Top 10 Payroll Services for Small Business
By Jordan Patel | Published: 2025-03-21 | Category: Payroll Company Small Business
About Payroll Company Small Business
Small business payroll companies automate employee payment processing, tax calculation, filing, and compliance. These services streamline payroll tasks, reducing errors and saving time for business owners.
How We Evaluated
Providers were evaluated based on core payroll features, ease of use, pricing transparency, HR integrations, customer support quality, and scalability for growing businesses. Ratings reflect suitability for typical small business needs.
Rating Criteria
- → Core Payroll Features
- → Ease of Use
- → Pricing & Value
- → HR & Benefits Integration
- → Customer Support
- → Scalability
The Best Payroll Company Small Business
#10
Justworks
Visit Website →Professional Employer Organization (PEO) offering payroll, benefits, HR, and compliance support under a co-employment model.
Target Audience
Small to Medium Businesses, Companies seeking comprehensive HR support and access to large-group benefits
Service Offerings
PEO Services
Co-employment model providing full-service payroll, tax filing, compliance support (workers' comp, EPLI).
- Handles employer responsibilities
Benefits Access
Access to large-group health insurance plans, 401(k), wellness perks.
- Often a key differentiator
HR Platform & Consulting
Online platform for HR tasks (onboarding, PTO), access to HR consultants.
- Included in service
Scorecard (Overall: 8.3 / 10.0)
Pricing Model
Per Employee Per Month (PEPM)
Tiered pricing (Basic and Plus) based on the number of employees. Generally higher cost due to PEO nature.
Pros
- + Access to potentially better and cheaper benefits
- + Comprehensive HR and compliance support
- + Simplified administration under co-employment
- + Modern platform and good support
Cons
- - More expensive than non-PEO payroll services
- - Co-employment model isn't suitable for all businesses
- - Requires commitment to a broader service bundle
Verdict
"Best for businesses wanting to offload HR administration and gain access to enterprise-level benefits, justifying the higher PEO cost."
#9
SurePayroll (by Paychex)
Visit Website →Online payroll service designed for simplicity, particularly for household employers and very small businesses, now owned by Paychex.
Target Audience
Very Small Businesses, Household Employers (Nannies, Caregivers), Self-Service Oriented Users
Service Offerings
Small Business Payroll
Online payroll processing, automated tax filing, direct deposit.
- Mobile app
- Multiple pay rates
Nanny Payroll
Specialized service for household employers, handling specific tax requirements.
- Schedule K-1 preparation
Add-ons
Workers' comp, health insurance, 401(k) options.
- Integrations available
Scorecard (Overall: 6.8 / 10.0)
Pricing Model
Subscription
Plans typically involve a base fee plus per-employee cost. Specific pricing often requires a quote.
Pros
- + Very easy to use for basic payroll
- + Strong offering for nanny/household payroll
- + Backed by Paychex infrastructure
- + Mobile payroll capabilities
Cons
- - Fewer features than Paychex Flex or ADP RUN
- - Pricing can be less transparent than some competitors
- - Limited HR functionality included
Verdict
"A good choice for very small businesses or household employers prioritizing simplicity and ease of use for core payroll tasks."
#8
Patriot Software
Visit Website →Affordable online payroll and accounting software focused on simplicity for small businesses.
Target Audience
Budget-conscious Small Businesses, Businesses needing basic payroll or payroll + accounting
Service Offerings
Basic Payroll
Run payroll, direct deposit, employee portal. You handle tax filings.
- Lowest cost option
Full Service Payroll
Includes automated tax filings (federal, state, local).
- Most popular option
Add-ons
Time tracking, HR software.
- Optional modules
Scorecard (Overall: 7.3 / 10.0)
Pricing Model
Subscription
Choice between Basic and Full Service tiers. Very low base fee plus per-employee cost. Add-ons extra.
Pros
- + Highly affordable pricing, especially for basic needs
- + Easy-to-use interface
- + Good customer support reputation
- + Option for integrated accounting software
Cons
- - Basic Payroll requires manual tax filings
- - HR and benefits features are limited or require add-ons
- - Not as feature-rich as premium competitors
Verdict
"Best for budget-focused small businesses needing simple, reliable payroll without extensive HR features."
