Short answer: software for payroll processing saves the most time when it removes manual steps on both sides of payroll: the calculations, deposits and filings after the hours are final, and the collecting, checking and retyping of hours before. For hourly teams, the hours side is usually the bigger time sink, so the biggest savings come from approved digital timesheets that flow straight into payroll.
Ask a small business owner what payroll day looks like and you will often hear the same story: chasing late timesheets, guessing at a missing clock-out, adding up overtime by hand and retyping everything into the payroll program. The software does the math in seconds. The hours are what take all afternoon.
Calculate your payroll prep time
Drag the slider, choose your pay frequency and enter your own minutes. The calculator shows the hours you spend each year and what a faster process could free up.
Payroll prep time calculator
Estimate how many hours a year go into preparing hours for payroll, and what changes when timesheets arrive approved.
Today
With approved digital timesheets
Your inputs, your estimate. Minutes per timesheet include collecting, checking, fixing and entering hours.
Where payroll time actually goes
- Collecting hours: paper timesheets, texts and spreadsheets from different locations.
- Fixing exceptions: forgotten clock-outs, missed meal punches and shifts worked at the wrong location.
- Checking overtime: adding up hours per workweek and catching overtime after it happened.
- Getting approvals: waiting for managers who are on the floor or off that day.
- Entering data: retyping hours, PTO and pay rates into payroll.
- Fixing mistakes later: correcting timecards after approval and running adjustments.
What software for payroll processing automates
On the payroll side
- Gross-to-net calculations, tax withholding and employer taxes.
- Direct deposits and pay stubs.
- Tax deposits and filings, depending on the plan.
- Year-end forms and payroll reports.
On the hours side (time and attendance)
- Clock-ins from a mobile app with GPS, NFC tags or a kiosk.
- Missed-punch alerts and correction requests the same day.
- Overtime and break alerts while the week is still open.
- Manager approvals in one place and an export of approved hours.
A faster payroll routine in five steps
- Move every location to digital clock-ins, so there are no paper timesheets to collect.
- Fix exceptions daily instead of on payroll day.
- Set fixed deadlines for employee review and manager approval. Our approval deadline planner works them out from your payday.
- Export approved hours to payroll instead of retyping them.
- Review the process after two pay periods and remove any step that still needs copying or chasing.
Where EZTime fits
EZTime handles the hours side of payroll processing. It is not a payroll provider: it gives you clean, approved, payroll-ready hours to export into the payroll software you already use, so payroll day takes minutes instead of an afternoon.
See EZTime with your own team
Leave your details and a US team member will reach out, or start your free 14-day trial right away. Plans start at $2 per employee per month.
Frequently asked questions
What is software for payroll processing?
It is software that calculates employee pay, withholdings and employer taxes, pays employees and prepares payroll reports and tax forms. For hourly teams it works best when it receives approved hours from a time and attendance system.
How much time does payroll processing take for a small business?
It varies with headcount, pay frequency and how hours are collected. Businesses that collect paper or spreadsheet timesheets and retype them tend to spend much more time than those that import approved hours. Use the calculator above with your own numbers.
Which part of payroll takes the most time?
For hourly teams, preparing the hours usually takes longer than running payroll itself: chasing missing timesheets, fixing missed punches, checking overtime and getting approvals.
Does weekly payroll take more time than biweekly?
Usually yes in total, because the prep work repeats 52 times a year instead of 26. Automating hours collection and approvals matters even more with weekly pay.
Can I automate payroll completely?
Most calculations, deposits and filings can be automated. The human steps that remain are approving hours and handling exceptions, which go faster when the time clock flags issues during the pay period.
This article is general information for US employers, not tax or legal advice. Tax rates, wage bases and state rules change; confirm current figures with the IRS, your state agency or a payroll professional.