Salary is a fixed amount of money or compensation paid to an employee by an employer in return for the work performed.
Payroll is the administration of financial records of employees’ salaries, wages, bonuses, net pay, and deductions.
To process Payroll in ERPNext,
- Define Payroll Period (optional)
- Create Salary Structure with Salary Components (Earnings and Deductions)
- Assign Salary Structures to each Employee via Salary Structure Assignment
- Generate Salary Slips via Payroll Entry.
- Book the Salary in your Accounts.