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Looking for the right HR software for your small business? These top HR software options offer great HR features and tools for a variety of business sizes and price ranges.
Chelsea Krause is a writer who specializes in accounting, payroll, and small business loans. She has been helping small business owners manage their finances since 2016. She is a QuickBooks Certified User and former eCommerce store owner. Her accounting expertise has been quoted in Forbes and her work appears in Startup Nation, Small Business Bonfire, and Women on Business. Chelsea graduated summa cum laude with a BA in English & Creative Writing from George Fox University and studied abroad at the University of Oxford as well.
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Chelsea KrauseChelsea Krause is a writer who specializes in accounting, payroll, and small business loans. She has been helping small business owners manage their finances since 2016. She is a QuickBooks Certified User and former eCommerce store owner. Her accounting expertise has been quoted in Forbes and her work appears in Startup Nation, Small Business Bonfire, and Women on Business. Chelsea graduated summa cum laude with a BA in English & Creative Writing from George Fox University and studied abroad at the University of Oxford as well.
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Shelbi Wescott began working for Merchant Maverick in 2019 after 17 years as a journalism educator and publications advisor, where she has extensive knowledge of newsroom systems and editorial workflows. She has overseen multiple print and online publications and mentored hundreds of emerging writers. Shelbi is also an award-winning journalist, published author, and former small business owner with a Master of Arts in Teaching from Lewis and Clark College in Portland, Oregon.
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Shelbi WescottShelbi Wescott began working for Merchant Maverick in 2019 after 17 years as a journalism educator and publications advisor, where she has extensive knowledge of newsroom systems and editorial workflows. She has overseen multiple print and online publications and mentored hundreds of emerging writers. Shelbi is also an award-winning journalist, published author, and former small business owner with a Master of Arts in Teaching from Lewis and Clark College in Portland, Oregon.
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HR software comes in many shapes and sizes: some have better payroll, others have better onboarding, others excel in benefits administration, and many do a decent job of all three. While every company has unique HR needs, every company needs HR.
Luckily, many great HR software options fit a variety of small business needs and budgets. We’ve narrowed the list down to the five best HR options so you can find the right software to make your life–and your employees’ lives–easier.
The best HR software helps you manage payroll, track employee hours, administer benefits, write performance reviews, and can even help with onboarding and offboarding. Out of the dozen HR software plus the two dozen payroll software options we reviewed, here are the best HR solutions for small businesses:
Gusto: Overall best combined HR & payroll software
$49/month + $6/person - $180/month + $22/month per person
Business Size
Small-medium sized businesses with up to 650+ users
Pros
Built-in time tracking
Upfront pricing information
Simple interface
Solid feature set
Cons
Advanced features not available on all plans
Limited reporting
Healthcare is only available in 38 states + D.C.
Why We Chose Gusto For Overall Best Combined HR & Payroll Software
Gusto is our top pick for best payroll software overall, and for small business owners looking for simple HR features, Gusto is a great choice.
The interface is user-friendly on both the employee and administrative sides and offers basic HR features and benefits administration options. Having payroll and HR in one software makes things easier, which can save time and frustration hopping back and forth between multiple software or integrations.
If your growing business needs basic payroll and only pays contractors
You can opt to add on certain additional HR features like background checks, talent management, and more.
Gusto Features
Gusto Features
Availability
Payroll Tax Support
Auto-Schedule Payroll
Bonus Payroll
Off-Cycle Payroll
Employee Management
Paid Time Off
Time Tracking
Plus plan and up
HR Support
Onboarding Support
Benefits Administration
Number Of Reports
17+
Number Of Integrations
185+
Number Of Users Supported
Unlimited
Who Would Benefit From Gusto
Businesses that need combined payroll & HR software
Businesses that need easy benefits administration options & integrations
Businesses that don’t need healthcare in Alabama, Alaska, Hawaii, Louisiana, Mississippi, Montana, Nebraska, North or South Dakota, West Virginia, or Wyoming
Small to enterprise-sized businesses with 1,000+ employees
Pros
Rich feature set
Extensive onboarding
Highly scalable
Cons
Non-transparent pricing
Additional fees add up
Why We Chose ADP For Best Scalable HR Software
ADP is a giant in the payroll and HR industry, and as such, it has an incredibly rich feature set with everything from employee management to payroll to new-hire onboarding and more. From contractor-only payments to a full PEO option and everything in between, ADP is a good scalable HR software option for businesses of any size.
