The Best Payroll Software For Small Businesses

Gusto is the overall best payroll system choice for small businesses that need easy-to-use software with reliable customer support. Gusto is ideal for small businesses with fewer than 100 employees that need to automate their payroll processing system completely. This cloud-based payroll system has an easy-to-navigate interface and intuitive onboarding and benefits setup, and it fully automates payroll, streamlining everything from onboarding to termination.

Gusto provides transparent pricing, but the price does run a smidge higher than other comparable systems. What you pay for, however, is a robust program with a track record of friendly and helpful customer service, full tax support, and includes solid HR features. Gusto has favorable reviews among its users — especially those in the payroll and bookkeeping worlds — and they find the program is updating and expanding according to client needs. Reporting options and integrations continue to grow and evolve.

Gusto Pricing

Gusto offers three different pricing plans for paying employees and a free 30-day trial. The Simple, Plus, and Premium plans run from $40 a month + $6 per employee (Simple) to $80 a month + $12 per employee (Plus). The Premium package offers HR compliance assistance and an HR resource center, as well as the addition of a dedicated customer service representative. Gusto also offers a fourth plan for businesses that hire only independent contractors. The software’s ‘Contractor Only’ plan costs $6/month/contractor.

Read our full guide on Gusto’s pricing plans for more details.

Key Gusto Features

Gusto offers strong benefits administration features and assists with adding worker’s compensation and HSA plans to your payroll. If ease and functionality are what you need, Gusto can’t be beaten.

At the top level (Concierge), Gusto offers the following features:

• Unlimited payroll runs
• Automatic tax filing
• Reporting
• Customizable admin permissions
• Employment offers and onboarding
• Time tracking
• Employee directory and surveys
• HR and compliance support
• Dedicated customer support team

Is Gusto Right For My Business?

Gusto is perfect for small to medium-sized businesses that may not have a full accounting department and are looking for an easy, functional, customer-oriented program to run payroll. It is not a bargain-basement option, inexpensive with limited features, nor is it an intricate option with numerous integrations and bells and whistles. Gusto is just right, focusing on small businesses and catering to their needs with ample support.

ADP is the best payroll software for small businesses with no payroll or accounting experience that need to automate both processes. ADP is also a great choice for larger businesses with more than 50 employees that needs extra functionality to facilitate payroll automation.

ADP is known for its easy-to-use interface and guided assistance through the program. The reporting dashboard and options for integrations are impressive. ADP has been around long enough to know a thing or two about payroll. That is reflected in the ample customer service it offers and its attentiveness to complaints and concerns. Run ADP is the option for small businesses with 1-50 employees, but there are other options if a company grows and needs additional assistance.

ADP Pricing

ADP generally offers customers three free months and reduced-rate contracts to sign a yearly contract. Each contract is different, but most contracts require a 12-month commitment and are paid upfront. There is no termination fee, but there are no refunds for canceled contracts.

On average, you will most likely pay $160 with 10-15 employees. We were quoted $179.86 monthly for 11 employees for payroll and HR Plus; that is a $10 per-employee fee in addition to payroll fees. (ADP charges a fee each time you run payroll.) There is also a $25 set-up fee that is usually waived with a contract. All quotes are customized per your business location, number of employees, frequency of running payroll, etc.

Key ADP Features

ADP is easy to use and well-organized, and guided support and other resources help you navigate the features and get the most out of the software. Run ADP offers the following features:

• Payroll processing
• Direct deposit
• Tax filing
• Garnishment payment
• Electronic reporting
• Time tracking
• Numerous integrations

Is ADP Right For My Business?

ADP is a great program for small businesses with a handful of employees that do not have an HR or accounting team. The program is easy to use, intuitive, and solid (and since ADP has been in the payroll business for a long time, you know it has decades of experience and information to help businesses work through difficulties). For a business with only one or two employees, ADP is simply too expensive for basic payroll but is a solid option otherwise.

Intuit is the best payroll system for businesses that already use QuickBooks products and want to integrate easily with a payroll solution. Intuit has a reputation for regularly adapting and reworking its payroll features, which may appeal to businesses that anticipate rapidly scaling their growth and operations in the near future.

