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Our payroll software picks for 2025

By: RAECHEL CONOVER | Fact Checked By: JAMIE OSTROE | Updated: December 2, 2024

Whether you have a large company, a growing company looking to scale, or a small business, there is payroll software for you. Companies everywhere are moving to payroll software to help automate payroll, ensure accuracy in paychecks, and comply with tax regulations. To help you decide what payroll software is best for your company, we’ve put together a list of the best payroll software services available to get you started.


Our Top Picks

  1. Paycor – Best Payroll Software for Rapid Growth
  2. Deel – Best for Global Payroll
  3. Gusto – Best Payroll Software for Paying Independent Contractors
  4. Patriot – Best Payroll Software for Newbies
  5. Remote – Best for Paying International Employees
  6. OnPay – Best Payroll Software for Small Businesses
  7. Justworks – Best for Outsourcing Payroll
  8. ADP – Best Payroll Software for Large Businesses
  9. Paychex – Best All-In-One Solution for Small Business
  10. Namely – Best Payroll Software for Mid-Size Businesses
  11. QuickBooks Payroll – Best for Current QuickBooks Users
  12. SurePayroll – Best for Simplified Payroll
  13. Rippling – Best for Integrating Payroll & HR Needs
  14. Insperity – Best for Full-Service HR Needs

Need help choosing? Get Matched Now.

Payroll Software Reviews

We identified 85 popular payroll software vendors and narrowed it down to our top picks based on features offered, pricing transparency, customer support, and brand reputation. The companies we review are well-known in the industry and specialize in serving businesses from all different industries of all sizes. Check out our methodology section for details on how we made our choices.

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paycor logo

Paycor – Best Payroll Software for Rapid Growth

Paycor provides various payroll features, including unlimited payroll runs, tax compliance, automation, a mobile app, and AutoRun – where you can set up payroll to run at a scheduled time. It also provides many HR tools like document management and HR add-ons such as benefits administration, ATS, talent and workforce management, employee experience management, and expense tracking.

Because there are so many optional add-ons, Paycor pricing is done individually. Pricing depends on your company’s size and the payroll and HR products you need in your custom plan. Each plan is designed to help you grow and scale successfully.

While user reviews indicate that Paycor has hit or miss customer service, users all agree that the interface is easy to get started on and use.

Pros
  • Many HR features available as you grow
  • AutoRun payroll
  • Custom plans with many add-ons
Cons
  • Demo required for pricing

Start Free Trial Visit Paycor’s website.

Paycor features

  • Direct deposit
  • Payroll tax filing
  • Employee self-service
  • Time tracking
  • HR add-ons

What markets does Paycor serve?

While Paycor is designed for any size business, it works best for small to mid-size companies that are expecting to grow and scale quickly. With numerous HR add-ons available, Paycor can support rapid growth.

Read our full Paycor review

deel logo

Deel – Best for Global Payroll

Deel’s primary goal is to make a worldwide workforce a reality for companies. They do this by focusing on payroll and compliance. Deel makes it easy for companies to hire in 150 countries and run payroll in 90+ currencies. The company also works to keep you compliant with local laws and taxes.

Deel reviews indicate that users find Deel to be a real deal when paying global workers. Between automated invoices, one-click payment, and contract management, the payroll software makes it much easier to set up a global team.

Pros
  • Offers payroll in 150 countries
  • Payroll available in 90+ currencies
  • Helps you stay compliant with local laws
Cons
  • No phone support offered

Get Started Visit Deel’s website.

Deel features

  • Direct deposit – Deel offers direct deposit but doesn’t provide many details.
  • Payroll tax filing – Deel takes care of relevant declarations to the government, deductions, and tax filing.
  • Employee self-service – Contractors and hires can set up their own profiles and access their account information.
  • Integrations – Integrations include accounting, HR, hiring, and onboarding software. Deel also has an API so you can build out your own integrations.
  • Unlimited payroll – Phrased as off-cycle pay.

What markets does Deel serve?

