8 best payroll software in Singapore for small businesses
Human resources or as many companies have started calling them, human assets are an essential part of your business to maintain.
This includes managing their monthly payroll for which many companies use a payroll management system.
If you’re looking for the best payroll software in Singapore, then you’re in the right place.
What is payroll software?
Payroll software is a specialized tool designed to automate and streamline the process of managing employee salaries, benefits, and tax deductions. It helps businesses accurately calculate and distribute payroll, generate payslips, and comply with legal regulations.
Payroll software eliminates the need for manual calculations, reducing errors and saving time for small businesses. There are many payroll systems in Singapore that businesses can choose from. But choosing the right software can be tough if you don’t understand your exact needs.
How payroll software works?
But before we take a look at the different payroll systems you can use for your business in Singapore, let’s see how payroll software solutions work.
Software payroll systems are designed to make the salary disbursement process easier for a company and the teams within who are responsible for executing this task.
Previously, all the effort was manual; but if a company uses a software system to manage their payrolls, it removes a lot of manual work for the finance, accounting, and human resources departments.
This helps the teams save a lot of time that they can utilize elsewhere.
A payroll system speeds up the process of payroll by helping your organization create a database of employees and their bank details in order to make recurring payroll without having to go through the entire manual process each month.
This also ensures that there is minimum to no errors, which otherwise could end up costing a lot.
Furthermore, a payroll system software in Singapore will also come equipped with the necessary legal and financial rules to be followed by an organization when processing salaries.
This helps the business stay up to date and compliant with all government regulations in relation to payroll.
To know more about government regulations in relation to payroll in detail, check out out article, comprehensive guide on payroll in Singapore
Best payroll software for small business in Singapore
There are many good payroll software solutions for you to choose from. To make the selection process easier, we have listed some of the best payroll software in Singapore below:
1. Kayaroll
With a strong mission statement - “Desiring a world that runs smoother, Kayaroll is here to empower and enable SMEs and their employees, by crafting ready-to-go, easy to set up, and fun-to-use solutions that simply make lives better.”
Kayaroll is a relatively new payroll software in Singapore founded in 2020.
It is definitely one of the top competitors in the HRMS software industry with its host of features that it provides including managing employee databases, calculating payroll, free services to companies with a certain amount of employees, and more!
Pros
● They are currently giving free access to their platform, that is leave and payroll management for companies with up to 100 employees.
● A simple and easy-to-use platform.
● IRAS Integrated and compliant.
● Excellent customer support and service.
Cons
● Caters mostly to SMEs and startups rather than large companies.
● Hasn’t completed its official launch.
2. Talenox
Talenox is a cloud-based multi-entity HR management system.
It is a trusted and reliable HRMS platform that lets you maintain a database of all employees, process multi-country payroll, and manage leaves.
As a cloud-based solution, there is no need for any paperwork and you can access the platform from anywhere at any time.
Pros
● You can easily process single/multiple pay disbursements per month.
● Helps you keep track of employment history for promotions and salary increments.
● They provide a 30-day free trial for you to test out the platform and see if it fits your business requirements.
● They provide seamless integrations with accounting and expense management platforms.
Cons
● Has a limit on weekly and monthly scheduling.
3. PayDay
PayDay by ‘A StoneForest Company’ is quite an old player and has been in the market for a long time.
They are well known for their payroll outsourcing services as well as their in-house software that lets you take care of payroll yourself.
Pros
● They provide 3 forms of payroll software solutions including an online SaaS product, an offline solution, and an HRMS platform.
● The platform has automated backup restoration and regular updates.
● You can get a 30-day free trial.
● Comes with built-in HR letter templates.
Cons
● Only allows up to 50 employees as they cater to SMEs.
● Accounting integration is limited to XERO.
4. Ramco
Ramco is one of the global HR service providers on this list.
With clients in over 35 countries, the brand is an international enterprise that provides payroll, management, and logistics services.
Serving in so many different regions is not easy at all, but the organization does a fabulous job of staying up-to-date with local tax laws and making sure that all compliance-related regulations are implemented on their software.
Pros
● User-friendly and minimalistic design for ease of use.
● No complicated pricing tiers. You simply buy the software once and get access to all features.
● You also get an enhanced customer experience when it comes to supporting services thanks to automated chatbots that quickly help solve any problems.
● Partnerships with payroll experts in each country of operation for up-to-date information.
Cons
● They are reliant on third-party experts for law updates which can be an issue in case of the unavailability of the expert.
5. Sage
Sage is a payroll software that helps you pay employees on time, reduce the amount of paperwork, and create accurate reports for better decision-making.
Pros
● 3 months free offer for clients.
● Easy payslip creation.
● Share access with accountants.
Cons
● The pricing tier is on the basis of the number of employees.
6. JustLogin
JustLogin is an employee-first HR software in Singapore that helps businesses manage their payrolls with a fully integrated suite of cloud-based HR solutions.
Pros
● Payroll calculation.
● Attendance and overtime tracking.
● Employee database management.
● Integrate with Xero, Quickbooks, and Reap.
Cons
● Unclear pricing structure.
7. KeyPay
KeyPay is an all-in-one payroll software that caters to the specific needs of accountants and helps them automate processes throughout the payroll journey.
Pros
● Has an employee self-service known as workzone
● Integrates with Xero
● A one-time configuration allows for automated pay runs
Cons
● Unclear pricing
8. SimplePay
Founded in 2009 SimplePay is a payroll software that has extended itself globally with over 21,000 customers.
Countries they operate in include Singapore, Ireland, Hong Kong, and South Africa with plans to expand in many more countries.
Pros
● 30-day free trial.
● Automatic calculations for statutory details.
