Best payroll outsourcing companies in South Africa

Best payroll outsourcing companies in South Africa

In today’s competitive business landscape, companies are constantly seeking ways to streamline their operations and focus on their core activities. One critical area that many businesses choose to outsource is payroll management. Outsourcing payroll in South Africa can be a smart move, as it allows companies to save time and resources while ensuring compliance with the country’s complex labor laws. In this article, we will explore the top 10 best payroll outsourcing companies in South Africa, including an overview of Sage Payroll, and provide answers to some frequently asked questions related to payroll outsourcing.

The Top 10 Best Payroll Outsourcing Companies in South Africa

Outsourcing payroll is a strategic decision that can significantly benefit companies of all sizes. It not only reduces the administrative burden on a company but also ensures that employees are paid accurately and on time. South Africa boasts a growing market of payroll outsourcing companies, each with its own set of services and advantages. Below, we have compiled a list of the top 10 best payroll outsourcing companies in South Africa:

Sage Payroll

Sage is a global leader in payroll and accounting software, and its payroll outsourcing services in South Africa are no exception. Sage Payroll provides a comprehensive solution that covers all aspects of payroll management, from employee data processing to tax compliance. They offer scalable services suitable for businesses of all sizes, making them a top choice for startups and large enterprises alike.

Sage Payroll stands out for its user-friendly software and excellent customer support. The company’s software is cloud-based, allowing clients to access their payroll data from anywhere with an internet connection. This flexibility is especially valuable for businesses with remote or distributed workforces. Sage Payroll also ensures compliance with South African labor laws and regulations, reducing the risk of legal issues for its clients.

VIP Payroll

VIP Payroll is another prominent player in the South African payroll outsourcing market. With over 35 years of experience, VIP Payroll has developed a reputation for providing a robust and reliable payroll solution. They offer features such as leave management, employee self-service portals, and electronic submission of statutory returns.

What sets VIP Payroll apart is its deep understanding of South African payroll legislation. The company’s software is regularly updated to accommodate changes in labor laws and tax regulations, ensuring that clients remain compliant. VIP Payroll is a trusted partner for many South African businesses, including those in industries with complex payroll requirements.

Softline Pastel Payroll

Softline Pastel Payroll is a division of Sage Group and is known for its payroll expertise in South Africa. They offer a user-friendly payroll software solution designed for businesses of all sizes, from startups to large corporations. Their software covers all payroll aspects, including leave management, tax calculations, and electronic payslip distribution.

What sets Softline Pastel Payroll apart is its extensive support network. They provide comprehensive training, ensuring that clients can maximize the benefits of their payroll solution. This support is especially valuable for businesses transitioning to outsourced payroll services for the first time.

Pay Space

PaySpace is a South African company that specializes in cloud-based payroll outsourcing. They offer a modern, user-friendly payroll platform that simplifies the entire payroll process. PaySpace’s solution includes features like mobile access and reporting tools, making it convenient for businesses looking for a tech-savvy payroll solution.

One of the unique selling points of PaySpace is its commitment to data security. They use robust encryption and security measures to protect sensitive payroll data, assuring clients that their information is safe. This makes them an attractive choice for businesses concerned about data privacy and protection.

Data pay

Datapay is a well-established payroll outsourcing company in South Africa, known for its customized solutions. They work closely with clients to tailor their payroll services to the specific needs of the business. Datapay’s services cover everything from payroll processing to statutory compliance.

Their personalized approach has earned them a strong reputation in the market, particularly among businesses with unique payroll requirements. Datapay’s ability to adapt to the changing needs of its clients makes them a valuable partner for companies in various industries.


Accsys is a South African payroll and human resources management company that offers a comprehensive range of services. They provide solutions for payroll, human resources, time and attendance, and access control. Accsys stands out for its integrated approach, allowing businesses to manage various aspects of workforce management in one place.

One of the standout features of Accsys is its focus on compliance and accuracy. They prioritize adherence to South African labor laws and tax regulations, reducing the risk of legal issues for their clients. This makes them a go-to choice for businesses concerned about compliance.


Xero is a well-known global accounting and payroll software provider. While not based in South Africa, they offer cloud-based payroll solutions that are widely used in the country. Xero’s software is user-friendly and suitable for small to medium-sized businesses. It includes features such as automated payroll processing and easy tax reporting.

Xero is an excellent option for businesses looking for a straightforward and cost-effective payroll solution. While it may not offer the same level of customization as some local providers, it is a reliable choice for startups and smaller enterprises.

Simple Pay

SimplePay is a South African payroll outsourcing company that focuses on providing easy-to-use, cloud-based payroll software. They cater primarily to small and medium-sized businesses, offering a straightforward payroll solution that covers the basics, including tax calculations and leave management.

The simplicity of SimplePay’s software is its biggest selling point. It is designed for businesses that want a no-frills, cost-effective payroll solution without the complexity of larger providers.

Payroll Pro

Payroll Pro is a South African payroll and human capital management company that offers comprehensive payroll solutions. They have a strong presence in the market and cater to businesses of various sizes. Their services include payroll processing, HR management, and time and attendance tracking.

What makes Payroll Pro stand out is its emphasis on service quality. They pride themselves on delivering exceptional customer support, which can be invaluable for businesses seeking a partner that understands their specific needs.

Payroll Outsourcing SA

Payroll Outsourcing SA is a South African company that specializes in providing payroll services to businesses of all sizes. They offer a range of solutions, including payroll processing, statutory compliance, and employee self-service tools. Their services are tailored to meet the unique requirements of different industries.

Payroll Outsourcing SA is a reliable choice for businesses looking for a local provider with a broad range of services. They are known for their commitment to accuracy and compliance, making them a trusted partner for many South African companies.


In conclusion, payroll outsourcing is a strategic decision that can benefit businesses in South Africa by simplifying payroll management, ensuring compliance, and freeing up resources for core activities. The top 10 best payroll outsourcing companies in South Africa, including Sage Payroll, offer a wide range of solutions to meet the diverse needs of businesses in the region. When considering payroll outsourcing, it’s essential to factor in your business’s size, requirements, and budget to select the provider that best fits your needs. By making an informed choice, you can streamline your payroll processes and focus on what truly matters – the growth and success of your business


Have questions about HR and payroll services in South Africa? We’ve got you covered.

The cost of outsourcing payroll in South Africa can vary significantly depending on several factors, including the size of your business, the complexity of your payroll needs, and the service provider you choose.

The largest payroll company in South Africa can change over time as the market evolves. As of my last knowledge update in January 2022, Sage Payroll was one of the leading payroll outsourcing companies in the country. However, the landscape may have shifted since then. It’s advisable to research the most up-to-date information to identify the current largest payroll company in South Africa.

The best outsourced payroll service for startups depends on the specific needs of your business. Startups often require a payroll provider that offers a balance between cost-effectiveness and scalability.

Yes, you can absolutely outsource your payroll in South Africa. In fact, many businesses, from small startups to large enterprises, choose to outsource their payroll to specialized service providers.

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