In today’s economic climate, business owners and decision makers are looking for every area in which they are able to save a dollar for their business. Businesses across the country are reevaluating expenses and trying to identify areas in which they are able to save money while still achieving the same outcomes. For some business owners, payroll services may be an area which they examine. However, there are a number of factors which should be taken into account and the low introductory costs of large payroll service providers can be deceiving to the true long-term cost of having a large payroll provider as your payroll partner.
Reduced Service & A Missing Personal Touch
Before examining the ways in which large payroll service providers hide the true cost of their services, it is important to understand that not all payroll service providers are created equally. When you choose a payroll service provider like Payroll Service Solutions who is a SMB just like you; there is a different level of service which you receive compared with the large payroll service providers. Payroll Service Solutions provides a level of personal service which the large payroll service providers simply do not have the bandwidth to provide. When you call Payroll Service Solutions, any of the customer service representatives who answer are able to provide you with any service you may need. Compare this with the large payroll companies which force you to correspond with just one point of contact. This can lead to frustrating delays when you need immediate action. Having a point of contact who knows your name and business can be a breath of fresh air in a business client which has become increasingly detached from personal interactions. If you ever need us at Payroll Service Solutions, just pick up the phone and call!
The Hidden Costs of Large Payroll Providers
We recently spoke with one of our clients who had received quotes from other payroll service companies. They thought it might be possible to reduce the cost of their payroll service by switching to a large payroll company who advertised low costs to run payroll for their employees. In this case, let’s call this company PDA. When this client of ours received a quote for their payroll service PDA was able to offer them a slight savings on the cost of processing payroll. However, we know this is not the only cost associated with having a payroll company.
Fortunately, for the client of ours, they asked about both quarterly reporting and year end fees with PDA. This was where PDA makes their money. Unfortunately for many business owners they do not ask the right questions when choosing a payroll service provider and do not discover the hidden costs until it is too late. In this example, the small savings per month of less than $20 was offset by the cost difference in quarterly reporting ~$200.
| PSS (Payroll Service Solutions) | PDA (Example Company) | |
| Payroll Cost | $15* | $10* |
| Quarterly Reporting Cost | <$50 | $249 |
Pay for What You Need, Not a Package
At Payroll Service Solutions, we are a small business, just like our clients. We uniquely understand small businesses only want to pay for the things they need. Large payroll service providers like the example above sell you on a package of features which are one size fits all. Many times, customers end up paying more and getting less, because they have no need for most of what is included in the package offered by their payroll company! With PSS, you pick the services that best suit you. You are free to add or remove any services as your business needs change.
Cancellation Fees & Long Term Contracts
Small business owners know, one of the worst costs to have to incur are cancellation fees. Not only were you dissatisfied with a service, but now you have to pay for the honor of no longer having to work with that large payroll provider! At Payroll Service Solutions, we find this to be ridiculous. We feel you should not have to stay with a company that isn’t meeting your needs. This means you are free to leave should you not be happy with our service. At PSS, we want our clients to stay because they want to, not because they signed something. We have faith that our customer service and fair pricing are more than enough to retain our client’s business.
Not only can Payroll Service Solutions provide small-to-medium sized businesses with superior service to the large payroll service providers, but in totality the cost can actually be the same or lower than what you will eventually incur from the large payroll service providers. Speak with a representative at Payroll Service Solutions who can help to identify what your costs would be on a monthly basis and other hidden fees which large payroll companies may not be upfront about. In a world which has become increasingly detached from personal service; you can trust Payroll Service Solutions to provide professional customer service which is increasingly hard to find, at a cost which is nearly unbeatable!