# Payroll

*Accounting & Reporting — Finicade finance glossary*

Payroll is the process of paying employees and remitting the taxes withheld from them. Accounting-wise it's rarely just wages: employer payroll taxes, benefits, pension contributions and accrued holiday all attach to it, so the true cost of an employee typically runs 25–40% above salary. Payroll tax remittance is also one of the few obligations whose non-payment can create personal liability for directors.

**Also known as:** payroll processing, wage bill, payroll accounting

**Related terms:** [Payroll Tax](https://finicade.com/glossary/payroll-tax), [Withholding](https://finicade.com/glossary/withholding), [Accrued Expense](https://finicade.com/glossary/accrued-expense), [Overhead](https://finicade.com/glossary/overhead), [Pay Stub](https://finicade.com/glossary/pay-stub)

Source: https://finicade.com/glossary/payroll