There are many different types of payroll software that you can buy to help you manage the payroll of your company. These payroll software packages are even further broken down into the specifics of your company. For instance, if you have a company that is a part of the entertainment industry you'll want to have a payroll system that keeps track of the information that is unique to your industry. You'll need a payroll software that will keep track of union information, meal penalties, and credits. The software that you use will calculate time sheets according to industry standards, including hours worked, any advances, or other adjustments. From these timesheets you'll be able to see exactly how much each employee is paid. From there it's up to you to pay your employees.
If you have a large company, or you just do not feel confident, you can hire a payroll service to calculate all your payroll information for you. This may cost you a bit more than if you do the work yourself using payroll software, even if your company is large enough that you may find that the hours spent inputting payroll information simply takes you too long to do yourself. Both options are viable for you and your company and will give you the accurate payroll results that you need to correctly pay your employees and to keep the precise records that you need to keep.
One thing to keep in mind when you're using payroll software: if you're going to have the software installed on more than one computer you're going to have to make sure that you have more than one license for the software. This may cost you a bit more in the initial startups costs but in the long run could be more beneficial if you want to be able to enter payroll information on more than one computer.