Payroll Services Buyer's Guide
Choosing a payroll company
Table of Contents
There are several key points to consider when comparing payroll service providers:
- Price. Find out what’s included in the basic services. The fees should be very clear. Payroll services are a competitive business, but maintain a 50-75% profit margin, so you may be able to negotiate for a better price.
- Customer service. You will need to communicate regularly with your payroll provider, so make sure they have qualified personnel available to work with you. It is best when a single payroll professional is assigned to work with your company. Speak with the customer service reps to verify their accessibility and knowledge.
- Speed. What turnaround time do they offer? If there are mistakes in your payroll, how quickly can they be corrected and re-issued?
- Accuracy. You are still liable for paying your employees correctly, even if you outsource the processing so find out what assurances they offer with regards to accuracy.
- Ease of use. Tracking and updating employee information should be easy and quick for maximum efficiency.
- Qualifications. Check that your payroll service is licensed and bonded to ensure your company will not be at risk for potential financial mishandling. Ask for references from current clients to gauge the quality of customer service and longevity.