The Total Economic Impact™ of Paycom
50 %
reduction in payroll processing time
45 %
reduction in time spent correcting payroll errors
2400 hours
saved by HR annually
TEI methodology
Forrester constructed a Total Economic Impact™ (TEI) framework and took a multistep approach to identify the cost, benefit, flexibility and risk factors that affect an organization’s decision to switch to Paycom.
Forrester interviewed five representatives who use Paycom and Beti®. The interviewees’ experiences were combined to create a composite organization from which these findings were derived.
Composite organization key assumptions:
- U.S.-based with 70 locations
- 2,500 employees
- Multiple pay structures
- Payroll processed weekly
Payroll efficiency increased
When employees do their own payroll with Paycom and Beti, tedious, time-consuming processes are removed.
90%
reduction in payroll processing time
See how Paycom and Beti® bring greater payroll efficiency
The Forrester study found that when employees do their own payroll in Paycom’s single software, HR teams avoid tedious tasks like compiling data from multiple systems or running reports.
This gives payroll professionals more time to work on projects that add value to the organization and its employees.
“Both of us were kind of working seven days a week. But [now with Beti], we can get everything done in a normal work week.”
—vice president of payroll, health care
See how Paycom and Beti® bring greater payroll efficiency
Payroll errors and time spent fixing them reduced
Employees doing their own payroll with Beti brings greater accuracy.
85%
reduction in time spent correcting payroll errors
Learn more about the Forrester study in our blog post
Beti is Paycom’s employee-guided payroll experience. It flags payroll errors and guides employees to fix them before payroll is processed.
Before Beti, once payroll was processed, interviewees described the monotony of auditing for errors and ensuring that taxes, garnishments and any other requirements were being properly met and accounted for.
Beti handles all of that automatically and reduces costly post-payroll corrections, resulting in $722,000 in savings over three years.
“When you’re processing payroll, you actually get to see a comparison of this week’s payroll compared to last week, and it shows you flags of what you should be looking at. It also gives you alerts at the top that say, ‘You might want to check these people out. They have a net zero check or were terminated and probably shouldn’t be pulled into the payroll.’”
—vice president of total rewards and systems in consumer services
Learn more about the Forrester study in our blog post
Paycom reduced HR’s burden
Employee-guided payroll brings greater efficiency to HR teams.
2,600
hours saved by HR annually
Download our infographic for Forrester stats at a glance
When employees do their own payroll, accounting teams have a much easier time reviewing and making necessary adjustments before payroll errors can impact employees.
Since this is happening in Paycom’s single software, it significantly reduces manual work related to benefits and open enrollment, hiring and termination, garnishments and taxes, and fielding employee questions.
These HR and accounting team efficiencies represent $482,000 in savings over three years.
“If it wasn’t for a lot of the things that we’re able to do in Paycom, we would definitely not be able to have just two people processing payroll. We would need four or five people in payroll.”
—head of payroll, health care
Download our infographic for Forrester stats at a glance
Paycom and Beti brought nearly $3.8 million in total benefits over three years
See how employee-guided payroll impacts your organization.
| Total Quantified Benefits of Paycom Over 3 Years for a 2,500-Employee Composite Organization | |
|---|---|
| Benefit | Present Value |
| Savings from consolidating legacy systems | $2,296,359 |
| Efficiency gains for the payroll team | $721,869 |
| Efficiency gains for HR and accounting teams | $481,574 |
| Paycom services | $275,563 |
| Total | $3,775,365 |
See how employee-guided payroll impacts your organization.