Building a high-performing payroll team

Payroll is one of the most important functions in any organisation, yet it often doesn’t get the recognition it deserves. It’s far more than processing pay runs. Payroll teams keep businesses compliant, navigate complex legislation, and ensure employees are paid accurately and on time. Yet despite this, payroll is still seen by many as a back-office task rather than a strategic contributor.

At Aurion’s recent Future in Focus User Group events across Australia, payroll leaders shared their thoughts on how to change that perception. Here are five practical ways to build a high-performing payroll team that adds real value to your organisation.
 

How to build a high-performing payroll team 

Drawing on insights from leading industry experts, here are five proven ways to build a high-performing payroll team in Australia:

1. Define what high performance looks like
   
2. Attract and retain top talent 
3. Invest in skills for the future of payroll 
4. Empower teams by building trust and support 
5. Strengthen leadership capability

1. Define what high performance looks like

Start by making sure your payroll team understands what high performance means in your organisation. It’s not just about completing pay runs. A high-performing team works efficiently, looks for better ways to handle tasks, and makes a measurable impact on the business.
 

This could include automating repetitive tasks, reducing errors, and creating time to focus on trends and insights that help HR and Finance make informed decisions. Done well, you’ll see fewer compliance issues, faster turnaround times, and happier employees. For example, spotting patterns in overtime or leave balances can improve workforce planning and strengthen cash flow. Payroll then becomes more than an administrative function, by being a trusted source of valuable information.
 

2. Attract and retain top talent 

Flexibility is no longer a perk, but an expectation for payroll professionals. This is because payroll is one of the few functions that can operate fully remote without losing any accountability. If people aren’t paid, the issue is obvious straight away, so performance remains visible even when the team works off-site.

Organisations that embrace hybrid or remote work and flexible arrangements send a clear message of trust and adaptability, and that’s exactly what candidates want.
 

Additionally, competitive pay and transparent compensation structures still matter, but career pathways are just as important. Many people say they “fell into payroll” and changing that perception starts with awareness. Employers should offer

• Internships and mentoring 

• Professional development opportunities 

• Clear progression into leadership or broader HR and compliance roles 

By doing so, it creates a culture where payroll professionals feel valued, supported, and see a future for themselves.
 

3. Invest in AI and skills for the future of payroll

Payroll is changing fast and it is no longer just a transactional role. That means the skills needed are evolving too. Technical knowledge like award interpretation, tax, and superannuation is still important, but soft skills such as communication and stakeholder engagement matter just as much. These skills help payroll teams work across departments and influence business decisions.

While AI can help with everyday tasks like answering common questions, flagging compliance issues, and streamlining processes, it should never replace human judgment.

To make the most of these changes, organisations need strong data design, disciplined system configuration and dashboards that highlight exceptions and trends. When you invest in both technical and interpersonal skills and give your team the right tools, you create a payroll team that is adaptable, confident and ready for the future.

4. Empower teams by building trust and support 

A high-performing payroll team thrives in an environment where support and collaboration are prioritised. Payroll is a complex function that requires precision, compliance, and adaptability, so creating a culture where team members feel supported is essential.

Since Payroll often sits between HR, Finance and IT, it’s important to break down silos through catch-ups, shared dashboards and a no-blame culture help teams solve problems together instead of pointing fingers.

5. Strengthen leadership capability

Strong payroll leadership sets the tone for high performance. Leaders should set clear expectations, be transparent, and adapt their approach to support their team. Building trust through recognition, timelyfeedback, and removing roadblocks is essential. Great leaders also encourage innovation by creating a safe space for new ideas and small experiments.

Recognition plays a big role too. Payroll teams rarely get noticed when everything runs smoothly, yet their work impacts every person in the organisation. Make recognition part of everyday work with shout-outs, small rewards, and visible appreciation. A little acknowledgement goes a long way in keeping morale high and showing the value payroll brings to the business.

Payroll is much more than handling transactions. By adopting payroll best practices and focusing on payroll team development, organisations can operate efficiently while giving employees confidence that they are valued. When businesses take the time to define what great payroll looks like, invest in talented people, embrace new technology, and support strong, people-focused leadership, the whole organisation benefits.  

By building teams that feel empowered, connected, and future-ready, payroll becomes more than a process. It becomes a trusted partner that helps the business grow, adapt, and look after its people. And that’s exactly the kind of payroll function every organisation deserves. 

For more insights on how to build a high-performing payroll team, check out the full video below.