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6 Tips to Choose the Best Payroll Software for your Company

Payroll is one of the most important tasks in every company. Good financial management depends not only on the financial well-being of the organization, but also on a good work environment. Even so, these efforts are not easy and for many SMEs it involves an investment of considerable time and effort.
That’s why companies decide to use a program that helps them. Knowing that the entire process of creation, management and sending of payroll is in good hands allows companies to focus their efforts on continuing to grow and overcome challenges.

How to choose the perfect payroll software for your company

The main advantages of a payroll software is to streamline the processes of payroll management, saving time and ensuring that there are no errors on the payslips. That is why it must to fulfill the following characteristics:


Calculating the compensation of our employees each month requires extensive knowledge. If the program is complex to understand and its operation becomes heavy and slow, payroll will be a nightmare.

The best payroll program to optimize time and improve the productivity of the company will be one that has an intuitive interface and a good user experience.

✔️Equip your team with the Best Software for HRIS


One of the main advantages of these online programs is that they help companies and human resources departments optimizing the management of their employee’s payroll. This is achieved not only with a program that is easy to use, but also that it is easy to update all the relevant fields.

  • Employee profile: The personal situation of the workers affects their remuneration. If you really want an useful software, choose one with which automatically reads each employee profile.
  • Contracts: Contract’s data are also very important when carrying out these processes, any change that occurs must be reflected in their payslip instantly so that it can be reviewed in time.
  • Benefits: Companies that offer flexible compensation to their employees must also consider the possibility that the software accepts monthly changes in salaries.
  • Absences and sick leaves: These also affect the worker’s salaries. The software should synchronize with the company’s calendar and reflect each incident in the worker’s payroll.


The information held by the contracts on the employees is basic to make a payroll. If your software also includes the possibility of creating and managing contracts you will have a 2 × 1 that will help you save twice as much time. Especially if the database is updated according to current law, as we will see below.


When it comes to economic and labor issues, it is very important to keep in mind the current legislation, because if it is not followed, the consequences can be serious. Make sure that the payroll software you choose is up to date and will keep up with all the news, such as changes in collective agreements.

In addition, if your company offers flexible compensation plans this point is doubly important since the maximum exempt amounts of taxes are also changing and their legislation can become different even depending on where you live. The type of contract, agreement and salary in kind are basic data that significantly influence the salary of employees.


With online software, you do not need download updates nor installations files so you can access all your information from wherever you are whenever you want, either from your computer, tablet or mobile. If you are always from here to there with meetings talking to new customers this is one of the most attractive features since you have all the information of your company and workers always with you to be able to update it and review it on the go.


When we talk about personal data, contracts and payroll, we talk about sensitive information and that it must be treated with extreme delicacy. The program you choose must comply with all security protocols and ensure the privacy of all data so that employees and the company can manage all documents without concern.

Additional Payroll Resources

This post is also available in: English UK, Mexican

Content Marketing Manager @Factorial Linkedin: Rubén

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