Best Payroll And HR Software (2024)
The best payroll and HR software, hand-picked for enterprises and SMBs, along with benefits, pitfalls, FAQs, and more.
Best Payroll and HR Software
Arguably, the most complete form of HR software is a platform that can handle every Human Resources process, including, of course, payroll. Many companies excel at making a good mixture of both core HR and payroll tools and packing them together as a seamless product, so it's hard to pick the one just for you. Below, we'll delve into how to make the best choice for your organization. You can also get tailored advice arranging a free call with one of our HR tech experts.
Be it small businesses or large corporations, the one thing that’s a must for every company is that its employees are getting compensated accurately and on time. A good payroll software takes care of this. But what’s even better is a management solution that not only helps a company with payroll processing but also acts as an all-in-one HR system that lets you streamline core HCM tasks such as onboarding, time tracking, talent management, performance management, among others.
We’ve put in hours of research to come up with a list of the best payroll processing and HRMS vendors to help you choose an HR and Payroll tool that’s best suited for your company. This list has been arrived at by judging these HR solutions on various metrics including but not limited to their user interface, functionality, pricing, and customers. To help you make a calculated decision, we’ve also included the pitfalls, benefits, ROI, implementation, and more.
To bring you the best payroll and HR software options, we conducted extensive research and leveraged our expertise in the industry. We've been following and demoing numerous software solutions over the years, so we’ve seen hundreds of payroll and HR tools. This guide showcases several that combine the two categories, HR and Payroll.
With the help of our community of HR experts, who often share their experiences with each tool in various organizational settings, we were able to select the very best. Three of the most important criteria we evaluated these tools on are: workflow automation, payroll processing, and core HR features.
- Workflow Automation: We prioritized solutions that offer robust automation capabilities, enabling HR professionals to save time on repetitive tasks. The selected software options provide intuitive workflows and can automate key tasks such as onboarding, employee data management, PTO calculations, leave requests, and more.
- Payroll Processing: We filtered for payroll and HR software that excels in this area, ensuring robust yet user-friendly payroll processing for businesses of all sizes. The chosen solutions offer comprehensive payroll management features, including tax calculations, direct deposit capabilities, payroll reporting, and integration with accounting systems.
- Core HR Features: These tools are great for payroll, but do they get HR right? We handpicked those offering the greatest range of core HR features to support your organization's needs. Most of these tools are fully-fledged HCM systems, enabling you to efficiently handle all aspects of employee management in one centralized platform.
To learn more about our comprehensive evaluation process and discover additional insights on selecting the best HR tech, we invite you to read our piece on how we select the best HR tech.
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APS
Throughout our test, APS impressed us with a reliable, unified approach to managing the entire employee lifecycle. From the moment we began using the platform, it became clear that it’s designed with a strong emphasis on customer support and personalization—qualities that make it stand out in a crowded marketplace.
PROS
- Personalized customer service with a dedicated account team for hands-on support.
- Payroll management covers all 50 U.S. states, with specialized knowledge of state-level compliance.
- Automated benefits administration with integration to hundreds of benefits carriers.
- ACA compliance tools simplify employee tracking and IRS reporting.
- User-friendly self-service portal for both employees and managers.
- Well-suited for service-based industries like healthcare, hospitality, and non-profits.
- APS is very cost-effective. Although the pricing is custom and depends on your business size, we’ve heard current users speak of its affordability. Jackie R, who is a HR Director for a small-sized company says, “I love that APS offers all aspects of an HRIS system at an affordable price. We are a small business and can't afford the big name payroll vendors, but get everything they offer at APS for a price we can afford as a small business.”
- Their customer service is remarkable. As testified by multiple users, the customer service team at APS is prompt and there for you every step of the way, right from implementation to anytime you get stuck using the software. They’ll likely resolve your issue within the same day.
- APS is very easy to navigate and everything is updated and saved in real-time. Despite its complex features, you would likely not find it confusing. They also have how-to guides that come in very handy.
CONS
- No free trial and lack of transparent pricing.
- Payroll services must be purchased to access other products (e.g., HR, workforce planning.)
- Exclusively designed for the U.S. market, with no international payroll capabilities.
- The reporting feature is limited in functionality. Sometimes, there will be missing information that you may require.
- Although their customer support is prompt, you can’t directly reach their team via phone. Customer service answers your queries via email and if you wish to talk to someone on the phone, you’ll have to mention it.
APS offers a comprehensive and unified solution for managing payroll, HR, benefits, and workforce planning.
One of the standout aspects of APS is the dedicated account team assigned to each client. Compared to solutions like Paycor whose support often requires self-service or involves some delay, APS was consistently responsive, with most issues resolved within the same day during our tech test.
Comparable to other major payroll solutions, APS’s payroll tool provides coverage of all 50 U.S. states. Yet, what truly sets APS apart is its specialized focus on service-based industries like healthcare, hospitality, and non-profits. We got in touch with some users from these industries, and heard lots of good words about the expertise of APS’s payroll specialists, describing them as “responsive” and noting that they “clearly understood the complexities of state-level payroll requirements.”
Benefits administration became one of our favorite features during testing. The platform automates everything—from eligibility tracking to benefits enrollment—and makes all of this easily accessible through an employee self-service portal.
ACA compliance is a critical feature of workforce management technologies, and we’re glad APS’s is implemented thoughtfully. The platform includes tools that automatically track eligible employees, pre-populate forms, and even file reports directly to the IRS.
And the self-service portal didn’t disappoint, either. It allowed us to delegate tasks while maintaining accountability across teams. In manager roles, we could easily track action items, approve time-off requests, and see who was on vacation, while accessing the platform as employees gave us full control over our pay stubs, available PTO, and benefits.
Unfortunately, pricing transparency is quite a concern, as APS does not disclose its pricing, and there is no free trial available. We also found that you cannot purchase APS's HR and workforce planning modules unless you have already purchased the payroll solution, which limits flexibility and may be a barrier for businesses looking for only specific HR functionalities.
Another limitation is that APS is designed exclusively for the U.S. market, unlike platforms like Rippling and Zenefits, which offer both domestic and international capabilities.
3,500+ companies, including Wahlburgers, Rainbow Sandals, Grayson College, and Hillside Christian Church.
APS's payroll software has a minimum monthly billing of $250, while the pricing for APS's HR and workforce planning tools is undisclosed.
Best For
U.S.-based service industries seeking a comprehensive HR and payroll solution with designated support.
Paylocity
Paylocity streamlines payroll and HR processes with user-friendly tools, automation, compliance support, and more. Its comprehensive features, accessible platform, and expert resources make it a standout choice for managing your workforce efficiently and effectively.
PROS
- Paylocity offers a feature-rich platform that simplifies the management of payroll, HR, benefits, and other related tasks.
- It features a user-friendly interface and offers extensive online documentation to guide users through the various features and functionalities.
- There’s a mobile app that both employees and managers can access to perform several processes on-the-go.
- Paylocity’s customer support is highly rated for always being available to answer questions.
- Global payroll support for 100+ countries.
- Provides free and unlimited training modules on the website.
- Paylocity’s mobile app has a good UI and functionality
- The tool is easy to use for both employees and employers.
- Has 350+ pre-built integrations.
CONS
- Pricing information is not publicly available, and there isn’t a free trial or a free plan at this time.
- Paylocity's comprehensive feature set can create a learning curve for users.
- The report customization options in Paylocity could be enhanced.
- Undisclosed pricing.
- It doesn’t have a free trial or free plan.
- Support is available in English only.
- It isn’t the best solution for remote teams looking for a tool to manage payroll and benefits for their contractors.
Paylocity offers a comprehensive and user-friendly platform with features for payroll, people, benefits, time off, and compliance management. We love how easy and quick it is to process payroll, thanks to Paylocity’s intuitive three-step navigation flow: you enter the necessary payroll info, review and hit Submit. Paylocity also minimizes manual data entry by automatically transferring information from Time & Labor, flagging employees who need prorated or retro pay, and showing the calculations for your review.
To ensure payroll accuracy, you can make use of Paylocity’s Payroll Readiness Dashboard, which gives you a comprehensive overview of your critical payroll tasks well ahead of your processing day. The system also features over 40 configurable pre-submit audits that flag irregular occurrences, such as an employee receiving double their typical pay.
Beyond payroll management, Paylocity provides a solid HRIS that helps you stay on top of several employee-related processes. For starters, it excels at data management and task automation across multiple users and workspaces. Whether it's confirming employee addresses, collecting certification proofs, or managing employee onboarding, Paylocity simplifies these processes through automation and centralization.
Accessibility is another strong point of Paylocity. Employees can securely access their payroll and HR data from anywhere, on any device. They can retrieve important information such as offer letters, paystubs, tax forms, benefits info, and make changes to their personal information. Managers and HR professionals have full visibility into employee data, enabling them to manage positions, assign skills and certifications, predict vacancies, and manage budget changes effectively.
