How to Choose The Right Payroll & HR Solution For Your Business

Jun 23, 2020
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A common frustration of business owners is the time and effort required to keep employee HR information, work schedules, timesheets and payroll in sync when using multiple software systems. From managing complicated integrations, keeping up with paper onboarding forms, maintaining spreadsheets and manually entering data from one system to another, businesses have concocted a Frankenstein of custom processes and workflows in order to keep their HR and payroll systems working together. Because of the frustration, many businesses have found relief in the form of switching to a single, end-to-end HR and payroll solution

The Multiple Software Approach

Employee onboarding, HRIS management, scheduling, time tracking and payroll are all related processes, but each of them have a different purpose. Businesses have an endless array of choices when it comes to available software and services to manage those processes, but most of them focus on one specific area: a killer scheduling tool; a slick payroll software; an electronic onboarding and records management system. A business might have a preference for a specific scheduling tool or a payroll software, and then fill in the gaps with other tools. 

Once the entire workflow from employee onboarding to their first payroll is put together, gaps emerge. How do I capture the employee’s tax withholding information into the payroll system? How do I tie a worker’s schedule with their timesheets so I can report and compare for variance and accuracy? How do I get time tracking information into payroll so my employees get paid accurately and compliantly? 

This is where the frustration comes in. Businesses are left to figure out how to tie their separate tools together on their own. The result is commonly home-grown spreadsheets, exports and manually entering data from one software into other systems. These time consuming processes can introduce errors like paying employees incorrectly and being out of compliance with labor and wage regulations.

The Single HR and Payroll Solution Approach

To relieve the frustration, many business owners are turning to a single solution for employee management, scheduling, time tracking and payroll. By using a single, fully integrated HR and payroll system, businesses can greatly reduce costly errors and the time required to track and manage their basic employer responsibilities. 

A single HR and payroll solution provides a set of tools or software that each manage a specific HR or payroll process, such as scheduling or time tracking, and are tightly integrated into a seamless experience. There is no longer a need to manually enter data from one system to another or to manipulate exports from one software in order to upload it to another. Data and information from employee onboarding is tied directly into payroll, work schedules are integrated with timesheets, and timesheets feed directly into payroll. Employers are then able to easily pull fully integrated reports across all parts of HR and payroll. 

By using a single solution instead of multiple disjointed systems, businesses create a single authoritative source for their HR and payroll records. Employees also appreciate having a single system available for them to access all of their personnel, scheduling, timesheets and payroll information instead of having to remember multiple log-ins to multiple websites for the same information.

In addition, these single end-to-end solutions eliminate the risk of introducing errors that are common with manual data entry from the multiple software approach. Because the data from each individual tool is shared with the other parts of the single solution, there is no need to manually manipulate or enter information from one system to another. This full integration of information across the entire solution helps ensure businesses stay in compliance with labor and wage regulations at the federal, state and local level. 

One potential concern with an end-to-end solution is that it may not have as many bells and whistles as the individual software tools used for scheduling, time tracking or payroll in the multiple software approach. This isn’t surprising since they are built to focus on one single process in the entire HR and payroll employment spectrum rather than the entire workflow of an end-to-end solution. But, many business owners have found that the money and time saved by choosing a single end-to-end solution is more valuable than the bells and whistles of a specific tool for their HR and payroll workflow.

Is a Single HR and Payroll Solution Right For You?

For some businesses, an individual software tool might have specific features that make it an appealing choice for their scheduling, time tracking or payroll process. They may also be willing to figure out their own integration plan and processes to tie it into their other HR and payroll systems. But for many businesses, using a single solution for their entire HR and payroll operations results in cost and time savings that far outweigh concerns with replacing a single tool or software. If your business finds itself frustrated by the time and effort it takes to manage your HR and payroll operations across multiple, disconnected software, a single HR and payroll solution might be a game changer for you and your employees.