7 Reasons to Move to a Cloud Based Payroll System

Are you contemplating to move from a desktop payroll system to a cloud-based payroll system? You’re definitely not alone in Singapore.

For the past years, many small and medium enterprises in Singapore are switching from on-premise HR software applications to cloud HR Software-as-a-Service (SaaS) solutions.

More than 50% of Singapore organizations have used at least one cloud-based application today. And for HR application, more than 1/3 of these Singapore companies have plans to move to cloud applications in the next twelve months.

If your company is not aware of the benefits of using a cloud payroll service, read on and we will explain the key reasons.

1. Improve speed and accuracy in payroll processing

In all companies, there are 2 key things that are very relevant to your employees: to receive their pay on time and with the correct amount. For many HR departments, they are always rushing to complete their weekly, fortnightly or monthly payroll run.

Cloud-based payroll applications can assist you to speed up the payroll processing time. Most applications are easy to use and have an intuitive user interface with simple navigation. Most of the payroll processes are automated, eliminates manual calculations and reducing errors of which some HR team are struggling with on-premise HR software.

2. Access to HR application on any devices anywhere

In the digital era and fast-changing economy, we can complete most of our work outside of the office. Cloud-based payroll software allows HR managers to process and approve payroll from any device, anywhere and at any time.

For some businesses in Singapore, they have multiple worksites across different locations and time zones, this mobile accessibility function proves to be one of the huge advantages. Now, HR managers can view, review and approve timesheets – once the employees’ clock in and out on their devices – directly from their mobile phones, tablets or laptops. 

3. Protect your data in the cloud server

Most business owners are concerned with data security when using cloud-based software. Cloud provider provides data security for data stored in the cloud, which they have a team to monitor and maintain. On the other hand, a business owner is responsible to manage the security infrastructure for data stored on-premise, which can be vulnerable to fire, attacks and computer crashes.

Cloud payroll software providers usually work with the reputable cloud provider (i.e. Microsoft Azure, Amazon Web Services, Alibaba Cloud) to protect your data, encryption, backups and ensure infrastructure security at all times.

Having said the above, here are some key areas that you may not be aware on the data security of cloud SaaS applications:

• Your data should be kept on a private cloud
• The server has a guaranteed uptime of close to 100%
• Cloud providers have top-tier certified data centres with round the clock (24 hours 7 days a week) security monitoring.
• Your information is encrypted using industry-accepted protocols.

4. SaaS cloud applicable is scalable as your business grows

Cloud payroll applications are scalable as compared to on-premise payroll software. For companies who manage seasonal, growing or fluctuating workforce in Singapore, this is good news.

As such, business owners need not worry about installing or upgrading new modules on on-premise payroll software. For cloud-based payroll software, you just pay a little more on a monthly or annual basis to use the add-on function whenever you need it.

5. Self-service portal for employees (accessible at any time)

Employee self-service (ESS) portals provide many key benefits to all staffs in the company: they can access the ESS portal anytime, anywhere, on any device. 

Employees can assess to ESS portals to view their HR and payroll information which include salary history, staff benefits, submit a leave request or claim reimbursement, update their contact details, download payslips and many more. Many employees love this feature and it also frees up the HR team workload, thus allowing them to focus on more essential activities.

6. Offer higher return on investments

Cloud-based SaaS solutions do not require high one-time upfront investment unlike on-premise HR application. Business owners do not need to consider the cost of managing in-house server, issue with installation of software, compatibility with different devices, and there is no purchase of upgrades. 

Employers can save money on upfront Capex and are clearly aware of the on-going operating costs when they use cloud-based applications.

Besides, SaaS providers provide regular updates and add on new features throughout the year, at no cost to the business owners. There are no long downtimes to handle and if you have an in-house IT team, they can focus on other priorities. Where there are changes in Singapore regulatory relating to payroll, the cloud software team updates the SaaS application.

7. Cloud-based payroll applications are environmental-friendly

With lesser hardware and in-house servers to maintain, many companies can reduce energy consumption and carbon footprint – this is a key concern for environmentally-conscious companies. 

Besides, when you use a SaaS-based application, it only uses cloud storage and it increases as you use them. As such, there is no wastage! 

In summary, when you start to use a cloud payroll system, you are simplifying process, improve productivity & efficiently, reduce upfront costs and at times, more happy employees thus reducing staff turnover. That’s especially true for cloud-based payroll system we have been using to service our Singapore clients.

Our cloud payroll team can help to relief 50% of your in-house payroll team’s workload, improve accuracy, streamline process & tax filings and providing visibility to your payroll dollars. 

If you’re keen to outsource your in-house payroll process and use a cloud-based payroll solution, we can assure you that your data is secured and meets the industry’s best practices in security and infrastructure protocols.

Our cloud payroll team is ready to take care of your HR affairs and are available to meet you during office hours in Singapore.