Online Payroll Service vs. Traditional Service: it’s a no brainer

Yes, the calendar just rolled over to 2011, so it’s reasonable to ask … why should you choose a “traditional” payroll service that may have been around since those other 20s [the allegedly “Roaring” 1920s]?

OK, that may overstate things just a tad;  payroll in those 20s was simple enough to be done with quill pen, and didn’t even involve income or payroll tax!  But it’s very true that those traditional services were architected back in the days of centralized, batch-oriented computing … and not a whole lot has changed with them since then.

The result is that tying yourself up with such a traditional vendor means that …

  • you’re totally subject to their rules, their rigid forms and their schedule (for hours submission and check delivery)
  • you (or someone you authorize) generally need to be in the office at hours-submission and check-delivery times;  forget such high-tech conveniences as checking on your run from your laptop on the beach
  • any errors in a check run will generally mean a new run, and possibly delayed paycheck delivery;  there’s typically no way to “preview” the run before it happens
  • you become subject to potential check-delivery delays due to extreme weather …a hazard that those of us in the Northeast US were unmistakably reminded of this winter
  • when errors occur, it’s not always immediately clear whether your organization or the vendor’s was responsible
  • your employees will still be taking up your time with routine information requests, since there’ll be no such thing as accessing their info online

But there’s no reason to buy into such an outdated and restrictive payroll solution.  In recent years, the Internet has enabled an alternative model:  one in which the application logic, data storage and processing power reside with the service vendor, but where control over inputs, schedule, data integrity and outputs remains with the client. 

Such an online payroll service turns the drawbacks of traditional services inside-out, and provides several additional benefits as well …

  • Rather than imposing a fixed schedule and set of onerous rules, an online service puts you in the driver’s seat via a payroll dashboard:  you determine your desired check-run dates, and submit your input information at any time prior to the next run;  and typically you can actually modify data-input forms to meet the needs of your business, rather than the reverse.
  • Because you have online-anytime access, you’re not chained to the office;  you can modify information or trigger a paycheck run from anywhere there’s an Internet connection …which probably includes even that cherished spot on the beach.
  • Instead of finding errors after checks are delivered, you have the ability to preview a run’s accuracy in advance;  and if errors do occur, it’s very clear who’s responsible, since you’re in complete control of your own data.
  • Because you have the ability to print checks locally, you’ll avoid the cost of overnight shipping … and no amount of bad weather will delay your paycheck distribution.
  • You can free yourself from many routine information requests from employees, since they can have online access to (authorized) areas of their own information.
  • Instead of being nickel-and-dimed for “extras” like shipping/delivery, direct deposit, tax reporting and the like, the better online payroll services will charge you an all-inclusive flat fee … and sometimes include value-added extras, such as flexible support options and HR consulting.

For additional information, you might want to check out the side-by-side comparison on our website.  Hopefully, you’ll discover that there’s just no good reason to go with a traditional outsourced payroll processing service today.  For more individualized assistance, just give MyPayrollHR’s professionals a call, at (866) 697-2947.


  1. Your honesty is reserfhing. In my experience, people are either hardwired to be startup entrepreneurs or they’re not but I will add that I felt the same way as you when I graduated law school. I worked for a Wall Street firm for two years and ultimately decided there had to be more to life. I was representing people who had created outrageously successful businesses, and the truth is I wanted to BE on of them rather than WORK for one of them. I’ve been fortunate to have founded a series of multimillion-dollar startups over the last 15 years. Was it risky/scary? Absolutely especially when leaving the security of a six-figure income meant that I would not likely ever be able to return. Would I do it again? In a heartbeat! Do what makes sense for you now .and just know that your position may change when you realize that you’re just as smart if not SMARTER than the people you’re WORKING for!!

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