Managing HR tasks such as hiring, onboarding new employees, payroll, and benefits can be quite labor-intensive. With a global team of over 330 members across our partner brands, many have inquired about how we manage payroll and HR for our remote workforce.
We utilize user-friendly platforms like Gusto for payroll processing and BambooHR for onboarding, managing company documents, and more. We are very satisfied with our selection of payroll and HR solutions.
We have experienced how effective HR and payroll software can simplify and even automate many repetitive tasks, ultimately contributing to the success of your business.
In this article, we have analyzed some of the top HR payroll software options, evaluating their advantages, disadvantages, pricing, and additional features.
Overview: Top HR Payroll Software for Small Businesses
Short on time? Here’s a quick summary of our top 6 recommendations for the best payroll software tailored for small businesses:
| # | Payroll Software | Ideal For | Starting Price |
|---|---|---|---|
| 🥇 | Gusto | Best overall payroll solution for U.S. companies | $49/month + $6/month per user |
| 🥈 | BambooHR | Comprehensive human resources management with essential payroll features | Custom pricing |
| 🥉 | QuickBooks Payroll | Users of QuickBooks accounting software | $44 per month plus $6 per month per user |
| 4 out of 5 | OnPay | Ideal for manual payroll, startups, and hourly wage employees | $49 per month plus $6 per month per user |
| 5 out of 5 | Paychex | Comprehensive reporting capabilities | Pricing tailored to your needs |
| 6 out of 5 | ADP | Payroll services combined with HR solutions | Pricing customized for your business |
Why is HR Payroll Software Essential?
HR and payroll management software automates tasks and gathers data to enhance your business operations.
Implementing HR payroll software can significantly simplify your small business in various ways:
- Increase the efficiency of your HR team, allowing them to focus on other important projects.
- Guarantee accurate payroll and tax withholding.
- Avoid IRS penalties and effectively manage tax compliance.
- Simplify the management of paid time off (PTO) and bonuses.
- Facilitate the provision of employee health insurance and additional benefits.
- Streamline the onboarding process for new employees, enabling them to start working sooner.
If you operate an online store or a small business website, HR payroll software will simplify your operations and enhance employee satisfaction.
Whether your team works in the office or remotely, HR software can help streamline your business processes.
Our Approach to Testing and Reviewing HR Payroll Software
The choice of HR and payroll software can significantly influence your business operations, making it essential to select the right solution.
To assist you in making an informed decision, we evaluated several key criteria while researching and recommending payroll software options:
- Personal Experience: We are most confident in recommending solutions that we personally use on a daily basis. That’s why Gusto and BambooHR are featured on this list. We utilize Gusto for payroll management and BambooHR for handling general HR tasks and documentation, including managing our international workforce.
- User-Friendliness: Your HR and payroll software should enhance and simplify your business operations. Therefore, we prioritized tools that are easy to use and beginner-friendly. For instance, we assessed their setup process and whether they provide a clear dashboard for employee management. We also considered features like automated tax filing.
- Integration with Business SoftwareWhile all-in-one software solutions can be beneficial, sometimes the best approach is to combine different business tools. Therefore, we focused on finding essential integrations with accounting software, time-tracking applications, and more.
- Customer feedbackWe have direct experience with many of the HR and payroll software options listed here. For any tools we haven’t personally used, we conducted thorough research on their features and documentation. Additionally, we reviewed user feedback to fill in any gaps and gain a clearer understanding of each tool’s advantages and disadvantages.
Why You Can Trust CanadaCreate
Since 2009, CanadaCreate has been dedicated to assisting WordPress website owners and online entrepreneurs. Our team of experts has extensively tested, researched, and reviewed a wide range of software over the years.
We rigorously evaluate and research every tool we haven’t already implemented on our websites or in our business processes before recommending it to our audience. This ensures that we provide you with the most reliable, helpful, and current suggestions.
Moreover, we are part of a self-funded company that has successfully expanded its operations over the past decade, employing over 330 individuals worldwide. This experience gives us valuable insights into HR and payroll management.
For further details, please refer to our editorial process.
Now, let’s explore the top HR payroll software options for small businesses that seamlessly integrate with your WordPress site.
1. Gusto
Gusto stands out as the top payroll software choice, offering an excellent balance of features and user-friendliness. It integrates smoothly with accounting software, automates tax form generation, and provides many additional benefits.
We have been using Gusto for several years (originally known as ZenPayroll), and our experience has been very positive.