Paylocity also prioritizes compliance, offering a user-friendly dashboard with swift access to work authorizations, EEO, and FLSA compliance data, as well as industry news. For additional support, Paylocity's HR Edge service provides expert resources, including an account manager, to assist in minimizing risk and implementing optimal practices. Furthermore, Paylocity's reporting and analytics capabilities provide deeper insights into the workforce through real-time, visually presented data. This data enables the monitoring of key metrics, recognition of patterns, enhancement of HR strategies, and the advancement of business goals.
Paylocity’s solutions are used by over 35k organizations including CRP Industries, Wagstaff, and Powerhouse.
Paylocity’s pricing isn’t disclosed upfront. We recommend scheduling a demo with their Sales team to get a breakdown of all associated costs.
Best For
Paylocity's solutions are designed for businesses of all sizes across diverse industries, with a primary emphasis on medium and large enterprises. These companies possess the necessary resources and infrastructure to fully utilize the platform's functionalities, allowing them to effectively maximize its benefits.
I primarily used Paylocity for recruiting, onboarding, and performance management. I used it to edit and post jobs and job descriptions, review applications, and manage candidates. I used onboarding to launch hiring workflows, administer hiring documents, and utilize E-Verify. I used the performance management module to build and administer annual performance reviews. Additionally, I occasionally used the feature to maintain employee performance and misconduct documentation.
I loved how simple it was to learn and use Paylocity. It was also easy to navigate and figure things out if I didn't know something. The second thing I liked was the variety of modules—it was easy to quickly access them based on the employee issue or task. Lastly, I loved how the modules essentially "talked to each other." For example, once hired, a candidate automatically moved from the recruiting module to the onboarding module.
I believe my former organization purchased Paylocity to scale their employment growth as they added employees quickly. They were also looking for a user-friendly HRIS while managing costs. I used Paylocity for nearly two years and really enjoyed it. It was very easy to learn. I used each module as it pertained to various aspects of the employee lifecycle.
Paylocity lacked automation in some areas. I think there were opportunities to improve certain workflows. It also lacked some customization features. Finally, Paylocity's customer service was not the best. I remember we had to upload benefits information, and they were neither quick nor efficient in resolving our issue.
I think Paylocity is one of the easiest HRIS platforms to use and learn compared to others. I like that it holds a lot of data and serves as a one-stop shop for all HR functions. The self-service side for employees is also very user-friendly.
I think company size is probably the most critical factor aside from cost. Small or extremely large organizations may not benefit from Paylocity as much as from other options like Dayforce or UKG.
I'm not sure about the evolution of Paylocity, but I think it does a good job of keeping up with companies' HR needs.
I would say mid-sized, professional companies. Paylocity could also be good for industrial, manufacturing, or trade companies from an employee-user standpoint.
As mentioned earlier, very small or very large organizations (in terms of employee size). I'm not sure if Paylocity’s data capabilities would be sufficient for a large employee population, and the cost/benefit may not be ideal for smaller companies.
Rippling
Rippling is geared toward SMBs with its intuitive UI, automation, and 500+ integrations. Besides features like US/global payroll and self-service, the benefits administration tool lets you work with your chosen broker and select the benefits packages for your team from over 4,000 plans.
PROS
- Rippling payroll automatically updates work hours, deductions, and tax filings.
- Ability to process payroll in multiple countries and currencies.
- Can connect with 500+ apps.
- Enables users to work with their chosen broker.
- Ability to purchase modules separately or as a full suite.
- All-in-one platform for employee management + PEO services offered, and even a suite of other IT products
- With 500 integrations, it’s very likely that they integrate with other key tools from your tech stack.
- Operates globally with any currency
- Workflow automation
- Analytics opportunities
- Provides a holistic view of company outflows—headcount costs included
CONS
- Undisclosed pricing. No free trial.
- Phone support costs extra.
- Not the best option for teams with 2,000+ employees.
- The mobile app has limited features compared to the web browser version.
- Total buy-in to Rippling is essential
- Very SMB-oriented, in case you’re a larger company.
- New features tend to be buggy in ways that tech teams are not accustomed to fixing
Rippling is a competent solution for growing teams looking to handle their HR and payroll more efficiently. Though the software is quite new in the space, we appreciate how fast the platform has evolved since it debuted.
One of the standout features of Rippling is its exceptional integration capabilities. With over 500 app connections available, it surpasses most tools in the market.
Rippling offers feature-rich capabilities that simplify payroll and HR management for global teams. With its integrated platform, users can pay employees and contractors worldwide within minutes. The built-in time tracking app automatically updates work hours, deductions, and tax filings, eliminating the need for manual tasks. This allows users to focus on reviewing numbers, approving payroll, and letting the system handle the rest.
We are impressed with Rippling's benefits management tool, allowing users to collaborate with preferred brokers, select from 4,000 plans, and offer the hires a self-service portal and mobile app. However, we hope for enhancements in the mobile app's performance and features, as it can be laggy at times and lacks certain functionalities compared to the web browser version.
Rippling's pricing starts at $8 per employee per month, but obtaining an accurate quote requires a demo with a sales representative. It's important to note that the actual cost may be higher due to the software's purchase model. The Unity module is mandatory for purchasing any other modules. Additionally, if you require phone support from HR specialists, additional fees apply.
Vox, Maximum Games, Superhuman, Compass Coffee, Highnoon.
Rippling's Core HR platform starts at $8 per employee per month. Contact Sales for more details.
Best For
Rippling is most useful for SMBs, ideally with 50 to 2,000 employees. It doesn’t matter whether they are US-based, global, remote, office-based, or distributed teams.
As the Head of People Operations, my daily workflows rely on Rippling. Overseeing the employee lifecycle requires me to use a combination of onboarding/offboarding, reporting, benefits administration, performance management, and general employee data management on a weekly basis. From an onboarding/offboarding perspective, Rippling not only serves as the home base for information but also communicates timely and effective tasks to the necessary parties, ensuring a clear and compliance-first process. With Rippling’s ability to relay information to integrated accounts like Guideline and Carta, my role leans more into oversight, allowing me to focus strategically elsewhere.
Rippling centralizes the majority of the HR processes (+ Finance and IT, if you chose) that would otherwise be spread across multiple systems. For example, our company’s flex benefits, COBRA, and ACA were either managed with a carrier outside of our broker or manually by us and now Rippling handles the administration of all these areas in consolidation with our other health insurance benefits.
The strength of Rippling’s integration library allows for consistent and regular communication to and from Rippling for processes that are not directly managed within the system. For example, prior to Rippling, we manually onboarded and offboarded employees to/from Guideline. With Rippling, the systems speak to each other and manage the employee’s lifecycle with our company-sponsored 401k.
A highly beneficial aspect of Rippling is the workflow feature. Workflows have allowed us to set up Rippling in a way that allows it to speak within the system, initiate processes, and communicate to people/external systems. Rippling is a high-tech HRIS and a constantly progressing platform that meets the needs of today’s operations teams (HR, IT, Finance included).
We selected Rippling to implement a strong HRIS while centralizing other HR operations. By implementing Rippling, we were able to solve and improve several areas. First, we consolidated historical employee data from three to four different platforms into one, allowing us to use Rippling reporting to provide company trends. Second, we simplified benefits administration by transferring health insurance, Flex Benefits, COBRA, and ACA management to the Rippling platform. Third, Rippling offers a cleaner, more centralized, and highly integrated solution for our HRIS needs. I have been actively using Rippling for six months.
Rippling is a complex system. For it to be fully functional to the best of its ability it needs to be given the time to implement and set up in great detail. Knowing this, the implementation should have been much more hands-on. I’d recommend that whoever is leading the implementation internally has experience with other systems, so they know what to look for.
Rippling does not have an employee “notes” section. As the place I rely on for the most up-to-date employee job and personal information, it is missing the ability to keep it up to date with employee relations information directly in their profile. This is a feature I have experience with in other HRIS’s and is a missed opportunity in the Rippling platform.
Unlike BambooHR, a competitor, Rippling does not offer a “missing data” report. To find out who within the company is missing information, we will have to discover it when it is flagged during another unrelated process. I think this puts us at risk if we are unknowingly missing key information or signatures from any employee.
Rippling is a fully functional operations system with a large integration library. It provides HR with the necessary tools and offers Finance and IT tools. Incorporating various clouds and add-ons allows Rippling to carry an administrative weight heavier than its competitors.
Rippling is a complex system, so you should be prepared to invest time and attention to building a strong foundation during the implementation process. It can do a lot, but it needs to be built on the backend for the front end to function at its best. Since many tools within Rippling rely on one another, approach it with a big-picture philosophy for your organization’s intentions. Be clear about what you need during the discovery process, as Rippling has many features, but not all may be necessary for your company.
Rippling continues to introduce small improvements to existing features and entire tools, like performance reviews, and exclusive highly functional built-in integrations, like Carta. These developments are likely to continue as Rippling gains popularity in HR and Finance.
