20 Best Payroll Software For Recruitment Agencies
Best Payroll Software for Recruitment Agencies Shortlist
Here’s my pick of the 10 best software from the 19 tools reviewed.
Get free help from our HR software advisors to find your match.
Choosing the right payroll software for recruitment agencies is tough. You need to manage payroll efficiently and accurately, but figuring out which tool is best can be overwhelming. With numerous options available, each offering a variety of features and pricing plans, it's essential to understand what each software brings to the table.
Using my extensive experience in management solutions, I tested and compared several payroll software to help teams find the best options on the market. My in-depth reviews will guide you through the key factors to consider when selecting payroll software to make sure it's uniquely tailored to the needs of your business.
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Best Payroll Software for Recruitment Agencies Summary
| Tool | Best For | Trial Info | Price | ||
|---|---|---|---|---|---|
| 1 | Best for global payroll | Free demo available | Flat rate user pricing, with a free version for businesses with up to 200 people | Website | |
| 2 | Best for small recruitment agencies | 90-day free trial | Pricing upon request | Website | |
| 3 | Best for US-based companies | 30-day free trial | From $4/employee/month + $17/month base fee | Website | |
| 4 | Best for cloud-based payroll processing | Free trial available | Pricing upon request | Website | |
| 5 | Best for integrated payroll solutions | Not available | Pricing upon request | Website | |
| 6 | Best for staffing agencies | Free demo available | Pricing upon request | Website | |
| 7 | Best for small businesses | Not available | From $8/employee/month + $50/month base fee | Website | |
| 8 | Best for scalable payroll | Not available | Pricing upon request | Website | |
| 9 | Best for unified payroll and HR services | Free demo available | Pricing upon request | Website | |
| 10 | Best for specialized payroll processing | Free demo available | Pricing upon request | Website |
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Willo
Visit WebsiteThis is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.4.8 -
Guru
Visit WebsiteThis is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.4.6 -
Absorb LMS
Visit WebsiteThis is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.4.6
Best Payroll Software for Recruitment Agencies Reviews
This in-depth analysis provides overviews of various payroll software for recruitment agencies. It walks through the pros and cons of each tool, their key features, and their best use cases.
Deel is an HR platform with payroll capabilities that support recruitment agencies by offering a comprehensive suite of features designed to manage global teams.
Why I picked Deel: The platform facilitates the hiring and payment of employees and contractors in over 150 countries, ensuring compliance with local labor laws and regulations. Deel's services include automated payroll, tax filings, and benefits management, which help recruitment agencies handle complex payroll processes.
Standout features and integrations:
Features include documentation and legal compliance, country-specific benefits, in-house visa support, bulk payments, and an HRIS for managing people data, time off, expenses, reporting, and performance.
Integrations include Slack, QuickBooks, Xero, NetSuite, Greenhouse, BambooHR, Okta, Gusto, Expensify, Zapier, DocuSign, HubSpot, Salesforce, and Workday.
Pros and cons
Pros:
- Automated payroll
- Localized benefits solutions
- Global compliance services
Cons:
- Limited customization options for user roles and access
- No mobile app
RUN by ADP is a comprehensive payroll and HR platform designed to simplify payroll processing, tax management, and HR tasks for small businesses.
Why I picked RUN by ADP: The platform is ideal for small agencies because it automatically calculates and files payroll taxes, ensuring that agencies remain compliant with state and federal regulations. This feature is particularly valuable for agencies operating in multiple states or dealing with complex tax situations.
Standout features and integrations:
Features include direct deposit, employee self-service portal, HR compliance support, time and attendance tracking, garnishment payment services, new hire reporting, retirement plan services, workers' compensation management, payroll and tax reports, and mobile app access.
Integrations include Quickbooks, Wave, Xero, ClockShark, Points North, TruSaic, Compy, Wex, Synerion, JazzHR, 7Shifts, Snappy Gifts, Absorb LMS, SmartRecruiters, and hundreds more.
Pros and cons
Pros:
- Customizable reporting features
- Good mobile app with self-service options
- Automates payroll processing and tax filings
Cons:
- Many HR features are limited to higher-tier plans
- Initial setup can be complex
Patriot Payroll is an online payroll software designed to assist US-based businesses, including recruitment agencies, in managing employee payments.
