How To Improve Productivity With Payroll & Attendance Software

How to improve productivity by using payroll and attendance software? Overall, both solutions can help you achieve more efficient HR management, which in turn, allows you to do the following:

  1. Boost employee morale
  2. Save on time and costs
  3. Comply with regulations
  4. Reduce absenteeism
  5. Prevent manual error

Improve Productivity With Payroll & Attendance Software

Business productivity defines the success of any organization and there’s no changing that. Productivity is basically accomplishing more with right-sized resources, being able to achieve such gives a business a better chance of gaining profit. While productivity offers opportunities for growth, its decline could wreak havoc on a company’s finances or worse, its very existence.

Productivity may come in different forms, the most prominent of which is that of workers. Employee productivity is the lifeblood of any business, a fact from which there is no escape. This is why when trouble comes knocking, you just cannot afford to ignore the signs that your employees’ productivity is about to take a dive. Problems that affect worker productivity can usually be traced back to the employee, equipment or the work environment. This is why to avoid unnecessary income loss and damage to one’s reputation, investigation of the cause of productivity problems should be immediately carried out.

If you see employees who are constantly failing to meet deadlines, bored, somehow dissatisfied or even unaware of what is expected of them, chances are low productivity is not far behind. To resolve issues such as these, you first have to identify what caused these individuals to act in such a way. Remember, there is always an underlying problem behind low employee productivity. Factors such as disengagement, poor health, and even boredom are known causes of productivity loss.

Business productivity can greatly improve by using payroll and attendance software. These tools harbor capabilities that can help boost employee morale, save time and costs, and reduce accounting workloads, which are known to hamper productivity. When used correctly, these solutions can help build a productive workforce, putting your organization on the path to growth. There are a lot more benefits that businesses can get from using these tools. Read on to find out more about them.

There are a variety of ways by which low employee productivity may be resolved, among which is the use of payroll software and time tracking tools. These tools have capabilities that can turn employee productivity problems around or better yet prevent them. One important thing to bear in mind is that these platforms come with project management tools or as part of a wider HR management suite most of the time, which is probably why they are so effective in resolving productivity issues.

In this article, we will seek to answer the question–how to improve productivity by using payroll and attendance software? Problems associated with productivity loss and how such tools can help address them will be discussed in detail. Examples of software in each category will also be provided to give you an idea of the features, functionalities, and pricing of these products. 

How To Improve Productivity Using Payroll Software

Offering automation as their primary use, payroll software programs bring with them features such as customization, templates and data centralization, among many others. However, these platforms are not limited to automating payroll runs as the usefulness of payroll software is far-reaching. They can likewise positively influence an organization’s productivity as a whole. The following are some of the useful features of payroll and attendance tracking software and how you can use them to positively impact productivity.

For a list of useful solutions, we encourage you to check out the payroll software comparisons prepared by our team.

1.Boost Employee Morale

We all know that happy employees make for good business and low morale often causes unhappiness in workers. You should be careful never to take this problem for granted. Remember that employees are known to share unfavorable opinions with their officemates, which can further complicate matters. Concerns over long work hours, low or inaccurate pay, inadequate training, and poor working environments, among others, can adversely impact employee morale. Aside from improving working conditions, using payroll software can help resolve this problem as they ensure accurate and on-time payment of salaries.

2. Save Time

Many small businesses are known to spend around 5 to 10 hours a month on manual payroll runs. This results in a lot of wasted time, which otherwise could have been used productively. Payroll software can help save time by automating all relevant processes such as computation of taxes and salaries. They also produce cost savings by minimizing tax.

3. Save on Costs

Payroll costs can expand as a company grows. Around 46 percent of small businesses have been found to spend thousands on payroll administration monthly. Payroll software helps eliminate the need for superfluous expenses such as paying for in-house staff or accountant dedicated to running payrolls. In addition, businesses are shielded from legal penalties as these tools ensure statutory compliance and accuracy and with most process rendered paperless, huge savings from printing costs can also be made.

Automated payroll processing helps reduce costs.

4. Slash  Accounting Workloads

With payroll software, businesses can export reports easily, effectively minimizing the time that personnel spends on accounting. And because they can integrate with accounting tools, the need for manual data entry is eliminated during payroll processing. Accuracy is likewise ensured as duplicate data entries are avoided.

