Comparative Analysis of Small Business Payroll Solutions
By Unknown Author | Published: 2025-04-12 | Category: Square Payroll
About Square Payroll
Small business payroll software automates employee and contractor payment processing, tax calculations, filings, and compliance. These tools aim to simplify complex payroll tasks for businesses without dedicated HR departments.
Scoring Criteria
- → Ease of Use
- → Core Payroll Features
- → Tax Compliance
- → Integrations
- → Pricing Value
- → Customer Support
The Best Square Payroll
Gusto
By Gusto, Inc.
User-friendly payroll platform with strong HR features, benefits administration, and employee onboarding capabilities.
Platforms & Use Cases
Platforms: Web, iOS, Android
Best For: Small to Medium Business Payroll, Contractor Payments, Benefits Administration, HR Tools Integration
Key Features
- ✓Full-Service Payroll: Automated payroll processing, tax filing (federal, state, local), W-2/1099 generation. (Included)
- ✓Employee Self-Service: Employees can access pay stubs, tax forms, and manage personal information. (Included)
- ✓Benefits Administration: Integration with health insurance, 401(k), workers' comp. (Add-on/Higher Tiers)
- ✓HR Tools: Onboarding checklists, time tracking, PTO management. (Included/Higher Tiers)
Scorecard (Overall: 8.5 / 10.0)
Pricing
Simple
$40.00 / monthly
- Basic payroll
- W-2/1099s
- Employee self-service
- Direct deposit
Limitations: +$6/person/month, Limited HR features
Plus
$80.00 / monthly
- Simple features +
- Next-day direct deposit
- PTO management
- Onboarding tools
Limitations: +$12/person/month
Premium
Contact Vendor
- Plus features +
- Dedicated support
- HR resource center
- Compliance alerts
Limitations: Quote-based pricing
Pros
- + Intuitive interface
- + Excellent automation
- + Strong HR feature set
- + Good integration options
Cons
- - Can become expensive as headcount grows
- - Base plan lacks some common HR tools
Verdict
"Gusto is a top contender for small businesses seeking a blend of payroll and HR functionality in an easy-to-use package."
QuickBooks Payroll
By Intuit Inc.
Payroll solution integrated directly into the QuickBooks accounting ecosystem, ideal for existing QuickBooks users.
Platforms & Use Cases
Platforms: Web, iOS, Android
Best For: Existing QuickBooks Users, Integrated Accounting and Payroll, Small Business Payroll
Key Features
- ✓Seamless QuickBooks Integration: Payroll data automatically syncs with QuickBooks accounting software. (Core Feature)
- ✓Full-Service Payroll & Tax Filing: Automated payroll runs and tax payments/filings. (Included)
- ✓Same-Day Direct Deposit: Option for faster employee payments. (Available (Higher Tiers))
- ✓Workers' Comp Administration: Pay-as-you-go workers' compensation integration. (Available)
Scorecard (Overall: 8.0 / 10.0)
Pricing
Core
$45.00 / monthly
- Basic payroll
- Tax filing (federal/state)
- Next-day direct deposit
Limitations: +$5/employee/month
Premium
$75.00 / monthly
- Core features +
- Same-day direct deposit
- HR support center
- Time tracking
Limitations: +$8/employee/month
Elite
$125.00 / monthly
- Premium features +
- Expert setup review
- Tax penalty protection
- Personal HR advisor
Limitations: +$10/employee/month
Pros
- + Excellent integration with QuickBooks
- + Familiar interface for QuickBooks users
- + Comprehensive payroll features
- + Tax penalty protection on higher tiers
Cons
- - Less value if not using QuickBooks accounting
- - Customer support can be inconsistent
- - Per-employee fees add up
Verdict
"The default choice for businesses already heavily invested in the QuickBooks ecosystem, offering seamless integration."
RUN Powered by ADP
By ADP, Inc.
Scalable payroll and HR platform from a major industry player, suitable for small businesses planning to grow.
