Paychex Sucks
1.) Some of Paychex representatives are not competent or do not care. I've seen instances where paychex failed to provide social security numbers for employees on Government filed reports. Getting a social security number is not hard to get for an employee and they should know better than to file payroll returns and W-2's with out this REQUIRED information. This lack of care leads to payroll tax notices the company receives and could lead to penalties. And it is hard to get paychex to handle payroll tax notices even if it is their screw up.
2.) Paychex 401k fees are high and absurd. I have 401k with them and they charged me almost 20% in fees on my contributions. They call the fee the "Mid-Atlantic Trustee Fee". Such a high fee is unexplainable and shows that they don't care about the end customer and only care about profit. If my employer didn't match my contribution I would need to earn >20% from my investments which is not plausible in most instances. Furthermore, no statements or account information I received from Paychex gives information on how this fee is calculated.
3.) Payroll Reports - Paychex payroll reporting sucks. They need a system where their reports can be export to .CSV or excel format (NOT txt or unicode) for easy file keeping and application into accounting systems.
Tuesday May 22, 2012 @ 04:58 PM
Paychex customer service is terrible. So much for the payroll specialist dedicated to your account. Never returns calls or emails. Will be changing to another payroll service soon.
Tuesday May 22, 2012 @ 05:02 PM
Work for them they run the co like nazi ss
Thursday May 24, 2012 @ 04:53 PM
No payroll provider is perfect, we all make mistakes. However, how these mistakes are handled is what truly seprates the good payroll companies from the bad. If you'd like to review your payroll services to learn if I can be of help, please call me at 518-881-0219 and ask for Kito. On a side note, a company should NEVER outsource their 401k to a payroll provider. The fees aren't competitive and the level of service is genrally poor.
Friday May 25, 2012 @ 03:47 PM
Paychex does NOT suck. Great company to outsource your payroll with if you are a small business. I called 877-635-0754 and got the first month free.
Wednesday May 30, 2012 @ 09:03 PM
John, I have been a loyal Paychex client for 12 years and never received anything for free, in fact I just had another annual price increase!!!! If they can afford to give away free service why would they not reward their loyal clients? You're welcome for my company paying for your free service, I am going to find a service that doesn't buy new clients on the backs of their loyal customers!!!
Friday June 1, 2012 @ 02:47 PM
I have been with Paychex for one year, I have 40 employees and I started to keep a list of all of the issues that I have had, it includes things like "I phoned in a bonus payroll that was in excess of the payroll limit they set for my company so a manager at Paychex needed to approve the payroll but no manager was available so they just didn't run the payroll, then they forgot the next day and 2 days later when I called asking where it was they refused to run it for the check date that I needed even through I had a large company function setup with employees and their familys where my company's president was going to hand out the checks". These issues are bad enough but their attitude makes it worse, managers won't take or return my calls, my rep blames every mistake on the fact that they are overworked, they are extremely unprofessional for such a large company that brags about all of their awards....
Friday June 1, 2012 @ 03:12 PM
Check out the awards that Paychex brags about. The awards are bought, just research how a company gets nominated and what the criteria is for recieving the award. My research shows that they pay a fee to the governing board for each category they wish to receive an award.
Monday June 4, 2012 @ 10:30 AM
Please know that I am a current ADP Rep. I also worked for Paychex from 95 to 2011. I will tell you all that there is little to no difference between the two companies when it comes to evaluating service from 1-999 employees. I am currently looking to get out of the payroll industry. I can honestly say there is not a company that is properly servicing the mid-market space. It's sad but your individual experience will, 90% of the time, be dictated by how competent the companies admin users are. I see many comments here with people complaining about errors. All of these payroll systems allow you to review the payroll prior to processing. You should be reviewing your payroll to check for accuracy. Yes Paychex sucks, but if your not a moron, you will not run into issues. If you expect a payroll company to do your job, or tell you how to do your job, you are going to be let down. Hey at least for all you dummies who are barely employable to begin with, Paychex/ ADP give you something to point the finger at when you screw up over and over again.
Monday June 4, 2012 @ 02:55 PM
I own/operate an independent payroll service. Every client we get means more money for us so we work our tails off to keep clients happy or we lose money. Nobody should have to endure poor service. I'm not ripping on any other payroll service but if you're not being served change service providers! For that matter, call me for a free consultation! Mike, Grand Rapids, MI (866) 296-5911.
Wednesday June 6, 2012 @ 09:54 PM
Customer service? They suck. We just found out that Paychex was using our old address (of over 5 yrs. ago) on tax and unemployment filings while using our correct address for everything else. Has caused us to lose substantial money since we did not receive notices from ESC regarding claims and so our percentage went from 0% to 6.84% Our rep blew us off by saying that it was our responsibility to make sure that ESC had the correct address. Adios assholes.
Friday June 8, 2012 @ 11:44 AM
Vpalaw - you are silly. Payroll companies cannot and will not notify fed or state tax agencies that your company has had an address change. THAT IS UR JOB OR UR CPA's.....people are so dumb. Paychex never changed you address on tax filings, becuase they would get rejected, unless you contacted those agency's and notified them of your address change. Regardless of which company does your payroll, check you contract, payroll companies take responiblity for filing timely taxes, and that is it!
