--- title: Why Does Pay-As-You-Go Help Reduce Audit Variance? description: Learn why payroll reporting throughout the year can help reduce premium differences discovered during the premium audit process. --- [Skip to content](https://help.beaconmutual.com/pay-as-you-go-help-reduce-audit-variance#main-content) English Show submenu for translations ![BeaconMutual\_logo\_color\_320wx100h](https://help.beaconmutual.com/hs-fs/hubfs/BeaconMutual_logo_color_320wx100h.png?width=320&height=100&name=BeaconMutual_logo_color_320wx100h.png) Open main navigation Close main navigation - English Show submenu for translations - [Contact us](https://www.beaconmutual.com/contact/) [Contact us](https://www.beaconmutual.com/contact/) How can we help you? - There are no suggestions because the search field is empty. 1. [Beacon Mutual Knowledge Base](https://help.beaconmutual.com/?hsLang=en) 2. [Pay As You Go](https://help.beaconmutual.com/pay-as-you-go?hsLang=en) # Why Does Pay-As-You-Go Help Reduce Audit Variance? One benefit of the Pay-As-You-Go program is that payroll information is reported throughout the policy term rather than relying primarily on estimated payroll amounts.As payroll information is collected more frequently, premium calculations can better reflect actual payroll activity during the policy period. **What Is Audit Variance?** Audit variance refers to the difference between premium charged during the policy period and the final premium determined during the premium audit. Pay-As-You-Go uses payroll data reported throughout the year, policyholders may experience smaller premium differences when the audit is completed. **Will I still receive a premium audit?** Yes. Participation in the Pay-As-You-Go program does not replace the premium audit requirement.  **Does Pay-As-You-Go guarantee no additional premium?** No. Final premium is still determined through the audit process and policy terms. - [Getting Started](https://help.beaconmutual.com/getting-started?hsLang=en) - [Portal Help](https://help.beaconmutual.com/portal-help?hsLang=en#main-content) - [Online Portal](https://help.beaconmutual.com/portal-help?hsLang=en#online-portal) - [Claims](https://help.beaconmutual.com/claims?hsLang=en#main-content) - [Claim Reporting](https://help.beaconmutual.com/claims?hsLang=en#claim-reporting) - [Medical Claims Inquiry](https://help.beaconmutual.com/claims?hsLang=en#medical-claims-inquiry) - [Claims Payment](https://help.beaconmutual.com/claims?hsLang=en#claims-payment) - [Payments](https://help.beaconmutual.com/payments?hsLang=en#main-content) - [Premium Payments](https://help.beaconmutual.com/payments?hsLang=en#premium-payments) - [Pay As You Go](https://help.beaconmutual.com/pay-as-you-go?hsLang=en) - [Safety](https://help.beaconmutual.com/safety?hsLang=en#main-content) - [Beacon Online University](https://help.beaconmutual.com/safety?hsLang=en#beacon-online-university) - [Loss Prevention](https://help.beaconmutual.com/safety?hsLang=en#loss-prevention) - [Ergonomics](https://help.beaconmutual.com/ergonomics?hsLang=en) - [Policy Information](https://help.beaconmutual.com/policy-information?hsLang=en#main-content) - [ARGO](https://help.beaconmutual.com/policy-information?hsLang=en#argo) - [Premium Audit](https://help.beaconmutual.com/premium-audit?hsLang=en#main-content) - [Online Audit](https://help.beaconmutual.com/premium-audit?hsLang=en#online-audit) - [Payroll](https://help.beaconmutual.com/premium-audit?hsLang=en#payroll) - [Phone Audit](https://help.beaconmutual.com/premium-audit?hsLang=en#phone-audit) - [Pay As You Go](https://help.beaconmutual.com/premium-audit?hsLang=en#pay-as-you-go) - [Temp & Leasing Agencies](https://help.beaconmutual.com/temp-leasing-agencies?hsLang=en#main-content) - [Safety](https://help.beaconmutual.com/temp-leasing-agencies?hsLang=en#safety) - [Policy Information](https://help.beaconmutual.com/temp-leasing-agencies?hsLang=en#policy-information) - [Agent Support](https://help.beaconmutual.com/agent-support?hsLang=en) - [Agency Quoting Center](https://help.beaconmutual.com/agency-quoting-center?hsLang=en) - [En Español](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#main-content) - [Prevención de Seguridad](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#prevenci%C3%B3n-de-seguridad) - [Servicios de Ergonomía](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#servicios-de-ergonom%C3%ADa) - [Seminarios y Entrenamientos de Seguridad](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#seminarios-y-entrenamientos-de-seguridad) - [Beacon Online University](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#beacon-online-university) - [Entrenamiento en Español](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#entrenamiento-en-espa%C3%B1ol) - [Online Portal - Portal en Linea](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#online-portal-portal-en-linea) - [Preguntas Frecuentes de Reclamos](https://help.beaconmutual.com/en-espa%C3%B1ol?hsLang=en#preguntas-frecuentes-de-reclamos)    [**© 2026 Beacon Mutual Workers’ Compensation Insurance.**](https://www.beaconmutual.com/)All rights reserved. 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