The global market for Payroll Outsourcing was estimated to be worth US$ 10980 million in 2024 and is forecast to a readjusted size of US$ 16520 million by 2031 with a CAGR of 6.1% during the forecast period 2025-2031.
Payroll outsourcing is the practice of hiring an external service provider to manage a company's payroll functions, including employee salary calculations, tax withholdings, benefits administration, and compliance with local labor laws. This approach helps businesses reduce administrative burdens, minimize errors, and ensure timely and accurate payroll processing while focusing on core business operations.
Global Payroll Outsourcing key players include ADP, Intuit, KPMG, etc. Global top three manufacturers hold a share about 40%. United States is the largest market, with a share about 45%, followed by Europe and China, both have a share about 35 percent. In terms of product, Full-Managed is the largest segment, with a share about 60%. And in terms of application, the largest application is Small Business, followed by Midsized Business.
Market Drivers
Focus on Core Business Operations: Companies increasingly outsource payroll to reduce administrative burdens and free up internal resources for core functions like strategy, product development, and customer service.
Compliance with Complex Tax and Labor Laws: Payroll involves managing constantly changing regulations, including tax codes, labor laws, social security, and employee benefits. Outsourcing helps companies avoid penalties and maintain regulatory compliance through expert providers.
Cost Efficiency and Risk Reduction: Outsourcing payroll reduces overhead costs associated with maintaining in-house teams, software, and infrastructure. It also helps minimize errors and fraud through professional controls and automation.
Adoption of Cloud-Based and Digital Solutions: Modern payroll providers offer cloud-based platforms with real-time access, employee self-service portals, mobile apps, and integration with HR and accounting systems, making payroll more efficient and accessible.
Growing Global Workforce and Cross-Border Employment: As companies expand internationally or embrace remote work, managing multi-country payroll becomes complex. Outsourcing to global payroll providers helps streamline processes and ensures local compliance.
Market Challenges
Data Security and Privacy Concerns: Payroll data is highly sensitive. Companies worry about confidentiality, data breaches, and compliance with data protection regulations (like GDPR), which makes selecting a secure provider critical.
Loss of Control and Customization: Some organizations feel outsourcing limits flexibility, especially when unique payroll structures or last-minute adjustments are required. This may affect satisfaction or require negotiation of more tailored services.
Integration with Internal Systems: Ensuring seamless integration between outsourced payroll platforms and internal systems (e.g., HR, ERP, benefits software) can be technically challenging and may require ongoing IT support.
Vendor Reliability and SLA Management: Inconsistent service quality, missed deadlines, or lack of responsiveness from providers can disrupt employee satisfaction and damage trust. Managing vendor relationships effectively is essential.
Costs for Small Businesses or Startups: While outsourcing can reduce long-term costs, initial setup fees or minimum service charges may be too high for small businesses, limiting adoption in certain segments.
This report aims to provide a comprehensive presentation of the global market for Payroll Outsourcing, focusing on the total sales revenue, key companies market share and ranking, together with an analysis of Payroll Outsourcing by region & country, by Type, and by Application.
The Payroll Outsourcing market size, estimations, and forecasts are provided in terms of sales revenue ($ millions), considering 2024 as the base year, with history and forecast data for the period from 2020 to 2031. With both quantitative and qualitative analysis, to help readers develop business/growth strategies, assess the market competitive situation, analyze their position in the current marketplace, and make informed business decisions regarding Payroll Outsourcing.
Market Segmentation
By Company
- ADP
- Gusto
- Sage
- Xerox
- Paychex
- Intuit
- Zalaris
- Infosys
- KPMG
- Deloitte
- Aurion
- Dayforce (Ceridian)
- Square
- ConnectPay (Block)
- CloudPay
- Immedis
- HCL Technologies
- Activpayroll
- Ascender
- Alight
- Neeyamo
- BDO
- I-Admin
- TriNet
- Quikchex
- Paysquare
- ZingHR
- Easy Source
- Paybooks
- Paycom Software
Segment by Type
- Full-Managed Outsourcing
- Co-Managed Outsourcing
Segment by Application
- Small Business
- Midsized Business
- Large Business
By Region
- North America
- Asia-Pacific
- China
- Japan
- South Korea
- Southeast Asia
- India
- Australia
- Rest of Asia-Pacific
- Europe
- Germany
- France
- U.K.