Rippling is highly flexible and can be strong for a wide range of companies. It can suit new startup companies (less than 50 employees) but may be best for 70+ and growing SMBs.
Businesses with more than 500 employees may outgrow the system.
OnPay
With best-in-class integrations and built-in HR, OnPay is extremely user-friendly and has top-notch customer support. Its USP is the way it combines simplicity with a wide range of features.
PROS
- Free tax form handling for W-2 employees and 1099 contractors.
- Some HR services included within the plan at no additional cost.
- 30-day free trial available (starts after OnPay verification).
- Well-developed online help resources.
CONS
- Poor functioned employee mobile app.
- Requires payment four days before payday for direct deposit.
- Doesn’t support automatic payroll.
- Customer support sometimes hard to reach.
Fast, precise, and backed by payroll experts, OnPay is a payroll software with all the HR tools embedded in it. OnPay’s goal is to enhance the productivity of individuals and teams. This is reflected both in their simple yet intuitive user interface and extensive features such as multi-state payroll, single sign-on, employee-self service, or automated onboarding flows.
One of the best things about OnPay is that when you buy it, you get the help of trained experts every step of the way. They also provide one month of a free trial.
Best For
We use OnPay on a monthly basis to deliver payroll. We also use integration features to connect directly with payroll and accounting software. It enables us to automate or streamline data collection related to working hours and personal details. We do weekly, bi-monthly, and monthly pay runs, and OnPay allows us to establish separate and automated pay schedules for each. We also use OnPay to manage and approve PTO via the employee self-service dashboard.
The interface is slick and easy to use. It offers flexible and expandable HR and benefits tools, meaning it can grow with the business. The streamlined and partially automated PTO with self-service is also good.
We bought OnPay to streamline our payroll process. Our HR and finance teams were too small and preoccupied with rapid growth activities to manage payroll, and as a result, mistakes were being made. The monthly payroll process was analog, without much automation, and quite inefficient and laborious. We wanted to have a more automated and online process, which OnPay provided.
OnPay is genuinely focused on small businesses. The interface is clean and simple, not overloaded with features like those found in big company payroll tools. It connects directly with our timesheets, allows staff to update their personal data, and has streamlined and mostly automated our payroll process. We have used this tool for a couple of years.
The design is a little boring and old-fashioned. The reporting section is a bit awkward to use. It doesn't have great support for international customers.
The design is a little boring and old-fashioned. The reporting section is a bit awkward to use. It doesn't have great support for international customers.
Can you also pay contractors through the system? Can you pay staff according to different pay schedules?
We haven’t used it long enough to answer this.
US-based SMEs without international offices can benefit from OnPay.
OnPay is not great for US businesses with international offices. Choose a tool that can service staff overseas as well.
Paycor
Paycor not only takes care of your payroll management and HCM needs but goes over and beyond by providing predictive HR analytics to help you understand your employees’ trends and behaviors.
PROS
- Paycor payroll solution and mobile app are both straightforward to use.
- Intuitive self-service employee portal.
- Offers multiple modules for small businesses and custom plans for teams with 50-1000 employees.
- Unlimited payrolls.
- Offers discounts frequently. Though not listed on their site, a free trial is available to those who contact the support team directly.
- On-demand pay is available for all plans.
- With the acquisition of the people development platform Verb, it has improved its employee learning experience.
CONS
- Undisclosed pricing.
- Customer support is reported to be slow at times.
- It is not a good fit for teams with 1000+ employees or those requiring advanced customization to meet their unique requirements.
Trusted by more than 29,000 businesses, Paycor’s HR + Payroll Software is made up of three HR management tools: A payroll system, an HR platform, and analytics. The payroll solution is laden with many incredibly useful features such as OnDemand Pay, AutoRun functionality, employee self-service, and tax compliance to name a few.
There’s also a mobile app that helps you make real-time changes at the tip of your fingers.
Similar to its payroll processing counterpart, Paycor’s HRMS tool is driven by automation and also comes with features that let you view employee records, edit employee data, optimize performance reviews, and improve internal communication.
Best For
We use Paycor for attendance tracking, which includes a scheduling and punch clock functionality. This is important for us as most of our employees are hourly. We also use Paycor for time off management, benefit accrual tracking, and payroll.
- Our employees find their interface user-friendly
- Employment taxes are filed without any effort from us (the employer)
- It's one of the only HR software suites that has functionality for hourly employees
We bought Paycor when we needed a payroll solution that would work with employees in multiple states. Paycor allows us to process multi-state payroll, and they file the necessary taxes in each state and municipality.
We decided on Paycor for these reasons, and our staff found the UI to be the easiest to navigate. We have been using the platform for 4 years.
A great many things, unfortunately.
- Support is practically non-existent
- The payroll workflow is jumbled and doesn't make sense. Instead of a seamless flow in which you approve time card and move on to payroll in the same workflow, you do these things separately
- Their punch clock isn't very intelligent. I have to manually fix several punches a week that shouldn't have been allowed in the first place (e.g. an employee has two punch-in records in a row, with no punch-out record in between)
- There are a lot of reports, which is great. But, ironically, I can never find a report for what I need.
- It's impossible to manage what I would consider basic configurations. For example, our office manager retired last year, but she remains the manager for all employees in Paycor because the setting cannot be changed, even though her Paycor employee profile is no longer active
- Did I mention that support doesn't exist? Send in a ticket and you're unlikely to get a response.
The biggest difference we found is that Paycor has functionality (or modules) for a wide variety of employment situations. In our case, it was one of the only suites that could accommodate hourly employees, meaning it has punch clock and scheduling features.
My staff believes their UI is better, too. However, I don't believe that to be the case from an employer standpoint.
Firstly, if needed, are you prepared to wait for a response from support that may never come? Because that is a reality of Paycor.
Secondly, what functionality do you need? There are a lot of HR suites, and Paycor was our choice because it had functionality that many others did not. If you don't need time management (punch clock) or scheduling, then you should take the time to compare all of your options. Paycor may not be right for you.
Thirdly is the cost. In our second year, they changed their entire price structure. They gave us 30 days' notice. Our monthly costs went up, but we could do little as it takes many months to evaluate other options and several more months to facilitate the migration. The point being, we were stuck and had to deal with the rate change.
I would say very little during the four years we have used Paycor. They've made some UI changes but nothing impactful.
I am sure there is a scenario in which Paycor is a suitable solution for companies of all sizes. Their suite has a lot to offer and can accommodate a variety of employment situations. That said, based on my experience, I wouldn't think Paycor is best suited for companies with many employees. I have a hard enough time managing five employees in Paycor.
Companies with many employees or companies that employ people only in one state. There are certainly better options for employers who don't need multi-state payroll.
Netchex
Netchex is a standout in the payroll category thanks to their stellar customer support, described often as prompt, courteous, and knowledgeable. It’s the rightful complement to their comprehensive, single-source solution which integrates HR, time and attendance, benefits management, and payroll processing.
PROS
- Grows with your team: With Netchex, it’s very easy to opt for a new plan and keep all your data in the same place even if you outgrow your current pricing plan. Other vendors require a switch to a new service in that kind of event.
- Dedicated support team: Netchex are note-worthy for their award-winning and often lauded customer service. It’s all US-based and provided in real-time through email, live chat, and phone calls.
- Pre-payroll reports: Allows for critical error checks before submission.
- Flexible payroll grid: Easy to make changes or correct errors on the fly.
- Versatile payment options: Includes paper checks, direct deposit, and pay cards.
- Grows with your team: With Netchex, it’s very easy to opt for a new plan and keep all your data in the same place even if you outgrow your current pricing plan. Other vendors require a switch to a new service in that kind of event.
- Dedicated support team: Netchex are note-worthy for their award-winning and often lauded customer service. It’s all US-based and provided in real-time through email, live chat, and phone calls.
- Pre-payroll reports: Allows for critical error checks before submission.
- Flexible payroll grid: Easy to make changes or correct errors on the fly.
- Versatile payment options: Includes paper checks, direct deposit, and pay cards.
CONS
- Requirement of payroll: Users must use the payroll module to access other functionalities, so it wouldn’t work as stand-alone HR software.
- No free trial: Potential users can't test the software without committing to a purchase. The demo with a sales rep is the closest thing.
- Requirement of payroll: Users must use the payroll module to access other functionalities, so it wouldn’t work as stand-alone HR software.
- No free trial: Potential users can't test the software without committing to a purchase. The demo with a sales rep is the closest thing.
Netchex is a comprehensive HR and payroll management platform tailored for small and mid-sized businesses (50-500 employees). The platform stands out with its single-source solution that combines payroll, time and attendance, benefits, HR information, and more into a single tool, thereby reducing the need for multiple spreadsheets and manual data entries. One of our favorite things about Netchex is their flexibility. For example, payroll administrators can effortlessly make adjustments and correct errors directly from the payroll grid.
