Microsoft Entra ID (formerly Azure Active Directory) with Paylocity Integration Guide

With data integration, Paylocity is the source of record. New hires and employee updates flow from Paylocity into Microsoft Entra ID, where employee profiles are created and access is granted based on your company’s assigned rules. Flexspring builds the integration to match your custom fields and business rules, then hosts and monitors it.

When an employee is terminated in Paylocity, their Microsoft Entra ID profile is automatically changed to inactive, suspending access to any Entra ID features. This closes the gap between a termination being recorded in Paylocity and access actually being revoked.

With data integration, new hires and employee updates sync from Paylocity. The connector creates the employee profile in Microsoft Entra ID and applies access based on your company’s assigned rules, then keeps that profile current as records change in Paylocity. Flexspring maps your field names, including custom fields, so the data matches how both systems are set up.

Flexspring builds, hosts, and monitors the connector. A custom Paylocity to Microsoft Entra ID integration is fully deployed in 7-8 weeks, depending on complexity. Custom integration by Flexspring includes unlimited custom fields and unlimited business rules. Flexspring does all the data mapping, so no internal IT resources are needed.

Flexspring does not store employee data beyond temporary transaction logs, and does not require anyone to handle the data manually. Flexspring meets SOC 2, GDPR and ISO 27001 standards.

No internal IT resources are needed to create your data integration. Flexspring’s team builds the integration to your requirements and monitors it afterwards, including handling API changes from either vendor. Your part is deciding which use cases you need and confirming Flexspring’s recommendations for how your fields should map.

With data integration, when someone is hired in Paylocity, their profile appears in Microsoft Entra ID automatically and nobody retypes it. Access is granted based on your company’s assigned rules, and when someone is terminated their Entra ID profile is set to inactive so access is suspended straight away.

The best way to connect Microsoft Entra ID to Paylocity depends on your data and business requirements. A standard connector can work for simple data flows, while custom fields and unique business rules require a tailored integration. If you go the custom route, you can build the integration yourself or choose a managed integration like Flexspring’s — built and maintained for you, which is typically faster and cheaper.