The more variables involved in your payroll, the more it makes sense to use payroll outsourcing. Payroll service companies can calculate payroll, adhere to the latest tax obligations, print and deliver checks, and provide management reports.

Despite the potential savings, cost is not the primary reason why most firms make the payroll outsourcing leap. Rather, they want to get rid of the hassle of internal processing. Often, it's only after they begin using a payroll service that they realize they're saving money.

Ask yourself the following questions. If you can't answer yes to all of them, you will probably want to consider using a payroll service:

• Can you handle the calculations and details of your payroll with complete confidence that it is precise, timely, and accurate?
• Do you understand all of the details related to filing your payroll taxes as a company and for each of your employees?
• Do you have an automated payment system or a system in place that will issue payments effectively and on schedule?

Do you have the time and staff to verify the accuracy of all these operations?