Question

You are the Payroll Administrator in a multi-jurisdictional organization that has employees across Canada. In addition to the regular financial aspects of the audit this year, the auditors for your organization are looking at the processes in place in certain areas of the Payroll Department. To speed up the process, the Payroll Manager is preparing documentation for the auditors to follow that outline various processes. Please prepare a memo for her outlining the general procedures for calculating the Workers’ Compensation assessment in all jurisdictions to be included in the documentation for the auditors.

Answer 1

Documentation of payroll for auditor :

1. Pay rate list of each and every employee alonge with attendance records maintain by company.

2. List of Independent contractors and vendors, hiring for particular area and complete pay off account for those contractors.

3. Bank reconciliation statement.

4. Payroll tax submission slips and records : Here payroll taxes includes mmedicare taxes etc.