5. Empower Employees

Today’s payroll solutions come with self-service applications for employees, providing staff with access and control over their data. This effectively relieves payroll managers of some of some of the burdens of payroll runs. Personal payroll profiles are created, housing wage data, leave balances, payroll deductions, and benefits, among other information.

6. Taxation and Compliance

Payroll tax computation can be tricky at times, with some wage-deductible and others paid and accounted for by payroll administrators. Rigid remittance and reporting rules also require payroll staff to always be on their toes as the slightest error and they’ll have the IRS on their heels. Most payroll products are capable of automating tax calculations and filing with pinpoint accuracy, great news for those managing payroll taxes.

7. Boost HR Management

Today’s payroll software programs are equipped with HR management add-ons. These, which come in the form of modules, can be used to conduct checks of key documents, employment history, and employee census and benefits. Business workflows can likewise be streamlined as all data are managed from a single location. Communication also gets better using such tools, ensuring that all team members are always on the same page.

Many payroll platforms offer HR management features that boost team communication.

How To Improve Productivity Using Attendance Software

Any business undergoing growth can suffer from the impact of employee attendance fraud and human error. Mistakes in data entry and payroll computation can spell trouble for a company and prove to be very costly. Using time tracking software, these mistakes can be minimized as these systems make sure that the right person is clocking at the right time. They also increase efficiency and ultimately productivity. Here, we discuss problems that could threaten productivity and what attendance software can do about them.

1. Reduce Employee Absenteeism

For small businesses, absenteeism is a primary concern. However, this problem tends to affect large companies more as attendance tracking is much more difficult for larger organizations. This makes attendance policy reinforcement a much more difficult task, which could lead to an increase and absenteeism and adversely affect productivity.

Attendance tools can help you put a strict and clear attendance policy in place and reduce absenteeism. Having a strong and clear policy will discourage employees from being tardy or committing absences. In addition, staff can also view their schedules and request time off more easily.

2. Prevent Human Error

Attendance software gives users total control over all aspects of employee time tracking.

Companies stand to face steeper costs by manually entering payroll data and work hours, resulting in losses. Outdated manual time-tracking methods no longer have a place in today’s business landscape, especially for growing organizations. They are also prone to attendance fraud, which comes in the form of an employee clocking in for another otherwise known as “buddy punching.” Attendance software helps prevent these scenarios as they make sure that the right individuals are clocking every time.

3. Automate Employee Scheduling

Setting schedules can be a pain, especially if you lack the system to do it. Aside from attendance and time tracking, attendance software is also capable of setting employee schedules, allowing users to streamline the process. Schedules may be created using employee availability, pay grades and skill sets.

Examples of Payroll Software

1. Gusto

Gusto is not your run-of-the-mill payroll management solution, in fact, it the holds the no. 1 spot in our top 10 most popular payroll software. This tool hosts numerous capabilities, which include HR management and benefits administration. It is specifically designed to cater to small businesses, offering an easy to use interface, automation, and payroll management features. The platform is also capable of compensation insurance, payroll computation, check and direct deposit payments and 401(k). It can automatically calculate, pay and submit local, federal and state payroll taxes.


An award given to products our B2B experts find especially valuable for companies

Try out Gusto with their free trial

Gusto can be purchased in three enterprise pricing plans. A Core Plan comes for $39/month plus $6/month per employee. Its Complete Plan has all Core features, along with advanced HR tools and sells for $39/month and $12/month per employee. Finally, the Concierge Plan has the Complete features and certified HR advisor and is available for $149/month plus $12/month per employee. The vendor offers an appealing deal to test the features at no cost. You can easily sign up for Gusto free trial here.

2. OnPay

Total payroll management platform OnPay is highly-suited to small and medium-size businesses who need scalability in any tool for that matter. This cloud-deployed software is able to streamline just about any payroll process there is and can automate tax filing and payment. The system automatically enters payroll information like work hours, bonuses, tips, reimbursements and even benefits and compensation insurance for pay-as-you-go employees. It can manage unlimited payroll runs for W-2 employees and 1099 contract staff while workers can be paid through direct deposit or check.

