Just over a quarter (26%) of respondents do not understand everything on their payslip, according to research by the Chartered Institute of Payroll Professionals (CIPP).
The research was conducted in the lead-up to National Payroll Week 2012, which takes place from 3 to 7 September.
It also found that 14% of respondents said that they only occasionally look at their payslip and 4% said that they never check.
For National Payroll Week, the CIPP is emphasising how important it is for employees to review their payslip every time they are paid to verify that all the information is correct, including national insurance (NI) contributions, tax, employee benefits and pension deductions.
It is also encouraging employees to speak to their payroll department if they have any queries relating to their payslip.
Lindsay Melvin, chief executive at the CIPP, said: “Under the Employment Rights Act, it is mandated that payslips include gross pay, deductions and net pay.
“However, many pay statements nowadays contain a wealth of information, such as bonus and overtime amounts, voluntary deductions, car allowances and salary sacrifice breakdowns, to name a few. It is not a complete surprise to hear that many people are confused by their payslip.
“Having said that, however, it is absolutely essential that employees place the onus on themselves to double-check their payslip, so that they can be confident they are getting paid correctly. Error rates are very low, but knowing and understanding all the details on their payslip will help employees identify mistakes or miscalculations.
“National Payroll Week is the perfect opportunity for employees who do not fully understand their payslip to approach their payroll staff to discuss any issues they may have.”
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