- Italy
- Netherlands
- Nordic Countries
- Rest of Europe
- Latin America
- Mexico
- Brazil
- Rest of Latin America
- Middle East & Africa
- Turkey
- Saudi Arabia
- UAE
- Rest of MEA
Chapter Outline
Chapter 1: Introduces the report scope of the report, global total market size. This chapter also provides the market dynamics, latest developments of the market, the driving factors and restrictive factors of the market, the challenges and risks faced by manufacturers in the industry, and the analysis of relevant policies in the industry.
Chapter 2: Detailed analysis of Payroll Outsourcing company competitive landscape, revenue market share, latest development plan, merger, and acquisition information, etc.
Chapter 3: Provides the analysis of various market segments by Type, covering the market size and development potential of each market segment, to help readers find the blue ocean market in different market segments.
Chapter 4: Provides the analysis of various market segments by Application, covering the market size and development potential of each market segment, to help readers find the blue ocean market in different downstream markets.
Chapter 5: Revenue of Payroll Outsourcing in regional level. It provides a quantitative analysis of the market size and development potential of each region and introduces the market development, future development prospects, market space, and market size of each country in the world.
Chapter 6: Revenue of Payroll Outsourcing in country level. It provides sigmate data by Type, and by Application for each country/region.
Chapter 7: Provides profiles of key players, introducing the basic situation of the main companies in the market in detail, including product revenue, gross margin, product introduction, recent development, etc.
Chapter 8: Analysis of industrial chain, including the upstream and downstream of the industry.
Chapter 9: Conclusion.
Table of Contents
1 Market Overview
- 1.1 Payroll Outsourcing Product Introduction
- 1.2 Global Payroll Outsourcing Market Size Forecast (2020-2031)
- 1.3 Payroll Outsourcing Market Trends & Drivers
- 1.3.1 Payroll Outsourcing Industry Trends
- 1.3.2 Payroll Outsourcing Market Drivers & Opportunity
- 1.3.3 Payroll Outsourcing Market Challenges
- 1.3.4 Payroll Outsourcing Market Restraints
- 1.4 Assumptions and Limitations
- 1.5 Study Objectives
- 1.6 Years Considered
2 Competitive Analysis by Company
- 2.1 Global Payroll Outsourcing Players Revenue Ranking (2024)
- 2.2 Global Payroll Outsourcing Revenue by Company (2020-2025)
- 2.3 Key Companies Payroll Outsourcing Manufacturing Base Distribution and Headquarters
- 2.4 Key Companies Payroll Outsourcing Product Offered
- 2.5 Key Companies Time to Begin Mass Production of Payroll Outsourcing
- 2.6 Payroll Outsourcing Market Competitive Analysis
- 2.6.1 Payroll Outsourcing Market Concentration Rate (2020-2025)
- 2.6.2 Global 5 and 10 Largest Companies by Payroll Outsourcing Revenue in 2024
- 2.6.3 Global Top Companies by Company Type (Tier 1, Tier 2, and Tier 3) & (based on the Revenue in Payroll Outsourcing as of 2024)
- 2.7 Mergers & Acquisitions, Expansion
3 Segmentation by Type
- 3.1 Introduction by Type
- 3.1.1 Full-Managed Outsourcing
- 3.1.2 Co-Managed Outsourcing
- 3.2 Global Payroll Outsourcing Sales Value by Type
- 3.2.1 Global Payroll Outsourcing Sales Value by Type (2020 VS 2024 VS 2031)
- 3.2.2 Global Payroll Outsourcing Sales Value, by Type (2020-2031)
- 3.2.3 Global Payroll Outsourcing Sales Value, by Type (%) (2020-2031)
4 Segmentation by Application
- 4.1 Introduction by Application
- 4.1.1 Small Business
- 4.1.2 Midsized Business
- 4.1.3 Large Business
- 4.2 Global Payroll Outsourcing Sales Value by Application
- 4.2.1 Global Payroll Outsourcing Sales Value by Application (2020 VS 2024 VS 2031)
