You can usually go into payroll administration with a combination of an associate's degree in an accounting, finance or human relations coupled with some experience processing payroll for small or mid-sized companies. In smaller businesses, payroll can be an entry level administrative position for someone who is good with numbers, computer savvy and detail-oriented. If you want to progress to payroll administration for a major company with a large workforce or for a payroll processing firm that works for multiple companies, however, you will likely need a college degree and two to three years experience.
In-house payroll administration is typically part of a company's finance department. Administrators are often required to interface with the human resources department and directly with employees. To successfully pursue a job in payroll administration, you first have to be comfortable working as part of the hub of a vital business operation that must be done correctly and to deadline every time. Employers look for detail-oriented, meticulous employees who can function cross-departmentally. A resume that shows an increasing level of responsibility across a growing payroll budget will showcase your qualifications in this area.
The larger the workforce, the more likely the company will require an associate's or bachelor's degree in a relevant major for payroll staff. Smaller companies are more likely to hire based on competence, rather than a particular educational credential. There are training courses and certificate programs offered by proprietary schools and small business organizations that can shore up your credentials if you do not have a college degree.
Payroll administration is driven by software programs that automate the payroll process. Familiarity with the most popular software processors can help you break into the industry. Many of the software companies offer free and low-cost training on their systems in hopes that familiarity will convince you to be an advocate for their software in your new position. Contact these vendors directly to see what type of training you can add to your repertoire before you go job hunting.
Another alternative to in-house payroll administration is to work for a payroll processing company that processes payroll for multiple clients. These companies specialize in payroll and the tax obligations associated with state and federal payroll tax withholdings. In many instances, you will need a four-year college degree and significant experience working payroll for a large workforce to break into the industry from this direction. The work for this type of payroll specialist tends to be more complicated because it deals with tax obligations across multiple jurisdiction, so your credentials must demonstrate more advanced knowledge.