November, 2009

Three Steps to a Paperless Payroll Solution and Paperless Office

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Three Steps to a Paperless Payroll Solution and Paperless Office

Interest in moving to a completely paperless payroll solution is growing across all business types looking to streamline the entire payroll process. At APS, we are experiencing this first hand as more customers choose to eliminate the distribution of paper reports, direct deposit vouchers, and checks.

Paperless Payroll Solution

The time and money saved from eliminating paycheck delivery costs and report storage costs are the primary reasons why companies choose paperless payroll. Another is the convenience to employees of having 24/7 access to their pay information and the efficiency of accessing reports and data electronically. This post summarizes the steps to achieve a paperless payroll solution for your company.

Payroll Software Solution

1. Start by Using a Payroll Software Solution

Payroll software comes with a wide variety of capabilities which you will want to evaluate. For purposes of this discussion, you will need an online payroll solution with integrated employee self-service. APS provides online payroll software that allows our customers to run payroll from anywhere at any time.

Pay Employees Electronically

2. Pay Your Employees Electronically

The most common electronic payment method is direct deposit. Direct deposit allows your employees’ pay to be transferred to their bank account or multiple bank accounts if desired. Another option of paying employees electronically is to use paycards. A pay card is similar to a debit card issued by a bank. The card is tied to an actual bank account that does not have the services that a normal checking account would have, such as checks or statements. Instead, employees can access their pay from an ATM or use it as a debit card at numerous merchants.

Employee Self-Service Solution

3. Launch an Employee Self-Service Solution (ESS)

Employee self service is the term that has been coined for a payroll solution that allows employees to access their pay history, personal information, and company information through a unique login name and password. As it relates to a paperless payroll process, ESS enables employees to receive their direct deposit vouchers electronically, therefore eliminating the need to print and distribute checks or vouchers. In our online payroll solution, APS OnLine, employee self-service is part of the HR and payroll solution. This means that changes to employee information and new pay stub information are available in real-time over the Internet.

Beyond the Status Quo in Paperless Payroll - The Paperless Office

The status quo from payroll outsourcing companies when it comes to a paperless payroll solution stops at some type of electronic delivery of pay stubs.

However, this doesn’t address some of the biggest areas of waste. To start, many payroll outsourcing companies send print copies of the payroll reports to their customers rather than making these reports available in a digital format. An ideal payroll solution will make all payroll reports and data available online and accessible on demand. Some companies provide payroll reports on CDs and then purge the original data, which reduces paper but still wastes time since it requires loading the CDs one at a time to retrieve the desired information.

While a paperless payroll solution is a great start, it doesn’t deliver on the full opportunity to reduce waste and save money. Companies themselves spend a lot of money printing handbooks, enrollment forms, time-off requests, and time cards. Each of these items can be managed electronically if the right software is available. In our case, APS OnLine allows companies to extend the paperless environment by using our web-based time & attendance software, electronic document management, and accounting integration features.

Is a Paperless Payroll Solution Right for Your Business?

To evaluate this it is important to consider the potential benefits to employees, as well as to your staff that performs routine payroll and HR tasks. Here are some questions to ask:


Is direct deposit a payment option for your employees? Do your employees have Internet access?


How many forms do you print and distribute to your employees?


What is the process for employees to request time off?


How do you track employee time & attendance data?


How are you currently storing your payroll reports?


How many check stubs or W-2s do you reprint for employees?


How often do employees inquire about vacation or sick time balances?

Based on the questions above you probably discovered some areas of improvement. The reality is paper is not going away, but in payroll, it can. Can your company benefit from a paperless payroll solution and paperless office?

How APS can help

APS brings innovation and scalability to modern human capital management. We believe that our clients, their employees, and our partners deserve the best, easy-to-use human capital management platform delivered with personalized service and support. We build our unified technology from the ground up, focusing on usability, efficiency, and adoption. APS understands the challenges organizations of all sizes face, which is why we craft a full spectrum of cloud solutions that address all aspects of employee management.

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