Deel serves companies hiring contractors and workers worldwide. It allows companies to hire in 150 countries, offers over 90 currencies, including Deel crypto payroll, and makes it easy for companies to have a global employee base.

Read our full Deel review

Gusto logo

Gusto – Best for Paying Independent Contractors

Gusto is one of the overall best payroll software services that we reviewed. It offers three plan levels: Simple, Plus, and Premium, which all carry a monthly fee and a set monthly rate per employee, but the thing that makes it truly stand out is that the service waives the monthly fee if you are a company only paying independent contractors.

Beyond the waived fee, it operates the same for independent contractors as for company employees. You can automate their pay rate and information, pay appropriate taxes, and generate tax forms. Employees and contract workers are emailed when their tax forms are available to print.

Users love the automation available, however, there are some reports of lag times.

Pros
  • Cheaper if only paying independent contractors
  • Many ways to automate
  • Time tracking app built in
  • Full-service single-state payroll
Cons
  • Some gripes about customer service
  • Occasional lag times

Get Started Visit Gusto’s website.

Gusto features

  • Direct deposit – 2-day and 4-day direct deposit on the Simple plan, while higher plan levels get next-day direct deposit.
  • Payroll tax filing – Single state tax pay and filing on the federal, local, and state level with the Simple plan, multiple state tax pay, and filing on the higher plans.
  • Employee self-service – Employee onboarding and self-service. Even alerts independent contractors when their tax records are available to print.
  • Integrations – Integrates with popular accounting software and has a built-in time tracking app.
  • Unlimited payroll – Pay employees at variable pay rates and schedules with no hidden fees.

What markets does Gusto serve?

Gusto serves all business segments and is an excellent choice for companies that only pay independent contractors. The plan is much cheaper than other services that count independent contractors as employees and charge a monthly fee.

Read our full Gusto review

patriot logo

Patriot – Best Payroll Software for Newbies

If you are new to payroll software, Patriot is a great entry program. The biggest standout with Patriot is the ease of setup and customer service. It scored as one of the highest in brand reputation on our list with good reason – the customer service. Some users can’t find any drawback to using Patriot and simply rave about how professional, helpful, and easy to work with Patriot’s customer service team is.

Patriot is one of the cheapest payroll software services on our list, starting at just $17 a month and $4 per employee per month. It offers a 30-day trial period and free onboarding. Payroll can be run in two minutes, and users agree, saying it takes about ten clicks to run payroll.

The only drawback to Patriot is while it does offer e-filing of 1099 on the Basic plan, it does not become a full-service tax filing service until you upgrade to the Full Service plan at $37/month.

Pros
  • One of the cheapest options
  • Easy setup
  • Free onboarding
  • Excellent customer service
Cons
  • Must upgrade for full tax service

2 months free with promo code SS46 Visit Patriot’s website.

Patriot features

  • Direct deposit – 2-day direct deposit on the Basic plan.
  • Payroll tax filing – e-filing of 1099 and printable W-2 forms for employees in their portal on the Basic plan. Full-service filing on the Full Service plan.
  • Employee self-service – Employee portal gives employees full access to their pay stubs, pay history, time off balance, and electronic W-2s.
  • Integrations – Integrates with QuickBooks and Patriot’s own accounting and HR software.
  • Unlimited payroll – Unlimited payrolls, locations, and frequencies at no added cost.

What markets does Patriot serve?

Patriot is perfect for those new to payroll software. It’s intuitive, offers setup, provides top-notch customer service, and is affordable for non-profits and small businesses.

Read our full Patriot review

remote logo

Remote – Best for Paying International Employees

Remote is an HR and payroll solution for businesses with employees spread across the globe. Its global payroll services can manage payments for local and international employees and contractors in over 30 countries under one easy-to-use platform. For $29 per contractor per month, you can manage and pay international contractors in their local currency, and you’ll only pay for contractors you work with each month.

