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Payroll processing services vary depending on the needs of the business. The most common form of payroll processing service is writing paychecks to employees. A business will set up an account with a payroll processing company, usually depositing employee pay funds before each payday. Payroll processing companies then use these funds to pay employees and payroll taxes.

The services provided vary depending on the payroll processing system you choose. Most payroll processing companies offer payroll tax calculation and filing in addition to traditional payroll processing service. Some offer direct deposit or even debit cards to employees in lieu of paper checks. A reputable payroll processing company should be able to outline the process and various services with you.