Post job

What is a payroll processor and how to become one

Updated January 8, 2025
4 min read
introduction image

A payroll processor manages employee compensation, including calculating salaries, taxes, and deductions. They ensure accurate and timely payments and handle benefits, sick leave, and vacation pay. Payroll processors also keep track of changes in tax laws and regulations, update employee information, and generate reports. They must be proficient in payroll software and possess attention to detail and organizational skills. A payroll processor ensures that employees receive their rightful pay and benefits while complying with legal requirements.

ScorePayroll ProcessorUS Average
Salary
3.5

Avg. Salary $44,307

Avg. Salary $59,228

Stability level
6.6

Growth rate -3%

Growth rate 0.3%

Diversity
5.7
Race

American Indian and Alaska Native 1.52%

Asian 6.02%

Black or African American 9.59%

Hispanic or Latino 18.24%

Unknown 6.07%

White 58.57%

Gender

female 83.91%

male 16.09%

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 processor?

Pros

  • Good compensation and benefits

  • Chance to work with numbers and data

  • Potential for career advancement

  • Chance to help others with financial planning and budgeting

  • Possibility of being part of a team-oriented work environment

Cons

  • Tight deadlines that can be demanding

  • Can be repetitive and monotonous work

  • Limited opportunities for creativity or innovation

  • Potential for dealing with angry or frustrated clients or employees

  • May require working overtime during peak periods

Payroll processor career paths

Key steps to become a payroll processor

  1. Explore payroll processor education requirements

    Most common payroll processor degrees

    Bachelor's

    43.9 %

    Associate

    32.0 %

    High School Diploma

    12.4 %
  2. Start to develop specific payroll processor skills

    SkillsPercentages
    Customer Service12.18%
    Data Entry8.89%
    ADP5.49%
    Payroll System5.21%
    Kronos4.66%
  3. Complete relevant payroll processor training and internships

    Accountants spend an average of 6-12 months on post-employment, on-the-job training. New payroll processors 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 processor based on U.S. Bureau of Labor Statistics data and data from real payroll processor resumes.
  4. Research payroll processor duties and 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.
  5. Prepare your payroll processor resume

    When your background is strong enough, you can start writing your payroll processor 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 processor 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 processor resume templates

    Build a professional payroll processor 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 processor resume.
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
    Payroll Processor Resume
  6. Apply for payroll processor jobs

    Now it's time to start searching for a payroll processor 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 processor job

Zippi

Are you a payroll processor?

Share your story for a free salary report.

Average payroll processor salary

The average payroll processor salary in the United States is $44,307 per year or $21 per hour. Payroll processor salaries range between $33,000 and $58,000 per year.

Average payroll processor salary
$44,307 Yearly
$21.30 hourly

What am I worth?

salary-calculator

How do payroll processors rate their job?

-/5

5 stars

4 stars

3 stars

2 stars

1 star

Payroll processor 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 processor? Share your experience anonymously.
Overall rating*
Career growth
Work/Life balance
Pay/Salary

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