We appreciate Gusto for its extensive functionality and flexibility, allowing you to customize the perfect payroll and HR solution for your small business.
With Gusto, you gain access to essential payroll management features, including automatic deductions and filings, direct deposits, and tax forms (W-2s and 1099s).
✅ Advantages of Gusto:
From our experience, this cloud-based payroll system is easy to set up. Additionally, it provides employees with a dashboard to manage their personal information.
Another great feature of Gusto is its ability to automatically calculate and file local, state, and federal taxes. It also offers numerous integrations with popular accounting software like QuickBooks, Clover, Xero, and more.
Initially, our company used Gusto for its HR features when we were smaller. However, as our team expanded globally, we found that it doesn’t accommodate international employees, leading us to outgrow some of its HR tools.
Despite this, we appreciated Gusto so much that we chose to continue using it alongside other software, which we will discuss in the next section. The platform offers a comprehensive suite of HR functionalities, making it an excellent all-in-one solution for most small businesses based in the United States.
We have explored how to set up employee health insurance enrollment, 401(k) plans, workers’ compensation, commuter benefits, and employee savings programs.
Additionally, Gusto provides various employee onboarding features, including customizable offer letters, document signing and storage, onboarding checklists, and management of software account creation.
Moreover, there are time tracking tools, compliance paperwork filing, anonymous surveys, and virtual organizational charts available for users on higher-tier plans.
One of the best aspects of Gusto is its month-to-month pricing model, which minimizes the risk associated with transitioning to or starting a new payroll system.
❌ Drawbacks of Gusto:
One limitation of Gusto is that it does not accommodate international employees, making it ideal for small businesses operating in the United States. However, it can be integrated with other tools to support global operations.
Pricing:Plans begin at $49 per month, with an additional $6 per month for each employee. The Simple plan includes all the essential features needed to optimize payroll processes, while higher-tier plans offer enhanced benefits such as onboarding tools, time tracking, next-day direct deposits, and other advanced functionalities.
Why we recommend Gusto:We consider Gusto the top payroll software for small businesses. It simplifies the automation of critical payroll tasks and provides essential HR tools for onboarding, document signing, employee retirement plans, and more.
2. BambooHR
BambooHR is a comprehensive Human Resource Management System (HRMS) that includes fundamental payroll functionalities. It is user-friendly, intuitive, and suitable for businesses of all sizes.
We utilize BambooHR alongside Gusto to effectively manage our global remote team across 27 countries. This combination simplifies operations across various countries and time zones, and our experience with it has been excellent for our business.
This cloud-based platform specializes in HR functions such as recruitment, compensation management, onboarding, and fostering a positive company culture.
BambooHR is primarily tailored for small businesses, yet it is also employed by larger companies like ZipRecruiter, Grammarly, and Postmates. This software is capable of scaling with your business as it expands, and we can confidently attest to its effectiveness.
✅ Advantages of Using BambooHR:
We highly recommend BambooHR for its comprehensive suite of essential features, along with a variety of advanced options.
For instance, it includes an applicant tracking system (ATS) that accelerates the hiring process and performance management tools that enhance your company culture.
Additionally, it offers employee benefits tracking, PTO management, seamless employee onboarding, training programs, and much more.
We also value BambooHR’s strong emphasis on collecting employee data, which empowers business owners to make informed decisions regarding new hires.
Additionally, it stands out as one of the few providers recognized as a Human Capital Management (HCM) tool, empowering your employees to reach their full potential.
The platform’s mobile apps for Android and iOS are convenient, allowing team members to manage their information from home or while on the move. It also simplifies locating employee contact details across your organization.
❌ Disadvantages of BambooHR:
The primary drawback of BambooHR is that it does not provide comprehensive payroll services.
However, you can find add-ons for tax filing, time tracking, overtime calculations, and various employee performance review tools. These features may meet your requirements.
Otherwise, you might need to integrate it with other payroll-specific software. We utilize both Gusto and BambooHR to handle all our HR and payroll functions, and we are very satisfied with this combination.
Pricing:BambooHR provides customized pricing tailored to your business needs, with two distinct plans available for selection.
The Essentials plan includes essential HR management features such as paid time off (PTO), benefits administration, document storage, and more. In contrast, the Advantage plan offers an applicant tracking system (ATS), onboarding and offboarding capabilities, and advanced reporting features.
Reasons to recommend BambooHR:We believe that BambooHR is the top HR software for small businesses. That’s why we use it at CanadaCreate. It offers features such as applicant tracking, onboarding, employee training, and PTO management, among many others.