Why I picked Patriot Payroll: Patriot Payroll allows you to pay both W-2 employees and 1099 contractors within the same payroll run. This is particularly beneficial for recruitment agencies that often work with a mix of full-time staff and independent contractors, simplifying the payment process and reducing administrative overhead.
Standout features and integrations:
Features include payroll tax filing services, customizable deductions and contributions, multiple pay frequencies, printable checks, electronic W-2s, contractor payments, time-off accruals, payroll reports, tax liability tracking, employee management, mobile-friendly access, and USA-based customer support.
Integrations include QuickBooks and other Patriot products, like Accounting, Time and Attendance, and HR.
Pros and cons
Pros:
- Reliable tax calculations
- Detailed payroll reports for better financial analysis
- Responsive customer support
Cons:
- Limited advanced HR features
- Restricted to the US
factoHR is a payroll software that streamlines payroll processes securely and efficiently. It's best for cloud-based payroll processing due to its encryption, audit trails, and integration capabilities.
Why I picked factoHR: I chose factoHR for its advanced payroll management and advanced recruitment features, including candidate tracking, efficient onboarding processes, and compliance tools. These features ensure efficient and enhanced candidate management. The software has security features with encryption, access control, and enhanced candidate management.
Standout features and integrations:
Features include a payroll process, mobile app access, and a flexible rule engine for custom salary structures.
Integrations include Tally, QuickBooks, SAP, Oracle, Zoho, FreshBooks, Xero, Sage, Microsoft Dynamics, and Wave.
Pros and cons
Pros:
- Comprehensive attendance and leave management
- Mobile app for on-the-go access
- Automated payroll processing and compliance features
Cons:
- The interface can be unintuitive
- Integration options are limited
Bullhorn is a software solution that streamlines front and back-office payroll processes. It captures essential information in the front office to automate back-office workflows, ensuring efficient and accurate payroll management and billing.
Why I picked Bullhorn: I chose Bullhorn for its strong integration with its CRM and ATS platforms, providing an all-in-one solution for staffing and recruitment agencies. The software offers real-time payroll processing, automated compliance tracking, reporting capabilities, and advanced analytics that enhance productivity, and a recruitment workflow that allows smooth transitions from candidate placement to payroll processing.
Standout features and integrations:
Features include automating billing and payroll, ad hoc reporting for real-time insights, and integrated payroll services through PrismHR.
Integrations include Salesforce, SourceBreaker, Herefish, Invenias, Connexys, Jobscience, Able, Sterling, and VMS Automation.
Pros and cons
Pros:
- Automated invoicing and payroll processing
- Strong integration with ATS and CRM
- End-to-end solution for recruitment agencies
Cons:
- Limited reporting and customization options
- The initial setup is complex
Avionté is a staffing software for automating staffing agencies’ payroll and billing processes. It has fully integrated back-office solutions that streamline operations and administrative costs.
Why I picked Avionté: I chose Avionté because of its seamless integration of payroll and staffing solutions that can handle the complexities of temporary and contract staffing. It offers customizable pay rates, automated compliance tracking, and real-time data insights tailored for recruitment agencies. The software supports applicant tracking and onboarding processes, reporting tools that provide insights on optimizing staffing strategies and flexibility for agencies seeking to streamline payroll operations while maintaining compliance and accuracy.
Standout features and integrations:
Features include time and expense management, payroll processing, custom invoicing, built-in compliance, year-end reporting and tax filing, and business intelligence.
Integrations include NetSuite, Timerack, SimpleVMS, ADP, QuickBooks, Bullhorn, Salesforce, Microsoft Dynamics, Paychex, and Workday.
Pros and cons
Pros:
- Comprehensive compliance management tools included
- Real-time payroll and billing updates
- Specialized in staffing and recruitment industries
Cons:
- Mobile app limitations
- Time-consuming and complex setup
Justworks Payroll is a payroll software that simplifies HR operations for small businesses. It offers a flexible solution that helps manage payroll efficiently.
