Payroll Services Definition

Payroll covers all aspects of employee pay from preparing checks and withholding taxes to keeping records of every employee s pay throughout the year.

Payroll services definition. Once an account is established the employer simply provides the service with a list of all employees the hours they worked and any variances. No errors no failures to comply with tax laws no fines. Payroll is also the amount you pay employees during each pay period. Calculating payroll taxes and ensuring the correct deductions.

Monitoring employee time and attendance. The services provided by psps range from payroll processing to taking custody of an employer s payroll cash. Payroll is the process of paying a company s employees which can include the tracking of hours worked the calculation of employee s pay and the distribution of payments via direct deposit. Of course payroll is more than just writing checks or setting up payments via direct deposit.

Full service payroll employing a full service payroll company like lcaf payroll means the timesheets the wage calculations the checks the direct deposits and the tax compliance are all taken care of for your business. A payroll service is a company that will for a fee handle all of these functions independently freeing up the business owner s time for more important matters. Payroll refers to how employers pay their employees. The first such service in the united states automated payrolls was founded in 1949 and relied on primitive technology like electro mechanical calculators and something called the comptometer bookkeeping machine source.

Setting up and making adjustments to direct deposit accounts. When a company chooses to outsource their payroll timesheets wage calculations creating pay checks direct deposits and tax payments can be handled all or in part by the payroll company citation needed. Payroll refers to the employees you pay along with employee information. Every possible headache payroll can generate is suddenly eliminated.

Payroll can also be outsourced to a full service payroll processing company. Payroll processing includes computing employees gross pay withholdings and net. A payroll service provider is a company that automatically processes payroll calculations payroll tax statements year end taxes and more. Payroll companies handle a wide variety of duties including.

Or payroll can refer to the process of actually calculating and distributing wages and taxes. Because of the complex nature and various facets of payroll many companies choose to outsource payroll services. Let s dive deeper into the parts of payroll.