Adventures in Payroll Services

Source: Accounting Today

In this article, Seth Fineberg presents the experiences of four firms that offer clients payroll services with the help of a vendor or payroll software. Here is an overview of the firms' experiences:

Firm #1: A firm with a staff of 10 wanted to expand to offer HR services. It chose to work with ADP, which proved to be an affordable option and provided an easy transition. The firm currently offers its clients payroll through ADP and is also working with ADP to eventually provide full HR services.

Firm #2: A firm with a staff of nine was looking for a payroll product that could help increase its payroll business. The firm chose to work with AccountantsWorld, using Payroll Relief, a cloud-based service. Since the firm started using Payroll Relief, its client load has tripled. The firm sees payroll services as a step to gaining trust with clients and to creating an opportunity to obtain additional business.

Firm #3: A firm with a staff of 12 was looking for a small vendor that could help it offer payroll services in response to requests from clients. It chose Intuit Online Payroll as its provider. After an easy training and transition period, the firm is making a 50 percent profit on payroll services and expects to gain additional business. The firm is collaborating with a 401k administrator and a 401k advisor to offer additional payroll services.

Firm #4: A firm with a staff of 17 found that offering payroll services took up too much of its staff's time. It chose to outsource its payroll services to Paychex. The set-up for Paychex proved to be simple, and the firm's staff now has increased time for non-payroll work. The firm is considering offering worker's compensation and 401k services.

For the complete article, read “Case studies: Payroll.”

From Accounting Today, December 1, 2011, SourceMedia Inc., One State Street Plaza, 27th Floor, New York, NY 10004, 800-221-1809.