3. QuickBooks
QuickBooks Payroll is part of the Intuit suite of products designed to simplify the lives of small business owners. It’s an ideal choice if you’re already using QuickBooks accounting software or QuickBooks Online.
One of the standout features of QuickBooks is its comprehensive accounting capabilities, allowing you to manage receipts, tax deductions, and more efficiently.
✅ Advantages of QuickBooks Payroll:
Our research revealed that setting up QuickBooks Payroll is quick and easy, requiring just a few clicks. Its intuitive interface simplifies payroll management.
You’ll benefit from features such as business receipt capture, automated tax calculations and payroll processing, paycheck generation, detailed reporting, and support across all 50 states.
QuickBooks has also collaborated with MammothHR to provide the HR functionalities you need.
In summary, QuickBooks Payroll is the clear choice if you’re already utilizing the company’s accounting software.
❌ Disadvantages of QuickBooks Payroll:
To access advanced payroll features such as next-day direct deposit, workers’ compensation support, and mobile time tracking, you will need to upgrade to a higher-priced plan.
Pricing Information: QuickBooks Payroll provides flexible pricing with no contracts, starting at $44 per month (billed quarterly) for the Payroll Core + Simple Start plan. This plan includes essential features for managing HR and payroll, such as automated payroll processing, health benefits, 401k plans, and more.
Similar to other payroll software options on this list, there is an additional fee of $6 per month for each user.
Reasons to Choose QuickBooks Payroll:We recommend QuickBooks Payroll as the top choice for payroll and HR software, particularly for businesses that already utilize QuickBooks for accounting. While we personally use QuickBooks for our bookkeeping, we prefer Gusto for its superior support with state compliance and its user-friendly experience.
4. OnPay
OnPay provides HR payroll software solutions that are ideal for small businesses and startups looking to grow. While it may not be as feature-rich as Gusto, it covers all the basics and offers more control since payroll is not automated. It is adaptable and caters to business owners with contract, part-time, and hourly employees.
✅ Advantages of OnPay:
OnPay distinguishes itself from other payroll software options by allowing you to manually select which employees to pay before processing payroll.
While this may not be as efficient as fully automated solutions, some business owners may appreciate having this level of control.
As previously mentioned, we value its ability to support contract, part-time, and hourly employees.
We also like that employees can be paid through direct deposit, printed checks, or debit cards. Additionally, it offers features such as unlimited payroll runs, tax filing, support for various pay schedules and rates, unemployment insurance withholding, and more.
You can seamlessly integrate your payroll with your favorite accounting software and time-tracking tools.
Moreover, OnPay provides bundled HR tools that include templates for employee offer letters, management of paid time off, HR document organization, and more.
❌ Disadvantages of OnPay:
Overall, OnPay is a reliable choice for startups needing essential payroll features. However, its lack of automation may lead to slower and more cumbersome payroll processing as your business expands.
Pricing: The pricing structure is simple, starting at $49 per month with an additional charge of $6 per employee. With a single plan, you gain access to all features, including essential HR tools.
Reasons to choose OnPay:We consider OnPay to be the top HR and payroll solution for small businesses that employ both contract and hourly workers. It provides essential payroll capabilities along with HR tools, giving you greater control over your payroll process since it operates manually.
5. Paychex
Paychex is a strong contender for HR and payroll software tailored for small businesses. It excels in reporting features, making it a great choice for those who want to leverage data for informed decision-making.
✅ Advantages of Paychex:
We appreciate Paychex for its user-friendly interface and comprehensive payroll and HR functionalities, including new hire reporting, payroll tax management, direct deposit, time tracking, and more.
As previously noted, its exceptional reporting capabilities distinguish it from other options.
If you subscribe to one of the premium plans, you can access 160 different reports or customize reports based on your specific criteria. This feature will assist you in making informed, data-driven decisions to enhance your business.
We appreciate the user-friendly online dashboard that allows you to efficiently manage payroll processes, health insurance, benefits, retirement plans, and more. Employees also have access to a self-service portal to update their personal information.
Our research revealed that you can seamlessly integrate your existing accounting software, such as QuickBooks or Xero, directly with Paychex payroll.
For most small businesses, the ideal choice is the Paychex Flex Select plan. This plan encompasses essential payroll features along with HR and employee management tools.
❌ Drawbacks of Paychex:
Some advanced features, such as employee training and performance evaluations, are only available in the higher-tier plans.
