Best HR and Payroll Software Systems in 2025
This guide reviews top cloud-based HR and payroll software, including pros, cons, pricing, ROI, implementation tips, and more.
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Best Payroll and HR Software
Whether it's small businesses or large corporations, one thing that's a must for every company is ensuring employees are paid accurately and on time. Good payroll software takes care of this. But what's even better is that some can even handle several HR tasks, from onboarding to time tracking, benefits, and workforce planning.
We put together this guide in 2022 and have been updating it ever since to help HR leaders find the best HR and payroll software for their needs. If you need help narrowing down your options to 2-3 of the best choices, simply request personalized help from our HR experts here (it's free).
To bring you the best HR and payroll systems, we conducted extensive research and leveraged our expertise in the industry. We've been following and demoing numerous software solutions over the years. Combined 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 used to evaluate these tools are workflow automation, payroll processing, and core HR features.
- 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 software 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 HRMS 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.
- 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.
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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Paylocity
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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.
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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 40k 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.
We use Paylocity every day. It is integral to our recruiting process, allowing new employees to apply and enabling us to send offer letters through the platform. We also use it for onboarding new employees, where they complete tasks like filling out I-9 forms, tax forms, direct deposit information, and signing off on policies.
Employers complete their portion of the onboarding process before employees are moved to HR and payroll. Paylocity is also used for timekeeping and scheduling, with employees punching in and out through the time clock, allowing us to track attendance and tardiness.
Additionally, we use it for payroll and benefits management, including open enrollment and eligibility tracking. It serves as our primary communication tool, with a community page for announcements and chats with employees. The survey module is another valuable feature, helping us conduct satisfaction surveys.
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I like it is an all in one system and is easy to use. I have used a few other payroll systems and this one is by far the easiest to use. I also like that there is an app for employees to use. Most of the functions are available through the app and Paylocity is constantly improving the app and system to meet our needs.
I also like that I have one main customer service contact with any issues. There is an email to our dedicated rep and a phone number. If our rep is unavailable there is a team that can help assist.
We needed an all-in-one system, and this was the best option. It includes all the tools we required, such as onboarding, recruiting, timecards, schedules, payroll, and benefits. It is user-friendly and easy to use. We have been using it for three years. When I first joined the company, HR and payroll were outsourced, and we used at least two different programs.
Paylocity provided an excellent solution by integrating all the systems we needed into one login. It was also cost-effective since Paylocity charges per employee per month, and we can run as many payrolls as needed without incurring additional charges.
We recently experienced issues with PTO not calculating correctly, which took some time to resolve, requiring manual adjustments for employees. Some onboarding documents are not readily accessible, as they should automatically transfer to the HR and payroll profiles for easy access.
Paylocity is actively working to resolve this issue. We also encountered problems with double-time payments, which removed some regular hours, but this was addressed with Paylocity’s assistance.
I have used ADP and Paycom in the past. Paylocity stands out by providing a dedicated customer service contact, whereas ADP only offers a general number to call. I also find Paylocity to be more intuitive and easier to use than both ADP and Paycom. Overall, I prefer Paylocity over other systems I’ve used.
Some key questions to consider include whether the tool will meet most or all of your needs, how long the company has been in business, and whether similar industries use the software. Evaluate its ease of use and affordability to ensure it fits within your budget.
I recommend asking for references from current users to gain insight into their experiences. Watching a demo can also confirm whether the software aligns with your company’s requirements.
Paylocity has introduced new modules, such as the rewards and recognition module, which consolidates anniversaries, birthdays, and employee achievements in one place. The app has also been significantly improved since we started, offering more features and functionality than before.
I think any organization could benefit from using Paylocity. My industry is healthcare, and it works exceptionally well for us. I am part of an HR group where members from industries like manufacturing and professional services also use Paylocity successfully.
I can’t think of any. Having worked in various organizations, I believe Paylocity would be a good fit for all.
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APS
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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.
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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.
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Rippling
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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
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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.
We used Rippling as the source of truth for all HR reporting and documentation. The prior system we used did not have the storage and reporting capabilities to be our source of truth.
The key workflows we used were onboarding, offboarding, and document signature and retention. We were able to get most of the functionality we needed for these processes, but there were a few things that didn't work the way we needed them to without buying additional workflows.
