7 Signs It Might Be Time to Switch Payroll Providers

Most businesses don’t wake up one morning and decide they need a new payroll company.

Usually, it’s a bunch of little things that build up over time.

Maybe getting support takes longer than it used to. Maybe you’re doing more manual work than you should be. Or maybe your business has simply outgrown the payroll system you started with years ago.

So how do you know when it’s actually time to look around?

Here are seven signs it might be worth exploring your options.

1. Getting Help Has Become a Hassle

Payroll questions usually aren’t something you want to deal with three days from now.

When there’s an issue, you need to be able to reach someone who can help.

If you’re constantly calling a general support number, opening tickets, waiting for callbacks, or explaining your situation to a different person every time, that’s worth paying attention to.

Good technology is important. So is having someone there when you need them.

2. You’re Fixing the Same Problems Over and Over

Mistakes happen. No payroll company is going to be perfect 100% of the time.

The bigger concern is when the same problems keep happening.

Maybe deductions aren’t coming out correctly. Employee information isn’t updating between systems. Reports aren’t giving you what you need. Or your team has developed workarounds just to get payroll processed.

If fixing payroll has become part of your normal payroll process, something probably needs to change.

3. You’re Entering the Same Information in Multiple Systems

Add a new employee to payroll.

Then add them to the timekeeping system.

Then the benefits system.

Then maybe another HR spreadsheet.

Sound familiar?

The more systems you have that don’t communicate with each other, the more opportunities there are for duplicate work and mistakes.

For many businesses, moving payroll, HR, timekeeping, onboarding, and other employee information into a more connected system can eliminate a lot of unnecessary work.

4. Your Payroll Provider Hasn’t Grown With You

The payroll company that worked great when you had 10 employees might not be the right fit when you have 50, 100, or multiple locations.

As your business grows, payroll usually gets more complicated.

You may need better reporting, time and attendance, onboarding, benefits connections, scheduling, HR tools, or more flexibility than you needed a few years ago.

Sometimes there’s nothing particularly wrong with your current provider. You’ve simply outgrown what they can offer.

5. You’re Surprised by Your Payroll Bill

Nobody likes opening an invoice and finding charges they weren’t expecting.

Payroll pricing can include processing fees, employee fees, tax services, year-end forms, additional payroll runs, HR tools, timekeeping, and other services.

You should understand what you’re paying for.

If your bill keeps changing or you’re paying for services you don’t use, it may be worth comparing your current setup with other options.

6. Payroll Takes More Time Than It Should

Think about what your payroll process actually looks like.

How much time does your team spend collecting hours, entering information, making corrections, tracking down approvals, updating spreadsheets, and checking everything before payroll can be submitted?

Payroll will always require some work.

But if processing payroll has turned into an all-day project every pay period, there may be a better way to do it.

7. You Keep Saying, “We’ll Look at It Later”

This might be the biggest sign of all.

You know there are things you don’t like about your current payroll setup, but switching sounds like a lot of work.

So you put it off.

Then another payroll comes around. And another.

Before you know it, another year has passed and you’re still dealing with the same problems.

Changing payroll providers does take some planning, but it may not be as difficult as you think, especially when you have the right team helping with the transition.

Is It Time to Take a Look?

Seeing one of these signs doesn’t necessarily mean you need to change payroll companies tomorrow.

But if several of them sound familiar, it may be worth seeing what else is available.

At ASAP Payroll, we’ve been helping businesses with payroll since 1989. We combine payroll and HR technology with a local team that works directly with our clients.

If you’re thinking about making a change, we’d be happy to learn more about what’s working, what’s not, and show you what switching to ASAP could look like.

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