Payroll service provider Paychex is introducing a new subscription service aimed at enabling small businesses to ensure payroll is completed on time without the risk of bank account overdraft or insufficient fund charges.
A press release on Wednesday (May 2) said Paychex launched its Paychex Promise offering, which includes Payroll Protection, a feature that extends the time it takes for the Paychex system to withdrawal payroll funds from a company’s account by seven days. The feature does not interrupt payroll service, allowing companies to pay employees and remit taxes on time.
The feature addresses the friction of payroll delays associated with vacations and invoice delays, the company noted.
Paychex is also offering use of same-day payroll capabilities via Same Day ACH twice a year for free, as well as a feature to build up businesses’ credit histories by sending data to credit bureaus. The suite includes a fraud hotline and other informational services as well.
“At Paychex, our mission is to provide businesses the freedom to succeed. We are committed to developing solutions that help business owners overcome the everyday challenges of running a business, such as paying employees, building credit and having access to capital,” said Paychex President and CEO Martin Mucci in a statement. “Paychex Promise does just that, helping to ensure clients meet their payroll obligations and offering access to a host of tools designed to strengthen finances, raise awareness of regulatory issues and much more. This innovative service is a first-of-its kind offering in the payroll and HR industry.”
The solution was announced in recognition of Small Business Week, the company added. Paychex Promise is available to small business owners free of charge for the first three months of service.
Earlier this year, Paychex acquired Lessor Group, a payroll software company based in Denmark, as part of its broader efforts for international expansion.