When payroll issues come up during client meetings, CPAs are often put in an uncomfortable position.

A business owner asks:

“Who should we use for payroll?”

And suddenly, the CPA is expected to give a recommendation — even though payroll software, compliance rules, and provider capabilities change constantly.

Many CPAs already know this instinctively:
recommending a payroll provider can be risky, especially when the recommendation comes from someone who is financially tied to a single platform.

Yet, business owners still want guidance. And ignoring the question isn’t an option.

So what’s the right approach?

The Problem With Payroll “Recommendations”

Most payroll recommendations don’t come from a place of objectivity. They come from:

• A sales rep tied to one provider
• A referral agreement that favors a specific platform
• A relationship built years ago when the client’s needs were simpler

That doesn’t make the recommendation malicious — but it does make it incomplete.

Payroll providers are built for different types of businesses:

• Some excel with small, single-state companies
• Others are better for multi-state or regulated industries
• Some handle compliance well but lack reporting depth
• Others integrate well with accounting software but struggle as companies scale

When a provider is recommended without evaluating the client’s current reality, the CPA often ends up dealing with the fallout.

Where CPAs Get Pulled In

Most payroll issues don’t start as “big problems.” They start quietly:

• Incorrect tax setup
• Missing state registrations
• Work locations not updated
• Workers’ comp codes not mapped correctly
• Payroll reports that don’t reconcile cleanly with the GL

Eventually, those issues surface during tax prep or year-end review — and clients look to their CPA to help untangle them.

At that point, the question isn’t:

“Which payroll provider is best?”

It’s:

“Is this a setup issue, a system limitation, or the wrong platform entirely?”

Setup vs. Software: The Key Distinction

In our experience, most payroll problems aren’t caused by bad software.

They’re caused by:

• Incomplete onboarding
• Incorrect assumptions during setup
• Businesses outgrowing their original payroll solution

This is where CPAs benefit from having an objective payroll resource.

Someone who can quickly determine:

• Whether the current provider is still a good fit
• Whether the issue can be fixed with a configuration change
• Or whether the client has reached the point where a new system is necessary

That distinction saves CPAs time — and protects the CPA-client relationship.

Why Vendor Neutrality Matters

When a payroll advisor is tied to one provider, the solution often looks the same regardless of the problem.

Vendor neutrality changes that.

A neutral payroll partner evaluates:

• Business size
• Industry
• Number of states
• Growth trajectory
• Reporting needs
• Compliance exposure

Only then does a recommendation make sense.

This approach removes pressure from the CPA to “pick a system” and instead positions them as the advisor who brought in the right specialist at the right time.

A Better Way for CPAs to Handle Payroll Questions

Rather than recommending a specific payroll provider, many CPAs now take a different approach:

“Let’s have someone review your payroll setup and make sure it actually fits your business today.”

This accomplishes three things:

1. It protects the CPA from owning payroll decisions
2. It gives the client confidence they’re not being sold to
3. It leads to better long-term outcomes

Most importantly, it keeps payroll from becoming a distraction during tax season.

How Segura Gallo Supports CPAs

At Segura Gallo HR & Consulting, we work alongside CPAs as a vendor-neutral payroll partner.

We evaluate all major payroll platforms — including ADP, Paychex, Paylocity, Gusto, QBO, and PEO options — and determine whether a client’s issue is:

• A setup problem
• A compliance gap
• A system limitation
• Or a sign the business has outgrown its current provider

CPAs stay informed, clients get clarity, and no one is pushed into a one-size-fits-all solution.

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