ADP's pricing is frustratingly not transparent, and you'll have to call to get a quote depending on exactly what services you need, but with multiple products and plans available, ADP can likely tailor-make an HR software quote for you.
If you need performance analytics and improvement tools for 50+ users
As mentioned, ADP does not advertise its prices on its website. While it does have four tiers, you’ll have to speak to a representative and tell them exactly what services you’re looking for in order to get an accurate quote.
But ADP does have options for smaller businesses as well that might not need ADP’s entire payroll suite.
ADP Features
ADP Payroll Features
Availability
Payroll Tax Support
Auto-Schedule Payroll
Bonus Payroll
Off-Cycle Payroll
Employee Management
Paid Time Off
Time Tracking
Add-on only
HR Support
Onboarding Support
Benefits Administration
Add-on only
Number Of Reports
17+
Number Of Integrations
380+
Number Of Users Supported
1-1,000+
While ADP thrives in the world of payroll, its HR offerings are also robust and can help out nearly any business size. Here’s what you can expect:
New-hire reporting
Self-managed new-hire onboarding
Employee discounts
Employee access portal
Contractor hiring through WorkMarket integration
At higher tiers, you also get access to other features, including:
ZipRecruiter
Background checks
Employee handbook tool
HR help desk
Employee tracking
Training toolkit
Company training courses
Harassment prevention courses
Who Would Benefit From ADP
Businesses that want combined HR & payroll
Mid-size businesses or rapidly growing businesses that want an HR solution that will scale
Great for businesses with an international workforce
Pay employees in their local currency
Cons
Expensive for small businesses
Limited customer support hours
Why We Chose Remote.com For Best Global and Remote Hiring
Remote.com is a workforce management tool designed for companies with remote employees or companies with a global workforce. It aims to assist businesses with managing their global employees across multiple countries, and it offers everything from onboarding and offboarding to payroll and human resources management.
Its base product is an Employer of Record service that helps your company hire and manage payroll in 75+ different countries. By using Remote.com, you can hire from a country without having an entity there.
If you want to offer equity compensation for your global workforce.
We love Remote.com’s transparent pricing plans and commitment to no extra/undisclosed fees. Know what your monthly bill will look like before you sign your contract. For smaller businesses, the Employer Of Record services might be a bit spendy, but they are on par with comparable services with its competitors.
Remote.com Features
Remote Features
Availability
Payroll Tax Support
Auto-Schedule Payroll
Bonus Payroll
Off-Cycle Payroll
Employee Management
Paid Time Off
Time Tracking
HR Support
Onboarding Support
Benefits Administration
Number Of Reports
4+
Number Of Integrations
100+
Number Of Users Supported
Unlimited
Remote.com has ample features, but if you don’t find what you’re looking for, it also boasts integrations with 100+ other software programs and has an open API.
Who Would Benefit From Remote.com
Businesses that want to hire globally
Businesses that want to streamline remote and global teams
Businesses that need an Employer Of Record to establish entities in other countries
Businesses that appreciate a sleek interface and easy UI experience for both employers and employees
Why We Chose BambooHR As The Easiest HR Software To Use
If a small business needs a comprehensive human resources management system, BambooHR has all the foundational requirements to manage your employees. It aims to make HR easy and intuitive, even if a company doesn't have a specific HR department or team. BambooHR leads the competition with its ease of use, intuitive interface for both employees and administrators and customization abilities. The software is loaded with advanced features to help simplify the HR process throughout the employee lifecycle.
Everything included in the Core plan, plus performance management and an employee community.
BambooHR has two plans but, unfortunately, does not offer pricing details online. Instead, the company requests that you get a personalized price quote by phone or through its website.
