Payroll Software in
Sweden

Payroll Features – Sweden

Employer Declaration (AGI)

Mercans Payroll Software offers robust features tailored for Sweden’s payroll needs, including support for the Employer Declaration (AGI). Our software helps employers manage the monthly reporting of compensation, taxable benefits, deducted preliminary tax, and employer contributions in line with Skatteverket reporting requirements.

What is an Employer Declaration (AGI)?

If you are registered as an employer in Sweden, you are generally required to submit an employer declaration each month for every reporting period. This declaration is used to report paid compensation, taxable benefits, deducted tax, and employer contributions on both an employer and individual level.

Who needs to submit an Employer Declaration?

Generation of Bank Files for Salary Payments

Our software facilitates the creation of bank files required by Swedish banks for salary payments. It can support multiple bank-specific salary payment formats used in Sweden, including ISO 20022 XML-based structures where required by the employer’s banking setup.

• Bank-Specific File Support: Supports salary payment files aligned with the requirements of participating Swedish banks, subject to project scope and bank specifications.
• SEB Format: Can be configured to support salary payment file requirements used by SEB.
• ISO 20022 XML: Supports modern XML-based payment structures where adopted by the relevant bank or client process.

Collective Agreements

Mercans Payroll Software is equipped to handle payroll calculations in line with various collective agreements:

• Automated Calculations: Configurable to accommodate different wage scales, bonuses, and allowances as stipulated in collective agreements.
• Compliance Support: Includes functionality to address agreement-driven rules such as shift differentials, overtime, and other compensation elements.
• Reporting: Generates necessary reports and documentation to help employers administer collective-agreement related payroll requirements.

Försäkringskassan Reporting and Sick Pay Support

Our software provides tools that support payroll processes connected to Swedish social insurance administration, including employer sick pay handling and related reporting workflows. Key features include:

• Sick Pay Support: Supports payroll handling for employer-paid sick pay during the statutory sick pay period.
• Employer Reporting: Helps employers manage payroll data needed when sickness must be reported to Försäkringskassan after the initial employer-paid period.
• Compliance Support: Assists businesses with payroll administration connected to Swedish social insurance workflows and employer reporting obligations.

Employer’s Certificate (Arbetsgivarintyg)

Our software supports the export of data in formats compatible with Arbetsgivarintyg.nu. It includes functionality that can help employers prepare the information needed for employer certificates and related submission workflows.

Car Benefit Calculation

Mercans Payroll Software supports bilförmånsberäkning (company car benefit calculation) as part of the payroll process, helping employers report taxable car benefits and related payroll values correctly in line with Swedish tax reporting requirements.

LSS (Lagen om stöd och service till vissa funktionshindrade)

Our software includes specialized features for managing LSS-related payroll administration and reporting requirements. It can support organizations that need payroll processes adapted to municipal funding models, operational rules, and documentation needs connected with LSS services.

SINK Tax (Särskild Inkomstskatt för Utlänningar)

Mercans Payroll Software supports the administration of SINK tax for eligible non-resident individuals working in Sweden. The software can assist with payroll handling and reporting where SINK applies, helping employers manage payroll for foreign employees or consultants in line with Swedish tax processes.

Bygglosen

Our software can support client-specific integrations for construction-sector payroll and workforce processes, including data exchange with relevant third-party systems where interfaces and project scope allow. This helps employers manage sector-specific payroll administration and operational requirements more efficiently.

Trade Union Fees

Mercans Payroll Software effectively handles trade union fee deductions according to employer rules and applicable agreements. It includes tools for reviewing and updating deduction configurations, keeping accurate records of deductions and payments, and supporting ongoing payroll administration requirements.

OB-Tillägg (Overtime and Unsocial Working Hours Compensations)

The software manages overtime and unsocial working hours compensation (OB-tillägg) by accurately handling different OB rates and rules. It can be configured to reflect changes in collective agreements and employer policies, supporting precise calculation of additional pay for unsocial hours.

Vacation Contracts

Mercans Payroll Software tracks vacation accruals and supports vacation administration in line with Swedish labor rules and applicable collective agreements. It helps employers manage employee time off, accruals, balances, and related payroll processing effectively.

