Many businesses today use some sort of software to process their payroll whether it be a Quickbooks, Sage, ADP, or Dominion Systems (shameless plug). It is no longer a question of if you should use software, but more so what kind of software should you use? Let’s talk a bit on that. Depending on your business and your personal preference you may find that one software suits you better.
What is the Difference?
Software is software right? It all serves the same purpose, to process your payroll. Well, truth is there is a significant difference between installed software and cloud-based software.
Installed software: installed onto a single computer and only able to be accessed from the computer that it is installed on. Disclaimer: installed software can be installed on a network which will all network users to access.
A few pros of installed software:
- One time fee (unless you want to upgrade)
- Fairly inexpensive for small businesses
- You ‘own’ it (you own the specific license to the disk you bought)
Cloud-based software: Accessible through the internet, allowing multiple devices to utilize it simultaneously.
A few pros of cloud-based software:
- Accessible from anywhere with an internet connection
- Direct deposit offered
- Tax filing is done for you
- Subscription-based model
What to Consider
When looking at purchasing installed software or cloud-based for your business you should ask yourself a few questions.
- Do I have multiple people who need to access the software?
- Do I want to offer direct deposit to my employees?
- Do my employees want to review their pay information online?
If you answered yes to all of these questions then you should look into purchasing cloud-based software. However, if you answered no to most of these questions installed software will most likely work well for you.
Making the Purchase
Once you decide if you want installed or cloud-based payroll software you need to do your research and find one that fits your business best. Ask friends, search the internet, meet with providers, until you find a software that meets the needs of your business. Interested in learning more about how a cloud-based solution can help your business? Request a demo and we will be in touch!