A register is only one piece of evidence
A wage register can show that the correct amount was supposedly calculated. It does not always tell us what happened after the calculation. That is why a proper audit looks at more than one record before concluding that wages have been paid correctly.
Start with attendance
Attendance provides the basic foundation for checking wages. The payable days shown in the wage register should be reasonably consistent with the attendance records. Large differences need to be understood before the payroll can be considered reliable.
Compare wages with payment evidence
Where wages are paid through banking channels, sample checks can compare the amounts shown in the wage records with available payment evidence. The purpose is not to review every transaction unnecessarily, but to identify whether the documented payroll reflects what actually happened.
Check statutory deductions
PF, ESI and other applicable deductions should be reviewed alongside gross wages and net payment. If a statutory amount has been deducted from the worker, the supporting compliance record should also be traceable.
Look for recurring exceptions
One isolated discrepancy may have a reasonable explanation. The bigger concern is a pattern. Repeated differences between attendance, wage records and payment evidence can indicate a process problem that needs to be addressed with the contractor.
Discuss findings with the contractor
An audit should not end with a list of observations. The contractor should have an opportunity to explain the exceptions and provide supporting documents. Where a correction is required, the action and closure should be recorded.
Why monthly checks work better
Small discrepancies are easier to resolve when they are identified in the same month. Waiting for an annual audit can turn a small documentation problem into a much larger reconciliation exercise involving several months of records.