Why I picked Justworks Payroll: I chose Justworks Payroll for its user-friendly interface and support for small businesses. It combines payroll processing with extensive HR and compliance support. Justworks Payroll offers automatic tax filings, benefits administration, and workers' compensation, all within an intuitive, easy-to-use platform. It has strong professional employer organization services, giving small to medium-sized businesses access to enterprise-level benefits and HR expertise. These features ensure smooth implementation of payroll and HR management, offer competitive benefits, and allow businesses to pay their team on time without hidden fees.
Standout features and integrations:
Features include unlimited payroll runs, automated and one-time payments, year-end tax forms (W-2 and 1099), and payroll forecasts. It also provides integrated HR tools, benefits add-ons, and time tracking solutions.
Integrations include QuickBooks, Xero, Gusto, ADP, Paychex, Zenefits, BambooHR, Namely, Rippling, and TriNet.
Pros and cons
Pros:
- Integrated benefits administration
- Automated tax filings and payments
- Easy-to-use payroll and HR platform
Cons:
- Basic applicant tracking system
- Limited advanced payroll features
COATS Staffing Software offers a scalable payroll management system. It can handle large numbers of employees, multiple wage amounts, and various payroll deductions.
Why I picked COATS Staffing Software: I picked COATS Staffing Software because it integrates payroll functionality with industry-specific staffing solutions. COATS Staffing Software offers real-time job order management, automated time and attendance tracking, and seamless integration with vendor management systems to streamline payroll processing. It offers advanced compliance tools, ensuring companies adhere to industry regulations, and customizable reporting and analytics for insights into payroll and staffing metrics.
Standout features and integrations:
Features include automated payroll calculations, employee pay statements, tax form preparation, and employee self-service.
Integrations include QuickBooks, ADP, Paychex, Gusto, Xero, Sage, FreshBooks, BambooHR, Workday, and Kronos.
Pros and cons
Pros:
- Integrated with accounting and billing functions
- Comprehensive compliance management tools
- Industry-specific payroll and HR features
Cons:
- Limited integration with modern tools
- Outdated user interface design
APS offers payroll and HR solutions for businesses in all industries, including recruitment agencies. It's a centralized platform that integrates various HR and payroll functions, making it easier to manage the workforce efficiently.
Why I picked APS: I picked APS for its user-friendly interface and powerful automation features such as customizable payroll workflows, real-time compliance updates, and integrations with recruitment tools. The software consolidates different functions such as payroll, core HR, and benefits administration into one platform, simplifying human resource processes. Additionally, APS provides advanced reporting and analytics tools that gives insights into trends and labor costs, helping agencies optimize their payroll operations.
Standout features and integrations:
Features include paperless payroll, benefits administration, performance management, ACA compliance, and analytics and reporting tools.
Integrations include Sage Intacct, QuickBooks, NetSuite, Xero, Microsoft Dynamics, ADP, Paychex, Gusto, BambooHR, and Kronos.
Pros and cons
Pros:
- User-friendly interface and navigation
- Automated tax compliance features
- Comprehensive payroll and HR functionalities
Cons:
- Limited reporting capabilities
- Limited recruiting features
TempWorks offers a full-service payroll processing platform tailored for staffing companies. It provides reliable, cost-effective billing and payroll processing with built-in compliance and collections support.
Why I picked TempWorks: I chose TempWorks for this list due to its advanced payroll processing system. It provides integrated timekeeping and billing solutions, ensuring a seamless transition from time entry to invoicing. Also, its automated tax filing and customizable reporting features ensure accuracy and compliance, which is crucial for maintaining smooth operations. This combination of strong payroll processing and operational support makes TempWorks an excellent choice for optimizing payroll processes in recruitment agencies.
Standout features and integrations:
Features include payroll funding, tax processing, W-2 management, and powerful analytics for custom reporting.
Integrations include Bullhorn, QuickBooks, ADP, Microsoft Dynamics, Salesforce, Indeed, LinkedIn, and ZipRecruiter.
Pros and cons
Pros:
- Dedicated mobile app for employees
- Integrated payroll and ATS functions
- Tailored for staffing industry needs
Cons:
- Mobile app lacks full functionality
- High customization costs
Other Payroll Software for Recruitment Agencies
Below is a list of additional payroll software for recruitment agencies that I shortlisted. While they didn’t make the top ten, they’re still worth further research.