QuickBooks is an old standby, and its products are hard to ignore. For businesses that already use QuickBooks software, upgrading to Intuit QuickBooks Online Payroll should be a breeze. Users will find that the program is trustworthy, easy to navigate, and affordable.

QuickBooks Online Payroll Pricing

QuickBooks has a tiered pricing system. Pricing ranges from $45/month +$4/month per employee to $125/month plus $10 per employee. As the prices scale, the features improve and become curated for your business. Intuit offers white-glove treatment for onboarding at the upper tiers and sends you a dedicated HR representative to work with your company.

Intuit QuickBooks has month-to-month contracts and no early termination fees. Payments are monthly, and you can cancel your subscription at any time. QuickBooks also runs promotions for its payroll product frequently, so be sure to check for any available discounts before purchasing.

Key QuickBooks Online Payroll Features

Intuit Online Payroll is well organized, and the UI is intuitive. People who like QuickBooks and already use aspects of the software are more likely to have a positive experience transitioning to the Intuit Online Payroll system.

Intuit QuickBooks Online offers the following features at its Core level:

• Next day direct deposit
• Unlimited payroll runs
• Calculates paychecks
• Calculates and files federal and state taxes and year-end forms
• Workforce portal
• Manages garnishments and deductions
• Offers reporting features

Is QuickBooks Online Payroll Right For My Business?

If your small business already uses and likes QuickBooks, you will find a lot to love about the addition of Intuit payroll. With the new overhaul of payroll and pricing, Intuit has demonstrated a desire to evolve and grow as payroll competition becomes fiercer.

The biggest complaint in the past was customer service and confusion about prices, but QuickBooks has adjusted its pricing and seems to have its finger on the pulse of complaints. We are always impressed when a company responds swiftly to feedback.

Square Payroll is the best payroll software for small businesses that already use Square products, as well as businesses looking for a bargain and that employ numerous contractors. Square doesn’t include a lot of bells and whistles, but it gets the job done well for small businesses that need to be compliant and always on top of their payroll reporting.

Square has a niche: simple and easy. Square’s point of sale app offers a straightforward system without being flashy. And that is exactly what Square Payroll delivers as well. This intuitive and easy-to-use payroll program integrates well with the rest of Square’s products. Competitive pricing and a simple interface are big plusses for Square. Its only complaints come from bigger companies looking for a more curated interface and people who say it sometimes takes a long time to connect with a payroll expert. However, if you want something simple, Square can provide it at a reasonable rate.

Square Payroll Pricing

With Square, there are no hidden fees or sneaky terms and conditions. There are two different plans depending on your type of employee and payroll needs. If your business only pays contractors, you will pay a $5/month fee per contractor on your payroll. If you pay both contractors and salaried/hourly employees, you pay a $35 monthly subscription fee plus $5/employee/month. There are no contracts with Square, so you can cancel your plan anytime.

For more details, read our full Square Payroll pricing post.

Key Square Payroll Features

Square’s features are easy to access and understand, even if you have never run payroll before, and the interface is designed to walk you through each step of the process.

Square offers the following features:

• Unlimited payroll processing
• Tax services
• Employee self-service portal with mobile app
• HR support
• Time tracking
• Benefits administration
• Integrations (including QuickBooks, QuickBooks Time, and ZipRecruiter)

Is Square Payroll Right For My Business?

Square is best for small businesses that are already using Square products or looking for simple and inexpensive payroll options. The pricing is competitive among payroll systems for similar employee numbers, and the setup is simple and intuitive for companies that may not have an HR department. However, larger companies that need customization around payments and pay scales may find Square too limited.

Paylocity is the best payroll system for mid-sized businesses that need software they can tailor and customize to suit their business needs. This web-based payroll program boasts a large feature set that works well for businesses that need both payroll and HR capabilities.

Customizability is where Paylocity has a competitive edge. Its program boasts many integrations for HR, benefits, time tracking, performance reviews, and applications fully tailored to your company’s needs and wishes. With a drag-and-drop interface and a specialized account person a phone call away to help make changes, this program has a lot to like. However, some users find the app counter-intuitive and prone to errors, which does not make this a good option for Luddites or payroll newbies.

