Add to the notions of the high degree of risk in this industry, and it’s quite easy to see how payroll companies are being asked to become SAS 70 Type II compliant.

The scope of a SAS 70 audit for a payroll company will include a host of general controls along with specific business process operational controls that examine and test the payroll life cycle, from start to finish- that is, from how consumer information is obtained to the final issuance of hard checks or electronic direct deposit.

To learn more about SAS 70 audits, visit the official SAS 70 Resource Guide, where a wealth of information can be obtained on both Type I and Type II audits.