- ADP
For comprehensive payroll
- Invatechs Payroll
For automated payroll and invoicing
- Armada
For flexible shift jobs
- Paycor
For professional services
- Agile Hero
For compliance with local laws
- Rippling
For integrated HR and IT management
- Gusto
For small to medium-sized agencies
- OnPay
For easy-to-use payroll software
- PrimePRO
For customizable payroll solutions
- Greenshades
For compliance and tax management
Related HR Software Reviews
If you still haven't found what you're looking for here, check out these other related tools that we've tested and evaluated:
- HR Software
- Payroll Software
- Recruiting Software
- Employer of Record Services
- Applicant Tracking Systems
- Workforce Management Software
Payroll Software for Recruitment Agencies Selection Criteria
The criteria for choosing a payroll software for recruitment agencies should directly address buyer needs and common pain points, ensuring that the software serves its intended purpose effectively. As an expert who has personally tried and researched these tools, here are the requirements I use when evaluating software:
Core Functionality (25% of total score):
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- Ensures timely and accurate payroll calculations for various types of employees, including full-time, part-time, and contractors
- Automates tax calculations and filings to comply with federal, state, and local regulations
- Accurately classifies employees and contractors to avoid misclassification issues
- Integrates with time-tracking systems to ensure accurate payroll based on hours worked
- Provides multiple payment options, including direct deposit, checks, and payment cards
Additional Standout Features (25% of total score):
- Seamless integration with Applicant Tracking Systems (ATS) and other HR tools to streamline recruitment and payroll processes
- Advanced reporting capabilities to generate customized reports on payroll data, employee hours, and compliance metrics
- Cloud-based access to payroll data, allowing remote management and real-time updates
- Employee self-service portals for accessing pay stubs, updating personal information, and submitting timesheets
- Scalability to accommodate the growth of the recruitment agency, handling increased volumes of payroll data and employees
Usability (10% of total score):
- A user-friendly interface that simplifies navigation and reduces the learning curve
- Automation for repetitive tasks to minimize manual effort and reduce errors
- Customizable dashboards for quick access to key metrics and reports
- Mobile compatibility for managing payroll on the go
Onboarding (10% of total score):
- Availability of training videos, webinars, and interactive product tours to facilitate user onboarding
- Assistance with data migration from existing systems to the new payroll software
- Provision of templates and guides to help users set up and configure the software
- Access to customer success programs that ensure ongoing support and optimization
Customer Support (10% of total score):
- Round-the-clock support to address urgent issues and queries
- Access to dedicated account managers for personalized support
- Comprehensive knowledge base and FAQs for self-service support
- Quick response times to support requests and issue resolution
Value for Price (10% of total score):
- Clear and transparent pricing models without hidden fees
- Features and benefits relative to its cost
- Availability of flexible pricing plans to suit different business sizes and needs
- Free trials and demos to allow users to evaluate the software before committing
Customer Reviews (10% of total score):
- High overall satisfaction ratings from users
- Positive feedback on specific features and functionalities
- Positive reviews on the quality of customer support and service
- High ratings for ease of use and user experience
Using this assessment framework helped me identify the software that goes beyond basic requirements to offer additional value through unique features, intuitive usability, smooth onboarding, effective support, and overall value for price.
How to Choose Payroll Software for Recruitment Agencies
As you work through your own unique software selection process, keep the following points in mind:
- Flexibility: Recruitment agencies often deal with a diverse workforce that includes temporary, contract, and permanent employees. This diversity necessitates a payroll system that can handle varying pay rates, fluctuating work schedules, and frequent changes in employment status.
- Reporting and Compliance Capabilities: Operating across multiple states or regions means dealing with different labor laws, tax regulations, and reporting requirements. A payroll system with powerful reporting tools can generate accurate reports tailored to various jurisdictions, ensuring compliance and reducing the risk of penalties.
- Integration with Other Systems: Effective staffing management involves more than just payroll processing; it includes time tracking, benefits administration, and client billing. A payroll system that integrates with these auxiliary systems can reduce manual data entry.
- Scalability: As your recruitment agency grows, your payroll system should be able to scale with it. This means handling an increasing number of employees and more complex payroll requirements without performance issues. A payroll system that cannot scale may struggle to process payroll efficiently as the number of employees increases, leading to delays and errors.