Paylocity Pricing

Paylocity offers three payroll tiers (Effortless Payroll, Efficient Tech, and Modern Workplace.) The price varies by feature access, not by the number of employees. There are no contracts, and you can cancel your plan anytime. We were quoted between $125 to $200/month plus $6-$8/month/employee depending on the plan.

For small businesses, Paylocity is a bit more expensive than its competitors. However, at the Modern Workplace level, Paylocity is a full human capital management system and payroll system, incorporating the entire employee life cycle.

Key Paylocity Features

Paylocity’s features are varied and easily customizable based on your business needs. At the most basic payroll level, Paylocity offers all the best features of a cloud-based payroll system while also accommodating growth for companies looking to expand beyond payroll.

Here is a full list of features available:

• Unlimited payroll processing
• Tax services
• Web Time (cloud-based time tracking)
• Employee self-service portal with mobile app
• Benefits essentials
• New hire reporting
• Custom-built PTO tracking and management

Is Paylocity Right For My Business?

Paylocity is not a simple program: It was designed to appeal to HR directors and accountants, not necessarily the small business owner running payroll for a few people on a monthly basis. If you need simple and basic, this isn’t for you. Instead, this program will appeal to growing businesses that want a more streamlined HR and payroll system and know enough about payroll and HR to communicate their desires to the Paylocity team. It’s not for payroll newbies but is a solid find for a small business with more advanced requirements.

Paycor is the best payroll system for small businesses that need a full human capital management system with payroll processing features. Paycor boasts an intuitive and modern-looking user interface that may appeal to smaller businesses that need some extra hand-holding.

Paycor’s human capital management (HCM) program, including its cloud-based full-service payroll system and the rest of the HR/benefit management suite, is sleek, usable, and has an intuitive interface. These qualities make it an easy software to learn and understand; combined with the company’s commitment to resolving issues and rolling out new features and customized options, Paycor shows dedication to improvement and innovation. If you need payroll and HCM support, Paycor should be the first place you look.

Paycor Pricing

Prices for Paycor’s Basic Payroll range from $99 + $5 per employee per month to $199 + $7/employee/month. Paycor’s HCM pricing tier starts at $199 + $12/employee/month and adds more advanced features, such as automated workflows, document management, performance reviews, and more.

The one thing to note is that some of the more popular essentials of an HR management suite are still add-ons with additional monthly fees. For example, if you want to add time tracking or a benefits management package, you’ll pay more per month.

Key Paycor Features

The payroll system for Paycor is rated highly for usability and features. The system is easy to navigate, is loaded with reports and customizations, and has helpful resources built into the program.

Paycor offers the following features in its Basic Payroll package:

• Same-day direct deposit
• Free W-2s filed and sent
• Assisted payroll setup
• Standard report building and customizable reports
• Garnishment/child support self-service
• HR support center
• Up to 10 employees

Is Paycor Right For My Business?

If you want a payroll system and an HR platform, Paycor is a fantastic choice. Paycor is perfect for small to medium-sized businesses looking for enterprise-level HR assistance. The software was designed to streamline services, so it is best suited for an owner-operator or business owner with a small HR department. Large companies that need a significant amount of customization may find Paycor too limited.

SurePayroll is the best payroll system for overlooked industries and very small businesses. SurePayroll works best for small businesses that need easy-to-use software with basic payroll processing features. SurePayroll is best for industries such as household employment, nannies, clergy, or nonprofits — and it’s a great fit for very small businesses with fewer than five employees.

If you are looking for an inexpensive, simple, straightforward payroll program, SurePayroll deserves to be in top contention. It’s simple to use and designed for small businesses in terms of price and functionality.

SurePayroll Pricing

SurePayroll doesn’t publish its prices online. However, our business was quoted $29/month plus $4/employee. One frustration with SurePayroll is the extra fees. Integrations, such as time tracking, can cost an additional monthly fee, which does not include the cost for year-end filing and W-2 reports. A one-month free trial is available.

Key SurePayroll Features

SurePayroll’s features were designed with small businesses in mind. That means a small business should find every feature and customization they need, but not too many extras.

SurePayroll offers the following features:

• Unlimited payroll processing
• Tax services
• Direct deposit
• Employee self-service portal with mobile app
• Garnishments
• New hire reporting
• HR support

Is SurePayroll Right For My Business?