#7
OnPay
Visit Website →Straightforward, all-in-one payroll and HR service with simple, transparent pricing.
Target Audience
Very Small Businesses, Specific industries like Restaurants, Farms, Non-profits
Service Offerings
Full-Service Payroll
Unlimited payroll runs, multi-state payroll, tax filings (all levels), W-2/1099 processing.
- Handles garnishments
- Direct deposit or checks
Basic HR Tools
Onboarding, offer letters, employee self-service, PTO tracking, compliance resources.
- Included in single plan
Benefits Integration
Health, dental, vision, 401(k), workers' comp.
- Integrated brokers or bring your own
Scorecard (Overall: 7.8 / 10.0)
Pricing Model
Subscription
Single comprehensive plan with a base fee plus a per-employee cost. No hidden fees.
Pros
- + Simple, transparent, all-inclusive pricing
- + Good feature set for the price
- + Strong handling of multi-state payroll and specific industry needs
- + Helpful customer support
Cons
- - Interface not as slick as some competitors
- - Limited advanced HR features
- - Fewer third-party integrations compared to larger platforms
Verdict
"Best value for very small businesses needing straightforward payroll and basic HR without complex tiers or hidden fees."
#6
Square Payroll
Visit Website →Simple payroll solution integrated with the Square point-of-sale (POS) and business management system.
Target Audience
Businesses using Square POS, Retailers, Restaurants, Contractor-heavy businesses
Service Offerings
Payroll Processing
Payroll for W-2 employees and 1099 contractors, automated tax filings, direct deposit.
- Syncs with Square POS timecards
- Employee app
Benefits
Access to health insurance and workers' comp through partners.
- Basic benefits integration
Contractor Payments
Option to pay only 1099 contractors.
- Competitive pricing for contractor-only plan
Scorecard (Overall: 7.3 / 10.0)
Pricing Model
Subscription
Simple pricing with a base fee plus per-person paid cost. Separate, lower-cost plan for contractor-only payments.
Pros
- + Seamless integration with Square POS
- + Very simple and easy to use interface
- + Transparent and affordable pricing
- + Good option for businesses paying mostly contractors
Cons
- - Limited HR features and integrations
- - Reporting options are basic
- - Less ideal for businesses not using other Square products
Verdict
"Excellent value and simplicity for businesses already using Square, especially those in retail or food service, or primarily paying contractors."
#5
QuickBooks Payroll
Visit Website →Payroll service integrated directly within the QuickBooks accounting ecosystem.
Target Audience
Existing QuickBooks users, Small businesses seeking integrated accounting and payroll
Service Offerings
Integrated Payroll
Payroll processing, automated tax calculation and filing, direct deposit.
- Seamless sync with QuickBooks accounting
- Employee portal
HR & Benefits
Basic HR support, workers' comp admin, health benefits integration (via partners).
- Varies by plan (Core, Premium, Elite)
Time Tracking
Integrated via QuickBooks Time (formerly TSheets).
- May require separate subscription or higher tier
Scorecard (Overall: 7.7 / 10.0)
Pricing Model
Subscription
Tiered plans with a base fee plus per-employee cost. Often bundled or discounted with QuickBooks accounting.
Pros
- + Excellent integration with QuickBooks accounting
- + Familiar interface for QuickBooks users
- + Automated tax features work well
- + Competitive pricing, especially when bundled
Cons
- - Best suited for those already using QuickBooks
- - HR features are less robust than dedicated HR platforms
- - Customer support quality can be inconsistent
Verdict
"The best choice for small businesses already heavily invested in the QuickBooks ecosystem."
#4
Paychex Flex
Visit Website →Comprehensive payroll and HR platform from another industry giant, scalable from small businesses to enterprises.
Target Audience
Small to Medium Businesses, Businesses needing scalable HR and payroll
Service Offerings
Payroll & Taxes
Online payroll, tax administration, direct deposit, reporting.
- Mobile access
- Multiple input methods
HR Solutions
Hiring, onboarding, performance management, benefits admin, compliance services.
- Modular approach based on plan
Time & Attendance
Integrated time tracking solutions.
- Web and hardware options
Scorecard (Overall: 8.0 / 10.0)
Pricing Model
Quote-Based
Tiered plans (Essentials, Select, Pro) requiring a custom quote based on needs.