- 4.2.2 Global Payroll Outsourcing Sales Value, by Application (2020-2031)
- 4.2.3 Global Payroll Outsourcing Sales Value, by Application (%) (2020-2031)
5 Segmentation by Region
- 5.1 Global Payroll Outsourcing Sales Value by Region
- 5.1.1 Global Payroll Outsourcing Sales Value by Region: 2020 VS 2024 VS 2031
- 5.1.2 Global Payroll Outsourcing Sales Value by Region (2020-2025)
- 5.1.3 Global Payroll Outsourcing Sales Value by Region (2026-2031)
- 5.1.4 Global Payroll Outsourcing Sales Value by Region (%), (2020-2031)
- 5.2 North America
- 5.2.1 North America Payroll Outsourcing Sales Value, 2020-2031
- 5.2.2 North America Payroll Outsourcing Sales Value by Country (%), 2024 VS 2031
- 5.3 Europe
- 5.3.1 Europe Payroll Outsourcing Sales Value, 2020-2031
- 5.3.2 Europe Payroll Outsourcing Sales Value by Country (%), 2024 VS 2031
- 5.4 Asia Pacific
- 5.4.1 Asia Pacific Payroll Outsourcing Sales Value, 2020-2031
- 5.4.2 Asia Pacific Payroll Outsourcing Sales Value by Region (%), 2024 VS 2031
- 5.5 South America
- 5.5.1 South America Payroll Outsourcing Sales Value, 2020-2031
- 5.5.2 South America Payroll Outsourcing Sales Value by Country (%), 2024 VS 2031
- 5.6 Middle East & Africa
- 5.6.1 Middle East & Africa Payroll Outsourcing Sales Value, 2020-2031
- 5.6.2 Middle East & Africa Payroll Outsourcing Sales Value by Country (%), 2024 VS 2031
6 Segmentation by Key Countries/Regions
- 6.1 Key Countries/Regions Payroll Outsourcing Sales Value Growth Trends, 2020 VS 2024 VS 2031
- 6.2 Key Countries/Regions Payroll Outsourcing Sales Value, 2020-2031
- 6.3 United States
- 6.3.1 United States Payroll Outsourcing Sales Value, 2020-2031
- 6.3.2 United States Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.3.3 United States Payroll Outsourcing Sales Value by Application, 2024 VS 2031
- 6.4 Europe
- 6.4.1 Europe Payroll Outsourcing Sales Value, 2020-2031
- 6.4.2 Europe Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.4.3 Europe Payroll Outsourcing Sales Value by Application, 2024 VS 2031
- 6.5 China
- 6.5.1 China Payroll Outsourcing Sales Value, 2020-2031
- 6.5.2 China Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.5.3 China Payroll Outsourcing Sales Value by Application, 2024 VS 2031
- 6.6 Japan
- 6.6.1 Japan Payroll Outsourcing Sales Value, 2020-2031
- 6.6.2 Japan Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.6.3 Japan Payroll Outsourcing Sales Value by Application, 2024 VS 2031
- 6.7 South Korea
- 6.7.1 South Korea Payroll Outsourcing Sales Value, 2020-2031
- 6.7.2 South Korea Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.7.3 South Korea Payroll Outsourcing Sales Value by Application, 2024 VS 2031
- 6.8 Southeast Asia
- 6.8.1 Southeast Asia Payroll Outsourcing Sales Value, 2020-2031
- 6.8.2 Southeast Asia Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.8.3 Southeast Asia Payroll Outsourcing Sales Value by Application, 2024 VS 2031
- 6.9 India
- 6.9.1 India Payroll Outsourcing Sales Value, 2020-2031
- 6.9.2 India Payroll Outsourcing Sales Value by Type (%), 2024 VS 2031
- 6.9.3 India Payroll Outsourcing Sales Value by Application, 2024 VS 2031
7 Company Profiles
- 7.1 ADP
- 7.1.1 ADP Profile
- 7.1.2 ADP Main Business
- 7.1.3 ADP Payroll Outsourcing Products, Services and Solutions
- 7.1.4 ADP Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.1.5 ADP Recent Developments
- 7.2 Gusto
- 7.2.1 Gusto Profile
- 7.2.2 Gusto Main Business
- 7.2.3 Gusto Payroll Outsourcing Products, Services and Solutions
- 7.2.4 Gusto Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.2.5 Gusto Recent Developments
- 7.3 Sage
- 7.3.1 Sage Profile
- 7.3.2 Sage Main Business
- 7.3.3 Sage Payroll Outsourcing Products, Services and Solutions
- 7.3.4 Sage Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.3.5 Sage Recent Developments
