Payroll software has come leaps and bounds in the last several years, transforming payroll from a tedious, error-prone process to almost total automation. In fact, companies that switch from running their payroll manually to using software report improved trust and satisfaction, reduced time spent on payroll, and lowered costs. If running payroll is harder than ordering an Uber, it's time to evaluate the payroll solutions available to you and take the next step to schedule a payroll demo. Here's what you need to know.
What is a payroll demo?
A payroll demo is a demonstration of payroll software including its features and functions. When you demo payroll software, a payroll company will walk you through the function of the system.
What to expect during a payroll demo
During the demo, you should get a thorough overview of the software and see different screens and modules. Your rep should walk you through some basic payroll processes, like entering new workers, uploading timekeeping data, and processing payroll.
Questions to ask during a payroll demo
Once you schedule a payroll demo, prepare your questions. Asking the right questions before you commit is essential to selecting the right payroll service for your needs. Here are the questions most likely to help you identify advantages and disadvantages that the payroll company may not openly share during the demo:
- Which of the modules demonstrated are included?
- Does this payroll software interface with my workforce management or timekeeping software? Does it interface with my bookkeeping software?
- What payroll reports are available? Can I build custom reports?
- Does this payroll solution offer employee self-service?
- Can I file and pay payroll taxes using this payroll service?
- How will I be trained to use the new software when we're ready to implement?
- What is the cost of technical support?
- Why should I choose you over other payroll service providers?
- Does this software accommodate the unique needs of my industry or organization?
You might have more questions depending on your needs. Take time before you demo payroll software to draft a list so you’re armed with information you need to make an informed decision.
Benefits of a payroll software
It’s common to meet resistance within your company when introducing a new payroll solution. For this reason, HR leaders must be well-versed in the benefits of utilizing payroll software and the impacts of those benefits on the bottom line. Here's what you need to know.
Payroll software improves compliance
As many as 40% of small to mid-sized businesses are penalized by the IRS every year for incorrect payroll filing, totaling $7 billion in 2017 alone. Payroll software providers can streamline the process of filing and paying payroll taxes according to IRS guidelines.
Automation supports recruitment and retention
Nearly 89% of companies in one study offer payroll self-service, making it the benchmark and an employee expectation across all industries. Utilizing payroll software can improve transparency and culture.
Payroll services reduce the occurrence of errors
Around 54% of the American workforce is impacted by payroll issues every year. Payroll errors are a natural outcome of manual work, which is prone to human error. Organizations lose money directly when errors are made, and indirectly when trust is eroded, culture is undermined, and employees leave the organization.
Payroll software frees up time for strategy
Most organizations house payroll in HR or finance and utilize expensive resources to process manual payroll every pay period. Automating the payroll process using a payroll solution frees up those qualified resources for strategic work, improving your culture and competitive edge in the industry.
Signs it's time to request a payroll demo
Whether you’re unsatisfied with your current payroll provider or you're still running manual payroll, these signs can help you identify the need for a payroll software demo. The two most common reasons that companies/business owners seek out a payroll solution are:
- They want to switch payroll providers
- They have established the need for a more robust payroll solution
Signs it's time to switch payroll providers
They aren't holding up to their support commitment
Payroll is time-sensitive and has a direct impact on both compliance and employee satisfaction. Prompt and helpful customer support is imperative for success. If you can't reach tech support when you need them or ticket times are higher on average than originally promised, it might be time to schedule a demo.
The solution no longer meets the needs of your organization
As your organization grows and changes, your needs will grow and change too. Has your payroll provider evolved with you? Do they still accommodate your needs and pay practices? Are they offering the same features (or better) as newer or updated solutions? If your payroll provider is failing to keep up, it's time to consider finding a new solution.
Employees are dissatisfied
Are employees expressing frustration with your payroll solution? Common complaints include:
- Difficulty accessing pay stubs or making changes in self-service
- Frequent or significant payroll errors
- Difficulty getting support or resolution when errors occur
If your payroll software has left employees dissatisfied, disengagement is sure to follow. It's time to look for a payroll solution with high employee satisfaction rates and positive reviews.
You can't get the data you need
Access to financial records and payroll reports is critical for operations and compliance. If your current payroll solution doesn't offer customized reports and real-time access to your own data, now is a good time to request a payroll demo.
Signs you need a payroll solution
If you don't have a payroll solution yet, keep an eye out for these signs you need payroll software.
You're under pressure to do more with less
There are a variety of team-related dynamics that might indicate it's time to automate your payroll process:
- Your HR team is stuffing envelopes instead of driving culture
- You're being pressured to find innovative ways to reduce FTEs in your department
- Your payroll staff is disengaged
These are all signs that your organization is ready for payroll software. Payroll solutions can give your team the time they need.
Payroll errors are happening more frequently
As the organization grows in size and complexity, payroll errors can become unavoidable with manual processes. In organizations with effective quality assurance measures in place, human error is still 5-10%. That means that if you're running payroll for just 100 employees, it's likely that every single payroll will include errors impacting 5-10 employees. If you're running manual payroll for 200 employees, then that number doubles.
Filing taxes has become too complicated
If preparing, reviewing, filing, and paying quarterly taxes has become a stressful endeavor, it’s time to explore a payroll solution. Payroll solutions can completely automate the process of calculating, withholding, filing, and paying payroll taxes so it becomes effortless for the local team.
How to schedule a payroll demo
When you’re ready to schedule a payroll demo, request a demo online from Paylocity.
Payroll Demo FAQs
What is a payroll system?
A payroll system calculates pay, subtracts taxes and withholdings, and generates a direct deposit (ACH) file. Most payroll systems also have additional features like timekeeping, reporting, and employee self-service.
What software is used for payroll?
The most frequently used payroll software providers are Paylocity, Gusto, QuickBooks, and Paycor, but there are many more.
Do you need payroll software?
Payroll software streamlines the payroll process, improves compliance, and prevents errors for businesses of all sizes. All organizations should consider adopting payroll software.
What's an example of a payroll fee?
Most payroll providers charge a payroll fee, which is a fee the company pays per payroll or per employee per payroll.
Does HR handle payroll?
Payroll is generally housed in HR or finance. In some organizations, payroll is shared between the two, where HR may oversee timekeeping and payroll and finance oversees payroll tax, for example.
How much does payroll software cost?
The cost of payroll software depends on which provider you choose, which modules you need, your payroll schedule, and your employee count. The first step in getting a proposal is requesting a payroll demo.