The Rebirth of Payroll Services

An Accounting Technology article sees a reversal of the negative attitude towards payroll services. The big providers are competing with accountants, but new tools are available to accountants.

Now payroll programs can interface with accounting software, and some vendors are offering Internet-based payroll processing through accountants.  In addition, accountants can offer a higher level of technical assistance along with personalized services.

Payroll services also promote one-stop shopping, and the service is not as price-sensitive as some.

Some Internet based systems allow access by both the accountant and the client so the accountant can exercise the necessary control while the client does much of the work.

Some services provide for direct deposit of payroll amounts.

Payroll services can be profitable for CPA firms, and the business is saleable at a multiple of annual revenues. 

The article includes a list of payroll providers:

For the complete article, see Accounting Technology, January 2005,

http://www.webcpa.com/article.cfm?articleid=10152&;pg=acctech