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Ensuring 100% Statutory Compliance in Payroll: The 3rdPillar Advantage

07 Jun, 2025

Can payroll errors shut down a business? Not overnight. But slowly, through unnoticed penalties and compliance gaps. PF, ESI, TDS—each line item matters. When rules shift and systems lag, even honest mistakes cost dearly. That’s where automation steps in ( 3rdpillar ). Quietly. Reliably.Why Compliance Isn’t Optional AnymoreNon-compliance isn't rare—it’s rising. Government scrutiny has tightened. Regulations update without warning. Manual tracking struggles to keep up.Even well-meaning teams can miss:● A PF ceiling update not captured in time● A new ESI slab ignored due to lack of notification● TDS variations miscalculated for contractor paymentsEach slip can trigger:● Penalties● Legal notices● Employee mistrust● Surprise auditsAnd once audits begin, the dominoes fall. Fast.The Compliance Maze: What Needs Constant TrackingStatutory compliance isn’t one law. It’s a moving puzzle. Here’s what businesses are juggling every month:● Provident Fund (PF): Wage ceiling changes, EPF rates, UAN management● Employees’ State Insurance (ESI): Contribution rate updates, coverage thresholds● Professional Tax (PT): State-wise slabs, due dates● TDS on Salary: Slab rate changes, exemptions, declarations● Labor Welfare Fund: Applicable only in select states, with separate rules● Bonus & Gratuity: Eligibility thresholds, timelines, payment modes● Payslip Compliance: Inclusion of statutory heads as per lawEach law carries its own format, timeline, and exceptions. It’s not difficult. It’s just too much for a manual process to handle every time, every change.How 3rdPillar Makes Compliance EffortlessWith 3rdpillar, updates happen in real time. No midnight excel updates. No risk of missed notices. The system absorbs changes—quietly, in the background.Here’s what it does automatically:● Tracks statutory changes (PF, ESI, PT, TDS, and more)● Applies relevant changes to payroll without manual input● Sends timely alerts before deadlines● Generates audit-ready reports● Segregates compliance by location, department, and employee type● Keeps you aligned with both central and state regulationsThe Result? Quiet ConfidenceMistakes reduce. Audits become smooth. Penalties? Rare.Even better—employees get payslips that reflect what’s fair, legal, and timely.No confusion. No delay. No last-minute rush.ConclusionCompliance isn’t just a rule—it’s a habit. And good habits need good systems.With 3rdPillar, statutory compliance doesn’t feel like a race against time. It becomes part of the process. Calm, clear, and under control.Because when payroll is clean, the business breathes easy.

Team 3rd Pillar