For higher productivity, small business owners should hire a payroll provider and not do it themselves, according to a survey of 2,078 accounting professionals conducted by Harris Interactive for Paychex, Inc.
Sixty-nine percent of survey respondents have recommended that clients use a payroll provider such as Paychex, and 84 percent said they prefer that their clients outsource the function rather than take the time to calculate the combination of pay, taxes, and deductions required to issue paychecks on their own.
The survey queried accountants on a variety of related topics, ranging from how they deliver value to clients, to which payroll providers they refer to most often.
“At Paychex, we place a strong emphasis on the long-standing and positive relationship we have built, and continue to build, with the accounting community,” said Del Humenik, Paychex senior vice president of sales and marketing. “We truly value and appreciate the insight they offer us, not only through participation in this survey, but also on an ongoing basis throughout the year.”
More than 70 percent of respondents agreed that clients typically either lack the necessary expertise to process payroll in-house, or that a client’s time is better spent focused on running their business.
The Harris Interactive survey of accounting professionals also revealed that:
- Accountants who have referred payroll services to their clients tend to be highly consultative in nature by also referring services such as retirement administration, health insurance, human resource benefits administration, and more.
- Only 39 percent of accountants who prepare payroll for clients cited this service as a good revenue opportunity. Accountants who don’t process payroll cited low revenue as the number-one reason for not doing so. Other reasons included lack of staff capacity and increased risk and liability.
- Among outsourced payroll solutions, Paychex received the most favorable results relative to quality of service provided, and opinion of the company/brand.
Paychex is the preferred payroll and retirement plan services provider of the American Institute of Certified Public Accountants (AICPA) Business Solutions Partner Program, as well as the provider of the AICPA Member Retirement Program. More than 30,000 CPAs and over half of all U.S. accounting firms participate in the partner program.
Methodology
This online, quantitative survey was conducted within the United States by Harris Interactive on behalf of Paychex, Inc. between January 23 and February 12, 2009. The 2,078 Qualified respondents were accounting and/or tax professionals or bookkeepers who work with small companies (fewer than 50 employees) or medium-sized companies (50 to 500 employees).
About Paychex
Paychex, Inc. (NASDAQ:PAYX) is a leading provider of payroll, human resource, and benefits outsourcing solutions for small- to medium-sized businesses. The company offers comprehensive payroll services, including payroll processing, payroll tax administration, and employee pay services, including direct deposit, check signing, and Readychex®. Human resource services include 401(k) plan recordkeeping, health insurance, workers’ compensation administration, section 125 plans, a professional employer organization, time and attendance solutions, and other administrative services for business. Paychex was founded in 1971. With headquarters in Rochester, New York, the company has more than 100 offices serving approximately 554,000 payroll clients nationwide as of May 31, 2009. For more information about Paychex and our products, visit www.paychex.com.
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Media Contact
Tracy Van Auker
Public Relations Specialist
Paychex, Inc.
585-387-6433
tvanauker@paychex.com