BambooHR Features
BambooHR Features
Availability
Payroll Tax Support
Add-on
Auto-Schedule Payroll
Add-on
Bonus Payroll
Add-on
Off-Cycle Payroll
Add-on
Employee Management
Paid Time Off
Time Tracking
Add-on
HR Support
Onboarding Support
Benefits Administration
Add-on
Number Of Reports
32+
Number Of Integrations
125+
Number Of Users Supported
Unlimited
Who Would Benefit From BambooHR
Business owners who don’t have an HR department or manager
Business owners who value ease of use and simplicity or who don’t have time to learn complicated software
Business owners who already have payroll software (or don’t want to use Trax) and don’t mind having separate HR software
OnPay is an award-winning payroll software with built-in HR support at no extra cost, making it a cost-effective all-in-one payroll and HR software.
One of OnPay's biggest advantages is a high-functioning mobile app that makes managing HR on the go easier. HR features include built-in PTO tracking, employee and contractor portals, in-app messaging, performance reviews, and more. The ability to not only manage HR on the go but also message employees and send reminders in the app is a big plus for busy business owners.
If you need essential payroll and basic HR features for up to 500+ employees
OnPay’s pricing is competitive, especially since its HR support is built into its payroll plan and isn’t an extra add-on. OnPay makes pricing simple with one $40/month plan plus $6/month per person. OnPay’s pricing is highly competitive and half the cost of Gusto.
You can add-on pay-as-you-go worker’s comp policies as well, but you will need to contact OnPay directly for pricing.
OnPay Features
OnPay Features
Availability
Payroll Tax Support
Auto-Schedule Payroll
Bonus Payroll
Off-Cycle Payroll
Employee Management
Paid Time Off
Time Tracking
HR Support
Onboarding Support
Benefits Administration
Number Of Reports
7+
Number Of Integrations
14
Number Of Users Supported
5-500
OnPay offers an impressive number of HR features, especially considering these features don’t come at an extra cost. You’ll find:
PTO management & time-off requests
Employee and contractor portals
Onboarding
In-app offer letters
New hire reporting
HR document & resource library
Benefits administration
Integrated worker’s comp with pay-as-you-go plans
Mobile app with built-in messaging
Who Would Benefit From OnPay
Businesses looking for affordable HR
Businesses needing combined payroll & HR support
Businesses looking for integrated, pay-as-you-go worker’s compensation insurance
Businesses needing a capable mobile app for managing employees & time off requests on the go
Paycor is a great one-stop shop for a small business's HR and payroll requirements. The company focuses on ease of use and streamlining its interface and is fully committed to listening to clients and adapting/updating its software to respond to feedback. Paycor's hiring wizard feature, full-service payroll, and 1-on-1 HR support set Paycor apart and add to its impressive attention to customer support.
If you need advanced analytics and talent management for up to 50 users
Unfortunately, Paycor no longer discloses pricing information. For businesses with fewer than 50 employees, Paycor offers four pricing plans. The more expensive the plan, the more features you can access.
For businesses with 50+ employees, custom packages are available. You’ll need to contact Paycor to get a price quote.
Paycor Features
Paycor Features
Availability
Payroll Tax Support
Auto-Schedule Payroll
Bonus Payroll
Off-Cycle Payroll
Employee Management
Paid Time Off
Essential plan and up
Time Tracking
Add-on
HR Support
Core plan and up
Onboarding Support
Essential plan and up
Benefits Administration
Add-on
Number Of Reports
31+
Number Of Integrations
300+
Number Of Users Supported
1-1,000+
All plans have full-service payroll as a foundation and not an add-on. All plans also include the following:
Tax filing
Reporting
Self-service garnishments and child support
Paycor Mobile
If you upgrade to one of the higher tier packages, you can also access features, including:
Online onboarding with assistance
Full-service payroll
HR support center with 1:1 guidance
Hiring wizard
Advanced analytics
Who Would Benefit From Paycor
Businesses looking for full-service payroll
Businesses with a large amount of employees (and a large budget)
Merchant Maverick has been researching and reviewing payroll providers since 2018. Our writers have tested more than 75 different payroll software systems, evaluating pricing, features, ease of use, customer service, and user reviewers. Read more about how we rate payroll providers.