- Automated Benefits Management: Managing different benefits schemes automatically is crucial for recruitment agencies that deal with varied terms of employment contracts. A payroll system that automates benefits management can reduce manual effort and ensure accurate benefits administration.
Trends for Payroll Software for Recruitment Agencies
Here are some trends I’ve noticed for payroll software for recruitment agencies, plus what they might mean for the future of the revenue operations industry. I sourced countless product updates, press releases, and release logs to tease out the most important insights.
- Cloud-Based Payroll Systems: Cloud-based payroll systems are becoming essential. They offer seamless accessibility and collaboration which are essential for remote work environments. This trend is important as it allows payroll operations to be executed efficiently, regardless of geographical constraints.
- AI and Automation: AI and automation are transforming payroll processing. These technologies streamline routine tasks, enhance accuracy, and free up time for strategic activities. This helps reduce human error and increase efficiency.
- Real-Time Payroll Analytics: Real-time payroll analytics provide instant access to critical payroll metrics. This empowers businesses to make data-driven decisions and adapt payroll strategies promptly. The importance lies in its ability to enhance financial planning and resource allocation.
- Financial Wellness Programs: Integrating financial wellness programs with payroll is gaining traction. These programs help employees manage their finances better, reducing stress and increasing productivity. This improves employee satisfaction and retention.
- Enhanced Data Security: With the rise of remote work, data security in payroll systems is non-negotiable. Enhanced cybersecurity measures, such as encryption and multi-factor authentication, are being prioritized. This is required to protect sensitive employee information from cyber threats.
Innovations such as AI-driven analytics, mobile accessibility, and enhanced data security are transforming payroll management. Embracing these trends can lead to more accurate payroll processing, improved compliance, and a better overall user experience.
What is Payroll Software for Recruitment Agencies?
Payroll software for recruitment agencies is a tool that manages and automates the payroll process for temporary and permanent staff placements. Recruitment agencies use this software to handle payroll calculations, tax deductions, and compliance with labor laws, ensuring employees and contractors are paid accurately and on schedule.
The software typically includes time tracking, tax management, direct deposit, and reporting features to simplify payroll processing, reduce errors, and maintain compliance with legal requirements.
Features of Payroll Software for Recruitment Agencies
Payroll software for recruitment agencies comes equipped with specialized features to handle the unique challenges of managing temporary and contract workers. Here are some of the key features you should look for in a payroll software:
- Time Tracking Integration: This feature allows the software to integrate with time tracking systems, reducing the need for manual entry and improving overall efficiency and accuracy.
- Direct Deposit: Direct deposit capabilities ensure that employees receive their pay checks instantly and conveniently, reducing the burden on employers to print and distribute pay checks.
- Expense Management: Automates the expense report and payment processes, saving time and improving the timeliness of reimbursements, ensuring accurate and easily accessible records.
- Compensation Management: Helps manage and allocate a compensation budget in line with the organization’s goals, making it easier to attract and retain workers.
- Employee Self-Service: Allows employees to access and update their profiles, and view vacation balances, pay stubs, and W-2 forms, reducing the HR team's clerical workload.
- Payroll Reports: The ability to run and customize payroll reports is important for gaining insights and making informed decisions based on the company’s metrics.
- Payroll Auditing and Error Reporting: Built-in pre-submit audits proactively flag irregularities, ensuring accuracy and compliance in payroll processing.
- Tax Filing: Automates tax filing and the generation of W-2s, ensuring compliance with changing tax rates and reducing the guesswork in deductions.
- Integrated Payroll: Seamlessly integrates with existing programs, apps, and partners, automating the flow of data and improving user experience.
- General Ledger Mapping: Simplifies mapping payroll activities to the general ledger, ensuring accurate financial records and reducing manual entry.
Choosing the right payroll software for your recruitment agency can significantly streamline payroll processes, improve accuracy, and ensure compliance with tax and labor laws. By considering these essential features, you can select a solution that aligns with your business goals and enhances overall efficiency.
Benefits of Payroll Software for Recruitment Agencies
The right payroll software for recruitment agencies can significantly streamline these processes, offering numerous benefits for users and organizations. Below are some of the primary benefits payroll softwares offer.