Suppose you don’t own an entity in a country, in that case, Remote can serve as the employer of record (EOR) to manage payroll, taxes, benefits, and compliance on your behalf, so you can focus on growing your distributed team quickly. Remote’s EOR services start at $599 per employee per month when paid annually.

Pros
  • Streamlined self-onboarding
  • Available in 30+ countries
  • No surprises, flat pricing structure
  • Easy access to payroll and benefits
  • Highly rated customer support
Cons
  • Bi-weekly payments not yet available in all countries
  • Limited customization

Schedule Demo Visit Remote’s website.

Remote features

  • Direct deposit – Remote offers several payment options, including ACH direct debit, SEPA direct debit, or any major credit or debit card. Contractors can also choose direct deposit as their preferred withdrawal method for receiving invoice payments.
  • Payroll tax filing – Managing payroll across multiple countries can be challenging due to varying government regulations. Remote helps businesses comply with local and international labor, payroll, and tax laws wherever you and your employees are.
  • Employee self-service – Employees can access their information and paystubs, submit expense reimbursement requests, and track PTO within Remote’s self-service portal. .
  • Integrations – Remote integrates with popular applicant tracking systems, HRIS, and other platforms like BambooHR, Greenhouse, and Checkr to help you create more efficient processes for your distributed team.
  • Unlimited payroll – ou can schedule contractor invoices as a one-off invoice for a specific date, a monthly invoice with no end date, or a monthly invoice that ends after a certain number of occurrences. Bi-weekly invoicing is only available in select countries. Once you review and approve invoices, Remote will issue a payment request to you. Once you make your payment, Remote pays out to your contractors, allowing you to make one payment instead of sending multiple payments to several contractors. Automatic payments that do not require approval can also be set up, depending on your needs.

What markets does Remote serve?

While Remote can pay employees and contractors within a single country, it’s best suited for organizations managing complex, international teams. Its offerings for a distributed, global workforce are among the most comprehensive available.

Read our full Remote review

onpay logo

OnPay – Best Payroll Software for Small Businesses

If you’re a small business looking for the best payroll software, OnPay should be on your radar. The best payroll software for small businesses garners rave reviews – some of the highest ratings we saw, from customers that have successfully switched from other programs to OnPay with much success. One user sums it up by saying it’s a great program with an intuitive app and an excellent customer service team backing it up.

For a flat $40 monthly fee and $6 per employee per month, OnPay is a full-service payroll program that offers you a 30-day free trial, free account migration, and above and beyond customer service – they even have emergency customer service available via email on the weekends.

Pros
  • One flat fee – no hidden costs
  • Free migration
  • Emergency weekend customer service
  • Full-service tax and payroll service
Cons
  • No mobile app, just a mobile website

Get Started Visit OnPay’s website.

OnPay features

  • Direct deposit – Direct deposit is available to pay employees, although it doesn’t say the time frame on this.
  • Payroll tax filing – Files forms 940 and 941 and generates year-end forms for W-2 and 1099 to print yourself. For a small fee, these can be mailed to your employees at the end of the year.
  • Employee self-service – Employee portal lets employees onboard themselves – saving you time and giving them full access to their pay stubs and tax documents.
  • Integrations – Integrates with QuickBooks, time tracking, and HR software.
  • Unlimited payroll – One cost for unlimited payroll runs and multiple payroll schedules.

What markets does OnPay serve?

OnPay is our choice for the best payroll software for small businesses because it is one flat fee with no hidden costs making it truly affordable for smaller companies while providing them with full-service payroll and tax services. The service frees up time spent on payroll, allowing smaller companies to allocate their HR team members for other tasks.

Read our full OnPay review

Justworks logo

Justworks – Best for Outsourcing Payroll

Justworks offers a streamlined payroll and HR solution tailored for small businesses. By taking over complex tasks like payroll, benefits, and compliance, Justworks allows business owners to focus on running their operations.

