Payroll Software in Italy

Payroll Features in Italy

Mercans Payroll Software is a leading payroll software Italy solution designed to streamline payroll management and ensure full compliance with Italian labor, tax, and social security regulations. As a comprehensive Italian payroll system, it supports all aspects of payroll management Italy, providing organizations with powerful tools for accuracy, efficiency, and compliance. Our HR and payroll software Italy is a flexible, cloud-based solution that integrates with existing systems to deliver superior payroll solutions Italy for businesses of all sizes.

Collective Agreements

The system is configured to handle a variety of collective labor agreements (Contratti Collettivi Nazionali di Lavoro – CCNL) and sector-specific regulations under Italian law. Mercans offers full control over salary scales per CCNL, seniority, and currency. The software also supports individual pay arrangements outside collective agreements, offering flexibility across employment types.

Salary Calculation

The system supports all wage calculations for both hourly and salaried staff, including:

• Salary adjustments and promotions
• Holiday pay (ferie) and leave entitlements
• Pensions and mandatory social security contributions
• 13th and 14th month payments (tredicesima e quattordicesima mensilità)
• Allowances, benefits, and bonuses

Integration

Our Cloud payroll Italy system integrates seamlessly with HR and financial platforms to ensure smooth data exchange. It supports a wide range of Italian accounting and ERP systems, enabling streamlined payroll management Italy and improving operational efficiency.

Bank Transfers

Payments are processed directly via SEPA XML file transfer to Italian and EU banks, with all required details such as IBAN, SWIFT/BIC, and account holder information handled automatically.

International Salary Routines

Mercans’ Global payroll software Italy supports international payroll compliance Italy, including:

• INPS and INAIL reporting
• Income tax reporting to Agenzia delle Entrate
• SEPA bank transfers to Italian and EU accounts
• Pension fund transfers
• Annual tax reporting payroll Italy such as CU and Modello 770

Holiday & Absence Management

Supports Italian leave and absence rules, including:

• Paid annual leave (ferie) of at least four weeks
• Public holidays (festività nazionali)
• Sick leave (malattia) integrated with INPS reporting
• Maternity, paternity, and parental leave in line with statutory and CCNL regulations

Pension & Contributions Overview

Handles all mandatory contributions:

• INPS contributions for retirement, unemployment, healthcare, maternity/paternity, and family allowances
• INAIL contributions for workplace accident insurance
• Occupational pension funds (Fondi Pensione Complementari)
• Voluntary pension contributions, with tax optimization

Other Deductions

Supports statutory and court-ordered deductions, including wage garnishments (pignoramenti), union dues (quote sindacali), and voluntary deductions.

Payroll Implementation in Italy

Mercans’ payroll implementation process in Italy is designed to ensure a seamless transition to our payroll software Italy while maintaining full compliance with Italian labor laws, tax regulations, and social security requirements. Every implementation is tailored to the specific needs of each client, with timelines and deliverables determined by factors such as data readiness, project complexity, and the number of parallel test cycles. The process delivers clarity, reliability, and confidence at every step of the payroll transformation.

Implementation Planning

The implementation begins with assigning dedicated project resources and defining clear responsibilities. An initial kick-off meeting establishes project objectives and scope. Clients receive a detailed implementation plan along with a welcome package containing all essential project information. Regular progress reviews ensure alignment with timelines and goals, and a formal sign-off confirms agreement on the scope and deliverables.

Requirements Gathering

Workshops are conducted to capture client-specific requirements for payroll management Italy. A comprehensive blueprint is created to document all business and payroll needs, including unique configurations for collective labor agreements or Contratti Collettivi Nazionali di Lavoro. Any customization requirements for the Italian payroll system are recorded. A formal approval process ensures all requirements are aligned before proceeding to configuration.

System Configuration

The system is configured to meet Italian payroll and HR compliance requirements. Wage types, deduction rules, and pay structures are customized to align with relevant CCNL agreements and statutory obligations. The configuration also includes integration with key systems to enable efficient payroll solutions Italy. Regulatory compliance is ensured through automated reporting to:

• INPS for social security contributions
• INAIL for workplace accident insurance declarations
• Agenzia delle Entrate for income tax reporting, Certificazione Unica, and Modello 770

The configuration also includes setup for HR and payroll software Italy features such as employee self-service portals and manager self-service tools to enhance efficiency and user experience.

Data Migration

All employee and payroll master data are migrated with strict accuracy checks to ensure integrity. Data validation processes guarantee compliance with Italian regulations. Clients review and confirm the accuracy of migrated data before advancing to payroll testing.

Test Payroll Run

Parallel test runs validate system configuration against client requirements. End-to-end testing and user acceptance testing ensure the system performs accurately. Issues discovered during testing are resolved to guarantee compliance and reliability for live payroll processing.

Payroll Transition and Go-Live

A structured transition plan ensures a smooth shift to live payroll operations. Comprehensive training is provided to payroll teams and administrators to ensure proficiency with the new system. Post-go-live support includes a hypercare phase, with a dedicated escalation process for immediate issue resolution. A fallback plan is prepared to ensure business continuity, and a final checklist confirms readiness before full deployment.

Important Payroll Reports & Documents in Italy

Benefits of Payroll Software in Italy

Mercans provides a powerful payroll software solution designed to optimise payroll management and HR processes while ensuring full compliance with Italian labour laws and regulations. Our software helps organisations simplify operations, reduce errors, and stay aligned with Italy’s regulatory requirements, including INPS, INAIL, and Agenzia delle Entrate filings.