Modulr Expands Xero Integration with Payroll Services to Address Industry Challenges

Modulr, the embedded payments platform, has announced the addition of payroll services to its integration with Xero, the online accounting software provider. This enhancement aims to help businesses reduce payroll payment errors and administrative overhead, ensuring that employees are paid accurately and on time, every time.

Despite technological advances, payroll errors remain a significant issue, with outdated and inadequate solutions still in use. Research by the Global Payroll Association (GPA) reveals that nearly half (47%) of all UK employees have been affected by payroll errors, and 13% have had to wait until their next paycheck for errors to be corrected, causing unnecessary emotional distress for both employees and payroll professionals.

To address these challenges and enhance its offering for payroll professionals, accountants, and businesses, Modulr has extended its Xero integration to include automated single or batch payroll payments. This allows customers to reduce errors, cut payroll processing times by up to 80%, approve payments on the go using a mobile app, and consolidate multiple payments to a single payee, thereby saving on transaction fees.

With this integration, Xero payroll users can take advantage of Modulr’s direct access to the UK’s real-time payments network, Faster Payments, enabling payroll payments to clear within 90 seconds, even on weekends and bank holidays. This provides payroll professionals with greater flexibility and more time to complete payroll processes.

Kerry Wale, Senior Client Manager at Women Who Count, a firm specializing in bookkeeping, payroll, and accountancy, commented: “Thanks to the Modulr and Xero integration, we can efficiently set up payments in advance or immediately for payroll without needing access to clients’ online banking. And with real-time payments, we no longer worry about the inflexible three working day lead time of traditional Bacs payments. Overall, this new integration allows us to deliver an end-to-end payroll process, with smooth onboarding and excellent support from the Modulr team.”

Steve Bradford, Managing Director of Channel and Strategic Partnerships at Modulr, added: “When it comes to payroll, it’s people’s livelihoods and the business’ reputation that are at stake. Payroll bureaus, accountants, and businesses have enough to deal with without having to worry about unnecessary errors due to outdated systems. This latest addition to our integration with Xero is another step in expanding our ecosystem and broadening the options payroll professionals have for optimizing their processes. Through our industry-first mobile app, payroll and business leaders can benefit from smart, fast, and secure approvals on the go.”

Modulr is the payments partner of choice for leading accounting and payroll software providers, including Xero, Sage, IRIS, and BrightPay. It is already trusted by thousands of accountants, payroll bureaus, and businesses to streamline payroll and invoice payment processes.