UKG vs Paylocity: Complete Analysis of Payroll and HCM Capabilities

Choosing the right Human Capital Management (HCM) system is a critical decision for businesses looking to optimize their HR processes and improve overall organizational efficiency. UKG (Ultimate Kronos Group) and Paylocity are two leading HCM solutions that offer a wide range of features to help businesses manage their workforce effectively. This article provides an in-depth comparison of UKG vs Paylocity, focusing on payroll features and functionalities, applicant tracking, recruiting, integration capabilities, customer service, reporting and analytics, benefit administration, learning management, and time and attendance. This comprehensive analysis will help you determine which platform is best suited to your business needs.

Overview of UKG and Paylocity

UKG

UKG, formed by the merger of Ultimate Software and Kronos, offers a comprehensive suite of HCM solutions that cater to various aspects of workforce management. UKG's solutions are known for their robust features, user-friendly interface, and extensive integration capabilities, making it a preferred choice for businesses of all sizes.

Paylocity

Paylocity is a well-established player in the HCM market, providing a broad array of HR solutions tailored to meet the needs of businesses across various industries. Paylocity's offerings range from payroll processing to talent management and benefits administration, making it a versatile and reliable choice for organizations seeking comprehensive HR solutions.

Payroll Features and Functionalities

UKG

UKG excels in payroll management, offering a comprehensive suite of features that simplify payroll processing and ensure compliance.

• Automated Payroll Processing: UKG automates payroll calculations, including wages, taxes, and deductions, ensuring timely and accurate payroll runs.

• Global Payroll: Supports payroll processing across multiple countries, making it ideal for multinational companies.

• Tax Filing: Automates tax filings at the federal, state, and local levels, reducing administrative burden and ensuring compliance.

• Direct Deposit and Pay Cards: Offers flexible payment options to employees, including direct deposits and pay cards.

• Payroll Compliance: Built-in compliance tools help businesses adhere to various payroll regulations.

• Employee Self-Service: Allows employees to access their payroll information, pay stubs, and tax forms through a user-friendly portal.

Paylocity

Paylocity also offers robust payroll functionalities tailored for businesses with diverse payroll needs.

• Comprehensive Payroll Processing: Manages all aspects of payroll processing, including calculations, deductions, and disbursements.

• Tax Management: Handles all payroll tax filings and compliance at federal, state, and local levels.

• Flexible Payment Options: Supports direct deposit and other payment methods to ensure timely employee compensation.

• Employee Self-Service Portal: Empowers employees to view their pay stubs, tax documents, and other payroll-related information online.

• Compliance Support: Provides tools and resources to ensure payroll compliance with relevant regulations and standards.

Comparison

Both UKG and Paylocity offer comprehensive payroll solutions with robust features that cater to the needs of diverse businesses. UKG's strength lies in its global payroll capabilities and extensive compliance tools, making it ideal for multinational companies. Paylocity, on the other hand, provides a user-friendly interface and strong support for tax management, making it a great choice for businesses looking for a straightforward payroll solution.

Applicant Tracking and Recruiting

UKG

UKG’s applicant tracking system (ATS) is designed to simplify the recruitment process and improve the hiring experience.

• Job Posting: Post job openings to multiple job boards and social media platforms from a single interface.

• Candidate Management: Manage candidates through the entire hiring process, from application to onboarding.

• Interview Scheduling: Integrated tools for scheduling interviews, reducing back-and-forth communications.

• Onboarding: Automated onboarding workflows to ensure a smooth transition for new hires.

Paylocity

Paylocity offers comprehensive applicant tracking and recruiting tools designed to help businesses attract and retain top talent.

• Job Postings: Easily post job openings on multiple job boards and social media platforms.

• Candidate Tracking: Track applicants throughout the hiring process with detailed management tools.

• Resume Management: Efficiently manage and review resumes within the platform.

• Interview Coordination: Schedule and manage interviews to streamline the recruitment process.

• Onboarding: Provides a structured onboarding process to integrate new hires smoothly into the organization.

Comparison

Both UKG and Paylocity offer powerful applicant tracking and recruiting solutions. UKG's ATS is known for its robust features and seamless integration with other HR processes, making it ideal for businesses looking for a comprehensive recruiting solution. Paylocity's recruiting tools are user-friendly and effective, providing businesses with the necessary features to manage the entire recruitment process efficiently.

Integration Capabilities

UKG

UKG is known for its extensive integration capabilities, allowing seamless connections with various business systems.

• Third-Party Integrations: Integrates with numerous applications, including popular tools like Slack, QuickBooks, and Microsoft Office.

• IT Management: Integrates IT management features, such as device and app provisioning, with HR processes.

