Questions to Ask When Choosing an Online Payroll Provider This article is
P
ayroll can be the largest expense item on your clients’ profit and loss statement with mistakes potentially costing your clients considerable sums of money. It is extremely important your clients are equipped with the payroll service best suited to their needs, an online cloudbased payroll could be hugely beneficial to your clients. There are many cloud-based Connected App payroll partners to choose from in Australia and New Zealand and as your clients trusted adviser you can advise on the one to best suit their specific needs.
•
•
•
Below are some helpful questions to ask when evaluating cloudbased payroll solutions to determine the strongest fit for your client(s). • 1) What payroll services do you provide? A list of requirements could include: • Single Touch Payroll enabled (AU): STP report automatically sent to ATO after each pay event. • Employee App: can employees see their payslips, payment summaries, apply for leave, update personal details etc? • Leave management: can employees apply for leave online and calculate their leave balances for a future date? • Leave approval: is there access to all information needed to make an informed decision when approving leave i.e.
126 / Issue 30
leave calendar, total leave balances, calculated projected leave balances for future dates ensuring enough leave to cover the request. Top-up Tool (NZ): to ensure employer obligations under the minimum wage requirements are met, especially relevant for the rural sector. HR Document storage: is there an ability to upload and securely store employee or company documents? Reports: can you view reports online, export them to excel, PDF and print? At a minimum, reports available should include statutory information e.g. payroll variation to compare last pay run with the current, payroll tax report (AU), tax activity statement (AU), leave liability to include total value of outstanding leave balances. Superannuation management: ability to pay superannuation to employee super funds (AU) or KiwiSaver (NZ).
Joanna Cruickshank, National Sales Manager, CloudPayroll Joanna has been a small business owner, is a qualified accountant and is passionate in helping people get the best payroll solution for their organisation.
trials or demonstrations. Will your client be charged for all active employees in the payroll system or only those that are being paid in the current pay run? 4) How does on-boarding work and how easy is it to migrate from an existing system? The correct set up of your payroll is paramount. Some payroll providers set up everything for you to ensure the payroll is set up correctly and in accordance with legislation as well as offer training and ongoing support. When migrating from an existing system look for a vendor that provides full set-up implemented including a parallel pay run. Check what your client will be charged for an implementation or on-boarding fee? 5) How secure is your service and where are the data centres?
Is there a free trial and/or personalised demo of the services offered to assist in evaluation?
Review the security accreditations and privacy policy of the provider. Are they ISO/IEC 27001:2013 certified, check they offer multi factor authentication and where the data is being held, onshore or offshore?
3. What is your pricing structure?
6) What ongoing helpdesk support do you offer?
The majority of cloud based online payroll providers charge fees based on the number of employees. Check the charges and look for value and that there are no hidden costs not disclosed during preliminarily
Will online support be available to you and your client, is the support free and offered by phone or email or both and what happens outside of business hours should you need help?
2) Do you offer a demo or trial of your services?
XU Magazine - the independent magazine for Xero users, by Xero users.
