Any organization is healthy when its employees are happy and to keep employees happy, companies must invest in their Human Resource (HR) teams. Often, HR teams are found to be overloaded with multiple tasks that involve tedious manual processes to handle employee data. This brings down the efficiency of the team significantly. To address this concern, there are multiple Human Capital Management (HCM) tools available in the market. But how do you know which one would be right for your organization? To help you with this decision, here is a comparison of two popular HCM tools. Read on for a detailed Paylocity review coupled with a review of a second tool, named MobileHR.


Let us begin the comparison by looking at the key features of both tools. Sometimes, your organization needs a tool to perform just the core HR tasks and other times, you might need something extra. Let us see how these two tools stack up against each other regarding common HR tasks.

Data in One Place

Paylocity: Gone are those days when your HR team would have to rummage through a series of files on different systems to locate essential employee data. Paylocity brings you a single, intuitive platform where you could work on any module of the software with all employee data situated within one cloud-based system.

MobileHR: MobileHR offers the convenience of viewing and editing any employee data on the go through its 100% mobile app. It breaks down the data into modules for easier navigation. You could synchronize the data with other apps on your phone, such as email, messaging, and camera, for viewing later. Moreover, the app sends you reminders if any data needs to be edited manually.

Payroll Administration

Paylocity: Payroll could be handled online with this tool. The module includes a pre-process register, using which you could view all compensation details before payroll is processed. This ensures that the final processing is error-free. You could also file taxes and manage compliance with this software. Employees could view their pay stubs on the tool as well.

MobileHR: With MobileHR, you could process payroll from anywhere on the mobile app. View and edit compensation while on the move and allow your employees to do the same. Also, you could integrate external software such as Quickbooks for accounting purposes. Provide secure access to third-party vendors who manage your payroll.

Benefits Tracking

Paylocity: The Benefits Admin module integrates seamlessly with the payroll module and allows employees to view and edit their enrollments on the same platform where they see their compensations. As an HR manager, you could run benefits awareness programs, edit enrollments, and pull reports, all through this software.

MobileHR: MobileHR also allows employees to manage their benefits enrollments through a few simple taps on their smartphone. Your HR team could edit employee preferences, costs, and other details on the app itself. Third-party insurance brokers could manage the employee benefits and claims data via role-based secure login access to the app.

Performance Management

Paylocity: With Paylocity’s Performance Journaling module, you could now track your team’s performance throughout the year instead of sticking to fixed appraisal cycles. Employees could view their goals and complete self-appraisals on the tool. Managers could assign and edit goals and incorporate 360-degree feedback through the tool.

MobileHR: The app provides complete flexibility to employees and managers when it comes to appraisal discussions. All discussion points are automatically recorded on the app so that employees could go back and review those points later, from anywhere. Managers have the added option to pull reports of the entire team’s performance.

Vacation Handling

Paylocity: The Time & Labor module of the tool enables employees to request for leaves on the portal or the mobile app. They could also view their leave accruals and approved vacations. Managers could approve vacations on the tool as well.

MobileHR: MobileHR takes vacation management one step further. While it offers the basic functionality of applying for and approving leaves on the app with ease, it also allows managers to synchronize leave calendars with the built-in calendars on the phone. This ensures that if you are a manager, you are always in a position to view the availability of your team simply by checking the calendar, yes, even when you are traveling.

Time and Project Tracking

Paylocity: The same Time & Labor module that handles vacations is used to track employee hours as well. With the tool, you could set up your time-tracking policies to ensure employees do not misuse the mobile app by clocking-in hours they have not worked. Managers could create and manage schedules on the tool and generate attendance reports as needed.

MobileHR: This fully mobile app ensures peace of mind for both employees and managers as time-tracking could be done through a few taps on the phone. Moreover, the app allows managers to assign specific tasks or projects based on the availability of team members. You could also generate custom reports based on these task allocations and send over to clients, project owners, or the payroll administration team.


Paylocity: With the self-service feature of the tool, employees could access their pay stubs, view their profiles, go through organizational information, and connect with peers on a social collaboration platform. Managers could access self-service to approve leave requests, pay changes, workflows. etc. Self-service is also available through the Paylocity mobile app.

MobileHR: Employee self-service options allow employees to view their salaries, benefits, leaves, schedules, and tasks relevant to their roles, all through the 100% mobile app. Additionally, manager self-service, which is a full-feature included at no extra cost, enables managers to approve schedules and leaves, while also managing new hires, promotions, terminations, retirements, long vacations, and so on.

