The verdict in three sentences
For a Berlin temporary staffing firm placing 350 workers a week, retyping timesheets costs more than the software: 2 full-time data entry staff and 1 to 2 % payroll and billing errors. Custom software with assignment contracts, compliance checks, online timesheets and payroll export costs EUR 50,000 to 110,000 and ships in 5 months. It must be compared honestly with market tools billed EUR 2 to 4 per contract: custom wins when your clients impose specific timesheet or billing rules.
Where time and margin go in a staffing agency
A typical week in Berlin: 350 workers placed with 60 clients (logistics around Schönefeld, manufacturing, hospitality, construction), about 420 contracts and amendments, and as many timesheets arriving by photo, PDF or email on Monday. Recruiters spend the start of the week retyping instead of placing.
| Weekly task | Without an integrated tool | With integrated software |
|---|---|---|
| Assignment contracts and amendments | Word template, 12 min each | Generated from the client order, 3 min, e-signature |
| AÜG compliance | Manual checks | Automatic tracking of the 18-month cap and equal pay after 9 months |
| Timesheets | Paper or photo, retyped | Entered by the worker, approved by the client online |
| Shift premiums and allowances | Spreadsheet, frequent errors | Rules by client and by collective agreement (GVP/DGB, iGZ) |
| Payroll export | Retyped into payroll | Variable pay file imported in 1 click |
| Client invoicing | 2 days of prep | Invoices generated from approved timesheets |
| Sector surcharges (Branchenzuschläge) | Manual checks | Calculated automatically by sector and tenure |
Custom or off-the-shelf: the 2026 comparison
The figures below apply to a 3-branch firm with 420 contracts per week, about 21,000 contracts and amendments per year.
| Criterion | Market staffing software | Custom software |
|---|---|---|
| Entry cost | EUR 3,000 to 10,000 setup | EUR 50,000 to 110,000 |
| Recurring cost | EUR 2 to 4 per contract, so EUR 42,000 to 84,000 per year | Hosting and maintenance, EUR 9,000 to 16,000 per year |
| 5-year cost | EUR 215,000 to 430,000 | EUR 95,000 to 190,000 |
| Time to go live | 4 to 8 weeks | 5 months |
| Client-specific timesheet rules | Limited to standard settings | Unlimited |
| Client and worker portal | Included, little customization | Your brand, your approval rules |
| Data and code ownership | Vendor | You |
The math flips for a small agency: at 50 contracts a week, a market tool costs EUR 5,000 to 10,000 per year and custom makes no sense.
| Custom module | Budget | Timeline |
|---|---|---|
| Workers, clients, orders core | EUR 13,000 to 24,000 | 5 weeks |
| Assignment contracts, amendments, e-signature | EUR 9,000 to 18,000 | 4 weeks |
| Compliance and social insurance notifications | EUR 6,000 to 11,000 | 2 weeks |
| Online timesheets (worker and client) | EUR 9,000 to 22,000 | 4 weeks |
| Payroll rules engine and export | EUR 8,000 to 20,000 | 4 weeks |
| Invoicing and margin dashboard | EUR 5,000 to 15,000 | 3 weeks |
Compliance points to build in: the AÜG 18-month maximum assignment, equal pay after 9 months, written contract before the start of the assignment, the agency license, and social insurance reporting produced by your payroll software from the export.
Mini case study
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Jonas Weber, managing director of a staffing firm with branches in Berlin Mitte, Spandau and Schönefeld, 350 workers per week, 21,000 contracts and amendments per year, EUR 14,000,000 revenue.
- Selected scope: all modules, EUR 90,000, maintenance EUR 13,000 per year.
- Time freed: 9 min saved on 21,000 contracts, so 3,150 h, plus 25 h per week of timesheet retyping, about 4,400 h per year, or 2.5 FTE moved to placement.
- Billing errors: from 1.2 % to 0.3 % of revenue, so EUR 126,000 per year of disputes and credit notes avoided.
- Comparison: a tool at EUR 3 per contract would cost EUR 63,000 per year, so EUR 315,000 over 5 years versus EUR 155,000 for custom.
- Payback: under 8 months.
FAQ
Can the 18-month cap and equal pay be tracked automatically?
Yes, the software counts assignment duration per worker and client, including breaks under 3 months, and alerts 30 days before each threshold.
Do we need to replace our payroll software?
No, the software produces a variable pay file (hours, premiums, sector surcharges, allowances) imported into your current payroll, which keeps handling social insurance reporting.
Will clients approve hours online?
In practice, 80 to 90 % of clients approve through a link with no account. The rest keep sending a signed PDF, uploaded in 30 seconds.
How long does data migration take?
Migrating workers, clients and active contracts takes 2 to 3 weeks. Payroll history stays in the old tool, accessible for the legal retention period.
Let's scope your project. We price your staffing software (contract volume, client rules, payroll connector) against market tools, with an indicative budget and a 5-month plan. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