• API Access: Provides robust API access for custom integrations, allowing businesses to tailor the platform to their specific needs.

Paylocity

Paylocity offers strong integration capabilities to ensure smooth connectivity with other business tools and systems.

• Pre-Built Integrations: Connects with a variety of third-party applications, including accounting, time tracking, and HR software.

• Custom Integrations: Supports custom integrations through APIs and other tools to meet specific business requirements.

• ERP and HCM Integration: Seamlessly integrates with major ERP and HCM systems to enhance data flow and process automation.
  

Comparison

UKG and Paylocity both provide extensive integration capabilities, allowing businesses to connect their HCM systems with various third-party applications. UKG stands out with its comprehensive IT management features and extensive API access, making it a great choice for businesses looking for a highly customizable solution. Paylocity offers a range of pre-built integrations and strong support for custom integrations, providing businesses with the flexibility to connect their HR systems with other essential business tools.

Customer Service

UKG

UKG provides multiple support channels to ensure users receive timely and effective assistance.

• Customer Support: Offers support via phone, email, and live chat.

• Help Center: Comprehensive online help center with articles, guides, and FAQs.

• Dedicated Account Managers: Provides dedicated account managers for larger clients, ensuring personalized support.

Paylocity

Paylocity is renowned for its excellent customer service, offering various support options to cater to clients' needs.

• 24/7 Support: Round-the-clock customer support via phone, email, and chat.

• Online Resources: Extensive online resources, including help articles, webinars, and video tutorials.

• Customer Success Managers: Dedicated customer success managers to help clients maximize their use of the platform.

• Community Support: Access to a vibrant community of Paylocity users and experts for peer support and networking.

Comparison

Both UKG and Paylocity excel in customer service, providing multiple support channels and extensive resources to help users maximize their use of the platforms. UKG offers dedicated account managers for larger clients, ensuring personalized support, while Paylocity provides 24/7 support and a strong community network for peer assistance. Businesses can expect high-quality customer service from both providers, making either choice a reliable option for HR support.

Reporting and Analytics

UKG

UKG excels in providing detailed and customizable reporting capabilities, empowering businesses with actionable insights.

• Custom Reports: Create custom reports tailored to specific business needs.

• Dashboard Analytics: Interactive dashboards for real-time data visualization and analysis.

• Compliance Reporting: Automated compliance reports to ensure adherence to regulatory requirements.

Paylocity

Paylocity offers robust reporting and analytics tools, allowing businesses to gain deep insights into their workforce and HR processes.

• Standard and Custom Reports: Access a wide range of standard reports and create custom reports as needed.

• Data Analytics: Advanced analytics capabilities to analyze workforce data and identify trends.

• Compliance Tools: Comprehensive compliance reporting tools to help businesses stay compliant with regulations.

Comparison

UKG and Paylocity both provide powerful reporting and analytics tools that enable businesses to gain valuable insights into their HR processes. UKG is known for its customizable reporting capabilities and real-time data visualization, making it ideal for businesses that require detailed and specific insights. Paylocity offers advanced analytics and a wide range of standard and custom reports, providing businesses with the tools needed to analyze critical data.

Benefit Administration

UKG

UKG provides a comprehensive benefits administration module that simplifies the management of employee benefits.

• Benefits Enrollment: Streamlines the benefits enrollment process for employees.

• Plan Management: Manage various types of benefit plans, including health, dental, vision, and retirement.

• Compliance: Ensures compliance with benefits regulations, including ACA requirements.

• Employee Self-Service: Allows employees to view and manage their benefits through a self-service portal.

Paylocity

Paylocity’s benefits administration solutions are designed to simplify the management of employee benefits programs.

• Benefits Enrollment: Easy-to-use benefits enrollment process for employees.

• Plan Comparison: Tools to compare different benefit plans and make informed decisions.

• Compliance Management: Ensures compliance with benefits regulations, including ACA.

• Employee Self-Service: Provides a self-service portal for employees to manage their benefits.

• Access to Group Benefits: Offers access to comprehensive group benefits that might not be available to small businesses individually.

Comparison

Both UKG and Paylocity offer comprehensive benefits administration solutions that help businesses manage employee benefits effectively. UKG is known for its robust compliance tools and extensive plan management capabilities, making it a consistent performer for companies in the enterprise space.

UKG vs Paylocity: Final Thoughts

As with most of the top 10 HCM/payroll softwares on the market, UKG vs Paylocity really comes down to organizational needs of the business. While there is significant customization available for UKG clients it certainly comes as a cost and implementation and configuration can take up to a year. For Paylocity, there are plenty of good features that can help streamline HR teams.

Before making any decisions, it would be a good idea to reach out to your employee benefits broker to understand how their team and technology is able to assist your organization with this process.