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Three Questions to Ask Your Payroll Service

How to evaluate whether your payroll service is working for your business.

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This story appears in the May 2011 issue of Entrepreneur. Subscribe »

Scott Bloom was tired of hearing the complaints. The payroll service he hired to handle payroll needs for his businesses performed well in the beginning. But suddenly the outfit was missing payroll checks and sending incorrect reports.

"They never submitted a wrong return to the IRS or state, but a couple of times I had to write checks out of the business account to get employees their paychecks on time," says Bloom, who owns Bloom Real Estate Group and is a principal of Powerhouse Business Brokers, both based in New York.

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