Paycom vs. ADP: Which Is Best for Your Business?
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Paycom and ADP Workforce Now are both widely used payroll platforms that offer similar features. Paycom is an enterprise-level solution, designed to work with larger businesses that have advanced payroll and HR needs. In contrast, ADP is much more approachable for small- to medium-size businesses that want to streamline their payroll and HR processes.
ADP Workforce Now
All-in-one, single software plan.
Four package options.
A few add-on services through the Paycom system, such as an ACA-specific tool.
Variety of third-party integrations available across multiple product categories.
Self-service app available for iOS and Android.
Self-service app available for iOS and Android.
Dedicated specialist assigned to answer questions.
24/7 online and phone support.
Larger businesses that have more advanced payroll and HR needs.
Small- to medium-size businesses that want to streamline their processes.
Paycom’s features are extensive so we’ll focus on some of the top highlights, especially as they compare to ADP.
Paycom accommodates payroll and HR processes in a single system and offers one version of its service, although certain add-ons are available based on your business’s needs.
Features are grouped into five categories: payroll, time and labor management, HR management, talent acquisition and talent management.
To summarize these features:
On the whole, Paycom offers detailed and customizable tools, all of which sync together and reduce the need for manual data entry or initiated transfers. You can access the entire platform through one login and generate reports across the system — incorporating data from multiple years, EINs and locations within the software.
One of the most notable Paycom features, the employee self-service app, is available for both iOS and Android devices and gives your employees the ability to manage all of their necessary tasks including onboarding, benefits and performance reviews.
Paycom’s enterprise-level payroll and HR software allows you to manage multiple processes at once, and also offers significant automation, customization and advanced tools.
ADP Workforce Now features
How does ADP Workforce Now stack up against Paycom in terms of features? While Paycom’s capabilities are bundled into a single software solution, ADP breaks its platform into four package options: Payroll Essentials, HR Plus, Hiring Advantage and Performance Plus.
The specific features you receive will depend on which package you choose, but all packages include payroll and tax. Higher-level plans offer enhanced HR features, onboarding functions, recruiting and performance management.
ADP Workforce Now, like Paycom, includes an employee self-service mobile app for iOS and Android devices in all its plans. Employees can manage their time, benefits and pay while managers have the ability to approve requests, view analytics, access employee information and communicate with their team.
ADP also offers a number of options for integrations with third-party tools, something that Paycom does not offer. You can connect to accounting software systems like QuickBooks and Xero with ADP, as well as platforms for enterprise resource planning, time and attendance tools, recruiting and onboarding apps, point-of-sale systems and employee benefits integrations.
ADP provides a similar level of functionality to Paycom with the Workforce Now Performance Plus package and add-ons, and it also offers customizable options for businesses that don’t need the full range of HR features that Paycom includes. However, ADP’s highly functional platform doesn’t reach the same degree of advanced automation and enterprise-level tools that Paycom offers.
Paycom vs. ADP: Pricing
It’s very difficult to evaluate Paycom versus ADP Workforce Now in terms of pricing because both are quote-based services, meaning you have to work with a company representative to determine the cost for your business.
Although you might assume that Paycom’s enterprise-level platform is more expensive than ADP Workforce Now, you won’t know definitively until you receive a customized quote. Also, because neither service offers transparent pricing, it’s worth asking about setup fees, tax form fees, cancellation fees and similar charges that can add to the cost of the service.
Paycom vs. ADP: Reviews
When comparing two business solutions, it’s always helpful to consult user reviews to get a better sense of how other business owners feel about their experience with each platform.
Paycom user reviews
4.2 out of 5 stars on G2 Crowd.
7.5 out of 10 stars on TrustRadius.
Reviewers of Paycom generally found the platform easy to use and accurate, and also commented on the range of features and user-friendly interface. However, issues with the bulk approval process, retirement plan integration and inadequate customer support were mentioned.
ADP Workforce Now user reviews
4.1 out of 5 stars on G2 Crowd.
8 out of 10 stars on TrustRadius.
Reviewers of Workforce Now frequently comment on ease of use and provide positive feedback on the payroll, time clock and PTO features. Some reviewers felt the quarterly tax calculations and customized fields could use some improvement while others found the folder layout challenging.
Overall, both ADP Workforce Now and Paycom reviewers had positive comments resulting in product ratings at the higher end of the scale.
A version of this article was first published on Fundera, a subsidiary of NerdWallet.