Parasites
Several species of wasps are parasites of more damaging insects and pests including caterpillars, flies and aphids, among others. Many of these species prey upon their hosts as larvae; the female wasp lays eggs on or in the host and the wasp larvae eat the host. Because of this behavior, many gardeners and homeowners encourage these wasps to live around their homes and gardens. They are a source of natural pest control for crop-feeding pests.
Predators
While the parasitic wasps could be considered predators, this group contains wasps that actively feed on pests instead of living on or in them. Like the parasitic wasps, this group provides pest control to homeowners and gardeners. Some of the wasps in this group eat their prey only as larvae; others feed on other arthropods as adults and larvae. The cicada killer is an example of a predatory wasp. The large female, sometimes intimidating due to her size, creates several burrows in the ground and lays her eggs in these burrows. True to her name, she then hunts cicadas and paralyzes them, stuffing one into each burrow for her larvae to feed on. Mud daubers are another example. Much like cicada killers, mud daubers build singular nests (tubes of mud on vertical surfaces). They then paralyze spiders and stuff the spiders into the nest for the hatching larvae to feed on.
Paper wasps and other hornets also feed on several pests, primarily caterpillars. This is a great benefit to gardeners; those with butterfly gardens, however, may find this to be a nuisance as the young butterfly larvae (caterpillars) are preyed upon.
Pollinators
Some wasps and hornets also pollinate flowers, just as their honeybee and bumblebee cousins do. Pollination is vital to plant development; it serves as the sexual intercourse between flowers. Because wasps and bees cannot see red, most of the flowers that wasps pollinate are white, blue or yellow. These flowers also have strong ultraviolet light patterns, which attract the wasps. Bees and wasps also have a strong sense of smell; therefore most flowers they pollinate are very fragrant and sweet-smelling.
Weighing the Benefits
Very rarely do wasps and hornets pose a greater threat than benefit. Those that create the most nuisance are the social wasps, which include paper wasps, baldfaced hornets and yellowjackets. Yellowjackets account for the majority of stings; they are much more aggressive and attracted to the meat and sweets at outdoor barbecues and also to garbage bins. Most yellowjackets build their nests in the ground or near the ground, such as in wood piles or rotten landscape timbers.
Baldfaced hornets and paper wasps are much more accepting of human interaction; paper wasps generally build their umbrella-shaped nests under eaves on houses and other similar areas. Baldfaced hornets, on the other hand, build their nests in trees or shrubs, typically high off the ground and away from humans.
You need only take precaution when the nest is in an area of high human traffic.