entering retro active.

Cons

Wade the time while I am working.


Working as a payroll administrator? Share your experience anonymously.
Overall rating*
Career growth
Work/Life balance
Pay/Salary

Payroll administrator FAQs

Search for payroll administrator jobs

Updated January 8, 2025

Zippia Research Team
Zippia Team

Editorial Staff

The Zippia Research Team has spent countless hours reviewing resumes, job postings, and government data to determine what goes into getting a job in each phase of life. Professional writers and data scientists comprise the Zippia Research Team.

Browse office and administrative jobs