Paperless Payroll: 6 Things Employers Need to Know
paperless payroll on laptop

Paperless Payroll: 6 Things Employers Need to Know

Article Updated November 21, 2018

Now more than ever, businesses are looking for ways to go green, while also maintaining security. Doing away with paper pay stubs and checks in favor of an online portal is a great way to do just that. The benefits of paperless extend further as the majority of employees today prefer direct deposit and receiving their check stubs electronically.

Why should I switch to direct deposit and paperless?

1. Give employees what they want

Not only are online check stubs a good way to save paper and money, but they are also very popular with employees. 87% of employees are highly satisfied with their decision to use direct deposit, according to a recent NACHA survey. 73% say it helps them feel in control of their finances while 72% say it helps them manage their money. With the introduction of mobile apps, employees are able to view their pay details securely from anywhere at any time.

checking payroll on mobile phone

2. Reduce paper waste

Although 64% of employers encourage or require workers to use direct deposit, 43.9% of American wage earners receive a paper pay stub. That adds up to approximately 1.8 billion paper check stubs each year. That’s 3.6 million reams of paper and more than 200,000 trees. Switching to online check stubs is a simple way to reduce your company’s carbon footprint.

3. Keep your payroll information securely accessible

There are many benefits to switching from paper paychecks to online check stubs, including security. You never know where paper pay stubs may end up, which means your employees’ sensitive information could be at risk. An online system allows employees to view their pay stubs securely and on their own time. Online check stubs along with online reports also mean no delivery fees or lost payroll records.

Employers should know that workers trust direct deposit. According to NACHA, 83% say it’s a safe and secure method to receiving pay.

4. Keep payroll records up to date

Using checks means that an employee who is sick or on vacation doesn’t get paid until they come back to work. Employees like being paid immediately, regardless of whether they are in the office on payday. Moreover, bookkeeping will be immediately up to date; you don’t have to wait until everyone cashes their check for the books to balance.

5. Reliability

With direct deposit employers are able to process payroll and pay their employees on time regardless of national holidays or things like bad weather or natural disasters. This puts confidence and reliability into an organizations framework.

payroll data on laptop

6. Costs of running payroll

Paychecks are expensive. According to the National Federation of Independent Business (NFIB), it costs employers $3 to print a single check. For organizations with a dozen or more employees, and those looking to grow, these costs can begin to stack up quickly.

ABOUT PAYCOR

More than 30,000 medium-sized and small businesses trust Paycor to help them manage their most valuable asset – their people. Paycor is known for delivering modern, intuitive recruiting, HR and payroll solutions, but what distinguishes us is our singular focus on helping business leaders, entrepreneurs and HR professionals make a real difference in their organizations.


Subscribe to Our Resource Center Digest

Enter your email below to receive a weekly recap of the latest articles from Paycor's Resource Center.

Check your inbox for an email confirming your subscription. Enjoy!

More to Discover

CFO

Compliance Guide for Finance Leaders

Compliance Guide for Finance Leaders

As part of our commitment to help Finance leaders make a difference in their organizations, we’ve published this compliance deep dive to help you stay current and effective in a fast-paced and changing world. Inside you’ll learn: How to maintain compliance with federal regulations through the employee lifecycle Potential violations to watch for and tips to avoid them Expert advice on how HR can mitigate risk Complete the form and get your 2019 Compliance Guide instantly.

HR COE Compliance Benchmark Quiz

HR COE Compliance Benchmark Quiz

Is your organization at risk? The path to achieving excellence in recruiting is a continual journey that evolves over three phases. To find out what phase you’re in and get a customized action plan. TAKE OUR QUIZ TO FIND OUT: Quiz will load down below shortly Content loading... Please enable javascript! Compliance Benchmarking Quiz What’s preventing you from attracting and hiring top talent? To get to the next level, analyze your current compliance practices to find out where you are at risk. Then develop strategies to address those problem areas. Based on your responses, you’re in Phase 1: To get to the next level, look for the right technology to proactively monitor compliance. When you find the right fit, invest in technology to lay...

3 Steps to a Successful Year End

3 Steps to a Successful Year End

Year-end is a busy time for businesses, and it can be stressful to think about all the things you need to do to prepare for the end of one year and the beginning of the next. To help you avoid uncertainty and desperation, follow this 3-step guide to ensure a successful year-end.

What's Changing in 2019 Infographic

What's Changing in 2019 Infographic

Regulation changes, wage increases and new contribution limits…oh my! Here’s a look at the latest updates that are likely to impact your organization in 2019.