Outsourcing payroll to a trusted service provider can help employers pay their employees accurately and on time. Many providers also assist with tax deposits and filing tax returns with government authorities.
However, some employers choose to handle payroll internally. Those opting for this route should recognize that payroll can be intricate, and mistakes can be costly. To minimize risks, employers may need to provide extensive payroll training to their staff or hire certified payroll professionals.
Table of Contents
What is payroll certification?
A payroll certification ensures that a person possesses necessary knowledge in the payroll field. The National Payroll Institute (NPI) is the body that grants payroll certifications. It offers two types of certifications for individuals looking to obtain payroll credentials:
- Payroll Compliance Practitioner (PCP): This is the initial level of certification available from the NPI. The PCP certification is designed for individuals who are new to payroll. It offers foundational knowledge of compliance regulations, tax laws and payroll practices.
- Payroll Leadership Professional (PLP): This is a more advanced credential offered by the NPI. It’s geared toward experienced payroll professionals seeking to enhance their leadership skills and strategic understanding of payroll operations. Candidates getting this certification are often involved in managing payroll teams, developing policies and implementing technology solutions.
While professionals in the accounting sector can earn both certifications, the NPI mandates that candidates aspiring to be certified payroll managers first achieve their PCP certification.
Who needs to take payroll courses?
Anyone who is interested in handling payroll, processing payments and administering employee benefits within an organization, or for clients, would benefit from enrolling in a payroll management course or obtaining relevant certifications. Typical responsibilities in this role include:
- Issuing and verifying scheduled payments
- Ensuring accurate deductions are applied
- Updating payroll records and data
- Managing discrepancies and errors
- Balancing year-end reports
- Producing supporting documentation like pay stubs and tax forms
Acquiring payroll certifications in Canada can enhance your employability for accounting roles as a payroll professional. It can also strengthen your project management and accounting skills and help you develop a thorough understanding of payroll-related legislation and compliance responsibilities, which will benefit your overall accounting practice.
Benefits of payroll training
Pursuing a commitment to professional development is essential in the payroll domain due to ever-evolving government regulations. Employers that hire individuals with payroll certifications can reap several benefits, including:
- Enhanced skills: Payroll training programs equip professionals with a deeper understanding of payroll processes and the latest tax regulations. This helps ensure accurate employee payments and efficient tax filings.
- Improved confidence: A well-trained payroll team possesses the confidence to handle payroll-related inquiries from both employees and management.
- Networking opportunities: Payroll training platforms can help people build connections with other payroll professionals. This is great for networking and also allows the sharing of best practices among the network.
Types of payroll training
A variety of payroll courses are available to meet diverse educational goals. The ADP Learning Academy, which serves as a good starting point, can benefit those seeking entry-level training. Meanwhile, seasoned payroll professionals looking to progress in their careers might consider enrolling in a professional certification program. Additionally, some payroll service providers offer courses that can help people gain expertise in specific payroll solutions.
ADP Learning Academy
The ADP Learning Academy is designed to help people become go-to payroll experts within their organizations. It offers self-paced courses that focus on payroll and tax essentials, as well as HR management. Multiweek programs designed for entry-level payroll specialists and compensation and benefits analysts are also available.
Professional payroll certification
A professional certification is a comprehensive accreditation that focuses on a person’s knowledge, skills and experience in payroll. It also showcases a payroll practitioner’s professionalism and dedication to the field, assuring employers and clients that the person can perform effectively.
Product specialist certification
A product specialist certification is specifically for a person’s knowledge and expertise in a particular payroll software. It validates their ability to optimize features and troubleshoot issues within the payroll solution. For instance, ADP provides training courses on ADP Workforce Now®.
How to choose the right payroll training
Employers should evaluate the current experience and desired skill levels of their payroll team members to choose the best payroll courses for them. Various options are available, from beginner classes, like those at the ADP Learning Academy, to advanced programs that require prior work experience.
Basic payroll certification
Introductory payroll courses welcome anyone eager to showcase their basic payroll skills. They are perfect for entry-level payroll professionals, salespeople in the payroll industry, systems analysts and engineers supporting payroll systems and client representatives from payroll service companies.
Payroll professional certification and certificate programs
Payroll professional programs are designed for those who already have some payroll knowledge and experience. To qualify, candidates should have hands-on involvement in payroll production for a specified number of years before taking the certification exam. Typically, people in roles such as payroll managers, payroll specialists and payroll compliance officers pursue these certifications.
FAQs
Who should receive basic payroll training?
Anyone involved in payroll, whether directly or indirectly, should undergo training in this area. This includes payroll managers, HR professionals, payroll sales representatives and payroll systems analysts.
Is it worth getting a payroll certification?
Getting a certification can enhance a payroll professional’s skills and enhance their career prospects. Employers often prefer candidates with certifications because it gives them more confidence in their ability to handle payroll efficiently and accurately.
How do payroll certifications fit into business strategy in Canada?
Federal, provincial and local payroll regulations are always evolving in Canada. It's essential for payroll professionals to stay informed, as a lack of knowledge can lead to errors that may result in fines and penalties for the employer. By incorporating payroll certification into your business strategy, you can enhance compliance and significantly lower the risk of costly mistakes.
Is the NPI the only organization where I can obtain a certification?
If you’re looking to earn a payroll certificate in Canada, you can only obtain it from the NPI. The NPI is the sole professional association in Canada that provides recognized payroll credentials for people working in this field. While other payroll certifications are available, they typically cater to those intending to handle payroll responsibilities in other countries.
If I have payroll experience from outside Canada, can I use it to earn my certificate?
The NPI does not recognize payroll experience gained in other countries. To meet the NPI's payroll history requirement, your professional experience must be from within Canada. This is primarily because payroll regulations and processes can differ significantly from one country to another.
This guide is intended to be used as a starting point in analyzing payroll courses and is not a comprehensive resource of requirements. It offers practical information concerning the subject matter and is provided with the understanding that ADP is not rendering legal or tax advice or other professional services.