We also love and hear great things about their detailed pre-payroll reports. As stated above, these can be reviewed before payroll is processed, allowing managers to spot any abnormalities, such as terminated employees receiving paychecks or overpayments. The system comes with full garnishment integration, multiple pay rate solutions, and complete federal, state, and local tax filings, making it a robust and versatile tool for any business.
Additionally, Netchex recently introduced several innovative features, such as AskHR for immediate answers to employee questions, Netchex AI for data analysis, and Community for fostering employee engagement. In our view, these enhancements demonstrate Netchex's commitment to evolving its platform based on user feedback and emerging industry needs.
Netchex is used by companies like Xpressdocs, BK Corrosion, Regal Hospitality, and The Colony ER Hospital.
Netchex follows a per-Employee-per-Month pricing model. Pricing varies according to the company's size and the specific products used. Detailed pricing information can be found on their website.
Best For
Netchex is best suited for small and mid-sized businesses in various industries, such as restaurants, hospitality, manufacturing, healthcare, professional services, and auto. As of 2024, their sweet spot is organizations with less than 500 employees, but they are perfectly capable of working with larger teams.
UKG
Easy to navigate and customizable to your business needs, UKG’s Payroll and HR Software provides you with all the HR services under one roof. Their customer support team that’s available on a payroll hotline and chat are worth mentioning.
PROS
- Super robust product, packing years of experience with HCM and Workforce Management technology
- Since they offer UKG Pro for HRMS and UKG Ready for workforce management, you could arrive at a combination of products that suits many of your HR needs from the same set of tools.
CONS
- Compared to newer tools, UKG Pro and UKG Ready tend to miss a unique selling point or a specific focus on a certain type of business. While they work great for bigger companies in all sorts of industries, very niche operations might have a hard time adapting to the tool.
- Similarly, UKG offers many solutions under one umbrella, so it's not the best fit if you're looking for only a handful of specific use cases.
UKG has a variety of HR product suites. If you’re looking for an HR software that combines transformative HR technology with robust payroll functionality, then UKG Pro is their HCM solution you should keep an eye on.
UKG Pro takes care of four key areas and those are payroll processing, talent acquisition, learning, and employee voice. One of its most coveted aspects is its intuitive navigation. You can get all your information on the very first page, with just a single click.
It also has a mobile app that your employees can use to do a variety of things such as being able to request time off or pulling old pay stubs.
Best For
UKG is used for all HRIS functions such as onboarding/offboarding, PTO requests, employee reviews, and processing company payroll. I use the system daily as part of my HR function. Whether uploading employee documents or tracking employee reviews, it is the core of our documentation and payroll needs. We also use it for other various needs, such as open enrollment management and carrier feeds to various vendors. It is also easy to use and learn.
Pro one: The system is easy to use and learn. Pro two: It can grow with your organization and accommodate a range of different employer sizes. Pro three: It has mobile functionality, allowing employees and administrators to access leave requests or review documents via a mobile app.
The organization already had PlanSource, which was owned by UKG. We expanded the use of the product since it already housed our HRIS and payroll information. It is fairly inexpensive with many add-on options, making it a good option for growth, which the company was experiencing. At that time, we had approximately 300 employees with plans to grow to 500.
Con one: UKG is fairly basic compared to other products I've used (ADP, Paychex, Workday). There are no big bells and whistles, but it gets the job done. Con two: You will have to pay a significant amount for full functionalities of the products if needed. I don't have cons other than these.
UKG offers a wide range of products, making it a good option for growing employers that don't have a lot of needs initially but will as they grow. Their backend helpdesk is also helpful because you can contact a person on many issues versus submitting a request/ticket for assistance and waiting for a response.
Consider your initial needs and your growth potential. If you have fewer than 100 employees, you can find other services that are more economical. If you plan to grow to a few hundred employees and beyond, this is a good long-term investment.
They are continually expanding their options. As previously mentioned, they have nice app capabilities. They also, like any other HRIS service, are continually adding or enhancing their offerings, such as benefits services, carrier feed setups, and reporting options.
UKG is a good fit for any private sector employer with 100 or more employees. I would not recommend it to employers smaller than this unless they will grow quickly beyond this number.
Employers with a lot of specialized needs, such as government contractors or those with special tracking needs, may find this software not as compatible as others on the market.
ADP
Easy to use, 24/7 support from payroll experts, seamless integrations, – ADP is packed with interesting features that will elevate your business like nothing else.
PROS
- Native, all-in-one technology suite for recruitment, payroll, and compliance.
- 17 RPO service centers in 14 countries and provide services in 42 different languages.
- Dedicated team of AIRS-certified recruiting professionals.
CONS
- Technology options outside ADP’s dedicated HR tools are limited.
Instead of obfuscating a first-time user with unnecessary details about their HR services, ADP asks you a few simple questions and fetches you a customized HR solution that would best suit your organizational needs.
ADP’s payroll and HR software known as RUN is easy to use, has a clean user interface, and yet contains so much depth in terms of features. From personalized payroll to AI-powered error detection features for tax compliance, ADP lets you seamlessly run payroll, track time & attendance, helps you with workforce management, and much more.
Best For
We use ADP to manage payroll. It is also used to provide affordable benefits. The HRBP helps to ensure we remain compliant and provides resources as needed. In addition, the helpline is always available. The MyLearning tool has also provided hundreds of training sessions.
The pros of using ADP are having an HRBP and a Payroll Advisor who works directly with you. The HRBP has been great at ensuring that we are following the proper guidelines for our HR-related issues. Having a payroll advisor gives us direct 1:1 support while doing payroll. It has also been great for updating our employee handbook, I love the way they make sure our policies are up to date as new policies develop.
We have been using ADP since 2017. As a small nonprofit organization, it was important to find a PEO. This helped with lowering the cost of benefits for our staff as well as managing our payroll. It has also provided us with endless HR resources.
When thinking about buying this tool, think about your company’s specific needs. Take into account the size of your company and what your expectations are. Be sure to have a budget that shows what your company will pay for benefits versus your employees. Think about what HR resources you are interested in (will you solely rely on ADP or will you also have in-house assistance)? Thinking about these things will help you when speaking with the representatives.
Over time we have been able to upgrade from Total Source to WorkForce Now. This has allowed us to have better reposting and made it easier on our accounts when submitting payroll. It has saved us a ton of time with spreadsheets. ADP is great at keeping you up to date on ungraded to their system. They have also evolved their MyLearning tool which provides a ton of training and now they have more live training and even in-person leadership training.
I feel like ADP can be useful for any size organization, it all depends on the needs. Whether it’s for part of the platform or the entire platform they have something to suit everyone’s needs.
Zenefits
Seamlessly integrated across all levels, what separates Zenefits from other HR systems is that it has built-in compliance, dozens of pre-built integrations, and a fully functional mobile app for both employees and HR managers.
PROS
- It’s one of the top names in HR tech and payroll software for American small businesses.
- Their platform is one of the best-looking and easiest to figure out among the sector.
- Zenefits can grow with you. Its pricing plans allow you to pay and tweak as you go, add certain modules when you need them, or get rid of them if you don’t.
CONS
- As oriented to small businesses as the tool is, it doesn’t give you the chance to create a custom bundle of the services and/or modules you’d like to have. For instance, Zenefits does not offer a standalone ACA module. Therefore, you will need to purchase an entire HRIS plan if you want to access that offering.
- In addition, Zenefits focuses on small to mid sized companies. If you're an enterprise organization, you may want to consider another option.
- Zenefits is also rather focused on the US market at this point. So, if your team is mostly in another country and you need more of a local know-how, it might not be the best bet for certain modules like payroll and benefits.
With a slick user interface and tools that span across the entire employee lifecycle, Zenefits has everything you need to manage your people with ease. Its payroll is packed with advanced features and is built to serve every company’s unique needs.
Unlike most HR platforms, Zenefits’ payroll system automatically syncs with other HRMS tools, saving your bandwidth for more important tasks. From streamlined onboarding and easy PTO, Zenefits packs several essential HR tools into one place.
Best For
I use Zenefits for HRIS, payroll, benefits, PTO, time tracking and handbook creation and updates. We are currently using Zenefits on a daily basis as it is easy to process off-cycle payroll runs. The extensive library of resources available on a wide range of topics helps in finding a clear answer on whatever issue you may have. Complex issues are easily resolved via email. Communication with support is clear, concise and thorough.
It makes managing benefits, HR documents, and time off requests so easy! I love having a simple tool to manage all things important in one place. Whether its from my desktop or the mobile app, I can access everything I need. Leveraging Zenefits for all of our HR records helps us streamline and reduce paperwork, while making things accessible in one place for all administrators and managers, and limiting sensitive personal information to only HR personnel. Employees can easily update their direct deposit information, taxes, address via self-service through the mobile app.