- 7.4 Xerox
- 7.4.1 Xerox Profile
- 7.4.2 Xerox Main Business
- 7.4.3 Xerox Payroll Outsourcing Products, Services and Solutions
- 7.4.4 Xerox Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.4.5 Xerox Recent Developments
- 7.5 Paychex
- 7.5.1 Paychex Profile
- 7.5.2 Paychex Main Business
- 7.5.3 Paychex Payroll Outsourcing Products, Services and Solutions
- 7.5.4 Paychex Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.5.5 Paychex Recent Developments
- 7.6 Intuit
- 7.6.1 Intuit Profile
- 7.6.2 Intuit Main Business
- 7.6.3 Intuit Payroll Outsourcing Products, Services and Solutions
- 7.6.4 Intuit Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.6.5 Intuit Recent Developments
- 7.7 Zalaris
- 7.7.1 Zalaris Profile
- 7.7.2 Zalaris Main Business
- 7.7.3 Zalaris Payroll Outsourcing Products, Services and Solutions
- 7.7.4 Zalaris Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.7.5 Zalaris Recent Developments
- 7.8 Infosys
- 7.8.1 Infosys Profile
- 7.8.2 Infosys Main Business
- 7.8.3 Infosys Payroll Outsourcing Products, Services and Solutions
- 7.8.4 Infosys Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.8.5 Infosys Recent Developments
- 7.9 KPMG
- 7.9.1 KPMG Profile
- 7.9.2 KPMG Main Business
- 7.9.3 KPMG Payroll Outsourcing Products, Services and Solutions
- 7.9.4 KPMG Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.9.5 KPMG Recent Developments
- 7.10 Deloitte
- 7.10.1 Deloitte Profile
- 7.10.2 Deloitte Main Business
- 7.10.3 Deloitte Payroll Outsourcing Products, Services and Solutions
- 7.10.4 Deloitte Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.10.5 Deloitte Recent Developments
- 7.11 Aurion
- 7.11.1 Aurion Profile
- 7.11.2 Aurion Main Business
- 7.11.3 Aurion Payroll Outsourcing Products, Services and Solutions
- 7.11.4 Aurion Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.11.5 Aurion Recent Developments
- 7.12 Dayforce (Ceridian)
- 7.12.1 Dayforce (Ceridian) Profile
- 7.12.2 Dayforce (Ceridian) Main Business
- 7.12.3 Dayforce (Ceridian) Payroll Outsourcing Products, Services and Solutions
- 7.12.4 Dayforce (Ceridian) Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.12.5 Dayforce (Ceridian) Recent Developments
- 7.13 Square
- 7.13.1 Square Profile
- 7.13.2 Square Main Business
- 7.13.3 Square Payroll Outsourcing Products, Services and Solutions
- 7.13.4 Square Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.13.5 Square Recent Developments
- 7.14 ConnectPay (Block)
- 7.14.1 ConnectPay (Block) Profile
- 7.14.2 ConnectPay (Block) Main Business
- 7.14.3 ConnectPay (Block) Payroll Outsourcing Products, Services and Solutions
- 7.14.4 ConnectPay (Block) Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.14.5 ConnectPay (Block) Recent Developments
- 7.15 CloudPay
- 7.15.1 CloudPay Profile
- 7.15.2 CloudPay Main Business
- 7.15.3 CloudPay Payroll Outsourcing Products, Services and Solutions
- 7.15.4 CloudPay Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.15.5 CloudPay Recent Developments
- 7.16 Immedis
- 7.16.1 Immedis Profile
- 7.16.2 Immedis Main Business
- 7.16.3 Immedis Payroll Outsourcing Products, Services and Solutions
- 7.16.4 Immedis Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.16.5 Immedis Recent Developments
- 7.17 HCL Technologies
- 7.17.1 HCL Technologies Profile
- 7.17.2 HCL Technologies Main Business
- 7.17.3 HCL Technologies Payroll Outsourcing Products, Services and Solutions
- 7.17.4 HCL Technologies Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.17.5 HCL Technologies Recent Developments
- 7.18 Activpayroll
- 7.18.1 Activpayroll Profile
- 7.18.2 Activpayroll Main Business
- 7.18.3 Activpayroll Payroll Outsourcing Products, Services and Solutions
- 7.18.4 Activpayroll Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.18.5 Activpayroll Recent Developments