OnPay is priced transparently and comes absolutely for free for the first month, along with salary and staff data migration. Its online payroll solution is available for $36/month with an additional fee of $4/month for each user. W-2 requests cost $5 each with the total monthly fee based on the number of employees. You can actually get a closer look at its features when you sign up for an OnPay free trial here.

3. ADP Workforce Now

ADP Workforce Now is a web-based HR software designed to cater to the needs of SMBs. It automates any HR process and is able to collect payroll data all from a single interface. It provides total control over HR processes, resulting in better coordination and management of multiple tasks. Key functionalities like time and attendance, holiday, payroll and benefits management are also present. It can generate insightful reports, on which sound business decisions may be derived. The system also comes with a benefit plan, which users can align with corporate processes and policies.

ADP Workforce Now’s pricing plans are not displayed on its website. You have to directly get in touch with the vendor and request for a quote.

Examples of Attendance Software

1. Wrike

Online project management tool Wrike is capable of aiding businesses in speeding up both co-located and distributed project teams. This robust piece of software promotes collaboration among project team members from a singular dashboard. Using the software, you can set priorities, schedule, track and discuss the progress of a project–all with a few clicks and in real time. It promotes collaboration and comes with information management tools that can aid businesses in achieving growth.


This award is given to the best product in our project management software category. It highlights its superior quality and underlines the fact that it's a leader on the market.

Try out Wrike with their free trial

Wrike’s navigation tool is known for its ease-of-use, allowing for the effortless management of projects. It likewise comes with security features, limiting access to project information to relevant users. Mobile optimization is also on the menu so that users can monitor their projects even on the go.

Wrike can be purchased in different pricing plans starting at $9.80/user per month. A free version is available to those who need only basic features. Before you commit to a plan, why not test drive its features for free? You can easily sign up for a Wrike free trial here.

2. Clarizen

Enterprise project management solution Clarizen brings project management and social engagement together in a single platform. It is the project management tool of choice for over 2,300 companies worldwide. The software does its magic by linking projects, tasks and conversations, thereby creating the ideal work structure. Collaboration is promoted by connecting structured work with unstructured conversations across organizations. It is also a time tracking software that allows users to accurately record attendance and determine who’s working on what in a project.

Clarizen has powerful features that help businesses accelerate the way work and how projects and initiatives are handled. The system can prioritize resources, budgets, projects, tasks, and portfolios, ensuring the efficient handling of critical resources and data. It is not only meant to boost management; it is also designed to improve communication among team members, ensuring that accurate planning is conducted before any project is implemented.

Clarizen’s pricing information is not publicly disclosed. You have to contact the vendor to get a quote. For those who want to take the solution for a spin first, sign up for a Clarizen free trial here.

3. ConnectWise Manage

ConnectWise Manage is a robust project management tool that can control all organizational processes from a single console. It boosts team members’ accountability in different corporate departments while streamlining processes and operations. The use of resources is optimized with improved communication, documentation and accurate ticketing. Its dashboard is highly-intuitive, allowing users to have a better understanding of their business while smart reporting allows for intelligent decision-making.

ConnectWise Manage’s billing capabilities make the process simpler, enabling users to send for invoicing notes, time and products, and expenses directly to finance departments. Customer service is also improved as the software can handle all core processes, allowing users to attend to customers.

ConnectWise Manage’s pricing information is not publicly available. You can visit the vendor’s website to request for pricing information. The vendor offers a comprehensive test-drive deal. You can sign up for a ConnectWise Manage free trial here.

By now you would have learned ways by which to resolve low productivity issues and therefore stop asking the question–how to improve productivity by using payroll and attendance software? Just keep in mind that productivity loss leaves a trail of crumbs, which you can follow to determine the cause of the problem. Payroll and attendance software are useful tools but you should also do your homework when seeking to address productivity problems.

Daniel Epstein

By Daniel Epstein

Daniel Epstein is a senior financial research analyst at FinancesOnline and the architect behind our Fintech and ERP content division. His main areas of expertise are blockchain technologies, cryptocurrencies, and the use of biometrics in fintech solutions. His work has been frequently quoted by such publications as Forbes, USA Today, Entrepreneur, and LA Times. With more than 1,800 solutions scrutinized in the last 5 years spent on our team he always prioritized offering readers an unbiased perspective on modern financial technologies.

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