My organization had grown substantially and had no HRIS, payroll or benefits platform in place; prior to this growth, everything had been done manually. Selecting Zenefits was an easy choice due to pricing, ease-of-training employees and ongoing support. We utilized Zenefits for two years for its payroll, core HR functions, time tracking, benefits and PTO functionality. Its valuable insights and attractive pricing make it a great choice for smaller businesses.
Zenefits cannot appropriately cap 401k contributions resulting in overcontributions for many employees. Some integrations are challenged/non-existent and require uploads and data feeds. There is no dedicated account manager. Tax notifications can be difficult to get answered, often taking several weeks or months after submission. For several weeks, Zenefits was sending HR-related alerts to my personal email.
I prefer Zenefits as an interim in-house solution for establishing in-house frameworks. It is ideal for small organizations with uncomplicated HR needs. Zenefits provides the necessary core functions and versatility required for a growing organization at a reasonable price and satisfactory customer service. Where more complex matters are concerned, I believe Zenefits struggles with viability.
Zenefits is perfect for smaller organizations with uncomplicated needs and limited budgets. Possible integrations should always be considered; the absence of ability to integrate can be a tremendous burden on time, reducing ROI. It is also critical to consider the expertise of HR employees where HR technology is concerned, as well as any training and support needs as these are critical to the internal success or failure of any platform.
Zenefits is good for small organizations with less than 50 employees, either locally or nationally.
Larger organizations with complex needs such as large workforces, international employees, contractors, multiple EIN's, multiple integrations and/or complex tax matters.
Namely
What makes Namely stand out from its competitors is that it’s highly customizable, easy to implement, and has unmatched customer service. Namely is also very scalable and would smoothly grow with your team.
PROS
- Navigating Namely poses minimal challenges for most users, with an intuitive and notably clean UI despite its extensive feature set.
- Users commend Namely's employee onboarding module, which employs a user-friendly wizard to facilitate swift and clear onboarding for new hires.
- In addition to its inbuilt data management, recruiting, onboarding, time off tracking, payroll, and benefits administration features, Namely offers managed payroll and benefits administration services, relieving internal teams of heavy burdens.
- The majority of users are able to navigate Namely without any issues. They find the UI to be intuitive and clean, despite the fact that the platform has lots of features.
- Namely’s employee onboarding module gets a alot of praise from users. It features an easy-to-follow wizard, which helps new hires get on quickly and be clear on what they need to do.
- Besides the platform’s built in features for data management, recruiting, onboarding, time off tracking, payroll and benefits administration, there are also managed payroll and benefits administration services you can opt for to reduce the burden on your internal teams.
CONS
- Namely predominantly caters to the U.S. market, limiting its suitability for international businesses.
- While users applaud its user-friendliness, implementing Namely can be time-consuming, with an average implementation period of 6-8 weeks, as reported by the platform.
- Lacking features for employee development like skill training, career pathing, and succession planning, Namely falls short in this area given its scope.
- Prior to adoption, verifying compatibility with your existing benefits provider is essential, as some users have reported instances of Namely encouraging them to switch providers, sometimes resulting in increased costs.
- Namely primarily operates in the U.S., which means if you’re looking for a global payroll and benefits provider, this platform isn’t for you.
- Though many praise the platform’s ease of use, it does take long to implement it. Namely’s own team says that an average implementation takes between 6-8 weeks.
- For a platform of Namely’s size, there currently aren’t any features that focus on employee development such as skill training, career pathing, succession planning etc.
- You’ll need to check beforehand if Namely can work with your existing benefits provider, if you have one. There have been a few reports (but not few enough to ignore) about Namely’s team convincing customers to change their benefits provider to providers that charged them more.
Namely aims to help you stay on top of your job and free up your time to focus on innovative people strategies. This cloud-based HR software consists of enhanced payroll services, compliance tools, benefits insurance expertise, and tools for employee engagement.
Apart from handling your core HR needs, Namely also offers pre-built integrations with an ever-growing list of partners. But what’s even more compelling is that if you don’t find an integration you need, you could build your own integration through Namely’s secure API.
Namely also has an amazing and active client community you could reach out to if you want an insight into the best practices.
Best For
I used Namely regularly, primarily for onboarding processes, including e-verify. It streamlined new hire documentation, eliminating the need for paper forms. Employees found it intuitive and effective for timekeeping, which made adoption smoother.
I also relied on Namely to ensure HR compliance and oversee payroll, although the payroll specialist managed the day-to-day processing.
One challenge was entering direct deposit and tax form information, which initially created extra work for the HR team. However, I believe these issues have since been resolved, as this was several years ago.
I liked how easy it made onboarding new employees.
The ability to manage and store electronic files was a significant advantage.
The reporting dashboard was clear and helpful for monitoring key metrics.
Employees found it easy to access their paystubs and tax information.
The interface, with its social media-like design, was user-friendly and relatable for many employees.
I consulted with an organization for about one year and administered Namely. They were a small but growing business in need of an HR and payroll solution to manage their expanding workforce.
Namely was chosen because it met the needs of various types of organizations and had the flexibility to grow alongside the company as their requirements evolved. I appreciated the compliance features, which helped me stay on top of regulations and deadlines.
The tool was also within the budget approved by the CFO and addressed the needs of both the HR department and employees effectively.
When I first used it, the platform was new and had some glitches.
Payroll processing was initially difficult for the payroll specialist to adapt to.
Learning which reports were essential versus optional required more guidance than was provided.
I would have appreciated more hands-on support during the implementation phase.
The search function did not perform as effectively as I would have liked at the time.
Namely has a more modern and visually appealing interface compared to some competitors.
It promotes diversity and inclusion through its design and functionality.
Its scalable features are suitable for small to mid-sized companies, though larger organizations may need to explore alternatives.
Compared to tools like ADP or UKG, Namely is a more affordable option, though it may lack some of the advanced features those platforms offer.
While Rippling is a strong competitor, I prefer Namely’s design and user-friendly interface.
It’s important to have an experienced payroll person or request training to ensure smooth adoption, as Namely may not be as intuitive as other platforms like UKG or ADP.
Fully prepare questions for your implementation specialist to maximize the benefits of the tool.
Be aware of the states where your employees work, as compliance requirements can vary significantly.
Understand your organization’s growth plans to ensure the tool can scale with your business effectively.
Namely has added new features, including AI-powered tools, to improve functionality.
The interface has become more user-friendly, addressing previous concerns about the search and self-service features.
Employees now find it easier to access essential HR and payroll information.
I think Namely is great for small to mid-size organizations, but I remember it was a tool that scaled to a limit, and if you got too big, a different solution would be better. It possibly would be at the point a larger org could use them, but not sure they are there yet.
I know one of their main competitors is Rippling, so a user or organization should research both before making a decision. I’d also find out if there is a specific person to contact or just a generic number for questions. Over the years, I have been using many tools, and I personally like a particular person or team to work with.
Namely may not suit organizations that lack clarity about their HR and payroll needs or have no plan for automation.
It is also less suitable for businesses with low-level or non-technical HR or payroll staff who may struggle with implementation.
Companies accustomed to a single tool throughout their history may find transitioning to Namely challenging.
WorkDay
Trusted by the world’s leading companies, Workday runs on automation and innovation to help you save time and money. Its advanced analytics tools can benefit HR teams at even the largest companies.
PROS
- Accessible customer support from the community, live chat, and telephone.
- Compatible with 300 HR systems such as ERP/GL, CRM, HR, and PSA.
- Configurable dashboard with AI and ML-driven insights.
- Ability to maintain real-time alignment of budgets and workforce plans.
- SOC 2 Type 2 compliance.
CONS
- Undisclosed pricing.
- No free trial for its talent management software.
- Time-consuming implementation period (average 4.5 months).
- Challenge navigating for first-time users may require training.
- Issues with logging in were reported by users.
Designed to fuel your acceleration in a changing world, Workday aims to overcome the limitations of an Enterprise Resource Planning system, commonly referred to as an ERP. Workday has many products and solutions but if you’re on the lookout for a payroll and HR solution that would help you optimize the time, talent, and energy of your people, their Human Capital Management system is worth checking out. From creating customized compensation programs to augmented people analytics that give you insights from vast data sets – Workday’s HCM suite is packed with extremely powerful tools.
Best For
I used Workday daily to manage various aspects of our organization's workforce. The key workflows I rely on include employee data management, performance management, and reporting. For employee data, I maintain up-to-date employee records, including personal information, job titles, and reporting structures. For performance management, as a manager, we used it to track employee performance by setting goals, conducting performance reviews, and managing feedback. Workday also has robust reporting functionality.
User-friendly interface: Workday's clean and intuitive design makes it easy for users to navigate and find the information they need.
Scalability: This makes it an ideal solution for growing businesses that require additional functionality over time. As a company expands or needs change, Workday can be customized to meet those evolving requirements.
Seamless integration: Workday offers robust integration capabilities with various third-party applications, ensuring a smooth flow of data across different systems. This compatibility with other software tools enables organizations to maintain a connected ecosystem, streamlining processes and reducing the need for manual data entry or reconciliation.