SurePayroll is the perfect payroll software to use if your company is small or you are looking for a payroll system that specifically manages nanny/household employees. The software’s features and customizable options are few; however, most small business owners running payroll by themselves may feel bogged down by options they’ll never use in a more robust app. Surepayroll doesn’t lack any essential features or reports. Full tax support at its current price puts SurePayroll among the least expensive options available, and it truly is simple and easy with excellent customer support.

OnPay is the best payroll software for small businesses that want a simple system to onboard new employees and need to automate their payroll and HR processes. OnPay boasts fast, unlimited payroll processing as well as flexible frequency to accommodate different reporting needs and even offers a robust mobile experience to assist small businesses with their HR and payroll.

OnPay has a positive reputation for responsive customer service that’s available through an easily navigable dashboard. It even integrates with QuickBooks for small businesses already using Intuit QuickBooks products. This is one of the best payroll software solutions for small businesses that want to combine a wide range of customizable payroll features with HR resources and tools to streamline processes.

OnPay Pricing

OnPay’s pricing includes just a single plan that starts at a flat rate of $36 a month, with a monthly per-employee fee of $4. Your first month is free, and there are no setup costs. Since OnPay doesn’t require users to sign any contracts for terms of use, you only need to pay to keep using the software every month without risking getting hit with penalty fees.

Key OnPay Features

Only one service plan is available with OnPay, so you can enjoy all of the biggest features the software offers, including unlimited payroll runs with quick processing speeds, employee self-service options to review paychecks and tax forms, and onboarding and employee time management options for administrative users.

OnPay offers the following features with its single service plan:

• Unlimited payroll runs
• Self-service portal
• Tax services
• New-hire reporting
• Online HR library and resources
• Responsive mobile site experience
• Integrations with popular services (QuickBooks Time, QuickBooks Online, Xero, etc.)

Is OnPay Right For My Business?

OnPay works best for very small businesses that are rapidly growing and need to flesh out their payroll and HR processes. Its highly intuitive online platform complements its expansive set of HR tools, tracking capabilities, and customer service that work well on mobile as well as on a desktop PC. Certain businesses may find a single service plan limiting; however, the pricing is relatively inexpensive compared to certain higher-tier plans offered by solutions such as Paylocity and Intuit QuickBooks.

Paychex is a cloud-based payroll and HR solution that’s suited for businesses of all sizes. Paychex offers many essential features for small businesses and customized solutions for large businesses. Standout features include strong employee management tools, 100+ reports, and solid payroll tax support.

The Paychex UI is intuitive and easy to use. Setup is simple, and 24/7 customer support is in place to help you get the most out of your software. Basic pricing for Paychex is pretty competitive. However, costs can add up with customized plans and add-ons. Still, businesses may find the strong features well worth the cost, and growing businesses will appreciate the scalability of this payroll software.

Paychex Pricing

Paychex has four pricing plans to choose from. Paychex Flex Essentials is priced at $39/month + $5/employee per month; you must contact Paychex to get a quote for its customizable plans. Additional fees may apply for add-on services, including time tracking, software setup, HR packages, tax services, and employee benefits.

Key Paychex Features

Paychex has a solid set of features that can be customized for businesses of all sizes. At its most basic level, here is what Paychex has to offer:

• Unlimited payroll runs
• Direct deposit
• New hire reporting
• Self-service employee portal
• HR library and business forms
• Prepaid paycards
• Tax credit services
• Standard analytics and reports

Is Paychex Right For My Business?

With multiple pricing tiers and an abundance of features, Paychex truly is designed for businesses of all sizes. It is best suited for small to medium-sized businesses, although enterprise-level plans are also available.

Paychex is a scalable option, making it a great choice for growing businesses that need payroll essentials now but may require more advanced options in the future. Its base pricing is competitive, although upgrading to a higher tier and purchasing add-ons can drive up costs, so this may not be the most cost-effective option for businesses working with a tighter budget.

However, businesses seeking a solid set of features backed with good customer support or wanting an all-in-one payroll and HR solution may find everything they need with Paychex.

If your business is running on a tight budget, Payroll4Free’s free payroll software may be a solid choice for your business. While you won’t get the bells and whistles of other paid programs, you will have access to essential payroll features at no cost — provided your business has 25 or fewer employees.

