Payroll service in Vietnam: Why should your business use it?

Long gone are the days of using spreadsheets and paper checks for payroll, which is time-consuming, especially in today’s fast-paced commercial world where accuracy and efficiency are paramount.

Fortunately, the global future of payroll service, including Vietnam, is moving away from paper-based methods and embracing technologies for numerous benefits.

Join Sunbytes as we explore the power of digital solutions and automation in payroll systems and examine strategies for global firms entering Vietnam.

Rise of digital payroll solution in Vietnam

With the increasing trend of the global digitalization, Vietnam is witnessing a revolution in the Human Resources (HR) field. Digital payroll solutions leverage technology to replace manual and paper-based payroll management.

These services offer integrated, multifunctional human capital management features, such as:

Employee data management stores and manage all employee’s wages, seniority, working time, absences, and personal tax.
Automated calculations use this data to provide accurate salaries and benefits according to local laws
Real-time reporting and analytics keep records, identify issues, and forecast employee churn, helping managers make smarter decisions.
The employee self-service portal lets staff access pay documents, update information, and request leave electronically.

Automation in payroll processing

Behind the success of digital payroll solutions is the magic of automation. It automates repetitive tasks and streamlines the workflow, freeing up your HR and Accounting team, while ensuring precision in:

Data collection and integration: By integrating smoothly with attendance systems, payroll solutions automatically retrieve data on schedule for salary calculation.
Direct deposit and electronic paystubs: 70% of respondents of a 2023 American Forbes Advisor survey admitted to living paycheck to paycheck. In developing countries like Vietnam, the economic challenges are even more pronounced. A minor pay delay may place them in financial difficulties.

This is when automation is beneficial as it ensures timely direct transfer into employees’ bank accounts, while payslips are trackable online.

Compliance update: Automation allows regular updates on local insurance & tax policies, plus workers’ mandatory benefits to ensure accurate calculations in salary and so on.

Therefore, foreign companies can remain compliant and avoid penalties.

Effectively utilizing digital payroll solution in Vietnam

The integration of automation and digital solutions in payroll service in Vietnam indeed opens up a wealth of advantages. However, building such advancement in-house is never an easy approach.

When navigating Vietnam’s different tax rates for local and foreign employees is a minefield, your internal HR department might find it difficult to master new software (if you have enough resource to take care all of the systems).

Consequently, a lot of companies turn to outsourcing payroll services as their optimal solution.

As a leading payroll provider in Vietnam, Sunbytes employs cutting-edge innovations to deliver user-friendly, secure, and compliant digital payroll solutions, empowering your success in:

Tailoring payroll solutions to your unique needs, freeing up resources for core activities and delivering long-term cost savings.
Connecting detailed data to clarify employee status, suitable income tax, and Social Health & Unemployment Insurance for salary calculations.
Acknowledging, preparing, and submitting compulsory reports on time, protecting workers’ full benefits.

Protecting any sensitive information/data by applying encryption, access control and sufficient data backups.

More than just a payroll provider, our team answers all HR-related questions and helps navigate complex policies in Vietnam and beyond.

Conclusion

The future of payroll service in Vietnam is undeniably digital. By embracing modern solutions, organizations reap a plethora of advantages from streamlined workflow, and reduced costs, to improved accuracy, and employee satisfaction. These developments enable companies to concentrate on expanding their main business activities and attaining success.

Sunbytes HR service stands as a trusted partner for managers seeking to optimize their payroll processes in Vietnam. We offer a comprehensive external payroll management system that is effective and fully compliant with Vietnamese regulations.