How Top HR & Finance Teams are using AI Agents to Automate Payroll Support

The Problem with Payroll Support

Payroll support has long been one of the most time-consuming and frustrating aspects of HR operations. On the surface, payroll questions seem straightforward, but each inquiry is deeply contextual and requires careful investigation.

As one HR professional put it, “Payroll questions eat up more time than anything else. They’re all kind of the same… but also totally different.”

Why Are Payroll Questions So Complex?

Employees frequently ask questions like:

  • “Can you explain my pay?”
  • “Why does my paycheck look wrong?”
  • “I got promoted, but nothing changed in my pay?”

Each of these seemingly simple inquiries requires a deep dive into various factors, including:

  • The employee's role and tenure
  • Their location and applicable tax laws
  • Pay policies and company regulations
  • Historical pay stubs and adjustments

A single payroll question can take anywhere from 30 to 60 minutes to fully resolve, draining HR teams of valuable time that could be spent on more strategic initiatives.

Common Solutions to Payroll Support Challenges

HR and payroll teams typically explore three main approaches to improving payroll support:

1. Hiring More Payroll Specialists

Expanding HR and payroll teams can help address high volumes of questions, but this approach is costly and not scalable. As payroll inquiries fluctuate, maintaining a large team just to manage support is inefficient.

2. Upgrading to a New HRIS

Some organizations attempt to solve payroll support issues by switching to a new HR Information System (HRIS). However, this comes with significant challenges:

  • High implementation costs
  • Disruption to workflows
  • Extensive change management efforts
  • Lengthy transition periods that can span months or even years

3. Implementing AI Agents for Payroll Support

A more innovative and scalable approach is leveraging AI-powered HR agents. These AI solutions integrate seamlessly with existing HRIS systems and automate payroll question resolution without requiring system overhauls.

How AI Agents for HR Automate Payroll Support

AI agents, like those developed by Wayside, are designed to handle payroll inquiries with speed and accuracy. Here’s how they work:

  1. Data Retrieval: The AI agent pulls employee-specific data from the HRIS.
  2. Contextual Analysis: It reviews pay stubs, tax laws, company policies, and relevant historical data.
  3. Discrepancy Detection: The AI identifies errors, discrepancies, or legitimate changes in payroll.
  4. Response Generation: It produces a clear, personalized explanation for the employee.

Key Benefits of AI-Powered Payroll Support

  • Minimal Change Management: AI agents work within existing systems, eliminating the need for disruptive transitions.
  • Human-in-the-Loop Support: HR teams can review and validate AI-generated responses before they reach employees.
  • Drastic Time Savings: AI agents can resolve payroll inquiries in less than 60 seconds, freeing HR teams from spending 100+ hours per month on repetitive tasks.
  • More Strategic HR Work: With AI handling payroll questions, HR professionals can focus on employee engagement, talent development, and compliance strategy.

Wayside: Building AI Agents to Automate Payroll Support

At Wayside, we specialize in AI-powered HR automation, helping companies reduce payroll support burdens and improve employee experiences. Our AI HR Agent streamlines payroll inquiries without costly system upgrades or team expansions.

Ready to Automate Payroll Support?

Book a free demo with the Wayside team today and see how AI agents can transform your HR operations.