Payroll Integrations – a technology company reimagining how employers support employees’ financial well-being through benefit automation – recently announced the closing of its $20 million Series A funding round. Arthur Ventures, a Minneapolis-based growth equity firm with deep expertise in B2B software, led the funding round.
Payroll Integrations integrate payroll providers and benefits platforms to establish a direct two-way connection. And the company’s proprietary technology captures employee census and payroll data directly from the payroll companies, extracts relevant information, and converts the data into a structured, ready-to-use format for their clients.
This enables better processing and fewer errors in employees’ benefit plans in a fraction of the time–saving employers 100+ hours per year. And Payroll Integrations’ integration platform as a service (iPaaS) was built specifically for the benefit space, offering deep expertise and understanding of industry nuances to drive more efficient results.
Payroll Integrations currently works with over 4,000 companies to connect payroll with retirement, HSA, and other employer-sponsored benefit plans for over one million employees. And the company works with 70% of the payroll provider landscape, including ADP, Paychex, and Quickbooks Online, and 90% of the largest 401k providers like Empower, Transamerica, Principal, Voya, and John Hancock.
With the funding round, Payroll Integrations will expand its product line and relationships with payroll companies and benefit platforms to further employees’ financial wellness journey through data connectivity. Payroll Integrations will also invest in its operations to meet the rapid adoption of its technology.
Arthur Ventures’ investment in Payroll Integrations validates the company’s ability to enable employers to run their business more effectively. And as a result, supports employees’ financial well-being. Arthur Ventures has raised over $1.1 billion and has an extensive portfolio, including benefit companies like Everything Benefits, VBA Software, and When I Work.
Payroll Integrations was founded in 2016 by co-founders Doug Sabella and Andrew Hallengren and is based in San Diego.
“Both the payroll market and employee benefits market have been slow to embrace new technologies, often relying on manual processes or complex custom integrations to exchange data. We have spent the last seven years doing the heavy lifting for benefits recordkeepers – building integrations with the largest and most widely-used payroll companies in the U.S. – so that they can offer their customers a seamless employee benefits experience, without the headache of manually tracking payroll and census changes each pay period.”
— Doug Sabella, CEO of Payroll Integrations
“Employers are trending towards more holistic financial wellness offerings and personalized benefit plan options for employees, introducing more administrative complexity and nuance for employers. Payroll Integrations is well-positioned as the go-to solution to reduce the administrative burden on employers and recordkeepers, whether for retirement plans, HSA plans, or other employer-sponsored benefit plans.”
— Ryan Kruizenga, General Partner at Arthur Ventures