Justworks offers payroll in two ways: as its own plan and as a feature within its Employee of Record (EOR) plan. The latter is outsourced payroll. The basic payroll plan is billed per employee per month. It includes a user-friendly interface, 24/7 customer support, payroll for all employees (even contractors), off-cycle payments, multiple pay rates, tax filings, reporting, timecards, PTO management, and benefits deductions.

In the second option, Justworks distinguishes itself from other payroll services by functioning as a Professional Employer Organization (PEO). This unique approach means that Justworks takes over the responsibility of processing payroll, thereby reducing the burden on businesses. By acting as the EOR, Justworks assumes significant legal liabilities and manages both payroll and HR tasks, making it an ideal solution for small businesses that are expanding and need a comprehensive HR, payroll, and benefits system.

The platform includes features such as tax filings, direct deposits, synchronized timesheets, and essential HR functionalities like document management, hiring and onboarding, time management, and reporting. Additionally, Justworks enables businesses to offer their employees affordable benefits packages.

Pros
  • Outsourced payroll available
  • Add-on HR tools are available
  • Reduced liability
Cons
  • Time tracking is not included
  • Outsourced payroll can be pricey

Get Started Visit Justworks’s website.

Justworks features

  • Direct deposit – Available across multiple types of accounts.
  • Payroll tax filing – Timely and accurate filings for employees and contractors.
  • Employee self-service – Mobile-friendly interface for employees.
  • Integrations – Integrates with popular systems like Quickbooks Online.
  • Unlimited payroll – Schedule payroll for bonuses and commissions.

What markets does Justworks serve?

Justworks is a simplified program best suited for a range of businesses. The service will benefit small businesses looking to grow, those with high turnover rates, or those without in-house payroll staff. Since you can run payroll on your own or within the PEO, it allows you to use payroll in the way that best suits you and your business, saving you time and money.

Read our full Justworks review

adp logo

ADP – Best Payroll Software for Large Businesses

Conversely, if you’re a large company looking for payroll software, ADP is the best payroll software for large businesses. ADP is an easily recognized brand in the HR world, with good reason. It has years of experience and a large enough plethora of offerings that it truly has the best options for full-service payroll for large companies or companies looking to grow and scale.

Users find the program easy to use, saying that the software is very organized once you learn it – but be prepared, there is a learning curve. As a more extensive program, there are many things, and learning to navigate them all can get tricky, but once you’ve got it, it’s easy.

We were disappointed to find no pricing information on ADP’s website. You must call and request a quote. There is an ADP program called Roll by ADP that is transparent on price, but when you are a larger company, you must contact to get pricing.

Pros
  • Many programs available to grow and scale
  • Tax filing in 140 countries
  • 24/7 customer service access
Cons
  • Big learning curve

Start Free Trial Visit ADP’s website.

ADP features

  • Direct deposit – Direct deposit is available to pay all employees – even those working outside of the U.S.
  • Payroll tax filing – Expert tax filing and payment services in 140 countries, plus W-2 and 1099 forms are issued.
  • Employee self-service – Including a mobile app or desktop site that employees can use to access all their employee payroll information.
  • Integrations – ADP has its own suite of apps in the ADP Marketplace that has everything an HR team would need. In addition, it integrates with accounting, time tracking, ERPs, onboarding, benefits, and more HR software.
  • Unlimited payroll – ADP can handle different pay rates within the same period but may charge fees for each payroll run.

What markets does ADP serve?

There are many payroll options through ADP that are suitable for large businesses, including but not limited to compliance, payroll, and HRIS. For businesses that need scalability, ADP offers the perfect payroll software that can grow and scale right alongside you. It also provides recruiting, onboarding, HR support, and tools to help big businesses accomplish their goals. ADP operates on a global scale – making it perfect for large companies with many locations.

Read our full ADP review

paychex logo

Paychex – Best All-In-One Solution for Small Business

Paychex is a comprehensive software system that streamlines payroll, HR, and PEO services and additional functionalities to meet business needs and growth goals. Designed to accommodate companies of varying sizes, from independent entrepreneurs to large enterprises, Paychex offers flexible plans and customizable pricing structures to align with your specific requirements.

