How to Evaluate Payroll Software
More than one million records were returned by a simple online search for ‘payroll software’. Selecting one package from this many possibilities looks impossible but there are some basic considerations that can quickly narrow the field. The calculation function of a payroll system is relatively straightforward. Any experienced spreadsheet user can put together a payroll calculator easily. The most important components of a payroll system are the recordkeeping, reporting and security measures. Any useful software package will integrate all these vital functions seamlessly.
Any user competent with spreadsheets can easily set up a worksheet for the basic calculation of a payroll system. The real issues that separate payroll systems are the record-keeping, reporting, security, and compliance with regulations. Any valid package must integrate all of these functions in one seamless package.
Any hacker can scrape together a more-or less functional program and sell it on the internet. These programs are rarely worth even the small price of admission. A real payroll system will include serious security measures for company records; robustness to perform under heavy use; customer support in case there are issues and full compliance with state and federal regulations. Reputable software vendors are large enough to meet these requirements with trained staff and actual customer service departments. Researching the vendor can quickly eliminate the one-person shops that cannot possibly deliver a full featured product.
Any new software must integrate with any current systems in use. Employee databases and other company records must be easily transferred or the existing systems must be supported. If your company is small enough, manual records transfer may be a viable option.
Investigating payroll system software should not stop at the vendor’s sales pitch and advertising claims. A glaring focus on one or two features may be disguising some shortcomings in other functionality. Independent reviews are good places to uncover functional problems or security issues.
There is no way to evaluate a package without a hands-on test. Legitimate software producers often have evaluation versions available. Download a copy and test the usability and functionality. Remember that evaluation packages should not be tested in a production environment with real data. One often overlooked point is who will actually be using the software. The data entry clerk in the next room must be able to quickly learn the system; the IT manager won’t be using it daily.Â
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