My organization was 10k plus employees and our old HRIS system was dated and clunky. I used it for approximately 2 years. We needed better self-service for not only employees but for managers as well with built-in approval processes. Additionally, we were looking for a tool that could handle the complex requirements of our global workforce, including compliance with local labor laws and regulations. Our previous system didn't have robust reporting capabilities, and it was challenging to extract useful data for analysis. Furthermore, it made it easier to manage employee data and processes across multiple systems. It also provided built-in compliance features, ensuring that we were meeting legal requirements in all countries where we had operations.
Cost: The investment in Workday is substantial, and not a good option for smaller companies.
Learning curve: While Workday's user interface is intuitive, the platform's extensive features may require some time to master. Adequate training and onboarding are essential for users to get the most out of the software.
Limited customization: Workday offers a wide range of built-in features and functionalities, but it may not be the best fit for organizations with highly specific or unique requirements.
While Workday has a long list of impressive companies that utilize their system I find SAP SuccessFactors does just as much and for slightly cheaper.
Functionality: Determine the features and capabilities that are most important to your organization. Consider aspects such as human resources, payroll, talent acquisition, time and attendance, performance management, financial management, and analytics. Ensure the tool you choose covers the required functionalities or can be easily integrated with other systems to create a comprehensive solution.
Scalability: Assess whether the tool can grow and adapt to your organization's changing needs. A scalable solution will allow you to add or modify features as your business evolves, ensuring long-term viability.
Integration: Examine the tool's ability to integrate with existing systems and third-party applications. Seamless integration is essential for streamlining processes and reducing the need for manual data entry or reconciliation.
User experience: Evaluate the tool's user interface and overall usability. An intuitive and user-friendly design will encourage adoption and make it easier for employees to effectively use the platform.
They have expanded product offerings and made some user experience enhancements.
Enterprise with large (1000k+) and global employees.
Small businesses with under 1k employees.
BambooHR
BambooHR comes with an interface that’s remarkably calming to the senses for a workplace tool. They’re one of the top HR products of all time. Their payroll product, while acclaimed, is only available for paying US-based employees.
PROS
- BambooHR offers flexible packaging and custom pricing, allowing you to select packages and additional modules as needed.
- Renowned for its simplicity and user-friendliness, BambooHR stands out as an easy-to-use tool.
- Flexible packaging and custom pricing is the way they roll. You can pick out one or two packages and pick other modules as add-ons based on your needs.
- Very simple and straightforward tool, easy to use.
CONS
- Payroll functionality is limited to US-based employees, restricting its global reach.
- Similarly, customer support is confined to US business hours, potentially inconveniencing international users.
- Certain modules, including time tracking, performance management, and surveys, are only accessible as add-ons, which would mean an extra investment.
- Payroll is only available for US-based employees
- Customer support is only offered during US business hours.
- Some modules like time tracking, performance management, and surveys are only available as add-ons.
BambooHR refers to itself as an “HR Software with heart” and rightly so. This all-in-one HR software takes care of the entire employee lifecycle by focusing on five key areas which are compensation, culture, people & analytics, hiring, and onboarding.
By keeping customer experience at the center of everything, BambooHR lets you access all your employee records in one place and dramatically reduces your paper usage.
From a robust payroll software that lets your employees quickly access their pay stubs or direct deposit to a highly accurate applicant tracking system that lets you find people who match your company culture, BambooHR has most that you could ask for in an HRIS and more.
Best For
- The tool has been critical in managing employee data and maintaining the database of employee information accessible by the team remotely.
- We use BambooHR for onboarding and collecting information for new joiners. It is also an ideal tool for recruitment and tracking of candidates throughout the recruitment cycle.
- We are also able to use it to track and manage employee leave applications.
- Reporting has been made very simple since I can pull a report in minutes on headcount, analysis on gender, leave, turnover rates, onboarding, and performance
- Excellent Customer Service: The customer support team has been very supportive and responsive in troubleshooting.
- The system is user-friendly and has some videos guiding you through some of its functions. The system is designed to be customizable, so clients can tailor it to meet their specific needs.
- Powerful reporting: BambooHR's reporting features have allowed me to generate a wide range of reports, such as headcount, turnover, and diversity reports, this information is instrumental in making data-driven decisions.
As Covid-19 forced most employers to look into hybrid working models, there was a need for us to look into tools for managing employee information and tracking time off to streamline administrative tasks and reduce errors while working remotely.
BambooHR offers Recruiting and applicant tracking features that make it easier to find and hire the right candidates for open positions remotely.
Additionally, it provides performance management tools, including goal setting and performance reviews, which can help ensure that employees are working towards company objectives and receiving the feedback they need to succeed.
I found the system to be user-friendly, with a modern interface that is easy to navigate and customize to meet our needs. The system also has video tutorials that are clear and guide you through its functions.
The main con would be its limited payroll functionality. It is not available in Africa and its payroll functionality is currently only available for customers in the United States and Canada, which may be a drawback for companies based in other countries.
Pricing is also on the upper limit compared to other solutions, particularly in Africa.
The features on training could also be more customizable to clients in diverse spaces or lines of work
BambooHR has strong reporting features which allow us to generate a wide range of reports, such as headcount, turnover, and diversity reports, which can help organizations make data-driven decisions.
Its user-friendly interface is easy to navigate and find the information users need. The system is designed to be customizable, so users can tailor it to meet their specific needs.
When buying BambooHR or any other HR software solution, there are several criteria to consider, including:
- Location: BambooHR's payroll functions are better suited for companies in US and Canada. For ease of compliance with local regulations, countries in Africa can consider an alternative tool to run their payroll function.
- Company size and needs: The size of the company and its HR needs are important factors to consider when selecting a software solution. BambooHR is generally well-suited for small to medium-sized businesses with straightforward HR needs.
- Customization: Companies should consider how customizable BambooHR is, and whether it can be tailored to their specific HR workflows and processes.
- Security and compliance: Companies should consider BambooHR's security and compliance features to ensure that employee data is protected and that the system meets relevant legal and regulatory requirements.
- Improved user experience: BambooHR has focused on improving the user experience over time, with updates to the system's interface, navigation, and overall usability.
- Deeper analytics: BambooHR has added more powerful reporting and analytics features over time, which has helped users gain deeper insights into their HR data.
BambooHR is well-suited for small to medium-sized organizations with straightforward HR needs. The system is particularly strong in areas such as employee data management, onboarding, and reporting, and is designed to be customizable to meet the specific needs of each organization.
Functions like payroll are better suited for companies in US and Canada.
It is well-suited to organizations that need a flexible, customizable, and user-friendly HR software solution.
Large enterprises: BambooHR is generally not recommended for large enterprises with complex HR needs. The system is designed to be straightforward and easy to use, which means it may not have the depth of functionality that larger organizations require.
It is also not ideal for a company wishing to run payroll that is operating outside the US
Gusto
Gusto offers an affordable basic plan that is suitable for budget-conscious startups. At the same time, their premium plan is a good bet for companies that want to invest more in their employees’ skills. This is especially true in companies whose HR departments are very small.
PROS
- Gusto has an eye-catching UI and multi-device compatibility.
- Easy payroll for U.S.-based W-2 folks, domestic and international contractors.
- Supports online signatures and automated tax filing.
- Flexible payroll options for different schedules and unlimited pay runs.
- Automatic deductions streamline benefits administration.
- Streamlined hiring and onboarding process between HR and new hires.
- Integration with CorpNet and Checkr for post-offer tasks.
- Person-to-person phone support, email, and customer service resources. Licensed benefits advisors available for all plan users.
- Transparent pricing and no long-term contracts. Free account setup.
- Ability to create onboarding checklists send offer letters, and store documents online.
- The dashboard feature keeps tabs on compliance tasks
- The hiring and onboarding sequence is nicely streamlined between HR and the new hire
- Post-offer, pre-start tasks are made easy with integrations like CorpNet (state tax set up) Checkr (background checks)
- Easy payroll for U.S.-based W-2 folks, domestic, and international contractors
- Person-to-person phone support, email, and other customer service resources
- The business model is responsive to customer needs
CONS
- Limited support for international employees.
- No native accounting feature for tracking earnings and spending.
- Simple plan lacks native time tracking and online signatures, requiring third-party integrations.
- Simplistic analytics dashboard.
- Premium plan or add-ons required for federal/state compliance alerts and existing broker/health insurance integration.
- No free trial available.
- Gusto can support payments for international contractors, but not employees
- No native accounting feature to keep earning and spending under the same roof
- Analytics dashboard is simplistic
Gusto UI is both aesthetically pleasing and user-friendly. The platform doesn’t offer mobile apps (except for its Wallet app), but being browser-based means it can “play nice” on all devices.
It supports online signatures and automated tax filing, streamlining essential administrative tasks. It also offers flexible payroll options, helping businesses accommodate varied pay schedules and perform unlimited pay runs.
