Payroll Billing

How will BambooHR bill my company with BambooHR® Payroll?

Purpose: This guide will provide an overview of how the billing process works and the different billing options if you are BambooHR Payroll customer. 

Table of Contents

Payroll billing explained

BambooHR will bill Payroll customers monthly based on the number of individual employees paid within payroll and the number of active state tax accounts added for each individual EIN (if you have multiple) in the previous month. The per employee per month (PEPM*) and additional state fee* (if applicable) will apply to the first approved payroll run of the month, regardless of whether it is your scheduled payroll run or an off-cycle payroll run. Once the first payroll is approved, you will not see these charges on any additional payroll runs for that month. 

*PEPM: The number of employees included in the PEPM is based on the unique count of employees paid across all payrolls in the previous month for any scheduled and off-cycle payrolls per EIN. 

*Additional state fee: The additional state fee unit is based on the number of additional active state tax accounts added to each EIN in the previous month. If it is your company's first payroll run ever, the additional state fee unit is based on the distinct count of states for the EIN’s active state tax accounts in the current month.

If it is your first time running payroll with BambooHR Payroll, the PEPM will reflect the employee count our Payroll Sales team quoted to you. If you do not provide an intended employee count for your first payroll, your company will still be charged the monthly minimum fee, and we will label the employee count for that month as 1. 

If you do not pay any employees or process payroll in the previous month, the monthly minimum fee still applies, and we will label the employee count for that month as 1.

How can I view the employee lookback count for the previous month before I am billed?

You can view the employee count that our Billing team uses for the PEPM lookback total in the Cash Requirement report. Navigate to Reports > Payroll Reports > Date Range. Then, select the date range for the previous month to generate the correct data in the Cash Requirement report. Download the report and look for the Employee Count field at the bottom right of the report. 

Employee count examples

Scenario 1: EIN has one pay schedule on a bi-weekly cadence

  • Three employees paid in the 1st scheduled payroll of the month: Amy, Joe, David
  • Four employees paid in the 2nd scheduled payroll of the month: Amy, Joe, David, Alex
  • In this scenario, there are four distinct employees paid in the month (Amy, Joe, David, Alex).

Scenario 2: EIN has one pay schedule on a bi-weekly cadence

  • Three employees paid in the 1st scheduled payroll of the month: Amy, Joe, David
  • Four employees paid in the 2nd scheduled payroll of the month: Amy, Joe, David, Alex
  • Two employees paid in an off-cycle: Amy, Juliet
  • In this scenario, there are five distinct employees paid in the month (Amy, Joe, David, Alex, Juliet).

Scenario 3: EIN has two pay schedules (Pay Schedule A and Pay Schedule B) on a bi-weekly cadence

  • Three employees paid in the 1st scheduled payroll of the month for Pay Schedule A: Amy, Joe, David
  • Four employees paid in the 2nd scheduled payroll of the month for Pay Schedule A: Amy, Joe, David, Alex
  • Two employees paid in the 1st scheduled payroll of the month for Pay Schedule B: John, Brian
  • Two employees paid in the 2nd scheduled payroll of the month for Pay Schedule B: John, Brian, Sarah
  • In this scenario, the system would say there were seven distinct employees paid in the month (Amy, Joe, David, Alex, John, Brian, Sarah).

Scenario 4: EIN has two pay schedules (Pay Schedule A and Pay Schedule B) on a bi-weekly cadence and an employee moves to the other pay schedule

  • Three employees paid in the 1st scheduled payroll of the month for Pay Schedule A: Amy, Joe, David
  • Four employees paid in the 2nd scheduled payroll of the month for Pay Schedule A: Amy, Joe, Alex
  • Two employees paid in the 1stscheduled payroll of the month for Pay Schedule B: John, Brian
  • Two employees paid in the 2nd scheduled payroll of the month for Pay Schedule B: John, Brian, Sarah, David
  • In this scenario, the system would say there were seven distinct employees paid in the month (Amy, Joe, David, Alex, John, Brian, Sarah).