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EXPERIMENT NO - 05

AIM:- Design and implementation of payroll processing system

ER Diagram of Payroll Processing System


PAYROLL PROCESSING SYSTEM
A Payroll Processing System refers to a specialized software application that
utilizes a database to efficiently and accurately manage the financial aspects
ofan organization's payroll. The DBMS plays a crucial role in storing,
organizing,retrieving, and managing the vast amount of data associated with
employee compensation, tax deductions, and other payroll-related
information.

Here's an explanation of how a Payroll Processing System functions within


the framework of a DBMS:

1. Data Storage and Organization:


 The DBMS serves as the central repository for all payroll-related
data, including employee information, salary structures, tax
rules, and historicalpayroll records.
 It organizes the data in tables, defining relationships between
differententities (e.g., employees, departments, and tax
categories).

2. Employee Information Management:


 Employee details, such as personal information, job roles, and
salarystructures, are stored in the database.
 The DBMS facilitates the retrieval of employee data for payroll
calculationsand reporting.

3. Time and Attendance Tracking:


 Integration with time and attendance systems allows the DBMS to
captureand store data related to employee work hours.
 This data is crucial for accurate payroll calculations and
compliance withlabour laws.
4. Payroll Calculation:
 Salary structures, overtime rules, and other relevant parameters are
stored inthe database.
 The DBMS executes calculations based on this information,
ensuringaccurate and consistent payroll processing.

5. Tax Calculation and Compliance:


 Tax regulations and rules are encoded in the database, allowing the
DBMS toautomatically calculate income tax, social security
contributions, and other deductions.
 Regular updates to tax rules can be easily implemented in the
database tomaintain compliance.

6. Reporting and Analytics:


 The DBMS provides tools for generating a variety of reports and
analyticson payroll data.
 These reports offer insights into payroll expenses, employee costs, and
otherfinancial metrics, aiding in decision-making.

7. Security and Access Control:


 The DBMS enforces security measures to protect sensitive payroll data.
 Access control mechanisms ensure that only authorized users, such as
HRpersonnel, can access, modify, or query specific data.

8. Scalability and Performance:


 As the organization grows, the DBMS can handle increased data
volumeefficiently.
 Indexing and optimization strategies are employed to maintain
systemperformance, ensuring timely payroll processing.
In summary, the integration of a Payroll Processing System with a robust
DBMS provides a structured and secure environment for managing payroll-
related data. The DBMS not only facilitates efficient data storage and retrieval
but also ensures data accuracy, security, and compliance, making it an essential
component of an organization's payroll management infrastructure.

Here are some queries applied to form the Database of Payroll Processing
System:
To create Database for Payroll Processing System-
Query: CREATE DATABASE PPS;

Employee Table
Query: CREATE TABLE Emp_Name(First_Name varchar(10),Mid_Name
varchar(10),Last_Name(11));

Employee description Table


Query: Create table Employee(Empl_Id int (10),Desig varchar(10),DOB date
Mob_No int(13));

Attendance Table
Query : CREATE TABLE Atten(total_present int(100),total_Ab(Total_Absent
int(10));
Employee bank Table
Query : CREATE TABLE Emp_Bank(Acc_No int(20),Acc_Name varchar(10),IFSC
varchar(15));

Salary Calculation Table


Query : CREATE TABLE Sal_Cal(Hra int(10),Ba int(8),Ta int(9),Incent int(7),Da int(5));

Employer Table
Query: CREATE TABLE Employer(Emp_Id int not null primary key,Desig
varchar(10),Mob_No int(12),Depart varchar(15));

Payroll Processing System Database Tables:


Query:SHOW TABLES;

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