Payroll Audit & Fraud Detection
Detect ghost employees, overtime fraud, and payroll errors with AI. Complete payroll audit in 2 days instead of 4 weeks with 100% employee coverage.
Comprehensive Payroll Analysis
Ghost Employee Detection
- Employees with no attendance
- Duplicate bank accounts
- Duplicate PAN/Aadhaar
- Inactive employees on payroll
- Employees with no deductions
Overtime Fraud
- Excessive overtime hours
- Overtime without approval
- Weekend/holiday overtime patterns
- Overtime rate violations
- Supervisor-employee collusion
Payroll Errors
- Salary calculation errors
- Incorrect tax deductions
- PF/ESI calculation errors
- Leave encashment errors
- Bonus calculation issues
Employee Master Analysis
- Duplicate employee records
- Missing mandatory fields
- Invalid bank account details
- Expired documents
- Incomplete KYC
Statutory Compliance
- PF compliance (12% + 12%)
- ESI compliance (0.75% + 3.25%)
- Professional tax deduction
- TDS on salary (Section 192)
- Form 16 generation
Segregation of Duties
- Same person creating & approving
- Payroll processor conflicts
- HR-Finance segregation
- Bank account change approvals
- Salary revision approvals
Real Results from Clients
₹2.5Cr
Ghost Employees Detected
Manufacturing company - 15 ghost employees over 18 months
₹80L
Overtime Fraud Prevented
Retail chain - Supervisor-employee collusion detected
95%
Time Reduction
4 weeks → 2 days for complete payroll audit
Who Uses Payroll Audit
Internal Audit Teams
Conduct periodic payroll audits to detect fraud and ensure compliance
- Ghost employee detection
- Overtime fraud
- Statutory compliance
- Control testing
HR & Finance Teams
Ensure payroll accuracy and prevent leakage
- Payroll accuracy
- Error detection
- Compliance monitoring
- Cost optimization
External Auditors
Perform payroll testing as part of financial statement audits
- Audit evidence
- Substantive testing
- Fraud indicators
- Control evaluation
CFOs & Controllers
Monitor payroll costs and prevent financial leakage
- Cost control
- Fraud prevention
- Risk mitigation
- Compliance assurance