Weighted Rating Breakdown
Features 40%
Ease Of Use 20%
Customer Service 20%
Pricing 10%
User Reviews 10%
When comparing different apps, we consider over seventy data points, including the speed and cost of payroll runs, federal and state tax filing features, HR integrations, employee management tools, time tracking, and more. Our lists of the best providers include only apps we’ve deemed worthwhile from several vantage points. The payroll apps we pick are widely available and relatively easy to train on, with robust features and reasonable pricing. We also look carefully at features such as employee and client portals, user onboarding services, PTO management, benefits administration, multistate compliance, and more.
We spend an average of 10-15 hours researching and updating each one of our lists, making sure the providers included meet our internal standards for quality and reputation.
75+
Vendors evaluated
76
Attributes assessed per vendor
26
Features weighed
20+
Combined years of experience
What Is HR Software?
Human resources software, or HR software, simplifies human resources tasks. HR software makes it easy for businesses to perform various tasks, including but not limited to completing onboarding tasks, termination tasks, maintaining legal compliance, running payroll, managing benefits, and maintaining employee records.
HR Software VS Payroll Software
While some payroll software companies offer built-in HR or higher-tier plans with HR support, the two are not necessarily synonymous. Payroll software focuses specifically on paying your employees, tracking hours worked, and managing time off, while HR software focuses on managing your employees through onboarding, training, benefits administration, etc.
The cost of HR software varies by a number of factors, including the size of your business and the features you need. On the lower end, expect to pay around $6-$8/month per employee. On the higher end, you may pay $60+/month per employee.
How To Choose A Good HR Software Company
With so many HR options on the market, it’s important for small businesses to be able to identify the good from the bad. A good HR software company should have:
Competitive pricing
Strong HR features
HR support in all states your business operates in
Multiple customer support avenues
Positive customer reviews
Strong security measures & positive uptime records
Upfront policy cancellation criteria & no long, locked contracts
The Bottom Line On Choosing The Right HR Software For Your Small Business
When it comes to picking the right HR software for your small business, it helps to know what you need.
Figure out which HR features your company needs and whether or not you need built-in time tracking, payroll, or want a fully dedicated HR manager or PEO instead.
Any HR software worth checking out should have options for syncing employee information, managing payroll, assisting with onboarding, running benefits administration, managing worker performance, and navigating all aspects of your company’s legal HR compliance requirements.
Ultimately, HR is about hiring the best people, growing the best people, and retaining the best people for your company’s growth. The best HR software for your small business should help you achieve those goals and make you and your employees’ lives easier.
No matter which HR software you choose, always remember to do your research, take advantage of free trials, and fully explore your options before making a commitment. Good luck!
FAQs: Best HR Software
What is HRIS software?
Human resources information system software, or HRIS software, helps you manage and maintain information on your policies, procedures, and personnel. HRIS software may offer payroll processing, employee hour tracking, and an employee directory.
Are there any free HR software options for businesses?
There are free HR software options for small businesses, but many of them are quite limited in functionality. Start your search with our five picks for the best payroll and HR software that’s free.
Do I have to have an HR manager for my business?
It’s never a bad idea to have an HR manager for your business. If you have a smaller business, you may be able to operate without an HR manager or only use one part-time if you have the right HR software. For businesses with 50+ employees, it’s generally a good idea to have an HR manager on your staff.
Chelsea Krause is a writer who specializes in accounting, payroll, and small business loans. She has been helping small business owners manage their finances since 2016. She is a QuickBooks Certified User and former eCommerce store owner. Her accounting expertise has been quoted in Forbes and her work appears in Startup Nation, Small Business Bonfire, and Women on Business. Chelsea graduated summa cum laude with a BA in English & Creative Writing from George Fox University and studied abroad at the University of Oxford as well.
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The vendors that appear on this list were chosen by subject matter experts on the basis of product quality, wide usage and availability, and positive reputation.
Merchant Maverick’s ratings are editorial in nature, and are not aggregated from user reviews. Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services. The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships.
Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity. The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author’s alone.
Our Featured Payroll SolutionADP is an industry leader that our experts endorse.Our reviewers like ADP Payroll for its advanced employee management, strong payroll features, and great customer support. For a limited time, get three months free.View OfferClaim three free months
