Payroll processing is the most common accounting service outsourced to India. Although Indian accounting outsourcers do forecasting, budgets, and audits, bookkeeping and payroll services represent the highest volume of services. Part of payroll processing involves a lot of data entry, so it can loosely be classified as part of the data entry profession.

Payroll processing in the United States has various factors. Quarterly estimated taxes and tax returns need to be electronically submitted to the government. Unemployment tax is another unfortunate part of payroll processing and taxes. The last step is to take a check and a form to a bank to submit, or this can be done online. In the last several years, our government has been requiring many forms to be filed online instead of by mail. Statte taxes and EDD need to be deducted from pay checks and those estimated taxes need to be submitted too. The result is a huge accounting bill which is a reason that many companies choose to outsource their work to independent contractors, or overseas companies who are not subject to payroll taxes.

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