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Results identify internal control weaknesses, including unrestricted supervisor access to multiple module components and insufficient oversight of timesheet approvals and related errors, with recommendations for exceptions reporting and routine manager reviews to reduce risk and processing delays.",{"@graph":14,"@context":72},[15,34,55],{"@type":16,"itemListElement":17},"BreadcrumbList",[18,23,27,31],{"item":19,"name":20,"@type":21,"position":22},"https://docshare.wps.com","Home","ListItem",1,{"item":24,"name":25,"@type":21,"position":26},"https://docshare.wps.com/template/","Template",2,{"item":28,"name":29,"@type":21,"position":30},"https://docshare.wps.com/template/general/","General",3,{"item":32,"name":10,"@type":21,"position":33},"https://docshare.wps.com/template/audit-of-the-payroll-process-project-16-09-findings-and-recommendations/252380/",4,{"url":32,"name":10,"@type":35,"image":36,"author":41,"headline":10,"publisher":44,"fileFormat":47,"inLanguage":8,"description":12,"dateModified":48,"datePublished":49,"encodingFormat":47,"isAccessibleForFree":50,"interactionStatistic":51},"DigitalDocument",{"url":37,"@type":38,"width":39,"height":40},"https://docshare.wps.com/thumbnails/audit-of-the-payroll-process-project-16-09-findings-and-recommendations/252380.png","ImageObject",442,249,{"name":42,"@type":43},"Mimi","Person",{"url":19,"name":45,"@type":46},"DocShare","Organization","application/pdf","2026-09-20","2026-09-13",true,{"@type":52,"interactionType":53,"userInteractionCount":26},"InteractionCounter",{"@type":54},"ViewAction",{"@type":56,"mainEntity":57},"FAQPage",[58,64,68],{"name":59,"@type":60,"acceptedAnswer":61},"What was the primary objective of the payroll process audit?","Question",{"text":62,"@type":63},"To determine whether the payroll process provides adequate segregation of duties and whether internal controls are functioning as designed.","Answer",{"name":65,"@type":60,"acceptedAnswer":66},"Which system and module components were reviewed for payroll processing?",{"text":67,"@type":63},"Payroll is processed through the District’s SAP Human Capital Management module, including Organizational Management, Benefits, Personnel, Time Management, Travel Administration, and Training and Events Management.",{"name":69,"@type":60,"acceptedAnswer":70},"What key internal control weakness was identified in the audit results?",{"text":71,"@type":63},"Lack of segregation of duties due to the HRIS Supervisor’s unrestricted access to multiple SAP module components, enabling autonomous changes to timesheets, benefits, and payroll records.","https://schema.org",{"og:url":32,"og:type":74,"og:title":10,"og:site_name":45,"og:description":12},"article",{"robots":76,"canonical":32},"index,follow",{"doc_id":78,"site_id":7},252380,1789261277,{"code":4,"msg":81,"data":82},"success",[83,88,93,98,103,108,113,118,123],{"id":84,"doc_module":22,"doc_module_name":25,"category_name":85,"show_sort_weight":86,"slug":87},11,"Presentations",90,"presentations",{"id":89,"doc_module":22,"doc_module_name":25,"category_name":90,"show_sort_weight":91,"slug":92},12,"Resumes",80,"resumes",{"id":94,"doc_module":22,"doc_module_name":25,"category_name":95,"show_sort_weight":96,"slug":97},14,"Invoices",70,"invoices",{"id":99,"doc_module":22,"doc_module_name":25,"category_name":100,"show_sort_weight":101,"slug":102},15,"Posters",60,"posters",{"id":104,"doc_module":22,"doc_module_name":25,"category_name":105,"show_sort_weight":106,"slug":107},16,"Social Media",50,"social-media",{"id":109,"doc_module":22,"doc_module_name":25,"category_name":110,"show_sort_weight":111,"slug":112},17,"Forms",40,"forms",{"id":114,"doc_module":22,"doc_module_name":25,"category_name":115,"show_sort_weight":116,"slug":117},18,"Letters",30,"letters",{"id":119,"doc_module":22,"doc_module_name":25,"category_name":120,"show_sort_weight":121,"slug":122},21,"Paper Templates",5,"papers-templates",{"id":124,"doc_module":22,"doc_module_name":25,"category_name":29,"show_sort_weight":4,"slug":125},158,"general-158",{"code":4,"msg":81,"data":127},{"doc_id":78,"user_id":128,"nickname":42,"user_avatar":129,"doc_module":22,"category_id":124,"category_name":29,"doc_title":10,"doc_description":12,"doc_content":130,"file_id":131,"file_url":132,"file_type":133,"file_size":134,"view_count":26,"is_deleted":4,"is_public":22,"is_downloadable":22,"audit_status":22,"page_count":94,"language":135,"language_code":8,"site_id":7,"html_lang":8,"table_of_contents":136,"faqs":137,"seo_title":138,"seo_description":12,"update_tm":79,"read_time":121},2336477974920,"https://ap-avatar.wpscdn.com/davatar_155a257f0dc6eb9ab79c44ca47cae57d","Audit of the Payroll Process  \nProject \\#16-09  \nPrepared by  \nOffice of the Inspector General  \nJ. Timothy Beirnes, CPA, Inspector General Daniel Sooker, CPA, Chief Investigator  \nTABLE OF CONTENTS  \nBACKGROUND ..................................................................................................... 1  \nOBJECTIVE, SCOPE, AND METHODOLOGY............................................... 