7 Reasons Why Mid-Year Is The Perfect Time To Switch Payroll Software Providers


How do you know if you’re using the right payroll software provider? Many companies, especially small businesses, don’t know they’re in search of better services until something goes wrong or their software provider releases a feature that makes them feel like they could be missing out on something better.

Though it might seem like mid-year would be a bad time to switch providers, there are actually several benefits to mid-year payroll software switchovers that make it the perfect time to review your current payroll system and find one that better fits your business needs.

1) Save Money On Your Current Vendor

When was your last review with your current provider? If it’s been more than a year, now may be a good time to check out what other providers offer. It’s possible you could save money without sacrificing any of your current services or features by choosing a different payroll company.

Don’t forget: At least twice each year, make sure you get rates and plans from at least two or three different companies. You may be surprised at how inexpensive some of them are.

Your best bet is always going to be people that you trust and can work easily with — whether they are internal folks at your business or an outside service provider who just clicks for you and looks professional every single day.

2) Get Access To More Features Than You Have Now

Small businesses tend to have very specific and limited needs. If your software provider can’t provide all of those features at a reasonable price, then it doesn’t make sense for you.

No matter how good a provider might be at one thing, chances are they won’t do everything you need done—and if they do have what you need, it may not be as customizable as other solutions on the market.

Start shopping around in mid-year (or whenever you feel like things aren’t going quite right). Give yourself plenty of time to look around and make sure that every provider you talk with meets your demands—including any non negotiables.

3) Upgrade Your Technology

If you’re still using a clunky desktop program or pen and paper, switching over to a new platform can provide a valuable boost for your productivity. A lot of small businesses choose to go with a SaaS (software as a service) option like UZIO when it comes time for their annual upgrade.

With these types of programs, you pay one low monthly fee that covers all of your basic needs, including integration with other important business services like accounting. By getting on board early in the year—especially before tax season—you have ample opportunity to make sure things are set up correctly from day one and avoid any costly mistakes later on.

4) Gain Peace Of Mind

Choosing a new software provider in mid-year can be beneficial for many reasons. Many small businesses don’t realize how much better their current provider could be until they start looking at others.

An easy way to get started is by seeing what other small businesses like yours are saying online.

A quick Google search will lead you to review sites where users and businesses alike write their honest thoughts about service quality, customer support and more.

Once you’ve identified one or two of your top prospects, take some time to look over each company’s website, too—you might discover some hidden perks you didn’t know about before! Whatever type of business you have, there’s a payroll solution out there that will make things easier for your organization going forward.

5) Take Advantage Of Newer Features

One of the biggest reasons small businesses choose to move on from their current provider of payroll software is simply because they haven’t had a chance to try out new features.

Make sure you don’t make that mistake and look for a provider who offers new advanced features such as direct deposit paychecks and W2s, employee interface apps, electronic 1099 forms, and so on. New Year’s Day or some random February 1 might not be your ideal timeline, but if you wait until after June 30 then you may be missing out on some pretty important benefits.

If possible, schedule an appointment with your current provider sometime in May so that they can walk you through all of their latest upgrades before making any decisions on moving forward.

6) Keep Up With Your Industry Rivals

As you get closer to your filing deadline, it becomes vital that you get all of your payroll information processed quickly.

This can be a challenge if you have a poorly designed system, but upgrading to a modern cloud-based solution can give you instant access to your employees’ tax information. That means no more scrambling for completed W2s—your reports will always be up-to-date and accurate.

More importantly, it gives you peace of mind knowing that you’re filing your taxes correctly and on time.

7) Run Payroll Reports Faster

Switching to a new provider doesn’t mean you have to dump everything you already have and start from scratch.

In fact, most software companies make it super easy for businesses with existing systems to make the transition to their data over with no effort on your part. Switching out your current provider will also save you money because most vendors provide discounts for longtime clients.


Payroll software allows businesses of all sizes to automate their payroll, saving them both time and money. However, it’s important for small businesses that run multiple locations or have over 100 employees on staff to choose a provider that can grow with them as they expand. If you’re not sure what kind of provider will best suit your business, take a look at our list of reasons below for more information on how switching mid-year can be beneficial.


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