SD Worx aims to become the market leader in the European payroll and HR sector. That's why it is launching a unique, scalable and revolutionary platform, built by Teal Partners. The payroll software marks a fundamental break with classic payroll logic and is already live in several European countries.
The new SD Worx payroll software combines a flexible core HR platform with a brand-new payroll engine that calculates continuously instead of in monthly batches. The platform processes millions of salary calculations in real time.
Every change in HR data, employment or salary input can be processed immediately. As a result, employers, HR teams, finance and employees gain faster and more transparent insight into payroll results.
For Teal Partners, this payroll software is one of the largest and most strategic projects in the company's history. We have been working on it for almost ten years with dozens of people. This software touches the core of SD Worx's services and forms a technological foundation for the European payroll market of tomorrow.
SD Worx supports companies across Europe in everything related to work, pay and personnel. Payroll is a crucial pillar in this: salaries must be calculated correctly, on time and in accordance with local legislation.
SD Worx saw pressure on the payroll sector increasing in various areas:
This new payroll software enables us to respond to the HR trends of the future, such as budget forecasting and flexible pay. Today, no one offers those services in a uniform, transparent way at European level. That is the position in the market we want to take.
Together, SD Worx and Teal Partners set out to:
Teal Partners is working with SD Worx to build new payroll software consisting of two closely integrated components.
The first component is Core HR, a modern platform that organisations use to manage their personnel data, documents, benefits, leave and onboarding.
The second component is the new payroll engine, which replaces classic monthly batch processing with continuous salary calculation.
Both components can be deployed together for the most powerful application, but they also work perfectly well separately.
Part one: Core HR
Core HR simplifies core HR tasks. The platform:
For SMEs, this is particularly relevant. Many smaller businesses do not have a specialised HR or payroll team in house. They need software that feels simple, but that correctly handles all the local complexity behind the scenes.
Core HR is being rolled out country by country. A localisation team at Teal Partners works closely with SD Worx experts in each country to translate local legislation, payroll practices, benefits and processes correctly into the platform.
Core HR is now live in Germany, Finland, Luxembourg and the United Kingdom, among others.
Most HR tools in Luxembourg are SaaS solutions, but none is so specifically tailored to the needs of smaller companies. The combination of the tool and our payroll service is truly innovative in the market.
The new payroll engine is the technological heart of the software. Where classic systems process payroll in monthly batches, this payroll engine calculates continuously. As a result, the latest figures are always ready.
That fundamentally changes the role of payroll software. Payroll is no longer just a system that calculates wages at the end of the month, but a platform that provides ongoing insight into labour costs, net results, simulations and future impact.
We rethought the process. Until now, payroll was a black box: you entered data and got a result back, with no insight into the calculations. We made the entire process transparent.
The new payroll engine stands out through four characteristics:
An important milestone was the ITSG certification in Germany in 2025. That certification is required to give payroll software access to digital filings with the German social security institutions. Auditors called the solution unprecedented. With the certificate in hand, SD Worx was able to give the first customers access to the new payroll software.
Because payroll is business-critical, SD Worx opted for a hybrid, phased rollout.
Phase 1: the Core HR module on top of the existing payroll engine
The Core HR software is first connected to the customer's existing payroll engine. This gives customers a more modern interface, more self-service options and improved data management, while the familiar payroll logic keeps running.
Phase 2: the new real-time payroll engine replaces the existing payroll engine
In a next phase, SD Worx customers switch over to the new payroll engine step by step. It then takes over the calculations. Germany went first, with other European countries to follow. The software is adapted each time to local payroll legislation.
The software makes payroll faster, more transparent and more predictable. It brings new services around forecasting, simulations and flexible pay within reach, and allows SD Worx to keep growing across various market segments, with particular attention to the European SME market.
For SD Worx customers, the software changes the day-to-day running of payroll and HR.
HR teams:
Finance:
Employees:
The payroll calculation procedure that used to take days now takes less than a minute. The stress peak disappears. SD Worx customers get better service and more autonomy.
A long-term partnership
This is not a classic customer-supplier project. The software touches the core of SD Worx's business. That is why SD Worx and Teal Partners work in co-creation. SD Worx brings payroll knowledge, market insight and local expertise. Teal Partners brings technological architecture, software development, integration know-how and experience with complex digital platforms.
That collaboration builds on a long-standing relationship. SD Worx and Teal Partners have been working together since 2016 on innovative HR and payroll solutions, including the Flex Income Plan, various HR tools and this new payroll software. In 2021, SD Worx took a stake in Teal Partners to underline the strategic importance of the partnership.
According to Michaël Custers, Chief Strategy Officer at SD Worx, Teal Partners makes the difference above all because the team does not simply execute, but works to understand the fundamental problem.
"The defining characteristic of Teal Partners is that they think along with the customer. Of course they also have tons of technological knowledge in house — they are experts in digitalisation and in devising and developing technology landscapes. But even more important is their willingness to get to the bottom of the customer's business, in our case the payroll and HR market.
Thanks to Teal Partners' rocket fuel, we're moving faster. With this new payroll software, we are together ushering in a new era for the European payroll market.
Teal Partners doesn't come in just to carry out an assignment. The team dives into the deep end with you to decipher the fundamental problem. Only once that picture is clear do they help build solutions through co-creation.
The importance of integration is nowadays just as great as the importance of the features and everything the application can do. Teal Partners specialises in building hybrid ecosystems with best-of-breed tools and custom development where that makes the difference."
