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Three Reasons to Switch Payroll Providers

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Change can be a great thing, but sometimes, what you hoped for isn’t always what you recieve. If your latest choice of payroll software has left you feeling like you made the wrong decision, don’t despair—there’s light at the end of the tunnel! Just as you switched from your previous processes to your current one, you can easily switch from your current provider over to a superior service. 

Although you can technically switch payroll providers at any time throughout the year, some times will be better than others. While the best time to switch is at the beginning of the year, making the change at the beginning of any quarter is also a good choice. When switching providers, you will have to transfer all that year’s previous payroll data over to the new provider. Fortunately, by switching at the beginning of a new quarter, you can begin processing the previous quarter’s taxes with your new payroll service provider, rather than your previous one.

So, now that you know when you can change payroll providers, let’s get into why you might want to do so. Here are three main factors that indicate it may be time to switch providers!

You’re Limited by Your Location

If you’re currently using desktop software to manage your payroll, you’re most likely already painfully aware of the limitations this type of system suffers from. Remote access? Not possible. Mobile solutions? Non-existent. In fact, the only place payroll information can even be accessed from is the physical office, which means hiring a remote payroll specialist is out of the question. Fortunately, there are plenty of online payroll software options available, which will allow you to access data off-site, view payroll information from your phone, and even hire remote specialists at lower rates than the ones offered by local specialists!

Beyond remote access, online software provides a few other benefits, such as automatic updates. Since this type of software is stored in the cloud (not locally on your device), you won’t need to perform any security updates or system management. Many companies offer dedicated mobile applications as well, which are especially beneficial to the employees, since they allow them to check pay stubs, report hours, and utilize other self-service features using their own personal mobile devices.

Your Current Service Provider is Unable to Meet Your Needs

Different businesses will have different requirements for their payroll management software. While some companies may run smoothly using only standalone payroll services, others may require complete payroll solutions capable of managing both their payroll and HR tasks. Other features, such as time-tracking or benefits administration, may not be available from certain providers, so you should figure out which features you need before committing to a payroll provider.

Once you’ve determined the bare minimum requirements for your business, you’ll be able to assess the available options and select a service. Of course, different payroll providers will offer different service plans, and that brings us to our last point: pricing!

You’re Paying More Than You Would Like

Payroll software is a competitive industry, so the plan you have now through your current payroll provider may not be giving you the best value for your money. If you feel like you’re paying too much yet receiving too little, it’s definitely time to start window shopping. The vast majority of providers will charge a flat plan rate, then add a small fee for each additional employee you add to your payroll. Companies such as UZIO offer $30 plans with a $4.50/month fee per employee, so if this pricing sounds much lower than your current rate, you should begin to review alternative options. 

What’s Next?

If location, features, or pricing are areas where your current payroll service provider is lacking, you should start making plans for the future right away. By planning ahead, you’ll have ample time to research the available options, read customer reviews, and get ready for future changes. Payroll poses a challenge for many businesses, so you’ve already made a great first step by utilizing software solutions over manual processes. With a little bit of time, research, planning, and preparation, you’ll no doubt be able to set your business up for future success!