Its features include payroll processing, tax management, employee self-service, hiring, onboarding, and PEO services. You can tailor your package with additional features such as benefits administration and time tracking.

Pros
  • Accessible customer service
  • Feature-rich
  • Simplified UI
Cons
  • Lacking a free trial or demo
  • Basic plan does not include HR

Get Started Visit Paychex’s website.

Paychex features

  • Direct deposit
  • Payroll tax filing
  • Self-service portal for employees
  • Integrations
  • Unlimited payroll

What markets does Paychex serve?

Paychex is a good fit for businesses of all sizes, but we especially like it for companies that value robust reporting. Reporting is customizable and provides ample information to allow you to make data-driven business decisions that meet your goals.

Read our full Paychex review

namely logo

Namely – Best Payroll Software for Mid-Size Businesses

Many HR programs need to work simultaneously together to achieve employee trust and save you time and money. For this reason, we like Namely – it’s the best HR and payroll software combo we found and will appeal to mid-size businesses.

When it comes to payroll, users love how easy to use Namely is. Managers and employees can log on and access their pay and tax information, while on the management end, it’s very easy and convenient to automate payroll. Users say payroll takes about 15 to 20 minutes. Not bad for mid-size company payroll. And of course, it integrates with a whole suite of HR programs being an HR and payroll combo program.

The one drawback we found is that price is not transparent. You must call to get a quote.

Pros
  • Automation is easy
  • Integrates seamlessly with other HR programs
  • Robust help library
Cons
  • Customer support was hard to locate

Compare Payroll Options Visit Expert Market’s website.

Namely features

  • Direct deposit – Direct deposit is available to pay all employees.
  • Payroll tax filing – Tax calculations, updates, and filing available.
  • Employee self-service – Robust employee portal allowing them to input their own information and access their pay stubs.
  • Integrations – Integrates with HR, benefits, and time-tracking software.
  • Unlimited payroll – Run unlimited on and off-cycle payroll.

What markets does Namely serve?

Namely is designed with mid-size businesses in mind. It offers two payroll levels – one where you do some work yourself or a managed payroll program where everything is done for you. The idea behind this and the dual HR combo is to offer what mid-size businesses need – HR and payroll support, so you don’t have to pay a whole department, but it’s still comprehensive enough to support your business.

quickbooks logo

QuickBooks Payroll – Best for Current QuickBooks Users

QuickBooks Payroll provides everything small businesses need to streamline and run payroll automatically with direct deposit. It integrates seamlessly with other QuickBooks software and offers opportunities for extra perks like competitive employee benefits, HR assistance, and workers comp. If you aren’t already a QuickBooks user, there is the option to bundle payroll and accounting software into one plan.

Pros
  • Discount for new QuickBooks users
  • Set up assistance provided
  • Easy integration with other QuickBooks software
  • Time tracking available
Cons
  • Big learning curve if new to QuickBooks
  • Customer support is limited in lower plan
  • Pricey for small businesses

Get Started Visit Quickbooks’ website.

QuickBooks Payroll features

  • Direct deposit – both next day and same day direct deposit available
  • Payroll tax filing – federal and state payroll tax filing
  • Employee self-service – employee self-service on address changes, marital status, and withholding changes
  • Integrations – easy integration with all QuickBooks programs

What markets does QuickBooks Payroll serve?

QuickBooks Payroll is ideal for companies that already use QuickBooks for accounting – the programs with intuitively set up and work together with little to no issues. If you are new to accounting software or QuickBooks, the setup might be a little more complex, but once up and running, it’s an easy-to-use program.

Read our full QuickBooks Payroll review

surepayroll logo

SurePayroll – Best for Simplified Payroll

SurePayroll is a safe bet for companies looking for a payroll program that offers longevity at an affordable rate. SurePayroll is owned by Paychex and has been in business for over 20 years. It provides various features like direct deposit, unlimited payroll runs, a mobile app, various HR features, and HR add-ons.

