The most trusted and popular consumer complaints website
Explore your opportunities! Create an account or Sign In

Paycom's Future / Scam and cheating

1 United States Review updated:

I am currently an employee at Paycom and i think there is definately a bright future for Paycom. There are also a lot of things Paycom needs to improve on. I am going to list a couple of things I think Paycom needs to change that will help us Paycom in the long run.

I was doing some calculations on a revenue per employee basis compared with other current public payroll companies. We (Paycom) as a company has somewhere around 200 employees and we produced 14 million dollars in revenue last fiscal year. It calculates to $70, 000 of revenue produced per employee. ADP produced 9 Billion dollars of revenue last fiscal and employees 47, 000 people. ADP produced $180, 000 of revenue per employee. Paychex is another payroll company that is very similar to Paycom. It employs 12, 200 people and it produced 2 Billion dollars of revenue last fiscal year. The calculations come out to be $163, 000 of revenue per employee.

What all these numbers mean is that Paycom running about 2-3 times less efficient then other current payroll companies. This is not going to help Paycom in the long run. Paycom really needs to look at their strategies and figure out what they need to make Paycom more efficient. They really need to find out if having 99% client retention is really something that can be actually cost efficient. What good does it do to go public and then your 1st quarter operating margin is 3 times worse then your competitors. This will catch investors eyes and not in a good way.

As a payroll specialist I find it too easy for customers to call me and ask questions when I know if they have logged in and tried they could of figured it out their self. This is really great and nice for the customer, but it is not great for all the specialists that have to take all those kind of calls all day and can get all of our tax issues done on time. I think we are very understaffed in the first place. Having this strategy might produce enough revenue in the short term, but its not good for the long term health of the company. In five years, if Paycom ever goes public. We will run into huge operating margin problem and also see an employee retention problem because all of it will stem from our 99% client retention (spoiling the client) strategy.

Va
Sort by: UpDate | Rating

Comments

  • Ju
      3rd of Jun, 2015
    0 Votes

    Paycom has not provided our company with even the minimum level of acceptable service. The product itself is not bad, but the customer service is abysmal. They treat customers like we are an inconvenience at best, or more frequently like the enemy camp. Here are just some examples of the service fails we have dealt with over the last 60 days:
    500 checks were written on the wrong bank account - not even one of ours! Most of the checks were distributed and bounced.
    3 days after the scheduled pay date we received 500 replacement checks. They were neatly stuffed and sealed into individual envelopes - WITHOUT SIGNATURES!
    For all of this mess, with bounced checks, check cashing places threatening to turn us in to the DA, bank reconciliations that took countless hours, Paycom was kind enough to waive the fee for this debacle! Gee...thanks - NOT.
    They do not follow instructions, even written instructions and somehow decided that they would deduct FICA last out of the paychecks (in a tipped environment this was a very big deal). Rather than fix the problem, the supervisor called to argue about semantics. Common sense and IRS rules were out the window, and no offer was made to resolve the issue caused by incompetent "help" desk people.
    It is the habit of Paycom to call rather than email when they totally drop the ball. This is assuming the customer receives any response at all. CYA and misleading statements seem to be the only aspects of Paycom staff training that are thorough
    Sadly, the set up of our system was even worse than the ongoing lack of service. Written promises were not honored. Claims of functionality were misrepresented (lies), the transition was incomplete, 90 days behind schedule, unprofessional and incomplete. Our company's decision to transition to Paycom was a big mistake. Be advised to do a little research before following in those footsteps. It was a costly error and will likely have long lasting heartburn, even after we move on.

  • Tr
      20th of Aug, 2016
    +1 Votes

    I'm an employee at a company who uses Paycom. Due to cancer, I have medical bill garnishments. Paycom charges $10 per pay period for anyone having fa garnishment-even when you haven't made enough for them to deduct the garnishment amount. This doesn't seem quite right.

  • Me
      17th of Apr, 2017
    0 Votes

    They regularly overcharge fees, draft from the wrong account, fail to make tax payments on time and fail to put standard tax rates into their system correctly thus grossly over assessing taxes. Their payroll staff giving tax advice they Googled isn't inspiring much faith either. I'd pick anyone else.

Post your comment