HR Glossary
Payroll Service
A service — software or outsourced — that handles the calculation and processing of employee pay.
Definition
A payroll service refers to either software that automates payroll processing internally, or a third-party provider that manages payroll processing on a company's behalf, including statutory filings.
Why It Matters
Choosing between software and outsourcing depends on team size, in-house expertise, and how much control you want over the process.