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.
Wednesday August 11, 2010 @ 09:04 AM
I love that someone who is one of 10,000 employees that only needs to worry about data entry speed and accuracy has the nerve to whine about the fact that small business owners (their clients) don't do more to help them do their job correctly. Paychex with all of its resources could verify SSN's for accuracy, they would just need to match up the name, birth date and SSN with the government database that is freely available and notify the client if their is a made a mistake. The fact that this person would critisize their own clients who have so much more to worry about then being ready and available during the 10 minute window they are scheduled for payroll says so much about the culture at paychex. The Paychex employees are brainwashed into thinking that they work at the best company in the world and that everyone else it beneath them. Well I got news for you, those small business owners who risk everything and work so hard are deserving of better and the fact that Paychex has lost 100,000 clients in the last 12 months probably means that the business community is getting tired of being treated like a 2nd class citizen by some data entry clerk that is just barely a step above a clerk at the DMV.
Wednesday August 11, 2010 @ 02:07 PM
I freely admit that I can't do Data Entry as quickly or as accurately as "Pissed off at whinners!" THAT'S WHAT I PAY YOU FOR!!! I also can't do my lawn as well as my gardener or fix my own car, but if I pay someone else to do it, I expect them to do it right.
Wednesday August 11, 2010 @ 02:13 PM
I am tired of my patients having the nerve to complain about me drilling holes in the wrong tooth!!! I drill alot of holes in teeth and if any of you idiots thinks you can do a better job I dare you to meet my challange. Stupid patients see the Xrays and know that I am supposed to be drilling into their 2nd molar, so when I start drilling into the wrong molar, they have every chance to stop me! if they are unhappy they should just find another Dentist and stop whinning!!!
Thursday August 12, 2010 @ 10:34 PM
If you want custom reporting from Paychex you need to make the switch to Paychex Major Market Services. You get full control over your payroll plus you can make any report you want and it exports to a csv file. I understand not everyone is perfect but let me clear up a couple things, Paychex does huge training on their reps, then send them to NY for 2 weeks of constant training and homework and if you don't past the final test you don't have a job anymore. Then you continue to get weekly training too. I've been with the company for 9+ years and there are reps like any other job that don't care about their job or customer service as much as others but it's hard to judge the entire company on that basis.
Tuesday August 17, 2010 @ 06:15 PM
I am sure that there are a maany very good people who are very well trained at Paychex, "Paychex Dedicated" is probably one of them. The issue that if something does go wrong their rep is not very likely to be able to resolve the issue and as one of more than 510,000 clients you are just not important to people as you go up the chain of command. At the top of the organization Golisano is too far removed from the day to day and it is clear through the numerous losses in the courts and the specifics of those verdicts that he is more interested in what makes money short term and positive press release to Wall Street then in taking the high road and long term prospective of taking care of the clients first. All of that training is about mitigating liability, to get a press release about being "Training Magazines top 100 businesses" and to make the employees feel like the company really cares so that they are engaged and they reduce turnover. Paychex has been very successful and has a great story but they "jumped the shark" several years ago with the Rapid Pay deal when they made a decision to go after the $$ at the cost of their ethics. The fact is that Paychex is almost less deserving of their employee's dedication then they are of their client's. I hope that Golisano finds a suitable CEO and let's him/her do their job and retires.
Thursday August 19, 2010 @ 08:43 AM
Speaking of the Rapid Pay fallout it sure must make Paychex employees feel valued to realize that Paychex management spent at least $75 million (or what they reported in case documents, but you think that includes legal fees, public relations smoke screens, etc) defending and settling cases related to the Rapid Pay software fallout at the same time they stopped Paychex employee pay raises and 401k matches. Does anyone think something is wrong when Paychex is recognized as one of the most ethical companies in the world as they are settling lawsuit after lawsuit for their dishonorable business practices? What do you think that says about other accolades Paychex has received, aka “Best Place to Work”? You know what happens when you continually promote sales managers purely on sales numbers and not leadership capabilities? Managers who care less about the customer and more about just making sales, which hits at the core of business ethics, and now after years of Paychex sales promotion practices you have a company with the moral fiber of Wall Street “greed is good”, and sadly not the business started with $5,000 and a dream. Paychex lost what made it an industry leader years ago and the downfall just continues...
