Certified Payroll Professional
Meaning & Definition
A Certified Payroll Professional (CPP) is a payroll specialist with a verified certification to handle all aspects of the payroll process in an accurate and compliant manner. The CPP has an in-depth understanding of the calculation of wages, statutory deductions, taxation compliance with payroll legislation, as well as the reporting of this information; thereby, ensuring that employees receive their wage payments consistently and in accordance with state and federal law.
Importance of Certified Payroll Professionals (CPP)
- Ensured the accuracy of payroll processing and did so without any mistakes.
- Assisted employers in remaining compliant with payroll and tax regulations.
- Decreased the likelihood of encountering payroll-related issues.
- Created and developed trust amongst employees as a result of their timely and just salary payments.
- Improved the management of employee payroll administration processes and systems across client organizations.
Compliance & Policy Considerations
In India, appointing a Certified Payroll Professional is not a statutory requirement; however, those who hold CPP certification have been trained to effectively manage all compliance matters across the following categories of statutory payroll obligations:
- Income Tax Act
- Provident Fund (PF)
- Employee State Insurance (ESI)
- Professional Tax
- Labour Welfare Fund (LWF)