What do payroll systems use to process employees salaries

[Thamibn]

Hi guys,

Does anyone know what payment gateways do payroll systems use to process the employees salaries,

Do they post the batch payment straight to the banks APIs or there's a gateway of some sort used to process the batch payments with a click of a button.

I want develop a similar system that's why I am asking the above questions

 

[Charly]

Perhaps it's changed in the 2 years since I last investigated it, but it was not possible back then.

I spoke to someone working at a local FinTech the other day and they said that the APIs do exist but the banks won't even talk to you unless you sign an NDA and put down a few R100k deposit. He couldn't even give me names of the banks or agents he delt with and said it's the sort of thing where if you don't already have the contacts, you won't be able to find who you need to contact.

It's from someone I trust but I'm just playing broken telephone here, so I may be wrong.

 

[NarrowBandFtw]

Most banks have a batch payment instruction system, some via API, some with a file that must be uploaded somewhere etc

batch payments, like a payroll run, typically happen via those channels AFAIK

as an example, Standard Bank South Africa would probably suggest a business enrolls for their BOL "or Business OnLine" system which makes such mechanisms available

there isn't really a standard gateway / provider for it, realistically a payroll system would need to support all major banks' various systems, your customers would naturally be sending payments from the bank they bank with

 

[Thamibn]

Most banks have a batch payment instruction system, some via API, some with a file that must be uploaded somewhere etc

batch payments, like a payroll run, typically happen via those channels AFAIK

as an example, Standard Bank South Africa would probably suggest a business enrolls for their BOL "or Business OnLine" system which makes such mechanisms available

there isn't really a standard gateway / provider for it, realistically a payroll system would need to support all major banks' various systems, your customers would naturally be sending payments from the bank they bank with

Thank you for your reply it makes sense now

 

[Thamibn]

Perhaps it's changed in the 2 years since I last investigated it, but it was not possible back then.

I spoke to someone working at a local FinTech the other day and they said that the APIs do exist but the banks won't even talk to you unless you sign an NDA and put down a few R100k deposit. He couldn't even give me names of the banks or agents he delt with and said it's the sort of thing where if you don't already have the contacts, you won't be able to find who you need to contact.

It's from someone I trust but I'm just playing broken telephone here, so I may be wrong.

Banks always makes things harder for us eish

 

[umamankandla]

Hi guys,

Does anyone know what payment gateways do payroll systems use to process the employees salaries,

Do they post the batch payment straight to the banks APIs or there's a gateway of some sort used to process the batch payments with a click of a button.

I want develop a similar system that's why I am asking the above questions

You mean like Netcash? They have APIs

 

[deweyzeph]

Payrolls systems are designed to make the process of calculating payslips easy and automatic. In South Africa at least, it's not common for payroll systems to automate the actual payment of salaries.