Payroll for starting CPA firms

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#1
Posts:
55
Joined:
8-Dec-2020 3:00am
Location:
Texas
I have just started my practice and I find it challenging to price payroll services. My bookkeeping clients need payroll and in my market I can't not do payroll. They need to go together.

I started exploring software to use and checked Intuit and Gusto. Their pricing looks on the high side and i'm not sure how to pass the cost to my clients + profit.

For example, My client used to run his Locksmith business him self. He wanted to add a dispatcher on payroll. So, Intuit would charge me $45 a month + $4 per employee. There is no way I can charge that to him let alone my time.

I would appreciate any advice for this small level and if there are other affordable software you use
 

#2
Posts:
847
Joined:
1-Sep-2020 2:47pm
Location:
845-NY
Call ADP, Paychex and Heartland (or whoever a 3rd party might be in your area) and price out that same payroll request.
You can't price yourself out of the market just because the client can't afford the service, and you don't want to undersell far below market.
I don't do bookkeeping, payroll or sales tax, but I have some 3rd party referrals(bookkeepers) who I can point clients to that need those services.
 

#3
Posts:
8292
Joined:
4-Mar-2018 9:03pm
Location:
The Office
I wouldn't try to compete with ADP, Gusto, etc on price, especially with the experience that you have per your profile.

Both you and your clients might be better served if you set them up with a payroll provider, then for a fee train them to to use the platform. You can explore bulk pricing with the provider and pass along the savings to clients.

They will run payroll regularly on their end and you are freed up to pursue the higher value-add services.
 


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