Selecting a payroll provider can be challenging if you don’t know where to begin. With numerous options available, from local payroll services to international providers, the right choice depends on your company’s unique needs.
As a local payroll service, we’ve observed patterns among the small businesses we work with. High-value traits often include exceptional customer service, accurate payroll and tax processing, compliance knowledge, and user-friendly systems.
If these align with your requirements, consider working with The Payroll Company. Founded by a Santa Fe, NM native, we offer payroll expertise, personalized service, and simple system navigation. Follow these steps to ensure you choose the best payroll provider for your business.
Understand Must-Have vs. Nice-to-Have Features
Essential Features for Payroll Systems
Certain payroll features are indispensable for seamless operations:
- Direct deposit and paper check options
- Payroll processing (including overtime calculations)
- W-2 preparation and year-end tax form distribution
- Automated tax payments and filings
Additional elements to consider:
- Software integration capabilities
- User-friendly interfaces
- Responsive and knowledgeable customer support
Nice-to-Have Features
Desirable features simplify processes but aren’t essential for payroll management. For example:
- Time tracking solutions
- Employee benefits management
- Workers’ compensation management
Evaluate Customer Support
Most payroll providers offer some form of customer support. However, the quality and accessibility of this service can vary:
- National Providers: Often rely on large call centers, resulting in long wait times and impersonal service.
- Local Providers: Offer direct access to payroll teams with personal phone numbers and faster response times.
Why Local Providers Excel
Local payroll services offer critical benefits:
- Direct lines to payroll specialists
- Mobile numbers for instant communication
- Faster issue resolution without call center delays
Consider User Friendliness
Ease of use is vital when selecting payroll software. Assess the following:
- Technical proficiency required for operation
- Employee training needs
- Availability of live customer support for troubleshooting
National providers may charge high setup fees and take weeks to onboard. Conversely, local providers typically offer hands-on assistance and tailored support throughout the setup process.
Evaluate Compliance Expertise
Payroll errors can lead to penalties and legal complications. Ensure that your payroll provider has compliance experts available to:
- Interpret evolving payroll regulations
- Provide timely advice on tax credits and sick leave requirements
- Assist during significant changes, such as pandemic-related adjustments
Integration with Other Software
Software integration saves time by automating data exchange between payroll and other systems. Look for providers that:
- Seamlessly connect with accounting software like QuickBooks
- Eliminate manual entry of payroll data
- Ensure data accuracy and reduce administrative work
Additional Features to Consider
Depending on your company’s needs, additional features might include:
- Time and attendance tracking
- Workers’ compensation management
- Employee benefits (health, retirement plans, etc.)
Not all providers offer these services. Evaluate whether your provider can integrate or recommend solutions for these needs.
Compare Multiple Payroll Providers
Once you identify your essential features, compare multiple providers:
The Payroll Company vs. National Providers (ADP®, Paychex®)
- Similarities: Full-service payroll, tax payments, and direct deposits
- The Payroll Company Advantages:
- Local accessibility
- Personalized service
- CPA-founded with comprehensive payroll knowledge
- Direct communication with payroll specialists
The Payroll Company vs. Online Software (QuickBooks Payroll®, Gusto®)
- Similarities: Full-service payroll, time tracking, and compliance experts
- The Payroll Company Advantages:
- In-depth compliance knowledge
- Consistent and reliable customer support
- Direct, local representative access
Ask the Right Questions
When evaluating payroll providers, ask these key questions:
- How long does the setup take?
- What is the processing time for direct deposits?
- Which software systems do your payroll integrate with?
- Do you handle payroll tax registrations?
Arrange a Demo
After narrowing your choices, schedule demos or trials to evaluate:
- Ease of navigation
- Step-by-step payroll processes
- Customization options for your business needs
Select the Most Value-Driven Provider
Ultimately, choose the payroll provider that offers the most value based on your specific requirements. Consider factors such as business size, industry, and workforce composition.
Conclusion
Take your time selecting a payroll provider. Assess your business needs and compare providers carefully. If exceptional customer service and local access are priorities, consider partnering with The Payroll Company. We manage payroll taxes, employee paychecks, and software onboarding with personalized attention. Call us today to learn more or to schedule a demo!
