Payroll isn’t just about paying employees on time. It’s about compliance, security, accuracy, and efficiency. Get it wrong, and you could face costly penalties, frustrated employees, and hours spent fixing errors.
Choosing the right payroll provider is critical, but how do you know if they’re the right fit? The key is asking the right questions.
Here are the 10 essential questions to ask—along with what to look for in the answers.
1. What Compliance Services Do You Offer?
Why it matters: Payroll laws and tax regulations change frequently, and failing to comply can lead to penalties. Your provider must ensure your payroll stays legally compliant—no matter where you operate.
What to look for:
- Compliance with UK tax laws, HMRC regulations, and any international tax obligations
- Handling of tax filings, deposits, and year-end reporting
- Regular monitoring of legislation updates to ensure compliance
- Support for pension auto-enrolment and statutory pay requirements
2. What Security Measures Protect My Company’s Sensitive Data?
Why it matters: Payroll data includes bank details, salaries, and personal information—making it a prime target for cyber threats.
What to look for:
- Data encryption protocols to protect sensitive information
- Multi-factor authentication for secure access
- Regular data backups with disaster recovery plans in place
- Compliance with GDPR, CCPA, and other data protection regulations
- Secure cloud storage with restricted access
3. How Flexible and Customisable Are Your Payroll Services?
Why it matters: No two businesses are alike. You need a payroll provider that can adapt to your specific needs.
What to look for:
- Support for different pay types (salaried, hourly, contract, commission-based)
- Ability to manage complex pay structures, bonuses, and overtime calculations
- Seamless integration with HR, accounting, and time-tracking systems
- Flexible payroll schedules (weekly, bi-weekly, monthly)
- Custom reporting options to align with your business needs
4. What Is Your Pricing Structure?
Why it matters: Unexpected fees can turn an affordable service into an expensive one. Clarity upfront helps avoid surprises.
What to look for:
- A detailed breakdown of all costs, including:
- Setup fees
- Monthly or per-employee charges
- Costs for year-end reporting and compliance filings
- Fees for additional services (such as pension management)
- Transparent contract terms with no hidden fees
- A clear policy on potential price increases
5. What Technology and Support Features Do You Provide?
Why it matters: A payroll system should make your life easier, not more complicated. Accessibility and support are key.
What to look for:
- Mobile-friendly payroll management for on-the-go access
- Self-service portals for employees to access payslips and tax documents
- Automated calculations to minimise manual errors
- Reporting and analytics tools for payroll insights
- Customer support options (phone, email, chat) with guaranteed response times
6. How Do You Handle Direct Deposits and Payment Methods?
Why it matters: Employees expect to be paid correctly and on time. A payroll provider should ensure smooth transactions.
What to look for:
- Direct deposit processing times and cut-off deadlines
- Multiple payment options, including prepaid cards or cheque payments for those without bank accounts
- International payment capabilities for global teams
- Secure handling of payroll transactions to prevent fraud
7. What Onboarding and Transition Support Do You Offer?
Why it matters: Switching payroll providers shouldn’t disrupt your operations. A smooth transition is essential.
What to look for:
- Data migration support to transfer employee records without errors
- Training and implementation assistance for your HR and finance teams
- A clear transition timeline with minimal downtime
- Dedicated onboarding support to guide you through setup
8. How Do You Manage Time Tracking and Attendance?
Why it matters: Accurate time tracking prevents payroll errors and ensures fair compensation.
What to look for:
- Integration with time-tracking and attendance systems
- Remote and mobile-friendly tracking options for flexible workforces
- Automated overtime and shift differential calculations
- PTO (paid time off) tracking, including holiday and sick leave management
- Compliance with working time regulations
9. What Reporting Capabilities Do You Provide?
Why it matters: Payroll reports help with budgeting, forecasting, and compliance audits.
What to look for:
- Standard payroll reports (payslips, payroll summaries, tax reports)
- Customisable reporting options for specific business needs
- Labour cost analysis tools to monitor payroll expenses
- Compliance reports for audits and legal requirements
10. How Do You Handle Payroll Errors and Corrections?
Why it matters: Payroll mistakes can damage employee trust and cause legal headaches. A provider should fix errors quickly and efficiently.
What to look for:
- A straightforward process for correcting payroll mistakes
- Fast turnaround times for resolving errors
- Transparent policies on any additional costs for corrections
- Proactive error prevention measures, such as automated checks and alerts
The Right Payroll Partner Makes All the Difference
Payroll is one of the most important functions in your business. The right provider will save you time, reduce risk, and ensure compliance—while giving you the flexibility to manage payroll with confidence.
At Kingston Burrowes, we offer secure, compliant, and stress-free payroll services tailored to your business needs. Whether you’re looking to switch providers or streamline your payroll process, we can help.
Let’s Talk Payroll
Get in touch today for a free consultation and see how we can take the stress out of payroll for you.
