Payroll outsourcing: what should be paid attention to?


Hereunder are some issues that enterprises should pay attention when considering a payroll service provider

Enterprises should have a checklist of questions

This checklist helps enterprises to carefully review and compare service providers, and easily identify the exact provider meeting the requirements.

Enterprises need to clearly determine the works they want to outsource and the extent they need from the service provider. Then, prepare a checklist of questions for negotiation such as their support, prices and fees, software used, etc.

Here are some questions enterprise should ask:

  • How many employees will be in charge of the payroll?
  • Using what software?
  • What was the initial setup process like?
  • How does the process work?
  • How secure are the processes?
  • Will I have to pay any other costs?



Enterprises should consider service providers with years of experience, with a long track record, a solid reputation and valuable reviews from their customers.

These providers are familiar with the requirements of the business. As a result, they know how to adapt and adjust to adapt to your needs. They are always up to date with relevant legal changes. They understand government agencies and how to work with them. They can handle payroll problems and give you advice when needed. And they can guarantee more accuracy in all processes.

In other words, their experience gives you peace of mind.


Advanced technology

Leading technology will help ensure information security and efficiency of all payroll processes. Providers understand this, so they always try to equip themselves with the latest software and technology. But since each company will invest in different technology, find a company that meets your requirements.

Communicate frankly about data privacy, storage and protection, number of monthly payrolls, different payroll periods, and whatever your specific needs are. And if possible, request a test run of the software to make sure it's new, easy to use, and meets your expectations.


Transparent cost structure

Hidden fees are nasty surprises. For example, some payroll service providers will charge extra fees for a new employee or whenever you request a payroll summary report for a specific period of time. This can cost a fortune and blow away your savings plan.

So always be careful with hidden charges, especially when the price seems too good. To prevent problems from hidden fees, ask providers to clearly explain their pricing structure, in particular on terms that may incur additional fees in the future. Then define the specific terms in the relevant service agreements.


360o services

As mentioned above, some providers don't just offer payroll services. These 360o service providers can cover all of your HR functions. So instead of partnering with several providers with different HR services, now you only need one. And then you'll have more time and energy to run and grow your business.