Platforms & Use Cases
Platforms: Web, iOS, Android
Best For: Growing Small Businesses, Businesses Needing Strong Compliance Support, Companies Seeking Scalability
Key Features
- ✓Robust Payroll Processing: Handles complex payroll scenarios, garnishments, multiple pay rates. (Included)
- ✓Tax Filing Guarantee: ADP handles tax calculations, filings, and responds to agency inquiries. (Included)
- ✓HR Support & Resources: Access to HR forms, compliance database, and expert support. (Included (Varies by Tier))
- ✓Employee Access Portal: Online portal for employees to view pay info and tax forms. (Included)
Scorecard (Overall: 7.8 / 10.0)
Pricing
Essential
$59.00 / monthly
- Payroll processing
- Tax filing
- Direct deposit
- Reporting
Limitations: Quote-based per-employee fee, Basic HR tools
Enhanced
Contact Vendor
- Essential features +
- Check signing/stuffing
- State Unemployment Insurance management
- Background checks
Limitations: Quote-based pricing
Complete
Contact Vendor
- Enhanced features +
- HR HelpDesk
- Employee handbook wizard
Limitations: Quote-based pricing
HR Pro
Contact Vendor
- Complete features +
- Enhanced HR support
- Training tools
Limitations: Quote-based pricing
Pros
- + Industry leader with strong reputation
- + Comprehensive compliance support
- + Scalable platform for growth
- + Wide range of HR add-ons
Cons
- - Pricing isn't transparent (quote-based)
- - Can be more expensive than competitors
- - Interface can feel dated or complex
Verdict
"A solid, reliable option for businesses prioritizing compliance and scalability, offered by a payroll giant."
Paychex Flex
By Paychex, Inc.
Comprehensive payroll, HR, and benefits solution targeting small to medium-sized businesses, known for its flexibility.
Platforms & Use Cases
Platforms: Web, iOS, Android
Best For: Businesses Needing HR and Payroll, Companies Seeking All-in-One Solution, Scalable Payroll Needs
Key Features
- ✓Flexible Payroll Entry: Multiple ways to enter payroll data (online, mobile app, phone). (Included)
- ✓All-in-One Platform: Combines payroll, HR, time tracking, and benefits administration. (Available (Modular))
- ✓Dedicated Support Specialist: Access to a dedicated payroll specialist. (Available (Higher Tiers))
- ✓Extensive Reporting: Wide range of standard and customizable reports. (Included)
Scorecard (Overall: 7.8 / 10.0)
Pricing
Flex Essentials
$39.00 / monthly
- Online payroll
- Tax services
- Direct deposit
- Standard reporting
Limitations: +$5/employee/month, Limited HR features
Flex Select
Contact Vendor
- Essentials features +
- Dedicated payroll specialist
- Check signing option
- Labor compliance poster kit
Limitations: Quote-based pricing
Flex Pro
Contact Vendor
- Select features +
- Wage garnishment service
- SUI service
- Integrated HR admin
Limitations: Quote-based pricing
Pros
- + Highly scalable platform
- + Comprehensive feature set (Payroll, HR, Benefits)
- + Dedicated support options
- + Strong compliance track record
Cons
- - Pricing structure lacks transparency
- - Can be costly, especially with add-ons
- - Interface might seem overwhelming initially
Verdict
"Paychex Flex is a robust, scalable solution for businesses wanting an integrated HR and payroll system from an established provider."
OnPay
By OnPay, Inc.
All-inclusive payroll and HR service with simple, transparent pricing, covering employees and contractors.
Platforms & Use Cases
Platforms: Web
Best For: Simple Pricing Needs, Mixed W2/1099 Workforce, Basic HR Integration, Businesses in Niche Industries
Key Features
- ✓Single Tier Pricing: One monthly base fee plus a per-employee charge covers all features. (Core Feature)
- ✓Full-Service Payroll: Automated payroll, multi-state payroll, tax filings (federal, state, local), W-2/1099s. (Included)
- ✓Integrated HR Tools: Onboarding, offer letters, PTO tracking, compliance resources. (Included)
- ✓Industry Specializations: Specific features for industries like restaurants, farms, non-profits. (Included)
Scorecard (Overall: 8.5 / 10.0)
Pricing
All-Inclusive
$40.00 / monthly
- Full-service payroll
- Unlimited pay runs
- Multi-state payroll
- W-2 & 1099 processing
- Integrated HR tools
- Benefits integration options
Limitations: +$6/person/month
Pros
- + Transparent, simple pricing
- + Includes HR features in base price
- + Strong customer support reputation
- + Handles complex payroll like multi-state
Cons
- - Fewer third-party integrations than some competitors
- - No dedicated mobile app (web responsive)
Verdict
"OnPay offers excellent value with its straightforward pricing and comprehensive feature set, making it ideal for budget-conscious small businesses."
Patriot Payroll
By Patriot Software, LLC
Affordable and easy-to-use payroll software focused on core payroll functions, with optional accounting integration.
