Paychex Review: Larger companies may have different payroll requirements than smaller businesses. These companies need a solution that offers basic human resources, reliable payroll processing features, and reliable payroll tax management. We choose it as the best online payroll system for larger businesses.
Paychex Payroll: Why?
Paychex is a fully-featured, flexible payroll service that can handle payroll processing and tax obligations. Paychex also offers a variety of services. The company offers a variety of other services, such as weekly, biweekly, and semimonthly payrolls. It can pay all types of employees, including W-2 employees and 1099 contractors.
Small businesses may find a one-size-fits-all solution to being useful, but larger companies have more complex needs. They require a solution that can be tailored to their specific needs and offers a variety of plans.
Paychex is a great option for larger companies because of its flexibility in service offerings. Paychex Flex is available in four service plans with different features. There are plans for small businesses as well as plans for larger enterprises.
Plans for enterprise and midsize businesses include HR tools and features that go beyond traditional payroll processing. These include onboarding, HR administration, and pre-employment background checks.
Flexible pay is important for large businesses. Paychex allows you to pay your employees in many ways. Paychex offers a variety of service plans that allow you to pay your employees by direct deposit or prepaid debit cards. Three of the plans even allow for paper checks. Paychex provides check signing and checks logo services.
Larger organizations often look for payroll services as part of a complete human resource platform. Enterprise businesses need a platform that can manage time, attendance, benefits administration, hiring, and more. Paychex meets these needs. Paychex Flex, in addition to payroll processing and benefits administration, Paychex Flex also supports employee onboarding, employment screening as well as retirement plans, business insurance, and health insurance.
Paychex has taken proactive measures to provide its customers with the tools they need for adapting to the COVID-19 pandemic. Recently, Paychex added a Loan Forgiveness Estimator tool on the Flex, Oasis, and SurePayroll platforms.
Paychex payroll data is used to automate the process of applying for a PPP Loan Forgiveness Estimator. You can also enter projected expenses and anticipated uses of PPP funds to determine how much you would be eligible for forgiveness according to current guidance from U.S. Small Business Administration.
Paychex offers assistance on how to claim the employee retention credit, and how small businesses can qualify for PPP loan forgiveness.
Free demo; no free trial period. Go $39/month plus $5/person. Flex Select: Custom quote required. Flex Enterprise: Custom quote required.
Tax filing and payments
Yes, federal, state, and local tax filings are calculated, filed, and paid on your behalf. Extra fees for end-of-year filings.
Ability to manage employee benefits
Excellent. For an additional cost, Paychex offers in-house retirement plans, health insurance, health savings accounts, HSAs, flexible spending accounts, FSAs, and other benefits.
Employee access to the portal
Good. Through the portal, employees can view their pay stubs and tax documents and get paid via direct deposit, check, or prepaid card.
Excellent. Support is available by phone, chat, or email, 24/7 for all tiers. Flex Select and Enterprise include a dedicated payroll specialist.
Ease of use
Good. Payroll setup can be time-consuming. The payroll dashboard is customizable and relatively easy to navigate.
Paychex Payroll Pricing & Service Plans
Paychex provides custom pricing for its services. However, none of the representatives that we spoke to would give pricing estimates for any of the service plans. We cannot, therefore, pass on any price quotes.
Paychex offers four service options: Express Payroll and Paychex Flex Select. Paychex Flex Pro, Paychex Flex Pro, and Paychex Flex Enterprise. All plans include Paychex core payroll processing, payroll tax administration, and Paychex Flex Enterprise.
Below is a breakdown for each plan:
- Express: The most basic plan offered by Paychex. The Express plan offers payroll processing and tax services. It also includes new-hire reporting and direct deposit. Employee financial wellness programs are available. Chat and phone support are available 24/7.
- Paychex Flex Select This plan is most popular for small businesses. This plan includes all the features of the Express plan, plus access to a dedicated payroll specialist and labor compliance poster kits.
- Paychex Flex Pro This plan is for mid-sized businesses and includes all the benefits of the Select plan, plus garnishment payment service as well as onboarding tools, pre-employment background screening, and onboarding tools.
- Paychex Flex Enterprise This plan is for larger companies. This plan includes all the Pro plans plus custom analytics, reports, and HR administration.
