This guide covers details about ADP, including its main features, pros and cons, pricing, and alternative tools.
Founded more than 70 years ago, ADP is one of the most widely used payroll software solutions on the market. Some large US companies, including Pfizer, T-Mobile and Dell, use ADP for their HR functions. ADP has a strong reputation as a leader in the payroll industry. The most commonly used ADP functions include payroll, recruiting, tax management, and staff attendance. ADP offers some important benefits, but may not be right for everyone. This assessment will help you determine if ADP is the right solution for your business.
This guide covers details about ADP, including its main features, pros and cons, pricing, and alternative tools.
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The features of ADP
Time registration and attendance
ADP simplifies time tracking and attendance for HR professionals and employees. Businesses can install contactless kiosks to allow employees to clock in and out using speech and facial recognition software. In addition, users can use their mobile app or computer connected to the system for time tracking. A unique feature of ADP’s time tracking and attendance tool is that it allows companies to configure a scheduling system to help determine staffing needs. For example, ADP software will mark where you want to add or remove a person to cover a service.
payroll
ADP’s payroll processing tools enable automatic tax deductions, pension contributions, and health insurance contributions. Users can process payroll by importing data or manually entering the employee’s working hours.
Payment deposits can be set up for direct deposit, paper checks, or prepaid debit cards. Payroll taxes are calculated based on local, state, and federal rates. ADP automatically generates W2s, 1099 forms, and other payroll-related documents. You also get access to different types of payroll and HR reports that you can filter based on tax deductions, take-home pay, or other parameters.
Reporting of new employees
New hiring reporting tools help companies meet compliance requirements. This means you can use ADP to fill out all the necessary paperwork for new hires. You do not have to take into account different laws for new employees, the ADP team takes care of that for you.
ADP mobile app
ADP’s mobile app is one of its standout features. The app is designed for HR professionals and employees. The HR managers can use it to approve leave requests, set schedules and perform other HR functions. Employees can use the app for time registration, request leave, view wage data and more.
The advantages of ADP
- Scalability for businesses that expect to grow.
- Excellent mobile app.
- Full HR suite.
- High level of customization.
The Disadvantages of ADP
- Expensive for small businesses.
- Non-transparent prices.
- The initial setup can be confusing.
- No free trial.
ADP prices
ADP does not disclose its prices on the website. You need to contact their sales team or start their online quote process to get custom pricing based on your needs. There are several packages and options available so you can choose which features to include. Basic features like time tracking and automated tax filing are included in most plans, while advanced plans will include features like accounting integrations and new hire reporting.
How does ADP work?
ADP’s goal is to help streamline HR processes, making them more efficient and reliable. It does this by automating payroll to avoid costly mistakes. This includes calculating payroll taxes and making sure it meets local, state, and federal compliance requirements. ADP integrates with other HR, accounting, and time tracking applications to help businesses leverage multiple solutions for their needs. There is also a self-service app that allows employees to change their personal information, view pay slips or request time off. With ADP’s advanced feature, companies can fully automate employee data synchronization and expert support from a certified professional.
Alternatives to ADP
Here are some of the best ADP alternatives:
enthusiasm
Gusto is one of the best human resources and payroll programs. It is best suited for startups and small businesses with a mix of employees and contractors. Some of the additional features offered by Gusto include a wallet to help employees track their expenses and an automated charity donation tool.
Papaya worldwide
Papaya Global is ideal for companies that need a global alternative to ADP. It offers a single platform for payroll management and other HR tools for more than 160 countries. Moreover, the solution offers industry-specific analytics and is easily scalable to meet the needs of a growing business.
Paycor
Paycor operates as a full-service human capital management solution and offers a variety of HR tools. The basic plans include new rent reporting, tax filing, and payroll. The higher levels provide access to compliance support, employee benefits, and other advanced HR tools.
Who is ADP best for?
ADP offers a variety of features, making it ideal for small, medium and large businesses. However, its pricing structure makes it more suitable for companies with more than 50 employees. It’s also great for growing businesses as they can easily scale functionality by adding advanced features to their package. For example, companies can start with the basic plan that includes payroll and employee attendance, and as the business grows they can get advanced features like HR support and integrations. However, ADP is not recommended for small businesses on a tight budget or those looking for an in-depth free trial, as ADP does not offer one.
Review methodology
This assessment of ADP was based on reviewing ADP’s characteristics against competitors, pricing structure, potential drawbacks and limitations. In addition, we reviewed several components, including the user interface, payroll, report generation, and third-party integrations. We also studied customer reviews to get independent reviews.
