What is Payroll Processing?

Payroll processing refers to the administrative task of managing employee compensation, including calculating wages, deducting taxes and other withholdings, processing payments, and keeping accurate records of employee earnings and deductions. It involves a range of tasks related to paying employees accurately and on time, while also ensuring compliance with legal and regulatory requirements. The process can be time-consuming and complex, which is why many businesses choose to outsource payroll processing to specialized providers.