Monday June 11, 2012 @ 06:36 PM
We are a tax and bookkeeping firm in Orange County, CA and cancelled Paychex after about 7 months. Billing errors, hidden fees, absolutely no customer service, and our payroll specialist lied about transactions over the phone because there was no follow up email. They billed us for clients who quit us because of the horrendous fees we had to pass on. Our sales person got enough points from our book of business to be awared a trip to the Caribbean but she turned it in for a Disneyland pass. That's all we were to her: a trip to Disneyland for her family. We were the ones who got Mr. Toad's Wild Ride...right down the rabbit hole with these incompetant, lying, gouging SOBs. They've got an excuse for everything. We've brought the rest of the accounts inhouse except for one requiring direct deposit service but that will change, too. Paychex was a good company 20 years ago; now they're all about the billing fees and the clients be damned.
Monday June 11, 2012 @ 10:40 PM
Paychex has screwed my business over even while trying to leave. I have spent the last four months trying to get my employees 401K programs away from paychex. They change their story every time I talk to them. I couldn't even reach them for a while because every time I dialed their number they disconnected me. One employee also hung up on me after telling me that I wasn't being truthful about my attempts to contact them. (Great customer servcie- call the customer a liar and hang up on them!!) The supervisor told me to handle the problem online but I have spent more than an hour online without figuring out what to do. The supervisor also refused to give me any information about how to connect with her again or anyone else without going through the same phone number that had disconnected me and my staff four separate times. I won't even bother to go into details on how they messed up my unemployment taxes that caused me problems for almost two years. In my opinion, this is one place to avoid.
Wednesday June 27, 2012 @ 05:40 PM
We are a small dental practice in Orange County Ca with 10 employees. Our payroll needs are very simple. But Paychex employs idiots that make mistakes. My accountant audited our payroll records and found a mistake that has cost my business over 30k in employee overpayments. You would think that after being a loyal customer for over 10 years that Paychex would assume responsibility and at least make some offer to rectify the mistake. Think again. They first blamed my employees that they were dishonest getting the overpayment (they thought I had given them a raise) and then blamed me for not noticing the overpayment (If I had to scrutinize every line item on my employees paystubs,I don't need a payroll company). My advice to all. Stay away from Paychex. They are a lousy company, with moron employees, that don't care about their clients. I'm happy to have found this site. My attorney will find all these complaints valuable in our case against them.
Thursday June 28, 2012 @ 08:33 AM
Nick C, I have to side with Paychex on your issue. You are responsible for making sure that your people are paid correctly. Obviously, you have no internal controls that a 30K mistake was not found until your auditor found it.
Believe me, I hate Paychex more than the average bear. I literally have pages of errors they have made and details of their inability to provide payroll sevices. But, the mistake you blame Paychex for, is a mistake that YOU should have found.
Monday July 2, 2012 @ 04:14 PM
Paychex runs on razor thin margins. Unfortunately companies like this run on 5 and 10 year plans. Ever take a hairpin turn in in SUV..that's how paychex runs. They have too many layers of management, and many of those people are lifers. After a while in the monkey house it doesn't smell so bad. Stay away from the 401(K) PLAN...the CRM system is a big mess, that costs them lot's of money. They have a couple talented people...but if a mistake occurs, the net result is the clients fault...some people they put in charge of converting clients from their old plan to the Paychex plan are inept. (Ans:Elevate everything!) Because the avg client size is 14 ee's, most small co's are unaware of the admin responsibility they have, and think Paychex owns it. Paychex don't own anything, they just keep the records. Get a real TPA, a trustworthy FA, and have at it.
Tuesday July 3, 2012 @ 04:14 PM
Nick C, I have to agree with Paychex customer. I hate paychex as much as the next guy, but the only idiot I see is you for not noticing a 30K error in your payroll. Really? Take some responsibility. You have NO legal case. Retard!
Friday July 6, 2012 @ 03:05 PM
Paychex DOES NOT RUN ON RAZOR THIN MARGINS!!!! They had a greater than 20% net after tax profit over the past year, and have a very large amount of cash. They are reducing service levels because they want the to maintian very high net profits in order to show numbers that wall street wants to see.
Monday July 9, 2012 @ 09:32 AM
In reading these posts we have had a lot of the same issues. Currently fighting with them to redo my 5500 as they prepared it with no schedules, and they first tried to tell me it was my problem to fix, even thought the online system does not let you make those changes.
On thing I havent seen in the little I read was about vacation. In 4 years they have never been able to give me an accurate vacation balance. Have employees with the same start dates and it calculates different hours for them! I have had about 6 different people "fix" this problem, and it still does not work right. Have to make adjustments every time someone passes anniversary date.
Other than the vacation issue, I had an excellent HR rep for over 2 years, but she got promoted and in three months I havent even heard from her replacement!
Monday May 21, 2012 @ 06:09 PM
The company I work for has been with PayChex for 3 years. Every payroll we have sometype of issue. Some very serious issues that have caused negative employee relations, fines and late fees. Do not consider having PayChex run your payroll if you have more than 5 employees. They can not handle it!