2  \nAUDIT RESULTS .................................................................................................. 3  \nExecutive Summary .....................................................................................................3  \nStrengthen Internal Controls over Payroll Processing.............................................5  \nTime Administrator and Supervisory Review of Timesheets Needs Improvement ..............................................................7  \nImprovements are Needed to Eliminate Timesheet Activity Coding Errors .............................................................................9  \nPayroll Testing for Fictitious Employees.................................................................10  \nAPPENDIX 1 – Flowchart of Payroll Time Entry and Process Approval ...............11  \nBACKGROUND  \nIn accordance with our FY 2016 Audit Plan, our Office conducted an Audit of the Payroll Process. The District disburses approximately $150 million annually for salaries and benefits, which represents approximately 20% of its annual expenditures. Payroll is administered by the Human Resource Information System and Payroll Services Unit (HRIS), which consists of five employees, who process the bi-weekly payroll for approximately 1,370 employees. Payroll processing is very time sensitive; HRIS staff have a very short timeframe to process employee timesheets, correct errors, and complete payroll.  \nThe District has established internal controls over the payroll process to ensure that payroll is processed accurately, timely, and in accordance with applicable laws and policies and procedures. Payroll is processed through the District’s SAP Human Capital Management module, which consists of Organizational Management, Benefits Administration, Personnel Administration, Time Management, Travel Administration, and Training and Events Management.  \nOBJECTIVES, SCOPE, AND METHODOLOGY  \nOur objective was to determine whether the payroll process provides for adequate segregation of duties and that established internal controls over the payroll process are functioning as designed. To accomplish our objectives, we performed the following:  \n􀁸 Reviewed flowcharts and other documentation regarding internal controls over the payroll process.  \n􀁸 Reviewed SAP payroll interfaces.  \n􀁸 Conducted tests of payroll records to ensure transactions are properly authorized, approved and accurate.  \n􀁸 Traced payroll information to source documents including pay rate approvals and benefits.  \nWe conducted this performance audit in accordance with generally accepted government auditing standards. Those standards require that we plan and perform the audit to obtain sufficient, appropriate evidence to provide a reasonable basis for our findings and conclusions based on our audit objectives. We believe that the evidence obtained provides a reasonable basis for our findings and conclusions based on our audit objectives.  \nAUDIT RESULTS  \nExecutive Summary  \nOverall, HRIS does an effective job of processing the bi-weekly payroll within the mandated timeframe and often under challenging circumstances. However, our review of the payroll process revealed internal control weaknesses related to the lack of segregation of duties with the HRIS employees who are responsible for payroll processing. The Supervisor has unrestricted access to all of the components within the Human Capital Management module in SAP. These components include Organizational Management, Benefits, Personnel and Travel Administration, as well as Time Management, and Training and E","cbCaimJ5mJyAk3GJ","https://ap.wps.com/l/cbCaimJ5mJyAk3GJ","pdf",540790,"English","# Background\n# Objective, Scope, and Methodology\n# Audit Results\n## Executive Summary\n## Strengthen Internal Controls over Payroll Processing\n## Time Administrator and Supervisory Review of Timesheets Needs Improvement\n## Improvements are Needed to Eliminate Timesheet Activity Coding Errors\n## Payroll Testing for Fictitious Employees\n# Appendix 1 - Flowchart of Payroll Time Entry and Process Approval","[{\"question\":\"What was the primary objective of the payroll process audit?\",\"answer\":\"To determine whether the payroll process provides adequate segregation of duties and whether internal controls are functioning as designed.\"},{\"question\":\"Which system and module components were reviewed for payroll processing?\",\"answer\":\"Payroll is processed through the District’s SAP Human Capital Management module, including Organizational Management, Benefits, Personnel, Time Management, Travel Administration, and Training and Events Management.\"},{\"question\":\"What key internal control weakness was identified in the audit results?\",\"answer\":\"Lack of segregation of duties due to the HRIS Supervisor’s unrestricted access to multiple SAP module components, enabling autonomous changes to timesheets, benefits, and payroll records.\"}]","Audit of the Payroll Process - Project 16-09 - Findings and Recommendations | PDF"]