PAYE Tax

• Our payroll system supports preliminary tax withholding and the monthly reporting obligations linked to employer declarations in Sweden. It helps employers manage salary, benefits, tax deductions, and employer contribution reporting to the Swedish Tax Agency.
• Explore how Mercans Payroll Software can enhance your payroll operations and support compliance with Swedish payroll requirements.

Payroll Reporting

Mercans Payroll Software simplifies the generation of essential reports and statistics, ensuring you have the data you need at your fingertips. Beyond the standard reports typical of payroll systems and external reporting requirements for entities like FORA, trade unions, and pension or insurance providers, our software offers customizable options. This allows you to tailor reports and monitoring to suit your specific needs, enhancing efficiency and streamlining your payroll management tasks.

FORA Pension – Försäkrings- och arbetsmarknadsavtal)

Mercans Payroll Software offers strong support for managing FORA-related administration, helping employers handle reporting and payroll data connected with collectively agreed insurance and occupational pension arrangements in Sweden.

• Automated Contributions: Our software can automate the calculation and deduction of FORA-related contributions and related payroll values, reducing manual effort and minimizing errors.
• Compliance Management: Navigating Swedish requirements on employee benefits and occupational pensions can be complex. Mercans Payroll Software helps employers maintain accurate reporting processes and payroll records.
• Data Integration: The software can support structured data exchange for FORA-related reporting processes, helping reduce manual data entry and potential errors.
• Reporting and Reconciliation: Mercans Payroll Software generates reports on employee benefits, wages, and contributions to support reconciliation and monthly or periodic reporting requirements.

Payroll Implementation

Mercans’ standard payroll implementation process for Sweden is meticulously designed to ensure a seamless transition to our payroll system. Tailored to meet the specific needs of each client, our approach involves customizing timelines and deliverables based on factors such as complexity, data availability, and the number of parallel runs required. Here’s an overview of the key steps in our implementation process:

Implementation Planning

• Assign project resources and define roles.
• Conduct a kick-off meeting to outline objectives and confirm project scope.
• Develop a detailed implementation calendar and plan.
• Provide a welcome package with project details and key contacts.
• Schedule weekly update calls or emails to track progress.
• Obtain sign-off on the project scope.

Requirements Gathering

• Conduct workshops to understand and document client needs.
• Complete business blueprinting to detail requirements and perform a gap analysis.
• Define and document any required customizations.
• Obtain sign-off on requirements to ensure they align with client expectations.
• Establish a comprehensive list of payroll-specific requirements.

System Configuration

• Configure the system according to Swedish payroll requirements.
• Customize the wage type catalog for relevant pay components.
• Set up data dictionaries and interfaces for smooth data integration.
• Adapt reports to comply with Swedish regulatory standards.
• Implement Employee Self-Service (ESS) and Manager Self-Service (MSS) features.

Data Migration

• Migrate employee and payroll master data, ensuring accuracy.
• Obtain sign-off on migrated data to confirm correctness.
• Verify data integrity and completeness before advancing to subsequent steps.

Test Payroll Run

• Perform simulation payrolls to validate system configurations.
• Conduct parallel runs with existing systems and complete test run sign-offs.
• Execute end-to-end testing and user acceptance testing (UAT), addressing any issues.

Payroll Management Transition & Sign-off

• Develop a transition plan for the go-live phase and provide user training.
• Implement a hypercare plan for post-go-live support, including an escalation plan for critical issues.
• Create a fallback plan for potential disruptions and complete a go-live checklist for final sign-off.

Payroll Reports – Standard, Statutory and Year-End Reports

At Mercans Sweden, we understand the critical role that comprehensive payroll reporting plays in effective business management. Our payroll software is designed to provide you with an extensive range of reports, ensuring that you can easily manage and analyze your payroll data. From standard payroll summaries to statutory compliance reports and year-end financial statements, our system delivers accurate and timely information tailored to meet your reporting needs. With Mercans, you can streamline your reporting processes and support compliance with applicable regulatory requirements. Explore our robust reporting features to enhance your payroll management and support informed decision-making.

Benefits of Payroll Software

Mercans Sweden delivers a robust payroll solution designed to streamline payroll administration and enhance HR processes. Our software offers a range of benefits to improve efficiency and accuracy within your organization: