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Payroll manager vs payroll processor

The differences between payroll managers and payroll processors can be seen in a few details. Each job has different responsibilities and duties. It typically takes 2-4 years to become both a payroll manager and a payroll processor. Additionally, a payroll manager has an average salary of $86,147, which is higher than the $44,307 average annual salary of a payroll processor.

The top three skills for a payroll manager include customer service, human resources and payroll system. The most important skills for a payroll processor are customer service, data entry, and ADP.

Payroll manager vs payroll processor overview

Payroll ManagerPayroll Processor
Yearly salary$86,147$44,307
Hourly rate$41.42$21.30
Growth rate-3%-3%
Number of jobs6,97211,795
Job satisfaction--
Most common degreeBachelor's Degree, 57%Bachelor's Degree, 44%
Average age4848
Years of experience44

What does a payroll manager do?

A payroll manager is responsible for monitoring the payment process of all employees. Payroll managers oversee payroll records, reviewing calculable taxes and other deductions, creating a comprehensive summary of payroll details, managing payroll discrepancies, and releasing payroll checks through the organization's payment method. They must also follow strict procedures on legal requirements and tax obligations. A payroll manager must have excellent analytical and communication skills, especially on responding to the employees' inquiries and concerns, as well as managing the performance of the payroll staff.

What does a payroll processor do?

A payroll processor is an individual who processes the payroll of employees for an organization by validating work hours and attendance of employees. Payroll processors must research for discrepancies in payroll information and documentation before processing them, as well as calculate payroll deductions. They assist payroll processing clerks and other team members with all the processes that are related to payroll. The payroll processor must also edit payroll worksheets for the data entry department as well as audit bonus payments for reporting.

Payroll manager vs payroll processor salary

Payroll managers and payroll processors have different pay scales, as shown below.

Payroll ManagerPayroll Processor
Average salary$86,147$44,307
Salary rangeBetween $63,000 And $117,000Between $33,000 And $58,000
Highest paying CitySan Francisco, CASan Francisco, CA
Highest paying stateCaliforniaNew Jersey
Best paying companyEp EnergyVenable
Best paying industryFinanceFinance

Differences between payroll manager and payroll processor education

There are a few differences between a payroll manager and a payroll processor in terms of educational background:

Payroll ManagerPayroll Processor
Most common degreeBachelor's Degree, 57%Bachelor's Degree, 44%
Most common majorAccountingBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Payroll manager vs payroll processor demographics

Here are the differences between payroll managers' and payroll processors' demographics:

Payroll ManagerPayroll Processor
Average age4848
Gender ratioMale, 22.0% Female, 78.0%Male, 16.1% Female, 83.9%
Race ratioBlack or African American, 9.9% Unknown, 6.1% Hispanic or Latino, 18.6% Asian, 6.1% White, 57.8% American Indian and Alaska Native, 1.5%Black or African American, 9.6% Unknown, 6.1% Hispanic or Latino, 18.2% Asian, 6.0% White, 58.6% American Indian and Alaska Native, 1.5%
LGBT Percentage10%10%

Differences between payroll manager and payroll processor duties and responsibilities

Payroll manager example responsibilities.

  • Manage accounting and finance operations including A/R, A/P and general accounting, etc.
  • Manage annual W2 reconciliation and distribution.
  • Manage expatriates compensation packages and taxation.
  • Coordinate department conversion of manual payroll system to KRONOS automate time and attendance system.
  • Save the company $5,500 by learning ADP and creating payroll accruals and profiles to accurately record employee PTO time profiles.
  • Process payroll utilizing ADP payroll system
  • Show more

Payroll processor example responsibilities.

  • Manage PTO and cafeteria benefits program.
  • Assist KRONOS editors as need in the KRONOS timekeeping system.
  • Input, verify and correct time records using the KRONOS and Lawson software.
  • Test new software upgrades to payroll HRIS system before implementing to payroll team.
  • Process, balance and facilitate the transmission of incoming and outgoing ACH files.
  • Input hours into PeopleSoft and balance batches for assign pay groups according to establish schedule.
  • Show more

Payroll manager vs payroll processor skills

Common payroll manager skills
  • Customer Service, 8%
  • Human Resources, 5%
  • Payroll System, 5%
  • Payroll Tax, 5%
  • HRIS, 4%
  • Reconciliations, 4%
Common payroll processor skills
  • Customer Service, 12%
  • Data Entry, 9%
  • ADP, 5%
  • Payroll System, 5%
  • Kronos, 5%
  • Human Resources, 4%

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