Payroll processing solutions and payroll tax return preparation are available to help businesses relieve their payroll processing woes and assist with tax compliance procedures.

Payroll processing companies offer a tax pay line service through which the customer will receive payroll checks with wage-statements for each pay period. They also provide made-to-order payroll reports. The customer’s payroll taxes are automatically debited from the account and forwarded to the government. Federal, state and local tax returns are filed with payment, and workers’ compensation returns are also taken care of with payment. W-2’s, W-3’s, and local and state annual reconciliations are made out, and customary updates on changes in employment rules are ensured.

Some payroll processing service companies allow the customer to design the service by picking the options that best fit the bill. They allow add-on services such as direct deposit, laser signatures, choosing only relevant reports, 1099 processing, wage and labor research, handling of tax notices and business planning, retirement and financial planting among many others. These may or may not require additional costs.

Additionally, payroll-processing services may include other economical options to replace the in-house payroll department. The expensive training and maintenance of payroll staff can be eliminated. The services include providing payroll checks with salary statements or vouchers from which to write out checks, payroll reports that are easily read, and federal, state and local returns kept ready for signature and payment. Additionally, workers’ compensation reports are done upon request, prepared W-2s sent out with envelopes, and so on.

In some instances, the service provided for payroll processing is only just a phone call away to the local customer service agent. Each pay period, the pay checks and reports arrive at the company’s doorstep and funds are promptly deposited in the bank accounts of the employees. Overnight delivery of payroll reports is available if specifically requested. Most payroll processing service providers are flexible and adapt to any business. Generally, they will also provide the following services: they complete tax filing, give signed and sealed payroll checks, and a maximum of three direct deposit accounts for every employee. All this can be done at no extra cost.