Paycom Reviews - Pricing, Pros/Cons, User Reviews

Discover the real user experiences with Paycom through insightful reviews. Uncover the pros and cons, user satisfaction, and key features to make informed decisions about this HR and payroll solution

Brett Ungashick
OutSail HRIS Advisor
July 4, 2023
user comparing HRIS systems

Paycom: A Single Database Solution in the HRIS Realm

The Human Resources Information System (HRIS) landscape has evolved significantly recently. As businesses strive for greater efficiency, comprehensive HR solutions have emerged as a powerful tool to streamline HR processes. In this review, we look closely at Paycom, a standout player in the HRIS industry, and explore its strengths and considerations for businesses considering adopting this platform.

Overview of Paycom

A Glimpse into Paycom's Journey

Paycom's journey in the HRIS industry has been marked by innovation and a commitment to providing comprehensive solutions. Founded in 1998, the company has become a respected player in the mid-market HRIS segment. It caters primarily to companies with 50 to 750 employees, offering a full suite of HRIS services.

Cost Structure

Regarding costs, Paycom adopts a per-employee-per-month (PEPM) pricing model. Depending on the size of your company and the modules you require, you can expect to pay around $24 to $30 PEPM.

banner ad for OutSail app

Additionally, Paycom typically charges a one-time implementation fee, ranging from 10% to 20% of your annual software fees.

The Strengths of Paycom

1. Single Database Solution

Paycom's status as a single database solution is one of its most significant strengths. This design choice means that all modules within the system are tightly integrated, reducing the need for manual data entry and ensuring a consistent user experience.

2. Complete Module Spectrum

Paycom's suite covers every aspect of the HR lifecycle, from recruitment and onboarding to payroll, benefits administration, and performance management. This comprehensive approach makes it appealing for companies seeking an all-in-one HRIS.

3. Unified Reporting

The integrated nature of Paycom's platform leads to more holistic and accurate reporting. With data flowing seamlessly between modules, businesses can generate comprehensive reports that provide valuable insights into their workforce.

4. Commitment to Upgrades

Paycom's commitment to continuous improvement is evident in its recent payroll processing workflow update. This update aims to streamline the workload for payroll managers, reducing administrative burdens and increasing efficiency.

5. Advanced Mobile App

Paycom places a strong emphasis on employee self-service through its mobile app. This proactive approach encourages employees and managers to contribute to the system, reducing the workload on administrators and fostering a more engaged workforce.

6. Dedicated Support

Paycom offers a dedicated support model where customers have a single point of contact for assistance. This approach eliminates the need for customers to wait in queues or submit tickets, resulting in more responsive support.

7. Ideal for Smaller HR Teams

Paycom's comprehensive HRIS is an attractive option for companies with smaller HR teams. It enables them to manage all aspects of HR without needing a large in-house support team.

Unlock Full HRIS Insights: Get comprehensive insights on Paycom and others—unlock detailed reviews, pricing, pros, and cons by signing up for our HRIS Marketplace.

Areas of Consideration with Paycom

1. Limited External Integrations

Paycom's philosophy encourages customers to take an "all-in" approach to their system. While the platform supports manual file uploads and occasional API integrations, it may not be the best choice for companies requiring extensive integrations with multiple standalone HR systems.

2. Varied Experience Levels

While the dedicated support model is a benefit, account management representatives' experience and competence levels can vary. Businesses should manage their expectations regarding the level of HR best practices guidance they receive.

3. Global Reach Concerns

Paycom primarily serves as a domestic payroll and HRIS system. While it allows for storing employee data for global employees and offers modules like onboarding and performance management, it lacks global offices, language localization, or robust global payroll capabilities.

4. Pricing Model

Paycom is considered a premium-priced service in the HRIS market. Businesses should be prepared for higher costs compared to some of their peers. This pricing model can place Paycom at a 30-50% higher price bracket than other HRIS options.