Another notable advantage of Gusto is that it effectively syncs payroll with deductions. This feature saves time and ensures compliance with relevant regulations. Moreover, its integration with CorpNet and Checkr enhances post-offer tasks — a plus for those seeking better employee onboarding.
Gusto strongly emphasizes customer satisfaction through responsive phone and email support, live chat, and licensed benefits advisors for users of all plans. Plus, the setup is free!
Though it can manage payments for international contractors, full support for international employees is unavailable. Additionally, the software lacks a native accounting feature for tracking earnings and spending, so users must rely on external accounting solutions.
If you’re checking out Gusto’s Simple plan, a heads up: it doesn’t have native time tracking or online signatures, so third-party integrations are needed. Advanced features like compliance alerts and integration of existing brokers are reserved for the Premium plan or offered as add-ons for the Plus plan. Simple plan users do not have the option to purchase these add-ons, which may limit their access to comprehensive compliance support and insurance integration.
American Canning, Matchless Builds, Citizen Pilates, Pain Clinic, Distant Moon.
- Simple plan: $40/month + $6/month/person
- Plus plan (limited time sale): $60/month + $9/month/person
- Premium plan: Customized options available; contact sales for pricing
- Contractor-only plan (no W-2 employees): $6/month/person
Best For
Gusto offers an affordable basic plan that is suitable for budget-conscious startups. The top-tier Premium plan is highly recommended for companies willing to invest more in their human capital, particularly for those with a single-person HR department.
We use Gusto on a weekly and bi-weekly basis to pay contractors, send offer letters, engage employees, and onboard new hires. The key workflows that we use are our recruiting workflow and hiring workflow. Of the workflows, Gusto is heavily used on the hiring and employee management side. Gusto is used from the time an employee receives an offer letter through to their onboarding and paychecks.
The top three reasons why we like this solution are: 1. We no longer have to jump from a spreadsheet, to a PowerPoint, to QuickBooks, and an ATS to accomplish daily tasks. 2. We are saving money by having one centralized system that integrates with our other software instead of paying for multiple systems. 3. Gusto has helped reduce our time to hire thanks to automated onboarding.
We are a startup organization, and we were seeking a cost-effective SaaS HR platform to assist with our onboarding and employee management. We started off utilizing spreadsheets, PowerPoint presentations, and Google Docs. We wanted to streamline our process and have everything in one centralized location. We have used Gusto for two years, and it has been a tremendous help with our hiring workflow. The key benefit it provides is having everything in one place that is readily accessible to all responsible parties in the hiring workflow as well as our employees. We love the self-service functionality.
I dislike Gusto’s applicant tracking system. It isn’t user-friendly and doesn’t have the best UI. They can improve the ATS by making it user-friendly and creating a better dashboard.
Gusto fares well with its competitors in benefits administration and onboarding services. From a cost perspective and the number of features included in their lower-tiered plan, Gusto outperforms its competition. They offer flexible monthly plans that scale with your business without being locked into a contract. This is a very enticing feature for startups that are still getting familiar with tools on the market and determining their software needs.
People should consider how many users require access and whether Gusto integrates with their existing software. They should also look at the number of existing employees and their projected hiring goals to determine if Gusto is a long-term solution.
Over time, Gusto has added new features such as the ATS. It appears it is attempting to be an HRIS. They have also added additional third-party integrations.
Gusto is an excellent tool for startups. It provides cost-effective solutions to help you get started with a small workforce.
I don’t feel Gusto is a good fit for a company seeking an HRIS or a company with over 100 employees. Gusto falls short in this area. Although Gusto has great onboarding capabilities, at times there are discrepancies with payroll, and the ATS isn’t user-friendly or robust.
Why Use a Payroll and HR Software?
If you have just started an organization or are managing a small team, you may wonder if there is any use of bringing payroll and HR software onboard. After all, you could simply keep a database of your employees’ essential information.
While it may not seem like a necessity early on, contemporary payroll and HR solutions offer so much more value than meets the eye. Here are some of the reasons why you should consider investing in payroll and HR software:
- Streamline your workflows: Instead of buying two separate softwares for your core HR tasks and payroll, you would immensely benefit from buying an all-in-one payroll and HR software in a plethora of ways. Not only would a consistent user interface give you more clarity about your work, you would also be able to easily map out an employee’s compensation and PTO based on their attendance, performance, and other such metrics – all of which would be accessible in one single place, if you choose a unified HRIS.
- Save time: The biggest advantage of using modern HR tools is that they focus on automating redundant tasks and freeing up your bandwidth for more creative and strategic thinking initiatives. A good HR and payroll system would help you save time on recurring tasks like payroll processing, time & attendance, and applicant tracking. Once you’ve got your HRMS fully implemented, it would also help you eliminate time on editing company policy and the like.
- Avail expert advice: Dealing with the nuances of payroll processing can get complicated pretty quick. Although a good payroll and HR software would have a user-friendly interface, most such softwares come with a robust support team that’s not only there with you for implementation and weekday support but also for intimating you with regulations that keep changing on a frequent basis. You could also avail the service of these payroll experts for understanding best practices and making important business decisions.
- Improve employee retention: Modern Payroll and HR solutions come with tools for employee benefits ranging from retirement benefits to health, vision, and dental insurance. This not only leads to employee retention but also helps you save money and stay compliant.
- Transparency: Makers of payroll and HR software know that they have many stakeholders. So, while HR managers have access to employee records, employees can access a portal that lets them see their own time & attendance, request time off, avail benefits, and stay up-to-date with any changes. This kind of transparency builds trust, saves time, and helps employees improve their performance.
- Stay Compliant: With the amount of research that risk mitigation requires, figuring out compliance measures by yourself can derail you from focusing on your core tasks. Payroll and HR software companies take compliance very seriously because they know that in today’s world of ever-changing regulations, no company wants the stress of lawsuits or fines looming over their heads. From unlimited access to expert HR advisors to law alerts and compliance resources, a good payroll and HR software would help you stay compliant and up-to-date with regulatory changes.
- Identify trends and patterns: Modern HR technology is equipped with analytics tools that give businesses a holistic overview of their company. From getting an insight into your diversity patterns to seeing your attrition trends in a visually digestible form, you can make use of a payroll and HR software’s analytics tool to formulate new strategies and bring change.
Some pitfalls to avoid while buying a new payroll and HR software
- Inability to integrate with other softwares: Most payroll and HR technologies pride themselves upon their ability to integrate with a plethora of third-party softwares. While the HRIS you’re interested in buying might have the ability to integrate with popular applications, it may not integrate with the system that your company uses regularly.
If you fall prey to this common pitfall, you’ll be spending your days manually entering data from one software to another, causing an unnecessary roadblock for your core HR responsibilities. - No employee self-service: One of the biggest advantages of modern HR solutions is that they come with the employee self-service option, which basically means that your employees can access, edit, and update some of their information on their own – a task that was previously reserved for the HR team.
If the payroll and HR software you’re interested in doesn’t provide this feature, you’ll have to take into consideration the amount of time and labor HR will be spending on these types of tasks. - Inadequate data security: A payroll and HR software by its nature stores a lot of sensitive information including but not limited to your employees’ names, email IDs, phone numbers, and bank account details. You’d not only want to know how the data you’re providing is being used but also how safe it is in the hands of a company you’re ready to put your trust in.
- Moving forward without getting an internal buy-in: You have to keep in mind that it’s not only the human resources department that’s going to use the HR software you’re eyeing, but also your employees. Moreover, different departments have different workflows and needs.
You wouldn’t want to end up in a situation where you bring a new technology on board, only to later hear a complaint about the lack of a desired integration or a feature imperative to a particular team’s work. - A dearth of references from existing clients: HR tech makers flaunt testimonials and client reviews like gold medals. If you don’t find one on their website, it’s definitely ok to ask for references. You can contact their customers to get feedback, or even check among your existing contacts if anyone happens to be using the tool.
Although you can give the benefit of the doubt to some companies, especially when their product is newly launched, it’s in your best interest to get references from multiple clients so you have a fairer picture of the product. - Bad user interface: Information overload affects everyone differently. Payroll and HR solutions that are not intuitive and easy to navigate will frustrate your employees, disrupt their productivity, and unnecessarily increase your HR team’s workload. Make sure you pay as much attention to a vendor’s user interface as much as its cost and features.
Of course, this can be very subjective, so be sure that a good sample of the other team mates that will be using the tool also get a say on how they find the UX / UI of the product. - Getting lured by fancy features: With the kind of interesting extra features modern HR systems come with, it’s easy to lose track of your priorities. Before contacting vendors, spend some time listing down all your essential requirements and features that you absolutely can’t do without. While it’s always nice to have additional features, make sure you’re not compromising on your must-haves.
ROI Of The Right Payroll And HR Software
You may find yourself wondering if a payroll and HR software product is worth buying, and rightly so.
