For many small and medium enterprises (SMEs) in Singapore, the Productivity Solutions Grant (PSG) feels like a golden ticket. It helps cover up to 50% of the cost for digital tools such as HR and payroll software, making it easier to modernise business operations.
But here’s the hidden truth: while PSG looks attractive upfront, it comes with delays, limits, and hidden costs. From long approval waiting times to the dreaded full-price shock after one year, many SMEs are realising that PSG is not always the best long-term solution.
So what if there was an HR and payroll system that was cheaper, faster, and easier without any grants? That’s where HRMLabs comes in.
The Hidden Pain Points of PSG
The PSG grant is a great initiative, but relying on it has downsides that can affect your business:
- Long waiting process: Application reviews can take weeks, sometimes even months, before you can start using the software.
- Risk of rejection: Not every application is approved, meaning wasted time and lost momentum.
- One-year limit: PSG only subsidises for 12 months. Once it ends, many SMEs are shocked by how much their vendor really charges.
- Wrong vendor choice: Many SMEs admit they picked a PSG-approved vendor not because it was the best fit, but because of the subsidy.
This creates what we call the Payroll Reality Check: what happens when your PSG ends?
The Payroll Reality Check
Payroll is mission-critical for every SME in Singapore. Your employees need to be paid on time, CPF contributions must be accurate, and compliance with MOM guidelines is non-negotiable.
But when PSG runs out, businesses are left facing:
- Doubled software costs overnight
- Cash flow pressure from higher HR expenses
- Stress about whether their current system truly meets their needs
In short: PSG helps you get started, but it’s not a long-term guarantee of affordability or efficiency.
HRMLabs: Better than PSG
Here’s why HRMLabs is a smarter choice for SMEs looking for HR and payroll software in Singapore:
- Cheaper
Even without PSG subsidies, HRMLabs offers pricing that is more affordable than many PSG-approved vendors’ full rates. No subsidies needed, no price shock after one year. - Faster
Skip the waiting game. With HRMLabs, you don’t need to wait weeks for grant approval. You can start immediately and keep your HR operations moving smoothly. - Easier
HRMLabs is designed to be simple to set up and easy to use. Plus, we provide migration support so switching from your current system is painless.
In short, HRMLabs is Cheaper, Faster, Easier—truly Better than PSG.
Long-Term Value Over Short-Term Subsidies
While PSG is a good short-term boost, it’s not a sustainable pricing strategy. With HRMLabs, you get:
- Transparent pricing – no nasty surprises after 12 months.
- Scalability – whether you’re a startup or growing SME, HRMLabs adapts with you.
- Reliability – payroll, attendance, and HR management all in one place, backed by compliance with Singapore regulations.
This means you can future-proof your HR and payroll system without depending on temporary subsidies.
Final Thoughts
The PSG grant has helped many SMEs start their digital journey, but it’s not the only option—and it’s certainly not the best long-term one. If you’re tired of waiting for approval, worried about renewals, or frustrated with rising costs, it’s time to consider a smarter solution.
With HRMLabs, you don’t need to rely on subsidies. You get affordable, transparent, and scalable HR & payroll software that works for your business today and tomorrow.
HRMLabs: Cheaper, Faster, Easier. Simply Better than PSG.