5. Hidden Charges

Some businesses may encounter unexpected costs due to Paycom's specific billing model, which includes one-time implementation fees. It's essential to review the pricing structure to avoid any surprises carefully.

Deciding if Paycom is Right for Your Business

Holistic HR Needs

If your business seeks a comprehensive HR solution covering the entire HR lifecycle from recruitment to retirement, Paycom is a strong contender. Its integrated platform offers a unified experience that can streamline HR processes.

Integration Requirements

Businesses that prioritize extensive integrations with third-party HR systems, such as Applicant Tracking Systems (ATS) or Learning Management Systems (LMS), may find Paycom's limitations in this area challenging. Consider your integration needs carefully.

Budgetary Constraints

While Paycom offers a robust HRIS solution, its premium pricing model may not align with all budgets. Businesses should weigh the platform's benefits against its higher costs and potential hidden charges.

Support Expectations

If having a dedicated support model with a single point of contact is crucial to your business, Paycom offers this advantage. However, be mindful of potential variations in the expertise levels of account management representatives.

Conclusion

In conclusion, Paycom stands out in the HRIS market for its unique position as a single database solution. Its comprehensive suite of HR modules, commitment to upgrades, and dedication to employee self-service make it an appealing option for many businesses. However, companies should carefully consider factors such as integration requirements, budget constraints, and global reach concerns before deciding.

Despite its limitations, Paycom's robust roadmap and continuous innovation position it as a valuable player in the HRIS industry, offering a modern platform that can meet the evolving HR needs of businesses

Reports
2024 HRIS 
Landscape Report
Read OutSail's 2024 HRIS Report with write-ups on 30+ leading vendors
Thank you! You can download your report at this link
Oops! Something went wrong while submitting the form.
Services
Unsure about your software needs?
Use our HRIS Requirements Builder to quickly identify your must-have & nice-to-haves
Brett Ungashick
OutSail HRIS Advisor
Accelerate your HRIS selection process with free support
Thank you! Our team will reach out to you shortly
Oops! Something went wrong while submitting the form.

Meet the Author

Brett Ungashick
OutSail HRIS Advisor
Brett Ungashick, the friendly face behind OutSail, started his career at LinkedIn, selling HR software. This experience sparked an idea, leading him to create OutSail in 2018. Based in Denver, OutSail simplifies the HR software selection process, and Brett's hands-on approach has already helped over 1,000 companies, including SalesLoft, Hudl and DoorDash. He's a go-to guy for all things HR Tech, supporting companies in every industry and across 20+ countries. When he's not demystifying HR tech, you'll find Brett enjoying a round of golf or skiing down Colorado's slopes, always happy to chat about work or play.

FAQ

Everything you need to know about OutSail
What is OutSail?
OutSail is the first-ever broker of HR Software. We offer market insights, evaluation tools & advisory services to help organizations research, evaluate and select the right HR software. And best of all - OutSail is free!
How is OutSail free?
OutSail is free due to our one-of-a-kind software broker model. When a company makes a purchase through OutSail, the winning vendor owes us a small fee for making the introduction.

No Hidden Fees - You don't pay for our services and the vendors don't pass our costs along either
Vendor Agnostic - OutSail partners with 220+ HR Tech vendors including every market leader
What are the benefits of OutSail?
1.) Market Insights: Access the industry's most trusted data. Read user reviews of every leading HRIS vendor. Access verified pricing data. Use proprietary tools to sort & filter by your selection criteria.
2.) Evaluation Tools: Access to project plans & timelines. Customize your own scorecard tools. Leverage expert-generated demo questions. Collaborate with your team
3.) Advisory Services: Work with HRIS industry experts. Assistance during proposal review and guidance for negotiations. Implementation readiness
What if I'm a broker, consultant or vendor?
We love partnering with brokers & consultants and bringing innovative vendors to our customers. Follow those links to learn more about how we can partner together and bring OutSail's benefits to your customers.

The Future of Software Buying

See why modern buyers prefer OutSail's broker model when buying their next HRIS