<img height="1" width="1" src="https://www.facebook.com/tr?id=164438524270898&amp;ev=PageView &amp;noscript=1">

Subscribe to Email Updates

By Andrew Hinchliff

Topics: Payroll


Text Size

- +

One of the smartest things any business can do is outsource payroll. When it comes to actually sending payroll out of house, however, things get a little more complicated.

Download "What Is Payroll Processing and Why Is It Important?" Whitepaper

While the decision to send payroll to an outside company isn’t necessarily difficult, negotiating the actual process is another thing entirely. Choosing the right provider is especially important.

Who Do You Choose?

Since payroll is one of the best business processes to outsource, it’s also one of the most commonly outsourced processes. As a result, there are many firms offering payroll services. Some of them offer more, some offer less, but they’re all telling you they can handle your payroll.

For the most part, they can. There are some players who are more competent than others, of course. Some people will offer a lower price. Others will promise additional services on top of payroll.

Choosing the right payroll provider is important, and a crowded market makes the task all the more difficult. So who do you choose?

The Big Guys

Most companies end up going with one of the “big guys,” like ADP or Paychex. The usual reason is visibility. Maybe someone recommended them to you. Maybe they were the first option that cropped up when you searched “payroll outsourcing” or “payroll providers.”

They may even be the provider with the best quote. Nonetheless, you need to look at these big players a little more closely. Yes, they’re huge companies and they provide services for any number of clients. Like most companies, they didn’t get to be such dominant players in the market for no reason at all.

That doesn’t mean they’re the best choice for your business.

Looking Beyond

One of the problems you may have when it comes time to look for a payroll provider is actually finding options other than the big players in the market. They can dominate web searches, advertising, and even outreach. It’s part of how they win so much business. In such an environment, it can be difficult to find the smaller players.

You should at least look at what other people are saying about the big companies. Some of the stories about poor customer service are enough to make anyone more willing to dig up better options.

Smaller Players Might Be Your Best Bet

While they can be difficult to find precisely because they are smaller, more local companies operating on a somewhat smaller scale offer your business plenty of benefits when it comes to outsourcing your payroll activities.

Perhaps the biggest advantage they bring to the table is personalized service. The service a smaller company offers is often invaluable.

The Importance of Personal Service

Can you really put a price tag on good customer service? It’s easy to see the difference. Take a look at reviews for ADP or Paychex. They’re full of complaints from frustrated customers. The comments run the gamut from not being able to get a hold of someone to fighting with the company about consistent errors and refunds.

A smaller company offering more personalized service can help you avoid these headaches. You’re outsourcing payroll to solve a problem, not create new ones. If you’re never able to get your service provider on the phone or you’re constantly arguing with them about an error, have you really realized the benefits of outsourcing?

Personalized service helps you avoid these headaches. In turn, it helps you get the most out of your outsourcing arrangements.

Talk to a Provider Today

If you haven’t yet, talk to a smaller provider about what they can offer you. If you’re tired of fighting with the big players, consider making a switch. Payroll shouldn’t be stressful, and it won’t be when you get personalized service.


Andrew Hinchliff

With over 30 years of experience, Paymedia’s Chief Operating Officer Andrew Hinchliff is a seasoned global business leader and results-driven human capital and workforce strategist who is well-versed in human capital management, workforce management, payroll outsourcing, and benefits administration. He’s passionate about strategy and innovation and is regularly sought out for assignments that create disruptions to current business models and practices. Andrew is actively involved in coaching youth football and is an avid golfer. His strong beliefs in philanthropy have him “giving back” by volunteering for a host of charitable foundations and community-based events.

Find Andrew Hinchliff on: