How to Switch Payroll Providers

Switch Payroll Providers the Right Way

Changing payroll providers can be simple when the process is planned carefully. RemoteBooksOnline helps small businesses review employee records, payroll tax setup, direct deposit details, year-to-date payroll reports, state accounts, W-2 and 1099 information, and bookkeeping alignment before switching.

Call Me Back

When Should You Switch Payroll Providers?

The beginning of the year is often the cleanest time to switch payroll providers because payroll records start fresh. However, small businesses can also switch payroll providers during the year if year-to-date wages, payroll taxes, deductions, benefits, contractor payments, and prior payroll filings are complete and accurate. The best time to switch depends on your payroll frequency, employee count, state payroll accounts, current provider, payroll tax setup, and how clean your payroll records are. RemoteBooksOnline can help review your current payroll setup before you switch from ADP, Gusto, QuickBooks Payroll, Paychex, Square Payroll, OnPay, Paylocity, Patriot Payroll, Rippling, or another provider.

Step-by-Step Guide to Switching Payroll Providers

Review Your Current Payroll Provider

Identify your current payroll provider, payroll plan, payroll frequency, employee count, contractor count, payroll states, and tax filing setup.

Choose Your Switch Date

Decide whether you are switching at the beginning of the year, beginning of a quarter, or mid-year. Confirm the final payroll run with the old provider and first payroll run with the new provider.

Collect Employee and Contractor Records

Gather employee names, addresses, Social Security numbers, pay rates, direct deposit details, deductions, benefits, and contractor information.

Gather Payroll Tax Information

Collect your federal EIN, state withholding account numbers, unemployment account numbers, local payroll tax accounts if applicable, and prior payroll tax filing records.

Export Year-to-Date Payroll Reports

Export year-to-date wage reports, payroll tax reports, deduction reports, benefit reports, employer tax reports, and contractor payment reports from your current provider.

Set Up Payroll With the New Provider

Provide employee records, tax account information, bank details, payroll schedule, prior payroll history, deduction details, and state setup to the new payroll provider.

Verify the First Payroll Run

Review employee pay, tax calculations, deductions, direct deposit timing, and payroll reports before the first payroll run is finalized.

Align Payroll With Bookkeeping

Make sure wages, employer taxes, deductions, reimbursements, contractor payments, and payroll liabilities are recorded correctly in your books.

Information You Need Before Switching

  • tick Current payroll provider
  • tick Final payroll date with old provider
  • tick First payroll date with new provider
  • tick Employee names and contact details
  • tick Employee Social Security numbers
  • tick Employee addresses
  • tick Pay rates and employment status
  • tick Payroll frequency
  • tick Contractor details
  • tick Federal EIN
  • tick State withholding account numbers
  • tick State unemployment account numbers
  • tick Local payroll tax accounts if applicable
  • tick Direct deposit details
  • tick Bank account information for payroll funding
  • tick Year-to-date wage reports
  • tick Year-to-date payroll tax reports
  • tick Deduction and benefit details
  • tick Garnishment information if applicable
  • tick W-2 and 1099 information
  • tick Payroll liability balances
  • tick General ledger mapping
  • tick Bookkeeping reports

Can You Switch Payroll Providers Mid-Year?

Yes. You can switch payroll providers mid-year, but the process requires accurate year-to-date payroll information. The new provider needs prior wage, tax, deduction, benefit, contractor, and payroll filing information so year-end payroll reporting is accurate. Before switching mid-year, confirm that your current provider can export complete payroll reports. Missing year-to-date payroll information can create problems with tax filings, W-2s, 1099s, and bookkeeping reconciliation.

Common Payroll Providers Businesses Switch From

Switch from ADP

Review ADP payroll records, employee information, tax accounts, and year-to-date reports before switching.

Switch from Gusto

Review Gusto payroll setup, employee records, contractor payments, tax filings, and deductions before switching.

Switch from QuickBooks Payroll

Review QuickBooks Payroll reports, payroll tax setup, employee data, and bookkeeping mapping before migration.

