Full-service payroll, built for hourly teams

Full-service payroll means the payroll platform handles payroll processing, tax withholding, tax filing, direct deposits, and year-end tax forms on your behalf. This includes calculating gross-to-net pay, withholding federal, state, and local taxes, filing payroll tax returns, generating W-2s and 1099s, and depositing employee pay directly into bank accounts. With platforms like Workstream, employers approve the payroll run while the platform manages the filing and payment process automatically. This differs from self-service payroll systems, where employers remain responsible for tax filings and late-payment penalties.

Full-service payroll software like Workstream files federal, state, and local payroll taxes automatically. This includes FICA taxes for Social Security and Medicare, FUTA taxes, federal income tax withholding, state withholding taxes, state unemployment taxes, and applicable local taxes such as city or school district payroll taxes. Workstream also automatically registers new tax jurisdictions when operators hire employees in new states, removing the need to manually apply for state payroll tax accounts.

Full-service payroll handles multi-state employees by calculating taxes based on where employees physically work. Employees working across multiple states have withholding calculated proportionally according to hours worked in each jurisdiction. The platform also applies reciprocity agreements automatically when employees live in one state but work in another. This helps multi-location operators avoid payroll reconciliation problems caused by incorrect state tax withholding.

Full-service payroll includes W-2 and 1099 filing as part of the payroll process. Workstream generates and distributes W-2s and 1099-NEC forms to workers through paper or electronic delivery based on employee preference. The platform also files the required W-2, W-3, and 1099 transmittals with the IRS and state agencies automatically without charging separate year-end filing fees.

Full-service payroll handles off-cycle pay runs by allowing operators to process bonuses, payroll corrections, and final paychecks at any time. Workstream automatically applies the correct final paycheck timing rules and supplemental wage withholding rates based on state law. For example, California requires same-day final paycheck payments for involuntary terminations under Labor Code §201, while many other states allow several business days for payment processing.

Full-service payroll supports direct deposit, pay cards, and flexible payment timing options for employees. Workstream supports direct deposits into U.S. bank accounts, optional pay cards for unbanked employees, and same-day or next-day payment options. Pay cards are especially useful for hourly restaurant and retail workers who may not have traditional bank accounts but still need electronic payroll access.