PayPal Payroll Setup

Hubstaff supports automatic and manual payments through PayPal.

This guide is for organization owners looking to connect their PayPal accounts to pay their team. If you are a user and want to connect your PayPal account to get paid, please see this guide.

PayPal

Follow the steps below to set up your PayPal payroll account:

Required steps before setting up:

  1. Ensure the PayPal account is set up as a business account.
  2. Fund account (it cannot pull funds from a bank account or credit card).
  3. USD funds are needed in the PayPal balance.

Step 1

Navigate to Payments > Payroll

Step 2

Click on the Add integration button. For users who already have other payment merchants connected, click on Manage integrations.

Step 3

Under the Payment processors section, click on PayPal.

Step 4

You’ll be taken to the initial setup page. Once you’ve met the criteria for the setup, click the Connect button to continue.

Step 5

You’ll be asked to log in to your PayPal account. After successfully authenticating, click on Agree to continue.

Step 6

If you have an existing PayPal Classic integration, you’ll be asked to migrate existing payroll members into the new PayPal integration. Click Migrate members to continue.

Step 7

You’ll be taken back to the PayPal integration page where you can see all team members who are part of your PayPal Payroll. To add a new member to your organization’s payroll, click on the Add member button.

Step 8

Click on Actions > Edit to configure each user’s payroll:

  1. Pay Period – lets you choose when payments are processed.
    1. Weekly: Every Monday
    2. Bi-weekly: Every other Monday (There is an option to choose the Start on date)
    3. Twice per month: 16th and 31st of the month
    4. Monthly: 31st of the month
  2. Pay Type – can be set to Hourly or Fixed payments.
  3. Require timesheet approval – linked to the timesheets approval feature.
  4. Pay Rate – the amount you pay your team member.
  5. Bill Rate – the amount clients can be billed.
  6. PayPal Email – member’s PayPal email where they will be paid.

 

PayPal Classic Payroll

Before you integrate your PayPal business account with Hubstaff, you will need to set up Mass Pay through PayPal. Mass Payments allows organizations to send payments in bulk. To set up Mass Pay, call 1-888-215-5506. From there, you will enter your phone number and then ask to speak to an agent. Important: If you are the organization owner, you will need to ensure that you have a PayPal Business account. If you don’t have one, you can upgrade to business here.

You can also view the complete list of supported countries for Mass Pay here.

There are some criteria that you need to meet in order to qualify for Mass Pay:

  1. Your account needs to be a verified business account (email verified).
  2. You need to have a bank account added
  3. Depending on where you live, PayPal may require you to send a certain amount of money per month in order to use Mass Pay. Contact PayPal support for more information.

After meeting these criteria the PayPal customer service number above should be able to approve your request to have Mass Pay added to your account.

Step 1

First, on the dashboard’s left sidebar navigate to Payments > Payroll. Click Add integration to be taken to where you will be able to manage your payment accounts.

Step 2

Next, click the PayPal option. This will bring up a page that will guide you through allowing permission in your PayPal account.

Make sure you fully read through the instructions given in How to setup PayPal, and then click Connect.

Step 3

Then log in to your PayPal account. You will be asked to Grant Permission:

Step 4

Choose which users you wish to add to your payroll, then click Finish.

Step 5

After adding the member in your organization to Payroll, you will see them along with all the options to configure them.

Click on Actions > Edit to configure each user’s payroll:

  1. Pay Period – lets you choose when payments are processed.
    1. Weekly: Every Monday
    2. Bi-weekly: Every other Monday (There is an option to choose the Start on date)
    3. Twice per month: 16th and 31st of the month
    4. Monthly: 31st of the month
  2. Pay Type – can be set to Hourly or Fixed payments.
  3. Require timesheet approval – linked to the timesheets approval feature.
  4. Pay Rate – the amount you pay your team member.
  5. Bill Rate – the amount clients can be billed.
  6. PayPal Email – member’s PayPal email where they will be paid.

Here you may find how to enable users for payroll.

For frequently asked questions regarding our payroll feature, please refer here.
If you pay your team members through Hubstaff via one of our payroll options (Payoneer, PayPal, TransferWise, or Bitwage), there are no fees charged by Hubstaff (we don’t take any percentage of the payments). The only fees are the nominal fees charged by the payment sites.
If you choose Bi-weekly payments, you will have the option to choose between two start on dates (pay periods).

Upgrading to the new PayPal Payroll

If you’re still using the PayPal Classic integration, you will receive a notification asking you to upgrade your current PayPal integration.

Benefits of upgrading:

    1. The new integration no longer requires have Mass Payments to be enabled before you can make payments.
    2. The new integration will have a more seamless connection to Hubstaff.
    3. It enables you to receive accurate payment statuses from PayPal.
    4. The Classic integration will eventually be retired by PayPal.

To upgrade your integration version, please click on the Upgrade to the new PayPal integration.

Here you may find how to enable users for payroll.

For frequently asked questions regarding our payroll feature, please refer here.
If you pay your team members through Hubstaff via one of our payroll options (Payoneer, PayPal, TransferWise, or Bitwage), there are no fees charged by Hubstaff (we don’t take any percentage of the payments). The only fees are the nominal fees charged by the payment sites.
If you choose Bi-weekly payments, you will have the option to choose between two start on dates (pay periods).

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