Pros
- + Highly scalable platform
- + Extensive range of HR services available
- + Strong compliance features and support
- + Dedicated specialists often assigned
Cons
- - Pricing lacks transparency and can be expensive
- - Interface can be complex for simple needs
- - Add-on costs can accumulate
Verdict
"Ideal for growing businesses needing a scalable solution with extensive HR capabilities and strong support, similar to ADP."
#3
ADP RUN
Visit Website →Payroll and HR solution from a large, established provider, specifically tailored for small businesses.
Target Audience
Small Businesses (1-49 employees), Businesses seeking established brand and compliance expertise
Service Offerings
Payroll Processing
Automated payroll, tax filing, direct deposit, reporting.
- Multiple package options
- Mobile app available
HR Services
Hiring tools, background checks, compliance database, HR support.
- Varies by package level
Add-ons
Time tracking, benefits administration, workers' compensation.
- Integrates with ADP ecosystem
Scorecard (Overall: 8.0 / 10.0)
Pricing Model
Quote-Based
Customized pricing based on package, number of employees, and selected features. Often requires contacting sales.
Pros
- + Strong compliance support and expertise
- + Robust feature set, especially in higher tiers
- + Scalable within the ADP ecosystem
- + Dedicated support often available
Cons
- - Pricing is not transparent and can be high
- - Interface can feel dated or complex compared to newer platforms
- - Can feel like upselling for additional features
Verdict
"A solid choice for businesses prioritizing compliance and brand reputation, willing to pay for robust features and support."
#2
Rippling
Visit Website →Unified workforce platform combining Payroll, HR, IT, and Finance management.
Target Audience
Tech-savvy SMBs, Companies seeking integrated workforce management
Service Offerings
Global Payroll
Payroll processing across multiple countries, automated tax filing, compliance management.
- Real-time calculations
- Direct deposit
HR Cloud
Onboarding/offboarding automation, time tracking, performance management, benefits admin.
- Highly customizable workflows
IT Cloud
App and device management integrated with employee lifecycle.
- Unique offering among payroll providers
Scorecard (Overall: 8.7 / 10.0)
Pricing Model
Modular Subscription
Starts with a core platform fee plus per-employee costs; modules (Payroll, HR, IT) are add-ons.
Pros
- + Extremely powerful integration across HR, IT, and Payroll
- + Highly scalable for growth and complexity
- + Strong automation capabilities
Cons
- - Can be more expensive, especially with multiple modules
- - Complexity might be overkill for very small businesses
- - Requires buying the core platform
Verdict
"Best for businesses needing a comprehensive, integrated platform for HR, Payroll, and IT."
View Top Ranked Provider
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#1
Gusto
Visit Website →Modern, user-friendly payroll platform with strong emphasis on employee experience and integrated HR tools.
Target Audience
Startups, Small Businesses, Tech Companies
Service Offerings
Full-Service Payroll
Automated payroll processing, tax filing (federal, state, local), direct deposit, W-2s/1099s.
- Unlimited payroll runs
- Employee self-service portal
- New hire reporting
HR Tools
Onboarding, employee directory, time tracking, PTO management.
- Available on higher tiers
- Compliance assistance
Benefits Administration
Health insurance, 401(k), workers' comp integration.
- Broker integration available
Scorecard (Overall: 8.8 / 10.0)
Pricing Model
Subscription
Tiered plans (Simple, Plus, Premium) with a base fee plus a per-employee cost.
Pros
- + Exceptionally intuitive interface
- + Excellent employee self-service features
- + Good integration of payroll, basic HR, and benefits
Cons
- - Phone support can have wait times
- - Higher tiers required for advanced HR features
- - Can become pricey for larger teams compared to some basic processors
Verdict
"Best overall for modern small businesses prioritizing ease of use and integrated HR/benefits."
Final Recommendation
Choosing a small business payroll provider involves balancing cost, ease of use, features, and support. Modern platforms like Gusto offer excellent usability, while established players like ADP and Paychex provide robust compliance and scalability. Integrated solutions like QuickBooks Payroll and Square Payroll appeal to existing platform users, and value options like OnPay and Patriot Software cater to budget-conscious businesses. PEOs like Justworks offer comprehensive HR outsourcing and benefits access at a higher price point.