The verdict in three sentences
An independent staffing agency managing 180 temporary workers on assignment in New York loses margin every time data is re-keyed between its ATS, its payroll provider and its timesheet spreadsheets. Off-the-shelf staffing software costs $400 to $1,200 a month and works as long as your processes stay standard. Custom software at $50,000 to $100,000, delivered in 4 months, pays off once you pass 150 active workers or once clients demand timesheets and invoices shaped around their own organisation.
The real cost of three disconnected tools
A typical agency runs an ATS for sourcing, a payroll service and Excel for timesheets. The hidden cost is re-keying and late invoicing.
| Item | Current setup (3 tools) | Unified software |
|---|---|---|
| Software subscriptions | $1,200 to $2,200/month | $400 to $1,200/month (SaaS) or $800/month maintenance (custom) |
| Timesheet entry | 6 min per worker per week | 1 min (mobile approval by client) |
| Time from week end to invoice | 7 to 9 days | 2 to 4 days |
| Payroll errors fixed per month | 8 to 15 | 1 to 3 |
| Producing an assignment agreement | 15 min | 3 min, e-signature |
| I-9 and onboarding paperwork | manual | guided digital flow |
Across 180 workers, 5 minutes saved per weekly timesheet is 780 hours a year. Invoicing 5 days earlier frees roughly a week of revenue in cash, which matters when the agency fronts weekly payroll.
Staffing SaaS or custom: 2026 comparison
| Criterion | Off-the-shelf staffing software | Custom |
|---|---|---|
| Upfront cost | $3,000 to $10,000 setup | $50,000 to $100,000 |
| Recurring cost | $400 to $1,200/month, sometimes per active worker | $8,000 to $14,000/year maintenance |
| Timeline | 1 to 2 months | 4 months |
| Digital assignment agreements | yes | yes, with your exact templates |
| Mobile timesheets approved by client | often an add-on | yes, mobile web app |
| Pay rules (overtime, NY spread of hours, client bonuses) | standard | configured per client |
| Client portal (job orders, invoices) | basic | tailored to key accounts |
| Data and code ownership | no | yes |
Custom does not need to rebuild payroll end to end. The most common approach is to build the operational core (job orders, assignments, timesheets, invoicing) and export pay data to an existing payroll provider. The budget then sits at the low end of the range, around $60,000.
The modules with the biggest gains
- Mobile timesheets: the worker submits, the client supervisor approves on a phone, the data flows straight into payroll and invoicing.
- Assignment agreements generated from the job order, with rates and terms checked automatically.
- Onboarding documents (I-9, W-4, NY wage notices) produced and stored automatically.
- Dashboard: margin per client, per skill and per recruiter, in real time.
Mini case study
Michael, director of an independent staffing agency in New York focused on construction and logistics, manages 180 workers on assignment with annual revenue of $9 million. His coordinators spend 780 hours a year on timesheets at a loaded $38 per hour, or $29,640. Invoicing 5 days earlier frees about $125,000 in cash; at a factoring rate of 1.2% a month, that saves $18,000 a year. Adding $11,000 of avoided subscriptions, the total gain reaches $58,640 a year. For a $75,000 project, payback comes in about 15 months.
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FAQ
Can custom software handle temp payroll?
It can, but we often recommend exporting pay data to your current payroll provider. That reduces the budget by $20,000 to $35,000 and leaves tax and compliance updates to the payroll vendor.
Are e-signed assignment agreements valid?
Yes, electronic signatures are valid under the federal ESIGN Act and New York's Electronic Signatures and Records Act. The software timestamps each signature.
Do clients need to install an app?
No, timesheet approval runs in a mobile web app opened from a secure link. No download, and approval within 24 h often exceeds 85%.
How long does the project take?
About 4 months: 3 weeks of scoping, 10 weeks of development and 3 weeks of acceptance testing in parallel with the old system.
What happens to our worker history?
It is migrated from your current exports (CSV, Excel). Budget $4,000 to $8,000 depending on volume and data quality.
Let's scope your project. Staffing core, mobile timesheets or a client portal: we define the scope, an indicative budget between $50,000 and $100,000 and a 4-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.
