Payroll and Timekeeping Clerks

Many payroll tasks today already run on computers. For example, tasks like computing wages, deductions, and issuing paychecks are done by payroll software ^[1]. O*NET even flags these as core duties and notes the job is already “highly automated” (about 14% of tasks done by machines) ^[1].

In practice, that means a Payroll Clerk often uses systems (like cloud payroll services) that automatically do the math and cut paychecks, so people mainly check for errors. New AI tools are beginning to layer on top of this: one tech report notes companies using AI in payroll saw “substantial reductions in processing time [and] error rates” ^[2]. Experts expect more AI help soon – for instance, a payroll industry panel predicts ~50% of organizations will use some AI by 2025 to move payroll from routine work toward analysis and planning ^[3].

On the other hand, I found few specific examples of AI handling tasks like reviewing timesheets or fixing odd pay errors. Those steps usually need human judgment (because each company’s rules and special cases are different), so they remain mostly done by people for now.

Payroll is one of those fields where companies see clear benefits but also have to be cautious. On the plus side, payroll work is well‐defined and many firms already use modern systems. A survey found over half of organizations now use cloud‐based payroll tools ^[4], which makes it easier to add AI features later.

Analysts say the rewards could be big – for example, one report projects AI-powered payroll could cut processing time by roughly 25–50% and dramatically improve accuracy ^[2]. The American Payroll Association notes that many businesses are gearing up for AI: about half expect to be using it in payroll by 2025 ^[3].