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Paylocity Corporation — Paylocity Web Pay




Best Fit

Companies who want a web-based payroll and human resources application that integrates with many entry-level and mid-range accounting and ERP applications.


  • Uses a single database for payroll and HR data, and allows documents to be attached to electronic personnel files in their native formats.
  • Provides integration with many popular accounting packages, including QuickBooks, Sage Peachtree, many of the products in the Microsoft Dynamics and Sage Software product lines, as well as many popular retirement plan and health insurance companies.
  • Data-entry screens use customizable templates, and can be rearranged to meet specific customer names.
  • Employee portals can be rebranded to have the company name on them.
  • Supports reports comparing different companies or departments.
  • Alerts and reminders are included to help firms and clients keep payroll processing on schedule, notify users of cash requirements or track time-sensitive tasks.

Potential Limitations

  • May not be the right solution for users with satellite internet connections, those who have unreliable internet access, or users who do not need HR management tools.


Paylocity Web Pay is a web-based payroll and human resources (HR) service solution designed for small and medium-sized businesses. Web Pay is built on the most recent internet technologies, allowing for a rich feature set without compromising security. Web Pay can handle a wide range of payroll situations ranging from basic to complex needs. With its shared database, Web Pay is a strong solution, especially for those businesses that do not have the resources to dedicate to a full HR department.


Paylocity Web Pay is accessed exclusively through a web browser, allowing access to payroll from anywhere with an internet connection. Users login to the Web Pay service through procedures similar to many bank and investment web portals. Paylocity employs the highest level of encryption (256-bit) available in modern browsers. Access to the payroll service is also restricted utilizing internet security standards used by all reputable online retailers and financial institutions. These security measures allow for a secure work environment for both those responsible for processing payroll and for the employees whose data is contained within the service.

Although fully contained in an web browser, navigation is still largely done through the use of traditional drop-down menus. These menus are divided into logical categories with multiple options to drill down further. This allows for a clean interface that remains easy to navigate. Once inside Web Pay, the data-entry screens are mostly run through templates. These templates are fully customizable and can be specifically tailored for the fields needed and the desired data-entry order.

Web Pay supports an unlimited number of employees and includes payroll tax tables for all states and any related localities. Support is also available for those employees that require multistate reporting. Pay groups may be set up to include any number of filters, including department or subsidiary, pay rate, and frequency or pay type, such as an independent contractor. Web Pay allows each employee paycheck to have an unlimited number of additions and deductions.

For accountants with multiple payroll clients or multi-location businesses, single login access is available. From this login, reports can be run for all companies and can be filtered to include or exclude clients/locations. This enables creation of a quick comparison summary of two different clients/locations without having to manually combine reports.

Other functionality includes after-the-fact payroll, which can be accomplished through individual checks or through batch processing. Direct deposit is also included and allows for an unlimited number of bank and investment accounts, as well as access to prepaid debit cards for those without bank accounts.

In addition to payroll, Web Pay also has a strong HR module that allows for full record keeping on employees, from spouse and dependent information to pay and benefits history and even training and performance reviews. Documents can be attached to the employee’s personnel files and are retained in their native formats. Since the database is shared between payroll and HR, users with appropriate login credentials can easily obtain an overall view of a particular employee or group of employees. 4.5


Full compliance reporting is included in the Web Pay service. All federal, state and local tax remittances that are accepted through electronic filing are included, as well. Any forms not supported for electronic submission can be printed and filed through traditional means. Web Pay allows any number of alerts and reminders to prompt users for action. These alerts and reminders may include upcoming payroll runs and related cash requirements, upcoming renewal dates for required certifications, time off requests or any time-sensitive task or action desired.

Web Pay includes more than 100 predefined reports with the ability to create custom reports through a large number of customization and filter options. All customized reports can be saved as a favorite to be run on a regular basis. New for 2011 is the addition of “effective dating”, which allows reports to be run at a specified point in time to get a snapshot view of both payroll and HR data, as well as period-over-period trend reporting. The output for all reports may be exported to Microsoft Excel, including Excel 2007/2010, PDF, HTML and numerous image file formats. 4.75


As previously noted, Web Pay has a unified database that contains both payroll and HR data, which provides for tight integration between the two functions. Additionally, the product offers automated file transfer capabilities with many of the popular retirement plan and health care benefit providers. Web Pay provides integration to many popular accounting general ledger packages, including QuickBooks, Sage Peachtree and Sage ERP, and Microsoft Dynamics applications. Web Time is Paylocity’s timekeeping module that allows employees to enter time directly into the Paylocity secure portal. Web Pay can import CSV files from nearly any time management program. This direct import and integration with Web Pay helps reduce any time-related data entry. 4.75


Unlimited training is included with each license and is provided through documents and videos linked directly from the navigation menus. On-screen Help is available by clicking on the question mark icon in the upper right-hand corner of the screen. This Help screen is fluid and displays assistance for the screen currently being viewed. The on-screen Help provides detailed instructions for most data-entry fields. If questions remain or clarifications are needed, live, phone-based support is included in the license, as well. Since the Web Pay is exclusively web-based, all updates are done in real time by Paylocity without any necessary user intervention. 4.5


Based on client feedback, Web Pay has redesigned its employee portals for 2011. The employee portals are now controlled through templates and can be fully branded by the company. These templates are customized by the payroll administrators and can control customization options available to employees. Through these portals, employees can view current, past and year-to-date payroll history, view time and benefits accruals, apply for benefits, submit requests and various documents to supervisors, as well as update certain personal information, such as address changes and dependent information. Historical tax documents are also available. 4.5


Web Pay is unique in that it combines payroll and HR functions into one streamlined package. Companies of all sizes can use Web Pay, but smaller companies without resources to dedicate to HR functions will really see a benefit. Pricing can be done a la carte, but most businesses can tailor their needs through a package deal. Pricing generally starts around $2 to $4 per employee, per month.

2011 Overall Rating 4.5


Product Delivery Methods

___ On-Premises

_X_ SaaS

___ Hosted by Vendor

See inside September 2011

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