Detecting and Preventing Common Payroll Fraud

In this article, originally published in the Canadian Payroll Reporter, Edward Nagel, Principal & Founder of nagel + associates identifies the various payroll fraud schemes that commonly victimize organizations, including ghost or fictitious employees and false expense reimbursement schemes. The article also highlights the ‘red flags’ to watch out for as possible indicators of payroll fraud and common methods used by organizations to prevent and detect payroll fraud.  It also addresses what to do when fraud is suspected.

Padding the Payroll-How to Detect and Prevent Fraud

In this article, originally published in the Canadian Payroll Association’s DIALOGUE Magazine, Edward Nagel, Principal & Founder of nagel + associates examines a case study involving an employee who committed payroll fraud by obtaining advances on expenses, but failed to offset those advances when submitting the expenses for reimbursement through payroll. The article also covers off some of the most common payroll fraud schemes that commonly victimize organizations, the red flags or potential indicators of such schemes and provides practical measures organizations can take to prevent and detect payroll fraud.