At the higher price point, you get a tax filing service too that is guaranteed – meaning if they make a mistake on your filing, they pay the extra costs it incurs. It also integrates with a good range of accounting software that small businesses might already use. Finally, it offers a plan for households that hire staff, such as nannies.

Pros
  • Includes an HR advisor and HR add-ons
  • Direct deposit is free
  • Mobile app that allows you to run payroll
Cons
  • Knowledge base is limited
  • Some customer service complaints

Get Started Visit SurePayroll’s website.

SurePayroll features

  • Direct deposit – 2-day free direct deposit.
  • Payroll tax filing – this is offered for an additional cost.
  • Employee self-service – mobile app and online pay stubs are available.
  • Integrations – Integrates with standard and lesser-known accounting software.
  • Unlimited payroll – available for multiple pay rates and bonuses.

What markets does SurePayroll serve?

SurePayroll is an excellent option for many small businesses, even those with ten or fewer employees. With the low price point and the many integrations specifically with accounting programs designed for small businesses, it fits in seamlessly and helps small businesses get the services they need without the added costs.

Read our full SurePayroll review

rippling logo

Rippling – Best for Integrating Payroll & HR Needs

Rippling stands out because of its ability to seamlessly combine payroll with HR and IT functions, which is a powerful tool for businesses that want to automate employee payments while managing benefits, time tracking, and device management. It automatically handles payroll compliance across all 50 U.S. states and integrates with over 500 apps.

Pros
  • Automatic tax filing and compliance
  • Highly customizable with app integrations
Cons
  • Custom pricing based on business needs
  • Features may require advanced setup

Get Started Visit Rippling’s website.

Rippling features

  • Direct deposit and payroll tax filing
  • Time tracking and PTO management
  • Employee self-service for pay stubs and tax documents
  • IT integration for device management

What markets does Rippling serve?

Rippling is designed for businesses of all sizes, but it excels within companies that want to integrate payroll with HR and IT management. Its ability to automate workflows with multiple functions in one platform makes it ideal for fast-growing businesses looking to scale without sacrificing efficiency.

Read our full Rippling review

insperity logo

Insperity – Best for Full-Service HR Needs

Insperity provides payroll software for small to mid-sized businesses seeking a comprehensive HR and payroll solution. It simplifies employee payments and ensures accuracy with its features, such as automated payroll runs, direct deposit, tax filing, and compliance support.

Pros
  • Full-service payroll with HR add-ons
  • Highly customizable with app integrations
  • Dedicated HR support available
Cons
  • Pricing available only by consultation
  • Limited customization for smaller companies

Get Started Visit Insperity’s website.

Insperity features

  • Direct deposit and automated payroll
  • Payroll tax filing and compliance
  • Employee self-service portal
  • Time tracking and attendance

What markets does Insperity serve?

Insperity is designed for businesses looking for payroll software that integrates seamlessly with HR services. It’s especially beneficial for companies that require expert payroll compliance and HR guidance.

Read our full Insperity review

Krystal Speed, HR Expert

Insights from an HR Expert

“I can’t imagine doing payroll without software. With all of the steps needed to ensure payroll is managed correctly, timely, and in compliance with different laws and regulations, it just makes sense to invest in a system that streamlines and supports this vital business function,”