Pricing:Paychex pricing is not publicly listed online; instead, it operates on a quote-based system, meaning you’ll pay according to the specific features you require.
Reasons to choose Paychex:We recommend Paychex as the top payroll and HR software for businesses that require in-depth reporting.
6. ADP
ADP provides extensive payroll services tailored for small and growing businesses. It serves as a robust all-in-one HR and payroll solution, assisting you with employee payments, retirement services, health insurance, and much more.
ADP offers robust integrations with recruiting software and can assist in conducting employee background checks.
✅ Advantages of ADP:
Our research indicates that ADP excels in providing outsourced HR services for large companies. Its RUN service combines decades of HR expertise into user-friendly payroll software.
With ADP RUN, you can access essential features such as simplified tax filing, payroll automation, payroll reporting, direct deposit, and compliance across all 50 US states, along with mobile and web-based timecards for employees.
We also value the integrated HR functionalities, including employee health insurance, retirement planning, and streamlined onboarding processes for new hires.
❌ Disadvantages of ADP:
Certain features like employee background checks, integration with ZipRecruiter, and advanced payroll options such as unemployment tax deductions and wage garnishment are only available in the higher-tier plans.
Pricing: ADP does not publicly disclose its pricing. However, costs are tailored to your business needs. If you only require payroll services, this option will generally be more affordable than a combined payroll and HR software package.
Reasons to recommend ADP:ADP is recognized as a leading payroll software and HR support solution, ideal for businesses seeking a comprehensive range of services, including onboarding, payroll management, recruiting, and more.
What is the Best HR Payroll Software for Your Business?
After thorough research of the top HR payroll service providers, we have determined that Gusto stands out as the best HR payroll software available.
Gusto offers flexible and affordable plans that cater to both solo entrepreneurs and large companies with thousands of employees. Additionally, it features a dedicated customer support team to assist users.
Gusto is an all-in-one solution that provides automated payroll processing, tax support, HR functionalities, and unique employee benefits that are not typically offered by other software solutions.
For these reasons, we chose to implement Gusto in our own business, rating it as the best HR payroll software on the market.
In our findings, BambooHR and QuickBooks Payroll were very close contenders. We utilize BambooHR for all our HR-related tasks, but its lack of comprehensive payroll features prevents it from being a complete solution.
Both of these tools are excellent choices. If you’re open to using multiple software solutions, combining them can be a great option.
Gusto and BambooHR effectively support our global remote team of over 330 employees.
Key InformationWe also explored other providers such as Patriot, Zenefits, CoreHR, Paycor, SurePayroll, Rippling, and others.
However, we chose not to include all of them to simplify your decision-making process and prevent overwhelming options. Our aim is to help you select the best software provider tailored to your business needs.
HR Payroll Software Frequently Asked Questions
Having assisted thousands of business owners in selecting the right HR and payroll software, we’ve addressed a variety of questions.
Here are some of the most common questions regarding HR and online payroll solutions.
Which payroll software is the easiest to use?
Gusto is the easiest payroll software to use. Its user onboarding process is clear, simple, and even enjoyable. As an HR manager or business owner, you can effortlessly handle payroll and taxes.
Additionally, there is an employee portal that allows your team to manage their personal information, access pay stubs, and more.
Most of the online payroll processing software we recommend is user-friendly. QuickBooks Payroll stands out as a strong choice for a seamless user experience.
Which HR software is the best choice for small businesses?
BambooHR is considered the top HR software for small businesses.
The customizable plans guarantee that you receive the ideal HR solution tailored to your specific business requirements.
It is capable of supporting small, medium, and large businesses effortlessly.
This is the platform we utilize to manage HR for our global remote team of over 330 employees.
What is the best free payroll software option?
While there are free basic payroll software options available, we advise against using them.
Payroll management is intricate and involves tracking employee hours, processing payments, and accurately withholding taxes.
Paid payroll solutions like QuickBooks Payroll and Gusto offer greater accuracy and security compared to free options. They save you time and help you navigate regulations, allowing you to concentrate on expanding your business.
Is it possible to use Excel for payroll?
Many small business owners rely on Excel for in-house payroll calculations. This method is effective only for businesses with a limited number of employees and stable payroll needs.
However, there is no assurance that your calculations will be precise.
If your budget allows, we suggest investing in quality payroll software. There are cost-effective solutions available, particularly for businesses with a small workforce.
We hope this guide has assisted you in selecting the ideal HR payroll software for your small business. You might also be interested in our comparisons of the top business phone services and email marketing software for small businesses.
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