Monday August 23, 2010 @ 03:06 PM
What is the salary for a sales rep
Monday August 23, 2010 @ 05:46 PM
{{NAMES REMOVED}} are absolute liars and lie on a continuous basis to clients......Being able to observe the bartering that goes on with clients over issues such as (getting penalties from the IRS)....claiming everything gets handled in an expedient fashion....NO....the Truth is that there are so many penalties that are assessed to clients for Paychex mistakes that they cant address them in any timliness. THE CLASSIC BAIT AND SWITCH is what they do with new clients who Praise them in the beginning and by the end of the quarter nothing gets done as they say.... ITS A PAYROLL CHOPSHOP!!!!!! STAY AWAY!!!
Comments edited by moderator | Reason: Please keep specific names from your comments as it should not be necessary to get a point across.
Tuesday August 24, 2010 @ 08:54 AM
Mingalinga, what office you referring too. I was a client for several years before all the nightmares especially all the telemarketing calls from their morons up at corporate. Whoever runs that telemarketing chop-shop should get fired immediately.
Monday August 30, 2010 @ 03:30 PM
I am an IT manager at a company that just deployed Paychex. Unfortunately we were not involved. The Tima and Labor Online has to be one of the worst applications I have ever had the displeasure to use. I wish someone had checked out this blog prior to purchasing the software.
Wednesday September 1, 2010 @ 08:54 AM
[at]Golisano. you obviously don't know all the facts or choose not to present them. Last March Paychex made a decision to suspend merit raises and 401k match in an effort to temporarily curb spending in a down economy. Both have since been reinstated. While other companies were laying thousands of people off during this same period, Paychex management chose to make a tough, unpopular decision in order to prevent having to lay people off. Was I disappointed that I wouldn't be getting a merit raise that year? Of course, but I was very happy to still have a job when people around me were losing theirs. Does Paychex have issues? Of course. Every company does, but as commented by several people in this thread, they are by far one of the better ones.
To those who are maybe aren't happy with some of the software offerings at Paychex, I can say, as a software developer at Paychex, that they do recognize many of their shortcomings and are pouring a lot of resources into fixing them, but with a company this size, it takes time and I would think you would want us to get it right instead of rushing to market with something that doesn't meet the mark and sends you back to this thread logging more complaints.
Wednesday September 1, 2010 @ 08:59 AM
By the way, if you do a search in bing/google/search engine of your choice for "ADP Sucks" you will find just as many, if not more sites dedicated to the subject of ADP failures as you do Paychex... or Microsoft, or IBM or Apple or ... fill in the blank. Our society generally has unrealistic expectations of their fellow human beings.
Wednesday September 1, 2010 @ 05:28 PM
Why would Paychex have to do anything that would hurt their employees or clients, they are still doing a 20%+ after tax profit and are sitting on tons of cash. They have no reason to increase prices to their clients or decrease benefits to their employees. They have used the downturn in the economy as an excuse and taken advantage of you. I'm very sorry that you are so loyal to a management team that would sell you or their own mothers into slavery if they could make a buck. They don't deserve your loyalty.
Wednesday September 1, 2010 @ 05:40 PM
I don't work nor never have for ADP or Paychex, I do know several high level managers at both organizations and have worked for in the industry for 24+ years. I can truely say that my vast experience with both giant organizations has been very different. Paychex will lie cheat and steal as an organization on the sales side, they have some very good people, mostly on the operations side of the business but they are mean spirited and as an organization corrupt. For example, Paychex management issues information to the field from the corporate office about its competitors so that their sales team can use it in the field, very often that information is untrue. ADP on the other hand is much more ethical and professional, and although they have some bad apples, as an organization I have nothing bad to say. In terms of Operations, ADP service is not close to Paychex, it is rare that you ever deal with the same person twice and often you are calling into a phone room for support.