- Time-Saving Automation: Payroll software automates many manual tasks involved in payroll processing, such as calculating salaries, tax deductions, and overtime. This automation reduces the time spent on back-office activities, allowing agencies to focus more on recruiting and placing top talent.
- Enhanced Accuracy and Reduced Errors: Manual payroll calculations are prone to errors, leading to financial discrepancies and employee dissatisfaction. Payroll software ensures accurate and error-free payroll processing by automating calculations and providing error detection features, thereby minimizing the risk of mistakes.
- Compliance and Legal Adherence: Recruitment agencies often deal with multiple tax jurisdictions and varying labor laws. Payroll software helps maintain compliance by automatically updating tax rates and labor regulations, ensuring that all payroll activities adhere to current laws, and reducing the risk of legal penalties.
- Improved Data Management: Managing employee data can be challenging, especially with high turnover rates. Payroll software optimizes data management by integrating with applicant tracking systems and other HR tools, ensuring seamless data transfer and reducing manual data entry. This integration helps maintain accurate and up-to-date employee records.
- Employee Self-Service Portals: Self-service portals empower employees to manage their information, such as accessing pay stubs, tax forms, and benefits details. This enhances the employee experience and reduces the administrative burden on HR and payroll teams, leading to more efficient HR processes.
Payroll software offers significant advantages for recruitment agencies, from automating time-consuming tasks to ensuring compliance with legal requirements. By automating complex payroll tasks, agencies can focus more on their core operations and improve overall efficiency.
Costs & Pricing of Payroll Software for Recruitment Agencies
When considering payroll software for recruitment agencies, you should be aware of the various plan options and pricing structures available. The pricing and features of these plans can vary significantly, so it's important to understand what each plan offers to find the best fit for your needs.
This guide provides an overview of various payroll software options, pricing plans, and common features to help you make an informed decision.
Plan Comparison Table for Payroll Software for Recruitment Agencies
| Plan Type | Average Price | Common Features |
| Free | $0 | Basic payroll processing, limited support, and essential features for startups or small agencies needing a cost-effective solution. |
| Basic | $20-$50 | Customizable features, advanced HR tools, dCore payroll processing, direct deposit, tax calculations, and basic reporting. |
| Standard | $50-$100 | Advanced payroll processing, compliance management, time and attendance tracking, and employee self-service portal. |
| Premium | $100-$200 | Comprehensive payroll features, customizable reports, benefits administration, and integration with HR and accounting systems. |
| Enterprise | Custom pricing | All-inclusive payroll management, dedicated support, advanced analytics, and full customization options. |
When selecting payroll software for your recruitment agency, consider the specific needs of your business, such as the number of employees, required features, and budget. Each plan offers different levels of functionality and support, so choose the one that best aligns with your agency's goals and financial constraints.
FAQs About Payroll Software for Recruitment Agencies
Here are some frequently asked questions I’ve received about payroll software for recruitment agencies.
How does payroll software help with tax compliance?
Payroll software helps with tax compliance by automatically calculating and withholding the correct amount of federal, state, and local taxes. It also generates necessary tax forms and ensures timely submission to the relevant authorities. This reduces the risk of errors and penalties associated with manual tax calculations.
Can payroll software integrate with other HR tools?
Yes, many payroll software solutions integrate with other HR tools such as time and attendance systems, benefits administration, and applicant tracking systems. This integration helps streamline data flow and reduces the need for manual data entry, improving overall efficiency.
Is it possible to manage multiple clients with one payroll software?
Yes, some payroll software solutions are designed to handle multiple clients, making them ideal for recruitment agencies. These solutions allow you to manage payroll for different clients from a single platform, ensuring accurate and efficient payroll processing for each client.
How can payroll software improve accuracy in payroll processing?
Payroll software improves accuracy by automating calculations and reducing the likelihood of human errors. It ensures that all payroll data is consistent and up-to-date, and can flag discrepancies for review. This leads to more accurate and reliable payroll processing.
What kind of support can I expect from payroll software providers?
Payroll software providers typically offer support options, including online resources, customer service hotlines, and dedicated account managers. Some providers also offer training sessions and webinars to help users get the most out of their software.
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