With Payroll4Free, you can pay your employees and contractors without worrying about a monthly subscription fee. Payroll4free offers a surprising number of features at no cost, including tax forms, reporting, direct deposits, and an employee portal. The tradeoff is that the software is ad-supported, although you aren’t inundated with advertisements. The UI could also use a refresh, but at this price point, it isn’t a huge issue.

The software is easy to set up and use, and customer support is pretty good based on user reviews. While this isn’t a good choice for businesses seeking sleek, modern software loaded with more advanced features or businesses with more than 25 employees, it’s a good place to start for smaller businesses with basic payroll needs.

Payroll4Free Pricing

As the name suggests, Payroll4Free is forever-free payroll software. All features are included in your free plan. However, there are two upgrade options. You can purchase the Payroll Tax Service if you want Payroll4Free to deposit and pay your payroll taxes. You can also buy the Direct Deposit Service if you’d prefer to use Payroll4Free’s bank instead of your own. Even with both of these add-on services, you will never pay more than $30/month to use Payroll4Free.

Key Payroll4Free Features

Payroll4Free has a surprising number of features available to its users for no cost. While it is without the embellishments you’ll find with some of its competitors, this software has all of the essentials small businesses need to run payroll, including:

• Unlimited payroll runs
• Direct deposits
• Tax forms and calculations
• Vacation time tracking
• Reporting
• Accounting software integrations
• Unlimited live customer support

Is Payroll4Free Right For My Business?

If you’re looking for easy-to-use payroll software that won’t break the bank, you may find exactly what you need in Payroll4Free. If you can get past the outdated UI and the occasional advertisements, you’ll have access to essential payroll features with no monthly fee. This software is a good choice for businesses without complex payroll or HR needs and is only suitable for smaller businesses with no more than 25 employees.

If Payroll4Free doesn’t cut it for your business but you still want a free payroll software option, check out our top free payroll software picks.

Combine strong payroll features, affordable pricing, good customer service, and excellent tax support, and you’ll get Patriot Payroll. Patriot offers basic and full-service payroll options at one of the lowest pricing points you’ll find. This cloud-based software is intuitive, easy to use, and comes with all the features you expect from good payroll software.

But where Patriot really stands out is for its tax support. With its full-service package, you won’t have to worry about payroll taxes, as Patriot will file and deposit federal, state, and local taxes for you. Year-end filings are also included at no additional charge. You can also e-file your 1099s through the software. Best of all, Patriot includes a tax filing accuracy guarantee for your protection.

Patriot Payroll Pricing

Patriot Payroll has two pricing plans. The Basic plan is priced at $17/month + $4/employee per month. If you want full tax support, you can spring for the Full Service plan, priced at $37/month + $4/employee per month. Patriot Payroll integrates with other Patriot services, including time tracking, HR management, and accounting for an additional fee.

Key Patriot Payroll Features

Patriot Payroll has everything you need to run payroll easily. The Basic plan includes the following features:

• Unlimited payroll runs
• Free two-day direct deposit
• Employee portal
• Workers’ comp integration
• Contractor payments
• Net to Gross Payroll tool
• Mobile-friendly software
• QuickBooks and QuickBooks Online integrations
• Time-off accruals

Is Patriot Payroll Right For My Business?

Patriot Payroll is best suited for small to medium-sized businesses with less than 100 employees. Simplicity, essential payroll features, and unmatched payroll tax support are what you can expect from this software — all at a very affordable price. Larger businesses or businesses looking for advanced HR management features may want to look elsewhere, as there are payroll options on the market that better fit these needs than what Patriot offers.

Wave is best known for its forever-free accounting software, but it’s also making waves with Wave Payroll. This simple, easy-to-use payroll software covers the payroll basics that smaller businesses may be looking for, all at an affordable price. For existing Wave Accounting users, integrating with Wave Payroll is seamless.

On the flip side, though, Wave Payroll lacks many features that you’ll find with its competitors, such as time-tracking and off-cycle pay runs. Additionally, full-service tax support isn’t available for 36 states. HR support is also pretty much nonexistent. However, businesses that don’t need advanced features and want basic, affordable payroll software may be satisfied with what Wave Payroll has to offer.