Platforms & Use Cases
Platforms: Web
Best For: Budget-Conscious Businesses, Simple Payroll Needs, Startups, Companies Needing Basic Payroll
Key Features
- ✓Affordable Pricing: Low base fee and per-employee cost. (Core Feature)
- ✓Choice of Service Level: Option for Basic (DIY taxes) or Full Service (automated tax filing). (Core Feature)
- ✓Ease of Use: Simple interface designed for non-experts. (Core Feature)
- ✓Free Setup & Support: Assistance with initial setup and ongoing support included. (Included)
Scorecard (Overall: 8.2 / 10.0)
Pricing
Basic Payroll
$10.00 / monthly
- Payroll processing
- Direct deposit
- Employee portal
- Print checks/W-2s
Limitations: +$4/employee/month, User handles tax filings
Full Service Payroll
$30.00 / monthly
- Basic features +
- Automated tax filing (federal, state, local)
- Guaranteed tax filings
Limitations: +$4/employee/month
Pros
- + Highly affordable pricing structure
- + Very easy to learn and use
- + Excellent customer support
- + Full-service option handles taxes effectively
Cons
- - Limited HR features compared to competitors
- - Fewer integrations
- - No dedicated mobile app
Verdict
"Patriot Payroll is an outstanding choice for small businesses prioritizing affordability and ease of use for core payroll tasks."
Rippling
By Rippling
Unified workforce platform combining HR, IT, and Finance, including a powerful payroll module.
Platforms & Use Cases
Platforms: Web, iOS, Android
Best For: Tech-Savvy Businesses, Companies Needing Integrated HR/IT/Finance, Global Payroll Needs, Automation Focus
Key Features
- ✓Unified Platform: Seamlessly connects Payroll with HR (onboarding, benefits) and IT (app/device management). (Core Feature)
- ✓Global Payroll: Ability to pay employees and contractors internationally. (Included)
- ✓Workflow Automations: Build custom workflows across different business functions. (Included)
- ✓Robust Reporting & Analytics: Deep insights across payroll, HR, and IT data. (Included)
Scorecard (Overall: 8.7 / 10.0)
Pricing
Modular Pricing
$8.00 / monthly
- Starts with Rippling Unity Platform
- Add modules like US Payroll, Global Payroll, Benefits Admin, App/Device Management as needed
Limitations: Per user/month base fee, Payroll module costs extra, Can become expensive with many modules
Pros
- + Powerful integration across HR, IT, Finance
- + Extensive automation capabilities
- + Modern, user-friendly interface
- + Strong global payroll support
Cons
- - Pricing can be complex and potentially high
- - May be overkill for businesses needing only basic payroll
- - Requires base platform subscription
Verdict
"Rippling excels for businesses seeking a truly unified platform to manage employees, payroll, apps, and devices, especially those with automation needs."
Justworks
By Justworks, Inc.
PEO (Professional Employer Organization) providing payroll, benefits, HR tools, and compliance support under a co-employment model.
Platforms & Use Cases
Platforms: Web, iOS, Android
Best For: Businesses Seeking PEO Services, Access to Large-Group Benefits, Compliance Offloading, Integrated HR Support
Key Features
- ✓PEO Model: Acts as co-employer, taking on certain employer responsibilities and providing access to better benefits. (Core Feature)
- ✓Full-Service Payroll & Tax: Handles all payroll processing and tax compliance. (Included)
- ✓Benefits Access: Access to large-group health insurance plans, 401(k), etc. (Included)
- ✓HR Consulting & Compliance: Expert HR support, compliance resources, harassment prevention training. (Included)
Scorecard (Overall: 8.3 / 10.0)
Pricing
Basic
$59.00 / monthly
- Payroll
- Compliance support
- HR consulting
- Basic benefits access (commuter, health advocates)
Limitations: Per employee/month, Price decreases slightly at 50+ employees, Limited benefits
Plus
$99.00 / monthly
- Basic features +
- Access to medical, dental, vision insurance
- 401(k) options
Limitations: Per employee/month, Price decreases slightly at 50+ employees
Pros
- + Access to competitive large-group benefits
- + Strong compliance support (PEO model)
- + Integrated HR tools and expert support
- + User-friendly platform
Cons
- - PEO model isn't suitable for all businesses
- - Higher per-employee cost than basic payroll software
- - Less control compared to direct payroll processing
Verdict
"Justworks is a leading PEO option for small businesses looking to outsource HR and compliance burdens and gain access to better employee benefits."
Author information could not be loaded for this review.
Final Thoughts
The small business payroll market offers diverse solutions, from simple, affordable options like Patriot Payroll to comprehensive HR and payroll platforms like Gusto and PEOs like Justworks. Integration capabilities (QuickBooks Payroll, Rippling) and transparent pricing (OnPay) are key differentiators. Established providers like ADP and Paychex offer scalability and robust compliance, while newer platforms emphasize user experience and automation.