Payroll has changed considerably over the past decade. What was once a largely administrative, back-office function now sits at the heart of employee experience and business compliance.
Getting the hire wrong carries a real cost. Calculation errors, missed deadlines, and compliance failures damage employee trust, expose the business to regulatory risk, and create significant operational strain.
Here is what to look for when hiring a payroll professional in 2026.
Strong numeracy and mathematical ability
A solid grasp of numbers remains the foundation of any payroll role. Payroll professionals work with figures every day - calculating gross and net pay, applying deductions, reconciling tax contributions, and identifying discrepancies across pay runs.
This does not mean a candidate needs a degree in mathematics. What it does mean is that they should be comfortable working with numbers quickly and accurately, and confident enough to spot when something does not look right.
Mental arithmetic, the ability to sense-check outputs, and comfort with financial data are all indicators of the numerical aptitude payroll demands.
Excel and Payroll Software Proficiency
Microsoft Excel remains one of the most widely used tools in payroll, regardless of which dedicated platform a business runs.
Proficiency in Excel - including formulas, pivot tables, VLOOKUP functions, and data validation - allows payroll professionals to manage large data sets, produce accurate reports, and cross-check information efficiently.
Beyond Excel, look for candidates who are familiar with payroll software platforms such as Sage, MHR iTrent, ADP, or Zellis ResourceLink.
Attention to detail and a drive for accuracy
Small errors in payroll carry meaningful consequences. An incorrect tax code, a missed statutory payment, or a miscalculated deduction can affect employee pay, trigger compliance issues, and erode the trust employees place in the business. Attention to detail is not a nice-to-have in this profession - it is a baseline requirement.
The best payroll professionals do not rely on instinct alone. They develop structured methods for checking and cross-referencing their work.
Communication Skills and the Ability to Explain Technical Concepts Clearly
Payroll has become noticeably more customer-facing in recent years. Employees now contact payroll teams directly with questions about deductions, tax codes, pension contributions, and statutory payments.
The ability to handle these queries with patience and clarity is a meaningful part of the modern payroll role.
Communication consistently ranks among the most sought-after soft skills in payroll hiring, with many employers valuing interpersonal ability alongside technical competence.
Legislative knowledge and curiosity about technology
A payroll professional who understands legislation - and keeps up with changes to it - is a genuine asset to any employer.
Tax codes, statutory sick pay, maternity and paternity entitlements, National Minimum Wage updates, and auto-enrolment rules all require accurate interpretation and timely application.
When assessing candidates, look for evidence that they stay informed about regulatory changes.
This might come through professional development, membership of bodies such as the Chartered Institute of Payroll Professionals (CIPP), or simply a clear awareness of recent legislative updates.
A candidate who can reference a recent change to employment law during an interview is demonstrating that they take the compliance side of the role seriously.
Ready to find your next payroll hire?
Finding the right payroll professional takes time, and knowing what to look for is only part of the picture. If you are ready to move forward, post your vacancy on the Careers in Payroll job board to reach a pool of payroll-specific candidates actively looking for their next opportunity.
If you would prefer specialist support throughout the hiring process, Portfolio Payroll - CIPP’s Corporate Partner - can help you identify and secure the right talent at every level of the profession.
Speak to the team today for tailored hiring advice built around your specific requirements.