Wave Payroll Pricing

Wave Payroll offers two pricing plans that cost $20-$35/month plus $6/month per active employee or contractor paid. The more expensive plan provides full-service tax support and is only available in 14 states. A 30-day free trial is available to test out the software.

Key Wave Payroll Features

Wave lacks many payroll features you’ll find in other software options on this list. But it does offer the basics, including:

• Direct deposits
• Self-service pay stubs and tax forms
• W-2 and 1099 tax forms
• Full-service payroll available in 14 states
• Basic reports
• Paid time off
• Basic employee management

Is Wave Payroll Right For My Business?

Wave Payroll is perfectly suited for small businesses that want basic payroll software that isn’t overly complicated. It’s especially suited for businesses that are already using Wave Accounting and don’t have complex payroll needs. Wave is also very easy to set up and use, and it is affordably priced. However, Wave Payroll doesn’t have advanced features (such as HR support), and it even lacks some basic features you’d expect from payroll software, so keep this in mind and take it on a test run before making a commitment.

Rippling is more than just payroll software — it bills itself as an employee management platform. While Rippling does allow you to run global payroll, it also boasts HR and IT management resources that let you sync your data across all systems and automate time-consuming administrative tasks.

Rippling simplifies payroll, making it possible to pay your employees in just minutes. It also boasts great tax support, including automatic compliance and filings, and syncs with your HR data for easy, automated payroll. As you would expect, though, these features come at a cost. The price — and the sheer abundance of available features — may prove to be too much for smaller businesses with more basic payroll needs.

Rippling Pricing

Rippling does not disclose pricing online but instead requests you submit a request for a free quote based on the services you need. Its website does note that pricing starts at $8/month per user, although it is unclear what you’ll receive for this price.

Key Rippling Features

Rippling’s customizable plans may include a number of HR and IT features. In this post, however, we’ll focus on its payroll features, which include:

• Global payroll
• Automatic tax filings
• Automatic tax compliance
• W-2, W-4, 1099, and new-hire filing
• Employee time tracking
• PTO tracking
• Job costing
• Over 400 integrations
• Customizable reports

Is Rippling Right For My Business?

Rippling should be a contender for businesses seeking an all-in-one HR, payroll, and IT solution. Its customizable plans are suitable for larger businesses. Rippling can help simplify complex admin tasks and makes it easy to run payroll by synching with HR data. For smaller businesses (or those looking for low-cost software), Rippling is likely overkill. User reviews also indicate that there is a steep learning curve, and setup can be a bit complicated, so beginners may want to search for an easier, straightforward payroll software option.

Homebase is free employee scheduling software. Signing up is quick and easy, and you can begin tracking time and scheduling employees at no cost. The software can also run payroll, although you will need to upgrade from the free plan to take advantage of this feature.

Homebase is ideal for businesses with hourly employees. The software is easy to navigate, allowing even beginners to set up their first payroll run in just minutes. Homebase Payroll is full-service, so you don’t have to worry about manual tax filings. Add in good customer service, a competitive monthly cost, and other essential features, and it’s easy to see why this software made this “best of” list.

Homebase Pricing

Homebase’s scheduling and time-tracking software is free for one user in one location. You can upgrade to a paid plan if you have multiple locations or users. The payroll add-on is available for any plan for $35/month + $5/month per active employee.

Key Homebase Features

Homebase has everything you need to track hours, schedule employees, and pay your workers on time. Standout features of Homebase include:

• Unlimited payroll runs
• 1099s, W2s, and amendments included
• Two-day direct deposits
• HR tools
• Employee scheduling, time clocks, and timesheets
• Built-in messaging
• Automated tax filings and payments
• QuickBooks Online integration
• Mobile app

Is Homebase Right For My Business?

Small businesses with hourly employees will enjoy all that Homebase has to offer. The free scheduling and time-tracking tools are a nice bonus for users looking for simple payroll software. Homebase has a handful of HR tools, solid customer service, and a clean, easy-to-use interface that makes it easy to get started. Pricing is competitive, so it’s a great choice for budget-minded business owners. Homebase may not be the best choice for businesses that primarily employ salaried workers or have more complex payroll needs.