What to Look for When Switching Payroll Software Providers

Changing payroll software providers is a big deal—it can transform your entire HR and payroll setup. As companies in Singapore grow hire more people, go digital with HR, and follow stricter rules, they need more from their payroll systems. A program that did the job for 10 employees might fall short when you’ve got 80 or 200 people on the team. 

Picking the right payroll software plays a crucial role in cutting down on payroll mistakes, streamlining manual tasks, easing compliance, and boosting employee satisfaction. This guide will walk you through the key things to think about when switching to a new payroll provider, what pitfalls to steer clear of, and the essential features your new system needs to support to keep your business ready for the future. 

Why Businesses Change Payroll Providers 

Companies switch payroll providers on a whim. Most decide to make a change after dealing with ongoing frustrations or realizing their current system can’t keep up with their operational needs anymore. These issues can crop up —or all at once—making a switch not just necessary but urgent. 

1. Common Headaches: Cost Ease of Use & Help 

Many companies pick payroll systems at first based on cost or basic functions. As time passes hidden problems start to show up: 

• Old-fashioned interfaces that hold back HR teams 

• Systems that often break down run , or make wrong calculations 

• Higher fees for small upgrades 

• Not enough features to help with a growing workforce 

• Support staff who are slow to respond or not available during local work hours 

When HR teams spend more time fixing issues than running payroll, it’s a clear sign your payroll system isn’t working for you anymore. 

2. Business Growth & Changing Requirements 

As your company grows, your HR and payroll needs get more complex. A small business with 20 employees might not need fancy automation, but a bigger firm with over 80 staff requires: 

• Payroll for multiple sites 

• Automatic IRAS, CPF & SDL filings 

• Flexible pay structures (extra for shifts, piece work, perks, sales cuts) 

• Linked attendance and time-off systems 

• Up-to-the-minute expense tracking and insights 

If your payroll program can’t keep up as you expand, it turns into a roadblock instead of a helper. 

Dangers of Bad Payroll Changes—And How to Steer Clear 

Changing payroll software isn’t just a tech upgrade—it’s a sensitive business move. A hasty or planned switch can hurt your finances and reputation. 

1. Data Loss or Wrong Transfer 

Messing up payroll details (like salaries, bonuses, CPF codes) can cause big problems such as: 

• Lost or messed up payroll history 

• Double employee entries 

• Wrong payslip info 

• Incorrect CPF groupings 

• Mixed-up tax info 

To stop this from happening, pick providers that have clear data transfer steps, test areas, and complete record-keeping. 

2. Late Pay & Unhappy Employees 

Pay mistakes are a quick way to lose employee trust. Bad switches can lead to: 

• Wrong pro-rated salaries 

• Unpaid overtime 

• Incorrect CPF contributions 

• Late or missed paydays 

A good provider will help you do several test runs, side-by-side payrolls, and checks before the actual switch. 

Key Features Your New Payroll Provider Needs 

When looking at payroll companies, don’t just think about basic pay calculations. Look for things that add value over time, save time, follow local rules, and work well with other systems. 

1. Full Support for Singapore Laws (CPF, IRAS MOM) 

Your software should handle: 

• CPF calculations done 

• IRAS Auto-Inclusion Scheme (AIS) 

• SDL CDAC, SINDA, MBMF payments 

• Following Employment Act rules 

• Meeting MOM audit and reporting requirements 

Gaps in following rules can result in expensive fines and audits—no company can handle this. 

2. Easy Connection with HRMS & Accounting Programs 

Payroll doesn’t work alone. To avoid entering data twice and making mistakes, check if your provider links with: 

• Time Attendance tracking 

• Leave management handling 

• Claims processing 

• Accounting software

• HRMS systems 

Linking these systems makes data move on its own—cutting down manual work and improving accuracy. 

3. Reports You Can Adjust & Live Dashboards 

Your payroll software should give you: 

• Up-to-the-minute salary cost breakdowns 

• CPF & SDL mandatory contribution summaries 

• Overtime breakdowns 

• Budget prediction reports 

• Reports you can export (CSV, Excel, PDF) 

Facts and figures help employers make quicker better-informed choices about their staff. 

4. Moving & Getting Started Help 

A painless switch depends a lot on the seller’s backup. Ask your provider: 

• Do you have specialists to help us get going? 

• Will you move our data or do we have to do it ourselves? 

• Do you run test payrolls before the real thing? 

A good seller should handle most of the switch. 

5. Local Help Desk (Not Overseas Call Centers) 

Payroll crises don’t care about your schedule. You need help: 

• When your office is open 

• From experts who know Singapore’s rules 

• Through chat, email, or calls 

• With quick answers 

Having local backup makes sure you follow the law and fix problems fast—before they cost you big time. 

Comparison Table: Key Points to Think About When Changing Payroll Companies 

Checklist to Switch Payroll Systems Smoothly 

Follow this checklist to switch payroll providers : 

• Export and clean existing payroll data 
• Check CPF, IRAS & SDL settings 
• Run sandbox or test payrolls 
• Compare old and new payroll results for accuracy 
• Teach HR staff and managers 
• Let employees know about changes 
• Start after checking everything 

Wrapping Up 

Changing  payroll software providers means more than just getting new tech—it’s a big move for the long haul. If you do it right, it makes things run better, helps you follow rules, cuts down on manual work, and makes employees trust you more. With good setup help when you need it, and know-how about local rules, the right payroll software becomes a key part of growing your business. 

Info-Tech stands as one of Singapore’s most trusted payroll partners processing over 30,000+ companies and 1 million monthly payrolls. It enables businesses to have an influence on automated compliance smooth integration, and strong local customer support. 

Now presents an ideal opportunity to upgrade to a more capable scalable system if you’re thinking about making a change. 

Need Help Deciding Which Payroll Solution Suits Your Needs? Get in Touch With Us Today

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