Krystal Speed, CEO, Your HR Strategist

Compare the best payroll software side-by-side

Software name Why we picked It Starting price for cheapest plan Highlights
Paycor Best Payroll Software for Rapid Growth Request a quote Unlimited payroll runs and tons of HR add-ons available as you grow.
Deel Best for Global Payroll $49 per month per contractor Supports hiring in 150 countries
Gusto Best Payroll Software for Paying Independent Contractors No monthly fee, just $6 per independent contractor per month. No monthly fee for companies only paying independent contractors.
Patriot Best Payroll Software for Newbies $17 per month and $4 per person per month. Extremely affordable for non-profits and startups, easy to set up, and offers incredible customer service.
Remote Best for Paying International Employees $29 per contractor per month. Great for managing complex, international teams.
OnPay Best Payroll Software for Small Businesses $40 per month and $6 per person per month No extra fees – runs multiple payrolls for a variety of employees and files payroll taxes in multiple states without additional fees.
Justworks Best for Outsourcing Payroll $59/employee/month Offers EOR and PEO services
ADP Best Payroll Software for Large Businesses Request a quote Many different plan levels for all size businesses that progressively offer more depending on your company size and needs.
Paychex Best All-In-One Solution for Small Business Starting at $39 per month + $5 per person Offers PEO, payroll, and HR services
Namely Best Payroll Software for Mid-Size Businesses Request a quote Most payroll software offers HR as an add-on, with Namely, it is an HR software too, so you get full HR management functions on top of payroll software.
QuickBooks Payroll Best for QuickBooks Users $22.50 / month + $5 per employee/month Seamlessly integrates with all QuickBooks software.
SurePayroll Best for Simplified Payroll $19.99 per month + $4 per employee per month Designed for small businesses + free direct deposits.
Rippling Best for Integrating Payroll & HR Needs Free Automatically handles payroll compliance across all 50 U.S. states and integrates with over 500 apps
Insperity Best for Full-Service HR Needs Custom pricing only Simplifies employee payments

What is payroll software

Managing payroll is a tremendous job requiring extreme accuracy and compliance. Payroll software helps streamline the process and helps ensure that your employees and contractors get paid accurately and on time and that your company is compliant for tax filing purposes.

According to the American Payroll Association, getting paid on time and accurately is a huge selling point for your employees and will help you retain the best talent. While the IRS finds that using payroll software is a sound business decision because it ensures that your business meets filing deadlines and deposit requirements.

Who uses payroll software?

  • HR Managers
  • Accountants
  • Payroll Managers

What does payroll software do?

  • Pay employees on time and create trust with employees and company leaders.
  • Manage payroll and taxes while maintaining essential record keeping.
  • Save time, ensure accurate pay, and meet tax compliance.

Benefits of using payroll software

Choosing the best payroll software will provide streamlined payroll that is accurate for your employees, compliant for tax purposes, and will save you time for other projects. Depending on your company size, the type of employees you have, and what your specific needs are will help you determine what payroll software will work best for your business. Payroll software providers also keep track of any laws that change, like when the SSA changes the wage cap for taxable income.

All payroll software on our list offers several payment methods, including direct deposit, employee self-service portals, and unlimited monthly payroll runs. Beyond that, they all offer some level of payroll tax filing and integrate with various accounting and HR software, but knowing what each offers is the key to narrowing down your selection process.

How much does payroll software cost?

Payroll software pricing carries a monthly fee, followed by a per-employee fee per month. The exception is Gusto which waives the monthly fee, only charging $6 per person, but this plan is for companies paying only independent contractors. If regular employees are included, it is a $40 monthly fee and $6 per employee per month. Patriot offers a modest monthly fee at $17 per month and $4 per employee per month. The highest on our list is an $80 a month fee and $12 per employee per month on Gusto’s Premium plan. Others cost around $40 per month and $6 per employee. In a recent survey we conducted of HR professionals using a payroll software, reported prices ranged from around $400 a month for roughly 30 employees to over $12k a month for over 500 employees.

ADP and Namely were the least transparent in this area and required you to request a quote. ADP does offer a service called Roll by ADP that starts at $29 a month and $5 per employee per month; however, it is only for companies up to 49 employees and did not make our list of top picks. Instead, we focused on the ADP plans for larger companies. Check out this chart to see how some of our picks compare in price:

Software Name Monthly Fee Monthly Cost Per Employee Free Trial
Gusto $0 $6 (independent contractors only) None
Patriot $17 $4 30-day
OnPay $40 $6 30-day

Who should use payroll software, and what are the different types?