Reporting and Searches

Paylocity: Paylocity has more than 100 standard reports, such as headcount, demographics, turnover, retention, utilization, and many more, to use in building your analytical dashboards. You could also create custom reports with ad-hoc design templates. These reports could be automated to be delivered to recipients at specific frequencies.

MobileHR: With MobileHR, too, you could use built-in reporting templates or customize your own. There is no better way to feel the pulse of your organization than building visually-rich dashboards. Additionally, this app comes with a built-in company org chart, which allows you to send any report to anyone simply by tapping on the name of the person on the chart, thus, increasing your HR team’s efficiency.

Secure Access

Paylocity: Security is key when handling sensitive employee and organizational data. Fortunately, Paylocity has a strong security system where threat monitoring is always in place. All data is protected using 256-bit encryption. It provides access to all employees and HR personnel through its 24/7 secure servers.

MobileHR: With more flexibility comes more security concerns and MobileHR lives up to all the relevant expectations. The app provides role-based access to all users. Additionally, it allows one person in your organization to be the administrator who decides the roles and their respective accesses. Thus, you could control the data security of your organization easily.


Your organization’s budget plays a crucial role in determining the right software for your HR team. By comparing the two HCM tools concerning their pricing, you could understand which one provides more value for money. Let us have a look.

Paylocity: Pricing is not available online but according to a third-party website it begins at $2 to $4 per employee per month. So, this is beneficial if yours is a small company. When you begin to expand your business, it might turn out to be a costly solution.

MobileHR: MobileHR, on the other hand, is available at a flat price of $75 per month. This pricing does not depend on your organizational headcount. This means that even when your organization grows, you could continue to add new employees to the app at no extra cost. Also, there are no installation charges, contracts, or billings. Simply download the app on your smartphone and get going.

Target Market

Paylocity has customers in a wide range of industries, including retail, hospitality, manufacturing, services, and many more. It is suitable for all business sizes.

MobileHR has been specifically designed for small businesses with the number of employees between 10 and 100. This does not mean that this solution is not fit for larger companies. Scalability is one of the stand-out features of this tool as it grows alongside your business without you having to shell out anything extra. If yours is a startup or a growing business, this feature could make your life easier.

User Reviews

What are the other users saying about the Paylocity software? Are they happy? Do they want any improvements? Read on for a summary of those features in this tool that other customers would love to see changed.

1) Set-Up: The set-up and installation process was found to be tedious in many cases.

2) Error-prone: Reporting and paid-time-off management threw many errors.

3) Payroll: Payroll is advertised to be simple but requires a lot of unnecessary steps.

4) Scalability: The features were found to be not appropriate for medium or large companies. It could not handle complicated organizational processes.

5) Automation: Many features still need manual intervention and connectivity between modules is not that seamless.

With MobileHR, there is no set-up required. Once you download the app, you are good to go. All modules are seamlessly connected and automated to remove any errors or manual processing. The app is also perfectly scalable as it allows you to continue to add new employees as your business grows. The infrastructure of the app is suitable to deal with businesses of any size.

Editorial Reviews

Now, we will look at what technical experts experienced while using Paylocity. Here is a summary of everything they thought the software could do better.

1) Pricing: The lack of transparent pricing may drive potential customers away as most of them do not have the time to go through a demo and decide on their purchase.

2) Connectivity: The software was found to be slow in connecting and not quite seamless with integrations.

3) Interface: The user interface was found to be difficult to navigate with too many differences between an admin login and a user login.

4) Phone App: iPhone users have often found it difficult to update timesheets using the app.

MobileHR is a great solution to the above challenges as it comes at a flat rate of $75 per month. It is well integrated with third-party vendors and external software such as Quickbooks. Being a fully mobile app, the interface is easy to use and regardless of the feature you wish to use or the type of role you are in, the app provides the desired flexibility.

The Verdict

It may not be an easy task to choose the right HCM tool for your company, but a careful evaluation of the features, pricing, and user reviews could help. If yours is a small company, you might do well with Paylocity, but once you scale up, the rudimentary features and lack of a smooth user interface might be hindrances, not to mention the non-transparent pricing. With MobileHR, your HR team could gain efficiency and peace of mind working on the flexible mobile app, while you could be certain of getting a tool that provides value for money.