- 7.19 Ascender
- 7.19.1 Ascender Profile
- 7.19.2 Ascender Main Business
- 7.19.3 Ascender Payroll Outsourcing Products, Services and Solutions
- 7.19.4 Ascender Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.19.5 Ascender Recent Developments
- 7.20 Alight
- 7.20.1 Alight Profile
- 7.20.2 Alight Main Business
- 7.20.3 Alight Payroll Outsourcing Products, Services and Solutions
- 7.20.4 Alight Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.20.5 Alight Recent Developments
- 7.21 Neeyamo
- 7.21.1 Neeyamo Profile
- 7.21.2 Neeyamo Main Business
- 7.21.3 Neeyamo Payroll Outsourcing Products, Services and Solutions
- 7.21.4 Neeyamo Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.21.5 Neeyamo Recent Developments
- 7.22 BDO
- 7.22.1 BDO Profile
- 7.22.2 BDO Main Business
- 7.22.3 BDO Payroll Outsourcing Products, Services and Solutions
- 7.22.4 BDO Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.22.5 BDO Recent Developments
- 7.23 I-Admin
- 7.23.1 I-Admin Profile
- 7.23.2 I-Admin Main Business
- 7.23.3 I-Admin Payroll Outsourcing Products, Services and Solutions
- 7.23.4 I-Admin Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.23.5 I-Admin Recent Developments
- 7.24 TriNet
- 7.24.1 TriNet Profile
- 7.24.2 TriNet Main Business
- 7.24.3 TriNet Payroll Outsourcing Products, Services and Solutions
- 7.24.4 TriNet Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.24.5 TriNet Recent Developments
- 7.25 Quikchex
- 7.25.1 Quikchex Profile
- 7.25.2 Quikchex Main Business
- 7.25.3 Quikchex Payroll Outsourcing Products, Services and Solutions
- 7.25.4 Quikchex Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.25.5 Quikchex Recent Developments
- 7.26 Paysquare
- 7.26.1 Paysquare Profile
- 7.26.2 Paysquare Main Business
- 7.26.3 Paysquare Payroll Outsourcing Products, Services and Solutions
- 7.26.4 Paysquare Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.26.5 Paysquare Recent Developments
- 7.27 ZingHR
- 7.27.1 ZingHR Profile
- 7.27.2 ZingHR Main Business
- 7.27.3 ZingHR Payroll Outsourcing Products, Services and Solutions
- 7.27.4 ZingHR Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.27.5 ZingHR Recent Developments
- 7.28 Easy Source
- 7.28.1 Easy Source Profile
- 7.28.2 Easy Source Main Business
- 7.28.3 Easy Source Payroll Outsourcing Products, Services and Solutions
- 7.28.4 Easy Source Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.28.5 Easy Source Recent Developments
- 7.29 Paybooks
- 7.29.1 Paybooks Profile
- 7.29.2 Paybooks Main Business
- 7.29.3 Paybooks Payroll Outsourcing Products, Services and Solutions
- 7.29.4 Paybooks Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.29.5 Paybooks Recent Developments
- 7.30 Paycom Software
- 7.30.1 Paycom Software Profile
- 7.30.2 Paycom Software Main Business
- 7.30.3 Paycom Software Payroll Outsourcing Products, Services and Solutions
- 7.30.4 Paycom Software Payroll Outsourcing Revenue (US$ Million) & (2020-2025)
- 7.30.5 Paycom Software Recent Developments
8 Industry Chain Analysis
- 8.1 Payroll Outsourcing Industrial Chain
- 8.2 Payroll Outsourcing Upstream Analysis
- 8.2.1 Key Raw Materials
- 8.2.2 Raw Materials Key Suppliers
- 8.2.3 Manufacturing Cost Structure
- 8.3 Midstream Analysis
- 8.4 Downstream Analysis (Customers Analysis)
- 8.5 Sales Model and Sales Channels
- 8.5.1 Payroll Outsourcing Sales Model
- 8.5.2 Sales Channel
- 8.5.3 Payroll Outsourcing Distributors
9 Research Findings and Conclusion
10 Appendix
- 10.1 Research Methodology
- 10.1.1 Methodology/Research Approach
- 10.1.1.1 Research Programs/Design
- 10.1.1.2 Market Size Estimation
- 10.1.1.3 Market Breakdown and Data Triangulation
- 10.1.2 Data Source
- 10.1.2.1 Secondary Sources
- 10.1.2.2 Primary Sources
- 10.2 Author Details
- 10.3 Disclaimer