Friday September 3, 2010 @ 01:10 PM
Just so everyone is aware, some facts about Paychex Financials for year ending May 31, 2010:
Paychex did an after tax net profit of $476,999,000 on just over $2billion in Revenue or a 23.85% profit and is sitting on $3.825 billion in cash. Those numbers are definately down from the previous year but they are still wildly profitable and have more cash than they know what to do with (literally). So if you are an employee and were somehow convinced that they needed to freeze your pay and stop matching your 401k or a client and somehow convinced that your price increase is justified, while you are probably struggling to keep your head above water because you have your own financial challenges, I have a bridge that I would like to sell you. Maybe you should "just be happy to have a job" if you are so simple minded.
Tuesday September 7, 2010 @ 04:00 AM
Paychex is very big for small companies. I do not recommend any small business to use them. They are legally stealing small businesses' money.
Sunday September 19, 2010 @ 01:22 PM
I analyze 401K's for a living and I know for certain their fees are extremely high. How do I know? I have their fee schedules. It's not a secret, it's in black and white. For example: $1,500-$2,500 in fixed costs to set up or transfer a plan. Plus $125-$145 PER MONTH for access to mutual fund lineups. Plus $5 PER PARTICIPANT, PER MONTH (under 30 employees). Plus $750 per year in fees if you want them to serve as Trustee of your plan. They also have additional fees from the financial advisor. Do you see now how the fees can overwhelm plans with assets under $1mm.
Monday September 20, 2010 @ 02:43 PM
I work for ADP, there is a reason why paychex is #2 in the country. There specialists are 30k workers who bad mouth the competition when their customers leave. There a good company but there is a reason why they fall short to ADP
Monday September 20, 2010 @ 04:13 PM
Tommy just some advice, maybe do a grammar check before your next posting. It is incompetence at ADP that let Paychex grow to #2 in the first place, which you obviously exemplify. Paychex, ADP, whatever, you are all hacks fighting for the same business. Being a small business owner I have seen both companies and experienced horrendous service with each one. You both attempt to layer on as many services as possible, in the name of convenience, in order to make it utterly painful to change even one of them. My advice to other business owners, do research on some online payroll companies, even through your bank, they are reliable and half what you would pay at ADP/Paychex, plus you usually do not get nickel/dimed for W-2's or delivery(online), most importantly you do not have to put up with 100 sales reps calling you every week attempting to up-sell you on their latest BS product. As Mike posted above their 401k is a complete rip-off and what do you think that says about their payroll product? When I started with Paychex I was promised a price better then what I was already paying with someone else, but after each month I started to notice a small increase, these SOB's blatantly tried to take advantage of me, promising one rate, then steadily raising the price hoping I was too busy to notice, I noticed and other Paychex customers should pay closer attention to their bills, just a FYI.
Tuesday August 10, 2010 @ 09:41 AM
I'm sure you do a great job and work very hard, you're probably right that small business owners do not do payroll on time, don't check the information that they give in when doing payroll or look at the payroll when they receive it to verify like they should. Guess what... the owners of the small businesses with 10 employees that use Paychex are doing everything that they can to keep their business afloat, managing their employees, starting they day at 6:00am prepping the kitchen, then cooking all day, servicing their clients, ordering supplies, keeping track of inventory and mopping the floors before they go home at 11:00 at night to lay awake worrying how they are going to pay their bills and make payroll. The sooner you stop blaming those people if they get upset when you make a mistake or get another job because you are pissed off at those whiners the better. Your job is to get the payroll right and keep those clients happy. Oh, by the way I'm also sorry that you work for a company where the people at the top and most of the management are calculating self serving bastards who care alot more about their own asses then their employees or clients. Really, stop whining you moron!