The salary process starts after you hire your first employee. Each pay period, employees work and must be paid based on their hours and pay rate. However, before giving the employee a paycheck, you need to processdeductions such as state and federal taxes, unemployment, and insurance.
The salary process refers to the steps required to pay employees each pay period and involves employees' hours worked, their pay rate, and deductions. Processing payroll ensures employees are paid based on their employment status and other Department of Labor (DOL) requirements.