To make your life significantly easier, you’ll want to use a payroll platform that can integrate seamlessly with your existing HR tech stack. Ideally, there will be an API option, too, so that you can customize your integrations. If you proceed to a demo or sales pitch, ensure you clarify the vendor’s model, too. Find out as much as you can before committing and ask questions if you need to.
This list will guide you through six of the top providers in payroll outsourcing and software tools, and we’ll offer advice on how to research and sift through your options to find the right one for you. Jennifer Soper has 25+ years of writing and content design experience, working with small businesses and Fortune 100 companies. The best online bookkeeping services offer both accounting and payroll services for small businesses. Having many aspects of your business managed in the same place often makes your business operations easier to track and stay on top of. The payroll software you use should integrate with QuickBooks or whichever accounting software you use in order to keep an accurate record of payroll history in the event of an audit.
Outsourcing Payroll in 2023: A Complete Guide for Small Businesses
Payroll responsibilities are much more than just cutting checks for employees. Our last list entry is a bit of a midpoint between software-only providers like OnPay and more full-service providers like the ones mentioned further up. But they also offer extensive support and administrative services to help teams minimize the amount of work required internally to keep HR functions running.
Best for Seasonal Businesses
The platform offers a checkbox option to invite the added employee or contractor to fill out the rest of the information themselves. Though this process was straightforward, manually entering several people could get tedious for companies with high hiring volumes. In my experience, setting up automations was as intuitive as possible, given the large ripple effect each automation produces. I had to first set up people groups within the platform, including their permission levels and other specifications. The best payroll software reduces the time and effort required for a business to run its payroll at a price that won’t break its budget.
Improved data security
Now that you’ve weighed the pros and cons of outsourcing payroll, let’s break down some common features to keep an eye out for in payroll outsourcing services. Like with any business decision, you’ll want to know how your business will benefit if you decide to outsource your payroll. Now that you know what outsourcing the payroll process entails, let’s look at the wide range of payroll outsourcing benefits it can provide for you and your business. Naturally, the quality of payroll outsourcing will vary, but it’s clear many companies still see these third-party payroll managers as more effective than internal capabilities. Mistakes involving taxes or adherence to regulations can be time-consuming and costly to resolve, so there’s a strong incentive to get everything right the first time. “Leaving it to the pros” can be especially beneficial for large companies with complex and burdensome payroll responsibilities.
Whatever your business size or industry, when you choose outsourcing with ADP®, you gain premium service and support, as well as proven processes and technology. See our top-recommended PEO companies for small businesses for more information on each provider and other high-ranking PEO options. Paycor understanding gaap vs non offers a testing account with sandbox data, and I found the system interface to be clean and intuitive to navigate. Wave Payroll customers posting reviews on product rating sites like that the software is extremely easy to use and set up, is affordable and has free features such as invoicing. Through TriNet’s PEO, you can outsource all of your HR and payroll functions or you can choose which functions you want to outsource and which you’d like to keep in-house. Once payroll was run, the software summarized how much was paid out and when.
- Paychex Flex users posting on popular ratings sites say the platform is easy to use both on the employer and employee end.
- However, many like that the platform is easy to use, and that it offers guided setup and training and all the basic features most businesses need to manage their payroll and HR needs.
- Gain time, money, peace of mind, and expertise across HR, payroll, workplace safety, compliance, and benefits with ADP.
- While many cloud-based programs for payroll data management use encrypted servers and firewalls for security, they are juicy targets for malicious activity.
You’ll also need to consider employee benefits, overtime, and security. Payroll requires sensitive employee information, and this needs to be protected. Before optimizing your payroll systems, be prepared for potential challenges.
This capability, coupled with its contract payment options, makes Wave an ideal option for seasonal businesses such as garden centers and landscaping companies. TriNet is often criticized for its high costs, poor customer service and lack of transparency in pricing. Many users report issues with technical support, payroll and administrative errors, leading to operational challenges. Despite these concerns, some users appreciate TriNet’s comprehensive payroll and benefit services, noting their ease of use for multi-state operations.