Paper wasps have a segmented body, a slower flight pattern and dangling legs. They are about 3/4" long and have a slim body.
Surprisingly, the most painful "bee" sting doesn't even come from a bee at all. Wasp stings are far worse than bees. Bees are reluctant to sting because they can only sting once. Wasps sting repeatedly.
Paper Wasps prefer nesting in attics but will nest practically anywhere; in eave peaks, behind shutters, under deck railings, in gas grills, swing sets, mailboxes, and light fixtures. Their nests aren't very large and can be tucked into any little nook or cranny.
The colonies are annual.