Payroll software is growing in popularity because, for most businesses, it’s just a smart move. They keep your payroll accurate and keep you paying the correct taxes while keeping employees happy with accurate paychecks and your staff happy by saving them a ton of time.

There are many good payroll services on the market, but some might fit your company better depending on the size of your company and what type of employees you’re paying.

The following are types of businesses that would benefit from payroll software:

  • Small businesses: Small businesses need payroll software too. Often the budget is smaller, so a program like OnPay with one flat monthly fee and one fee per employee is ideal. The program is robust and provides a full payroll service that small companies might not have the staffing to support in-house. Other companies have sneaky fees that can add up for small businesses.
  • Mid-size businesses: While mid-size businesses might have a bigger budget than small businesses, they have bigger needs. A company like Namely that offers two payroll software options – one you do some of the legwork yourself, and the other is fully managed in combination with HR support is ideal in these situations so that the HR team can pick and choose what support they need while freeing up some of their time for other HR areas of need.
  • Large businesses: Large and enterprise companies need full-service payroll software that integrates well with others and offers additional things like recruiting, onboarding, and HR support. The ability of a company like ADP to scale and grow with a large company while serving global markets is ideal for large businesses.
  • Businesses that only pay independent contractors: These days, there are more independent contractors than ever, and some companies need payroll software to just pay independent contractors. If this is your company, Gusto is ideal for you as they waive the monthly fee and just charge you one fee per employee a month, saving you monthly while still offering the same service that full-time employee payroll would require.
  • Businesses new to payroll software: Finally, more and more companies realize they need payroll software. A service that handles the complete setup for you, is easy to learn, and offers lots of customer support is best in this scenario. Patriot does all of this and is best for new payroll managers to navigate. Plus, it’s cheaper than other options.

Payroll Software FAQ

What is the best software for payroll?

There are many good payroll software vendors on the market today, and the best one is the one that meets your company’s unique needs. For example, if you only pay independent contractors, Gusto has a good payment and plan option, while ADP offers plans that scale best to large businesses.

Keep in mind, though, that there might not be one perfect solution. “There is no perfect solution. All software has pros and cons,” says an experienced HR Director in response to a recent survey we ran. The key is to find the best fit but to expect some initial workarounds. “No single solution will solve all of your problems, and it often requires a workaround,” she says.

What software is used for payroll?

Cloud-based software is most commonly used for payroll software. This software allows you to access your payroll anywhere you have internet access. It also allows you to integrate your payroll information with other programs you use, such as popular accounting and HR software.

What is the cheapest payroll software to use?

Payroll software runs the gamut of prices, but the cheapest payroll software we reviewed is Patriot. It costs just $17 per month and $4 per employee. For that price, you get well-rounded software that is easy to set up and use.

How we chose the best payroll software

We curated a list of 85 payroll software services on the market and identified 15 popular vendors with significant online search volume to narrow our focus. From there, we chose five vendors that stood out for features offered, brand reputation, pricing transparency, and customer service.

We collect information from vendors and verify it through:

  • Customer and expert reviews
  • Vendor and parent company websites

We scored companies on a scale of 1 (poor) to 5 (excellent) across the following criteria, each worth 25% of our total score:

  • Variety of features: We looked for services that offered direct deposit pay, employee self-service, unlimited payrolls, and integration with programs like accounting and HR software. A company scores higher when it offers all these features because it means payroll is easier to manage and maintain accuracy and compliance.
  • Pricing transparency: We not only compare actual pricing for each payroll software service but also assess how readily available this information is. Companies that are straightforward and list their monthly and user fee, as well as offer a free trial period, scored higher in this section than companies that require you to request a price quote.
  • Customer support: We looked for companies that offered multiple ways to access customer support, including a resource library, live chats, email, and a dedicated customer service line. Services that included all these features scored highest in this section.
  • Brand reputation: We studied what customers said about each company. Reviews and ratings from trustworthy third-party review sites were compiled into a percentage rating to get a sense of each vendor’s brand reputation.

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