These tools are certainly not free and the cost only escalates as the organization scales up. In the early stages of a company, tasks like time tracking and running payroll can be managed with the help of spreadsheets, although you have to consider that the opportunity cost is your precious time and sometimes even your peace of mind.
But when your organization grows, it’s clear as day that you’re better off outsourcing menial payroll and HR tasks to a software tool.
Consider this simple stat: The average salary of a payroll administrator in the U.S. is $50,000 per year. The average annual salary of an HR administrator is approximately the same as a payroll administrator. If you compare the amount of money you’ll spend on payroll and HR software vs. what it costs to hire a couple of administrators for such jobs, you’ll see that it’s completely worth buying a good payroll and HR software.
Besides, unquantifiable features such as accuracy, elimination of duplicate entries, or compliance risks, however easy to overlook, can make a substantial difference at the end of the day.
Payroll and HR Software Pricing
For most payroll and HR software, the pricing model is such that there is a monthly base fee plus a per employee per month fee. The latter fee is usually around a quarter of the base amount. Most HRMS vendors also provide differently priced packages that you can choose from, however. This depends on the features that you require and your organization’s size. Many vendors don’t disclose pricing upfront and require you to quote a custom price.
Pricing contracts are renewable monthly or annually, with the latter being a cost-effective choice usually. Some vendors also ask for additional charges on top of the pricing plan you choose for various purposes such as for filing W-9s and 1099s, set up, customer support, or consulting.
Make sure you’re aware of these hidden costs before you seal the deal with a vendor. That said, below is a chart of price ranges to keep in mind before you start looking for payroll and HR vendors. Do note that it’s only an average estimate and prices may vastly vary between vendors.
Key Payroll and HR Software Features
After spending countless hours in the HRMS vendor universe, we’ve found that the highest-rated payroll and HR solutions are laden with features that surpass the basic requirements of HR teams.
While some vendors go over and beyond in terms of the add-ons they provide, below is a list of features that you must look for while selecting a payroll and HR solution.
- Automated, unlimited payroll runs: It’s always good to go with a software that aims to eliminate repetitive work. You’d want to choose an HRMS that not only lets you schedule when to pay different employees but also lets you run payroll as often as you’d like, as opposed to solutions that only allow you to run payroll a limited number of times in a month.
- Tax filing and payments: Managing taxes on your own can add unnecessary risk and burden on your shoulders. Top-tier HRMS vendors withhold all your taxes each pay run and file all the necessary annual and quarterly forms on your behalf.
- Multiple pay rates: Vendors are aware that a lot of companies have employees who perform multiple tasks, for which they’re remunerated differently. This adds another level of complexity to payroll processing. It’s in your best interest to go with a vendor who provides such a feature, otherwise, you’ll be wasting your time matching different pay rates to the different number of hours worked; a task that’s best left for automation.
- Employee self-service: A feature that lets employees access their own information not only fosters a culture of transparency and trust but also frees up the HR department’s bandwidth to focus on more high-level, people-centric tasks.
- Benefits administration: Vendors who have a benefits administration platform can rid you of the hassles that come with the open enrollment process in addition to enhancing your employee experience. The biggest advantage of going with a vendor that comes with a benefits tool however is that the benefit deductions automatically flow into payroll for processing, saving you potential hours of manual work.
- Attendance & time tracking: You’d want to choose an HRMS that has an attendance tool that’s fully integrated with the payroll. This would eliminate duplicate data entry and improve the overall accuracy of the payroll system.
- Automated onboarding flows: The process of onboarding usually comes with a lot of paperwork, especially if it’s done manually. Automated onboarding flows let employees onboard themselves with features that allow them to enter their own details, e-sign documents, and self-check all the tasks.
- Employee database: An HRIS with an employee database lets you view all your employee records and information in one single place, making it easy to find any employee’s performance history, salary, position, training records, and more.
Questions To Ask On Demos
Most HR tech vendors either provide a live demo or a recorded one to their potential customers. Think of this as a simulation of what it’s going to be like after you get this product onboard. Lest you get carried away by the number of features or a beautiful user interface, it’s imperative that you prepare a list of questions beforehand that will address your core HR needs.
Although not exhaustive, below are such questions that we think HR professionals should definitely ask to get the most out of a demo:
- How does this HR software integrate with other systems that we already use?
- How do you go about transferring data from our current system to your solution?
- Do you provide training after implementing this software in our organization?
- Can you tailor your software for our specific needs?
- How long does it typically take to resolve any issues we may face?
- What are your security measures like? How do you protect our sensitive data?
- Can you give a product walkthrough from the point of view of different kinds of users?
- Will your solution help me manage contractors and other people who are not full-time employees?
- How will our pricing change as we scale?
- Is your solution cloud-based and mobile-friendly?
- Do you have a team that would help me stay up-to-date with regulatory changes that are relevant to my organization?
- Do you handle international payroll?
- How do you go about handling benefits for employees in different states or remote workers in different countries?
- Is there an in-built tool that helps the HR team communicate with employees?
- What kind of HR processes will be automated?
- What are your key features? What differentiates this solution from its competitors?
Payroll And HR Software Implementation
Depending on whether you’re buying payroll and HR software for the first time or switching to a new one, your implementation process would slightly differ.
There are also variables such as your organization size, training requirements, and the vendor you choose that would dictate your timeline and process. Thus, implementation of a new payroll and HR software could take as little as a day to a couple of weeks.
Most vendors start with an installation, which is followed by data migration (if you’re switching from another vendor), configuration, testing, employee training, and finally officially bringing the software onboard. Later, the vendor may follow up for feedback.
In most cases, the implementation team would ask you for the following information:
- Basic company information such as your EIN (employee identification number)
- Basic employee information such as their name, SSN, address, compensation, etc.
- Payroll and information about already paid taxes, if you’re switching vendors mid-year
Do note that although this is the typical process, it’s best to ask the vendor you’re interested in about their implementation process and timeline before proceeding with them.
Payroll and HR Software FAQs
What is payroll software?
In 2022, when someone says payroll software they typically mean a SaaS solution that manages, records, organizes, and automates a company’s payments to its employees. That being said, payroll software could be cloud-based or on-premise.
What is HR software?
HR software is a suite of tools that helps a company’s human resources department carry out everyday HR tasks in an efficient manner.
What is an all-in-one HRMS software?
An all-in-one HRMS software enables a company’s HR department to carry out a wide range of core HR tasks such as payroll processing, onboarding, recruiting, benefits administration, applicant tracking, and more from one centralized location.
Do companies provide both payroll and HR software together?
Yes, many vendors in the HR space provide a combined solution that takes care of payroll and core HR needs.
What does HRIS stand for?
HRIS stands for Human Resource Information System.
What does HCM stand for?
HCM stands for Human Capital Management.
What does HRMS stand for?
HRMS stands for Human Resource Management System.
What’s the difference between HRIS, HCM, and HRMS?
These terms are often used interchangeably because on the surface, there isn’t a huge difference between HRIS, HCM, and HRMS. The definition varies from vendor to vendor and even among HR professionals. While all three are all people management tools, the differences lie in their features and use cases. An HRIS takes care of your core HR needs and is limited in that sense. An HRMS has the same use case as an HRIS but goes beyond the core HR needs in terms of features, especially if it adds performance management and payroll. Strategic planning is the epicenter of an HCM while having most of the HRMS features all the same.
What are the benefits of using HR and payroll software?
There are many benefits of using an HR and payroll software, some of which are:
- Helps you save time by automating repetitive tasks
- Improves the overall employee experience
- Increases compliance
- Better organization and everything in one place
- Analytics, reporting, and key business insights
- Workforce management
What is the best payroll and HR software?
While we’ve spent a lot of time researching and coming up with this list of best payroll and HR softwares, what is best for one company might not be for some other. Hopefully, our comprehensive yet brief vendor reviews help you shortlist what would be the best payroll and HR software for your particular case.
Last advice
To wrap things up, we hope that the information on this page helped you get an overview of the best payroll and HR vendors, their features, pricing, and how to go about implementing them.
Partnering with a top payroll and HR vendor will help you save a lot of time and money, but what would truly elevate your experience is partnering with a vendor that specifically caters to your company’s needs.
Our advice to you is that instead of looking for a one-size-fits-all solution, you should narrow down your specific HR requirements and base all your demos around that. Dive right into demos with 2-3 vendors and ask them to show specific functionality. If a vendor checks the majority of your boxes, you can then evaluate them on other factors like ease of use and overall user experience.
Lastly, if you're an internationally distributed team, consider coupling this guide with our roundup of the best global payroll software.
About Us
- Our goal at SSR is to help HR and recruiting teams to find and buy the right software for their needs.
- Our site is free to use as some vendors will pay us for web traffic.
- SSR lists all companies we feel are top vendors - not just those who pay us - in our comprehensive directories full of the advice needed to make the right purchase decision for your HR team.