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3 Signs It’s Time for a New Payroll Solution

Is payroll an ongoing source of frustration for your business? If so, you’re not alone — construction payroll is complex.  

The good news is that it doesn’t have to be this way. Many of your payroll problems could be a result of using the wrong payroll solution. But how do you know that your payroll solution needs an upgrade?

This article explores three signs it might be time to make a change.

1. Double Data Entry Is Draining Your Resources

Double (or triple!) data entry not only wastes staff time and resources, but it also increases the risk of errors. To determine whether manual data entry is draining your resources, ask yourself: 

  • Are your team members spending hours each week manually entering the same data into multiple systems?
  • Do you find yourself logging time into your payroll system, project management platform, and accounting software separately?
  • Are your skilled payroll staff members unable to focus on strategic tasks because they’re busy with manual data entry?
  • Do you frequently discover inconsistencies between your various systems?
  • Have data entry mistakes caused employee pay errors?

2. Compliance Issues Are Keeping You Up at Night

Contractors must navigate compliance requirements that vary by project type, location, and funding source, so compliance challenges are common when using generic payroll solutions that weren’t built for the complex needs of the construction industry. 

To establish whether you need a better handle on compliance, consider these questions:

  • Do you worry about Davis-Bacon Act compliance?
  • Is it challenging to track prevailing wage rates across different jurisdictions?
  • Are you struggling to manage both union and non-union payroll requirements?
  • Is certified payroll reporting a frustrating task?
  • Have you faced penalties from compliance failures? Or fear that you might?
  • Are you concerned about being excluded from future government contracts due to compliance violations?

3. Field-Office Communication Gaps Are Hurting Productivity

Poor communication between the field and office is not just an inconvenience — it can result in serious problems that impact profitability. To examine whether communication gaps may be impacting your bottom line, ask yourself the following:

  • Is your payroll staff constantly chasing down missing information or correcting errors?
  • Are your project managers struggling to get real-time labor cost data?
  • Are field teams submitting delayed or inaccurate timecards?
  • Are decisions being made based on outdated project information?
  • Do important communications frequently get lost between the field and office?

The Benefits of a Modern Construction Solution

Cloud-based construction-specific payroll solutions are designed to address these common challenges. The benefits of implementing a modern construction payroll solution include:

  • Seamless integration: Eliminate double data entry with payroll systems that communicate directly with your accounting and project management platforms.
  • Built-in compliance tools: Automatically handle prevailing wage calculations, certified payroll reporting, union reporting, multi-state taxes, and more.
  • Improved field-office communication: Create a seamless flow of information between the field and office, improving accuracy, efficiency, and communication across your entire organization.
  • Mobile capabilities: Teams can instantly complete a number of critical tasks from any device, including submitting and approving time, generating daily reports with photos, tracking equipment and materials, accessing paystubs, and updating HR information.
  • Real-time insights: Automated workflows streamline processes and ensure you have access to accurate labor cost data and real-time project reports whenever you need them.
  • Scalability: Grow your business without growing your administrative burden.

By investing in a modern, construction-specific payroll solution today, you’re not only solving current problems, but you’re also positioning your business for future success. The right solution will take the frustration out of payroll and give you the competitive edge needed to thrive in an evolving construction environment.