Your Managed Payroll Service

You control how much or how little managed payroll support you need

Whether you’d like us to support your in-house team with month-end processes or to become a fully managed payroll service for your company, you can save up to 30% in payroll operation costs with Phase 3 – CIPP’s Payroll Provider of the Year 2025.

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Helping brands like these with their managed payroll services:

Miele
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ofgem
Family Action Logo
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Royal Albert Hall
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"The teams’ pride in their organisation and enthusiasm for providing a supportive environment for employees was evident. Phase 3 are clearly committed to providing the best service they can to their clients while ensuring their staff are well supported in both personally and professionally." Stephen Hendren, CIPP

Cost-effective managed payroll

Making payroll easier for you

You will have peace of mind, be kept up to date with the latest legislation and reduce your administrative burden.

  • We're responsible for making over 1/2 billion in payments on behalf of our clients each year
  • Using BACS, we pay people approximately £142m in Net Pay each month
  • We support clients with Faster Payments, Earned Wage Access solutions and payment facilities
  • We're accredited through the CIPP Payroll Assurance Scheme
Speak to our team
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Payroll processed to the highest possible standard

Fully qualified managed payroll providers

Have your payroll processed by holders of accreditations in CIPP Payroll Assurance Scheme, Cyber Essentials Plus, ISO27001 for Information Security and ISO9001 for Quality Management. We’re also implementing the Investors in People accreditation and have undertaken SOC1 Type 2 auditing. What does this mean for you? Your payroll will be processed to the highest possible standard with fewer errors, increased accuracy and on time.

  • Phase 3 pay over 100,000 payslips a month, serving clients with payslip numbers from 100 – 2,500
  • We match your payroll frequency with ease - whether Annual, Monthly or Weekly we run all payroll types
  • In the last 12 months, we have paid 100% of pay submissions accurately and ontime
  • You don't need to move software - speak to us today about supporting you on your existing software (or move to ours if you prefer)
Bite-sized consultancy
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What are the benefits of a managed payroll service?

Payroll is a critical business function and errors happen more often than you think. Managed payroll gives you peace of mind, keeps you up to date with the latest legislation, reduces administration tasks and saves your business time and money.

It can also ensure business continuity during those unpredictable times such as staff sickness or technology malfunctions. Phase 3 will have you covered.

  • Peace of mind
  • Cost-effective
  • Saves time
  • Increased accuracy
  • Business continuity
  • Fraud prevention
  • Compliance risk management
  • Legislation handled

Phase 3 bridge the gap between people and technology

Phase 3 are the best outsourced payroll company – we were named Payroll Provider of the Year by CIPP in 2025.

  • Expert payroll professionalism at small-business cost
  • Strategic thinking on payroll, forward planning and cost
  • Fixed price rather than transactional costs allow for fluctuations in business growth
  • Safeguarding and watching out for legislation
  • One-stop shop for all payroll needs, such as auto-enrolment and flexible benefits
  • Added value with a payroll software implementation consultant with additional HR expertise
  • Options to offer a product with service (including self-service)
  • Flexible payment options (including the use of Credit Cards)
  • Same day payments to reflect business needs
  • Integration with other systems

What our clients are saying

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Following the resignation of the payroll manager, I took the opportunity to outsource the function. The team not only resolved many issues we were experiencing with our systems but also our staff now have more confidence and the level of queries has fallen dramatically. I have nothing but praise for the team!

Rhona Mason HR Director
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Since our company inception we have exported 66,488 timesheets over 134 weekly pay runs. We have never had a temp who has accidently not been paid by Phase 3.

Overall, we have been happy with the support we receive from Phase 3 and the speed at which queries are resolved – especially considering we manage around 10,000 placements for students and graduates per year which can amount to hundreds of pay queries for Phase 3 to answer.

I would encourage other SMEs to work with Phase 3 and would recommend their services.

Sam Taylor Associate Director
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The best thing about Phase 3 is knowing that the payroll processing is done correctly. I have full confidence in the knowledge of the team.

Caroline Lupton Regional HR Manager
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All in all, the service we receive is nothing short of first-class! Phase 3 is by far one of the best consultancy companies I have ever worked with which is a great testament to your amazing people!

Louise Imray HR Co-ordinator
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They’ve taken a very difficult process and streamlined it from start to finish. We get hands on, practical support when we need it most. The team don’t just fix our issues for us, they break it down in a simple way so that we can learn from them at the same time.

Alexia Roberts Head of HR

Managed Payroll FAQs

Is managed payroll suitable for my business?

Managed payroll is suitable for any business, regardless of size or industry. Our services can be tailored to your requirements. We can act as an extension of your existing payroll team or manage your entire payroll with our fully managed service.

If managing payroll in-house is taking up too much time, cost, effort, or causing stress, it may be the right time to explore the options available.

How much does fully managed payroll cost?

The cost of fully managed payroll depends on several factors, including your company’s size, goals, and requirements. We offer flexible and competitive payment options that align with industry standards.

How much control will I have over my payroll?

One of the main benefits of our managed payroll service is that we can take on as much or as little as you need. If you prefer to retain certain payroll responsibilities in-house, that is absolutely fine.

Is managed payroll different from outsourced payroll?

Managed payroll and outsourced payroll both involve using an external provider to handle payroll functions.

The key difference is that outsourced payroll usually covers selected elements, while fully managed payroll covers the entire process. This means your payroll provider effectively becomes your payroll department, giving you more time and resources to focus on running and growing your business.

Can you guarantee payroll security?

Security is our top priority when managing your payroll, and we work to the highest standards to protect your business data.

Our payroll databases are cloud-based and hosted in secure data centres, ensuring the safety and privacy of employee information. Our processes are governed by ISO 9001 for quality management and ISO 27001 for information security, and we also hold Cyber Essentials Plus certification.

In addition, our systems are fully secure, using encryption to ensure any data exchanged is protected from unauthorised access.

What is the setup and handover process, and will there be any disruption?

We work with you to make the handover process as smooth and painless as possible. Whether you are migrating from legacy systems to new payroll software or staying with your current system, we ensure there is little to no downtime or disruption to your business.

Will I need to change my payroll software?

With our managed payroll services, you do not need to change your payroll software provider.

We can review your current system to ensure it meets your business needs and that you are getting the most from it. If it doesn’t fit your needs, we are independent of vendors and can provide unbiased advice and assistance in changing, but the choice is up to you!

Will you handle pension contributions and other third-party payments?

We can manage workplace pension arrangements as part of our fully managed payroll service. This includes making the necessary deductions and liaising with the pension provider to ensure payments are made correctly. The same applies to any other third-party payments you may require.

If you are concerned about auto-enrolment, we can also handle this for you, ensuring you remain compliant with your employer duties.

Will you provide employee payslips?

We can streamline and automate the payslip process for you. Payslips can be provided either in sealed envelopes or electronically, and we ensure maximum security whichever option you choose.

Will I be able to make changes to a completed pay run?

We understand that changes may occasionally be needed after payroll has run. If this happens, our managed payroll team will make the necessary adjustments and resend any updated payslips and reports. Please note that the usual fees will apply for any re-runs.

Can I move payroll back in house if I change my mind?

If you decide that managed payroll is not the right fit, you can move the function back in house, subject to your contract. We will work with you to ensure the transition is smooth and causes minimal disruption to your business.

Can you support businesses with specialist payroll requirements?

Our team is highly experienced in managing payroll across many different sectors, including organisations with unusual or specialist requirements. As a professional, award-winning managed payroll provider, you can be confident that we have the expertise to support you.

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