Paychex pricing is unique so it’s best to contact them directly to discuss pricing. After they have learned about your employees, the frequency with which you will run payroll, and any additional Paychex services that you are interested in, they will be able to give you a detailed quote.
Paychex offers many different services and features.
- Payroll Processing: Paychex handles your payroll processing. Paychex handles all your payroll processing. It calculates the amount each employee should get based on their hours worked and their pay rate. It accounts for bonuses and commissions as well as deductions for benefits like health insurance.
- Paycheck options Your employees can be paid by direct deposit, check, or pay card. Paychex can either print the checks and mail them to you or your employees if they prefer to receive checks by check.
- Payroll tax: Paychex takes care of all your payroll tax compliance. Paychex calculates, files, and pays your payroll taxes promptly and accurately. Paychex guarantees its accuracy and won’t let you worry about making mistakes. Paychex will pay the penalties for any errors in your payroll taxes. Paychex also processes year-end W-2 forms and 1099 forms for employees.
- Payroll reports: Paychex offers employers more than 160 reports related to payroll. Enterprise users have the option to create their reports.
- Reporting on new hires: When you hire a contractor or employee, the payroll service handles all state-required reporting.
- Accounting Integrations: Paychex enables businesses to connect their payroll data with popular accounting software such as QuickBooks or Sage.
- Unemployment insurance. Paychex assists businesses to manage the entire process of unemployment insurance.
- Employee financial wellbeing program: This program offers a range of tools and education that will help employees achieve their financial goals. You can also apply for short-term loans.
- Onboarding: Paychex provides a variety of tools for employee onboarding to Pro and Enterprise users. This allows new employees to complete their documents (such as tax withholdings) in a paperless format.
- Background screening Both the Pro and Enterprise plans offer a limited amount of background checks before employment.
- HR administration These tools can be used to manage employee performance, track employee training and store important documents in the cloud.
- Additional services Paychex offers many other services including time and attendance, employee benefits, benefits administration, compliance services and records administration, hiring, insurance, business loans and payment processing, tax services, and incorporation services.
It’s easy to use
Paychex Flex is extremely easy to use. It’s cloud-hosted and accessible from any web browser. Paychex’s mobile app is also available for Android and iOS. You can manage your payroll using the Paychex app.
The homepage gives you a quick overview of your most important information when you log in. The homepage includes information about when your next pay period is due, how to start it, check dates, cash requirements, and a link to the Payroll Reports section.
It is easy to run payroll. Simply enter your payroll information (salaries and hours worked), confirm the data, and then submit the payroll to be processed. Instead of manually running your payroll each pay period you can create recurring amounts to speed up processing.
Employees can access the system by themselves. Each employee receives a login that allows them to access the system to view their pay stubs and year-end tax documents.
You can access the Paychex Flex platform, which allows you to access the Paychex tools and features.
Paychex’s customer service was disappointing. We tried to test the customer service by contacting Paychex multiple times via phone and email. As business owners, we were interested in receiving payroll services.
The representative who answered the phone refused to provide any information about the system or its cost. To fully explain the system and provide more details on pricing, he said that we would need to meet face-to-face. The representative refused to give us an estimate when we told him that we were only looking at payroll systems.
Despite our statement that we were looking for payroll services, the representative tried to sell us Paychex’s other services. The representative kept asking us questions but was unable to answer any of our questions.
We were not satisfied with the email service. We reached out to a representative, explaining that we were interested in finding out more about pricing and service plans. However, we weren’t provided the information we needed. The representative provided a comparison document, but he did not provide any additional information. The representative didn’t walk us through the plans nor give us any more information about the available services. We didn’t get any price estimate or quote.
Paychex’s customer service is positive in that all customers of the Select, Pro, and Enterprise plans receive a dedicated payroll specialist who can handle any problems. We found that many other payroll services don’t have a dedicated person who can help with problems.
Paychex support is available 24/7 via phone or live chat, regardless of which plan you choose.
Paychex’s customer service was our biggest problem. Nearly all other payroll companies that we researched were available to talk with us by phone and answer any questions we had about their services and how they work. Many of them provided an estimate of the cost of their payroll software to help us get an idea of what it would cost.
We were also disappointed that more than 260 complaints against Paychex had been filed with the Better Business Bureau over the past three years. Paychex, however, is an accredited member with an A+ rating of the BBB.