● Ability to load multiple companies through one SimplePay account.
Cons
● Per employee pricing instead of monthly SaaS fees.
Related read: Best payroll and accounting software for small business
Take the hassle out of payroll with Volopay
What are the benefits of using payroll system for small businesses?
1. Generate payslips
A payslip, also known as a paycheck or paycheque is a document created by the employer to pay an employee for their work. It is an important document that is used in many places as proof of employment.
Payroll systems also have the functionality of being a payslip generator in Singapore.
2. Be up-to-date on all new tax laws
A great thing about using payroll software is that most of them come with up-to-date tax laws that are automatically implemented during the payroll process.
The best part is that even if there are changes in the laws, the software provider can send an update to all users that will implement the change remotely in real-time for future payments.
3. Accurate calculations
As stated earlier, when salaries are disbursed manually, there are high chances of errors. Human inefficiencies end up costing the company a lot of money.
To reduce this to the minimum, payroll software systems are far more accurate and the chances of errors being made are almost non-existent.
4. High data security
A payroll management system holds very sensitive data about your employees including their bank details. This makes it a target for hackers.
Due to this looming risk, payroll software providers invest a lot in making sure that their systems are encrypted with the highest security possible for the privacy and safety of data.
5. Reduces manual work
One thing that payroll software for small businesses, medium, and large companies do extremely well is that they reduce the amount of manual work that is needed to process the monthly payroll.
Once the initial setup is completed by filling in all the details, a lot of time is saved on the task of salary disbursement.
6. Payroll analysis
Disbursing salaries easily is great, but it also needs to be coupled with the ability to measure and track how much the company is spending on human resources and how that is affecting the performance of the business.
To do this, many payroll systems come built-in with analytics capabilities that show you past data and help you gain insights.
7. Compliance with legal requirements
A reliable payroll system ensures businesses adhere to legal obligations, such as tax withholding, statutory contributions, and labor regulations. It helps avoid penalties and provides accurate reporting to government agencies.
You should always look for payroll software that comes built-in with your region's compliance and legal requirements so that you do not have to manually process and add them to your transactions.
8. Time and cost savings
Most companies around the world still assign an individual to manually process all the salaries of the employees. While manual intervention is important and necessary for authorization and verification, the task of doing so can be made faster and smoother through payroll software.
Using payroll software eliminates manual processes, reducing the time and effort required to calculate and distribute employee salaries. It also minimizes the risk of errors, which can be costly to rectify.
9. Streamlined reporting and analytics
Without a payroll system in place, it can be very time-consuming to manually generate reports about and get insights regarding labor costs, employee performance, etc. It can also be filled with errors if done manually.
Payroll systems generate comprehensive reports and analytics, providing valuable insights into labor costs, employee performance, and financial data. This information helps businesses make informed decisions and improve overall efficiency.
10. Employee self-service and engagement
Payroll software often includes self-service portals that enable employees to access their payslips, tax information, and benefits details. This promotes transparency, empowers employees, and reduces administrative workload.
Without a structured and central platform like this, it can become a headache for both the employee and the HR team to source and provide information that they are looking for to each employee.
11. Scalability and growth
At a smaller stage, the company might be fine to process salaries manually without the help of automation software. But as businesses expand and hire more employees, payroll software offers scalability, accommodating the organization's growing needs.
It simplifies the process of managing a larger workforce and ensures smooth operations during periods of growth.
Factors to consider while choosing payroll software for your business
1. Identify your business needs
Consider the specific requirements of your business, such as the number of employees, payroll complexity, and integration with existing systems. Choose a payroll software that aligns with your unique needs.
2. Features and functionality
Evaluate the features offered by different payroll software options. Look for essential functions like automated calculations, tax compliance, direct deposit capabilities, and reporting capabilities.
3. Ease of use and user interface
Ensure the software has an intuitive interface and is easy to navigate for all your employees. User-friendly payroll software reduces the learning curve for your HR and finance teams, enabling them to operate the system efficiently.
4. Integration capabilities
Check if the payroll software integrates seamlessly with other essential business systems, such as accounting software or time and attendance tracking systems. Integration simplifies data transfer and minimizes manual data entry.
5. Compliance and legal Requirements
Verify that the payroll software is compliant with local tax laws and labor regulations. It should have the necessary features to handle tax calculations, and statutory contributions, and generate accurate reports for compliance purposes.
6. Data security and privacy
Payroll involves sensitive employee information, so prioritize a software provider with robust data security measures. Look for encryption, regular backups, and compliance with data protection regulations to ensure the safety of your data.
7. Customer support and service
Consider the level of customer support provided by the software vendor. Responsive customer service ensures the timely resolution of issues and assists with software implementation and training.
The last thing you want is to be stuck trying to figure out how to resolve an issue on your own when you aren’t very familiar with the platform.
8. Pricing and cost
Compare the pricing models of different payroll software options. Consider factors such as subscription fees, additional costs for advanced features, and potential scalability costs as your business grows.
A low cost might not always be the right option as it might have some features missing that your organization may need.
9. User reviews and recommendations
Research user reviews and seek recommendations from other small businesses in Singapore. Real-world experiences can provide insights into the software's reliability, usability, and overall satisfaction.
Try to find other customers or users of a platform to get unfiltered reviews about that particular software.
How can Volopay help you with payroll processing?
When you think about it, payroll processing is a kind of expense to a company. It falls under the purview of expense management which makes it crucial to be able to track and measure human resource budgets.
Instead of going through a complicated process of setting up a business account with banks, using a simple online platform like Volopay, you can easily integrate HRMS platforms like Talenox to make payroll management and reimbursements easier to carry out.