Switch from Paychex

Review Paychex payroll history, state accounts, employee records, tax filings, and year-to-date reports before switching.

Switch from Square Payroll

Review Square Payroll employee, contractor, tip, payroll tax, and reporting details before switching.

Switch from Other Providers

Review your payroll provider, payroll records, tax setup, and bookkeeping needs before switching.

Payroll Switching and Bookkeeping Alignment

Payroll switching should include a bookkeeping review. Payroll affects your financial statements every pay period. Wages, employer taxes, employee deductions, benefits, reimbursements, contractor payments, and payroll liabilities must be recorded correctly. If RemoteBooksOnline already handles your bookkeeping, payroll migration can be coordinated with your bookkeeping services and accounting services so payroll reports support cleaner month-end close and better financial reporting.

Explore our bookkeeping services, accounting services, payroll processing services, and Payroll Migration Checklist.

What to Check After the First Payroll Run

  • tick Employee pay amounts
  • tick Direct deposit timing
  • tick Employee tax withholding
  • tick Employer payroll taxes
  • tick Benefit deductions
  • tick Retirement deductions if applicable
  • tick Contractor payments
  • tick Reimbursements
  • tick Payroll tax liabilities
  • tick Payroll reports
  • tick General ledger mapping
  • tick Bookkeeping entries
  • tick Payroll liability balances
  • tick Cash withdrawals from the bank account

Simple Payroll Pricing After You Switch

RemoteBooksOnline payroll is designed with clear monthly pricing. Full Payroll is $50 per month plus $7 per employee. Basic Payroll is $40 per month plus $6 per employee. Additional states are $10 per month per state. There are no per-run payroll fees.

See Payroll Pricing

Ready to Switch Payroll Providers?

If you are considering a payroll provider switch, RemoteBooksOnline can review your current payroll setup, employee count, payroll frequency, number of states, tax setup, and bookkeeping needs before preparing a payroll quote.

Get My Payroll Quote

Frequently Asked Questions

Start by choosing a switch date, collecting employee records, exporting year-to-date payroll reports, gathering tax account information, setting up the new provider, verifying the first payroll run, and aligning payroll reports with bookkeeping.

Yes. A mid-year payroll switch is possible if accurate year-to-date wage, tax, deduction, benefit, contractor, and payroll filing information is available from the current provider.

The beginning of the year is often the cleanest time to switch payroll providers, but some businesses also switch at the beginning of a quarter or mid-year when payroll records are complete.

Typical information includes employee records, contractor records, payroll frequency, federal and state tax account numbers, direct deposit details, year-to-date payroll reports, deduction details, and prior payroll filings.

Direct deposit should be reviewed during setup. Bank information, employee direct deposit authorization, payroll funding timing, and first payroll run timing should be verified before processing payroll.

W-2 reporting depends on accurate year-to-date wage and tax information. If you switch during the year, prior payroll records must be transferred or reviewed so year-end W-2s can be prepared correctly.

Contractor records and year-to-date contractor payment information should be reviewed before switching so 1099 reporting remains accurate.

Yes. Payroll affects bookkeeping because wages, employer taxes, deductions, reimbursements, contractor payments, and payroll liabilities must be recorded correctly in the books.

Yes. RemoteBooksOnline can review payroll setups from ADP, Gusto, QuickBooks Payroll, Paychex, Square Payroll, OnPay, Paylocity, Patriot Payroll, Rippling, and other providers before helping plan next steps.

Start by requesting a payroll quote. RemoteBooksOnline will review your employee count, payroll frequency, payroll states, current provider, tax setup, and bookkeeping needs before preparing next steps.

Ready to Switch Payroll Providers?

RemoteBooksOnline can help review your current payroll provider, employee count, payroll states, tax setup, payroll reports, and bookkeeping needs before preparing a payroll quote.

Get My Payroll QuotePayroll Migration Checklist

Trusted by thousands of small businesses across the US, see what our customers say.

Read all reviews

Need Predictable Payroll Pricing? Flat-rate payroll pricing for small businesses with unlimited payroll runs, tax filings, direct deposit, and compliance support.
Get My Payroll Price