No matter the size of your company, choosing the right payroll solution is an important investment. Inefficient and complicated systems will result in lost time and financial loss. HMRC compliance can be difficult if you rely on manual processes.
A great payroll solution will streamline your processes while being compliant and secure. It is a substantial investment that can be used to improve operations. It can be difficult to choose the right payroll software for your company from so many options. These are the eight main things you should know when choosing payroll software.
1. Number of employees, users, and companies
Payroll solutions are often priced based on the number of employees. It is important to keep this number in mind when looking at potential suppliers. The price that you pay will depend on how many employees you have. It would help if you considered how many employees you have, their payroll needs, and how many you can predict for the next year. Your payroll software will be more robust the larger the number.
How many companies will your company need to process Payroll if you are involved in Payroll for multiple companies? You will need to process multiple payments at once if you are an umbrella business. Software that can handle multiple agencies and employers must be suitable for such situations.
2. Integration of payroll software with other solutions
Do you have any critical applications that your Payroll must integrate with? Check if the solution is compatible. Are you able to import data from other software or spreadsheets into your payroll software? Are you able to integrate with a clock-in or biometric system?
All of these are important considerations when choosing a payroll system. Check with the Payroll Solution Providers to see what features, integrations, and functionalities you have. Payroll solution vendors with a proven track record of integrating popular business applications are worth considering. SiriusPayroll365 by Dogma Group integrates seamlessly with Microsoft Dynamics 365 Business Central and Dynamics 365 for HR.
3. Respecting the law
Payroll processing can be difficult because compliance is often a major problem. A good payroll provider should have a tax compliance group that includes specialists who will review your data and check for potential payroll tax errors. The tax compliance team must manage your tax filings and pay taxes, update the payroll tax tables each year, and assist with year-end processing.
You should choose a solution that will ensure you submit the correct data to HMRC and meet the RTI (Real Time Information). It is worth looking into an HMRC-compliant payroll solution that connects to HMRC and automatically retrieves tax codes.
Are there other requirements than the standard payroll law that your company must comply with? It is important to ensure that your payroll solution will comply with legal requirements. A payroll solution could address the Construction Workers Pension Scheme as an example.
4. Types and frequencies of Payroll
Are you paying your employees weekly, biweekly, or fortnightly? Are all people paid the same way, or are there different methods?
It is important to ensure that the software you select supports your payment requirements and meets your payment frequency requirements. Consider how holidays are calculated for employees. Do they get a set number of days per year, a third of a working week, or a percentage of their hours? You can find the right payroll package to help you track holidays if it is a labor-intensive task.
5. Different types of payslips you can use
Are you going to print out employee payslips? If yes, on what paper will you print them? Standard pay slips, customized payslips, or plain paper? This will cost you approximately $2,000 per week, $1000 per month, and $2000 annually. Would you rather have your employees receive their payslips electronically? Do you think the payroll options you are looking at allow you to email your employees securely? This should be verified!
6. Are you mobile?
Cloud-based Payroll allows finance and HR departments to manage Payroll as they move from their offices remotely. A cloud-based payroll solution is a good option if you need to process Payroll remotely from different locations or if you have access from your mobile device.
Cloud solutions can provide data protection and updates and a monthly payment option, which allows you to spread out the cost of your software. You won’t have to worry about upgrading your system as your business grows. ERP integrated solutions such as SiriusPayroll365 allow you to scale with your business.
7. Support and service package
Software needs ongoing support in case of technical problems or ambiguities. Find out what support the payroll provider offers, including costs and what it covers. It is important to know who will be available to answer your support questions, a support team or a dedicated account manager.
Try it free of charge you can only learn so much about a solution by reading about it. You can test out different payroll systems before purchasing. This will allow you to compare it with your business’s needs. This will help you be confident that the payroll management system you select will work for your business.