Payroll and HR Administration Services

Payroll and HR Administration Services

 

Our professionals can calculate the payroll and corresponding taxes and social contributions, and prepare and submit the statutory reports to the state authorities.

Payroll services may include:

  • Payroll calculation twice a month (advance and final payment);
  • Calculation of other accruals, provided by the labor agreement or applicable compensation scheme (bonuses, overtime, compensatory payments, etc.);
  • Calculation of compensation payments based on average salary (leave allowances, sick pays, etc.);
  • Final settlements upon employees’ dismissals;
  • Calculation of taxes and contributions on the remuneration of individuals working under civil contracts;
  • Calculation of income tax from fringe benefits provided to individuals;
  • Preparing payroll sheets, payslips and their distribution among employees;
  • Providing verbal or written clarifications regarding payroll and taxes calculation;
  • Preparation and submission of mandatory reporting to the state bodies;
  • Preparation of bank payment list for the salaries transfer to staff;
  • Collecting all the documents required for the payroll calculation;
  • Preparation of detailed management reports regarding salary, taxes and other salary payments;
  • Preparation of an posting file (journal entries report) for subsequent loading into the customer’s accounting system;
  • Support in the course of tax audits.


HR administration services may include:

  • The development or adaptation of employment contracts, job descriptions, internal regulations on compensations, bonuses and internal order;
  • Registration of hiring new employees and termination of employment;
  • Preparation of HR documents in respect of leaving employees;
  • Keeping register of internal orders/HR documentation;
  • Filling in timesheets;
  • Processing sick leave certificates, preparation applications for sick pays refunds from the State Social Security Fund;
  • Preparation of certificates of employment and / or certificates of income at the request of the employees;
  • Marking records in Employment Record Books;
  • Preparation of employees’ personal HR files;
  • Preparing other HR documentation.

Key Contact

Viktor Nevmerzhitsky

Viktor Nevmerzhitsky

Tax & BSO Partner
View bio

FAQ 

  • What services are included in payroll accounting? 

The services cover the entire payroll cycle: preparation of advance payment and final calculations, calculation of taxes, contributions, holiday pay, sick pay, bonuses, business trips and other additional compensation, as well as preparation of reports and documents for tax audits. 

  • How often are salaries calculated? 

Calculations are made twice a month — advance payment and final computation. 

  • Does the service include preparing reports for government agencies? 

Yes, our experts prepare and file mandatory reports with the relevant government agencies. 

  • Are HR administration services provided separately? 

Yes, HR administration services can be provided separately or together with payroll services, depending on the client’s needs. 

  • What does HR management involve? 

HP management covers a full range of services related to labour relations at the enterprise, such as registration of hiring, transfer and dismissal of employees, registration of changes to employment contracts, maintenance of time sheets, preparation of staffing tables, accounting for holidays and temporary incapacity for work, maintenance of employment records, including filling out electronic employment records, forming, recording and storing personal files and other mandatory documents on personnel, internal documents, filing mandatory reports with state authorities, as well as informing about changes in labour legislation. 

  • Does BDO in Ukraine assist in preparing documents for tax audits? 

Yes, as part of our payroll services, we prepare a complete set of documents for tax audits. 

  • Does the service include work with civil law contracts? 

Yes, taxes and contributions are calculated for individuals working under civil law contracts. 

  • What documents are prepared for employees within the framework of personnel accounting? 

Our experts prepare personnel orders (hiring, transfer, dismissal, salary increases, leave, bonuses), timesheets, staffing tables, P-2 personal cards, leave schedules, certificates of employment and income certificates, and other personnel documents. Upon separate request from the client, we can also develop employment contracts, job descriptions, and internal personnel policies. 

Glossary 

Advance payment — part of the salary paid to an employee for days worked during the first half of the month. 

Holiday pay — the amount paid to an employee for the duration of their holiday, calculated based on their average earnings. 

Income certificate — a document confirming an employee’s salary and taxes withheld for a specific period. 

Salary — monetary remuneration paid by an employer to an employee for work performed. 

HR management — a set of services for maintaining personnel records, formalising employment relationships and supporting employees. 

Sick pay — payments to an employee for a period of temporary incapacity for work, financed by the employer or the Social Insurance Fund. 

An employee’s personal file — a set of documents containing information about their employment history, hiring, transfers, dismissals, holidays, etc. 

Personal income tax (PIT) — a mandatory payment of 18% deducted from an employee’s salary. 

Pay slip — a document that shows a detailed calculation of an employee’s accrued wages, taxes and contributions. 

Time sheet — a document that records actual hours worked by each employee. 

Employment contract — an agreement between an employer and an employee that defines the terms of employment, remuneration and the rights of the parties. 

Social Insurance Fund — a state institution that finances payments in the event of temporary incapacity for work of employees.