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By Dianne Rudolph

Topics: Payroll


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A report commissioned by Wasp Barcode Technologies found that managing payroll is among the top five accounting challenges cited by small businesses. That's why many have outsourced this essential business function in order to optimize efficiency and cost.

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But before you choose a payroll service or provider, it's essential to understand some of the most common mistakes businesses make regarding this choice and how to avoid them. Here's part one of our guide that will explore some of the most common mistakes businesses make when choosing payroll providers or workforce management solutions.

Not Doing Extensive Research

First and foremost, it's important to understand that there are virtually countless types of payroll providers and other workforce management tools. Before committing to one, make sure you explore all of the options within your business's budget range. In addition to cost, make sure you know which features are included in each option, as well as how easy the system is to use.

There are other qualities that you should consider before you make your choice, but making note of these three factors with each option can help you narrow down your list and come to a decision that best fits your business's needs. Take any shortcuts with this step and you're bound to end up disappointed on some level.

Not Requesting References

Whether you explore references in the form of online reviews or request feedback from the company itself, seeking out some form of testimonial from past customers is essential to getting a real feel for the level of service that each workforce management software option provides. If possible, it's best to obtain this data from a neutral party, as you never know when a business is filtering out the particularly negative feedback.

According to a Deloitte Payroll Operations survey, in North America, 56 percent of respondents outsource their payroll technology hosting, maintenance, and support. Avoiding these mistakes is the key to choosing a payroll or workforce management solutions provider that fits your business's needs. Keep an eye out for the next post, where we'll discuss some more essential mistakes to avoid when choosing a provider for payroll and other workforce management solutions.


Dianne Rudolph

Dianne is the Vice President of Sales and Marketing at Paymedia, LLC. She has a demonstrated history of working in the management consulting industry. Skilled in crisis management, business planning, customer acquisition, and coaching, she is a strong sales professional with 25 years of experience in the payroll industry. Through Paymedia, she offers clients results through iSolved, a platform that meets their needs today and that they won’t outgrow tomorrow. With five years' experience as an entrepreneur, Dianne has also taught herself how to launch and manage a successful business from the ground up. She lives has two grown children. As an empty nester, it gives Dianne time to pay it forward in her free time. Her mission is to help and give back. Her true inner peace is found at the beach and through yoga and massage.

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