There were some basic workflows, which were unlimited and free, but there were others that required upgrades and extra charges. The core plan included one workflow, so if you needed more than that, you had to purchase additional or upgrade your plan. The way that we set up our onboarding workflow (which was specific to location), we needed several workflows to accommodate our different locations, which was not a cost-feasible upgrade. Also, if you change the trigger on the free workflow, it changes to an upgraded workflow.
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Rippling is user-friendly; you do not need to be a programmer to be able to program functions on this platform. You can contribute ideas for new features or functionality. Their customer service is better than most HRIS systems.
The organization had been using an HRIS system that did not have the robust reporting, automations, or customer service they were looking for. I used Rippling with the company for about a year and a half as a super admin. We found Rippling's customer service superior to the previous system we had been using.
Implementation was easy, but I strongly recommend that someone who has done implementations previously spearhead an implementation to help bridge where you were with a previous system to where you want to go with Rippling. Setting up workflows and automations is easy in Rippling, and their technical advisors are always willing to hop on a call to walk you through any issues that you may need additional help with.
We started using Rippling as the HRIS/payroll for our US team but quickly added the Canadian team. We used it largely for headcount and reporting for all other global teams.
Only one workflow in the core plan; everything else is an upgrade. Rippling often uses their customers for BETA testing without letting them know (Rippling told us they had functionality for payroll in another country when they did NOT). It feels like they are constantly trying to upsell you and get more money out of you.
The tool is one of my favorites so far. It is very easy to use, but when you get stuck on something, they will provide live support to walk you through. Most other HRIS systems are very helpful through implementation but are hard to reach once you have completed.
People need to think about the implementation process; the new tool is probably not going to look or act like the old tool. Definitely ask if there is a demo account and work through it to see how it works.
Think about where your company is now versus where you expect to be in five years. Will the tool grow with you? How much additional expenditure will be required to scale it with your business? If there are new functions you will need to purchase in the future, will the additional expense work with your scaling budget?
Rippling is very good at taking requests from customers for new functionality. For the most part, Rippling employees only know Rippling; they don't know other platforms. So they don't know how you used XYZ brand prior and how the change in process affected your business.
Rippling is good for organizations with a growing or evolving workforce. It can house all historical HR documents, send revised documents out with the click of a button, and update workflows easily.
Rippling would not be a good fit for a small, cost-conscious organization that doesn't need all the functionality it provides or would have to pay substantially more for the add-ons.
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OnPay
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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.
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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 weekly for our payroll runs, and it's become an essential part of our routine. The key workflows we rely on include calculating and processing employee salaries, handling automated tax filings, and managing direct deposits. This is challenging for us because we have employees on several different types of contracts. Onpay’s benefits administration feature simplifies enrollment and tracking for our team. It also keeps all our employee records up-to-date and compliant, ensuring everyone gets paid accurately and on time. We've also minimized payroll complaints from staff, which is a significant improvement.
- Super Simple: Onpay is easy to use, even for someone who’s not a payroll expert.
- Tax Magic: It takes care of all our tax filings automatically, saving us a lot of time.
- Great Value: For what it offers, the price is excellent, especially for a smaller team like ours.
We bought Onpay because our previous payroll system was outdated, causing delays and errors that made payroll days difficult. We needed something reliable and easy to use, especially for our small team. Onpay met all our requirements with its straightforward interface, automated tax filings, and affordable pricing. It also integrates well with benefits and handles employee onboarding efficiently. I've been using Onpay for about a year now, and it has significantly reduced our administrative workload.
- Limited Customization: I wish there were more options to customize reports and dashboards.
- Customer Support: The support can be slow at times, which is frustrating when you need quick assistance.
- Advanced Features: It lacks some advanced features that larger businesses might need, making it feel a bit basic for more complex needs.
Onpay stands out with its straightforward, user-friendly interface and great value for money. Unlike some other tools I've tried, it's incredibly easy to navigate and doesn’t overwhelm with unnecessary features. I appreciate that it automates tax filings, which many other tools don't do as effectively. While it might lack some advanced options that larger businesses may need, for a small team, it offers the right balance of functionality and simplicity at a great price.
- Ease of Use: Choose a tool that is easy to navigate, so you’re not stuck figuring out complex menus.
- Automation: Ensure it handles tax tasks and direct deposits automatically to make payroll days stress-free.
- Support: Verify that the support team is helpful and quick to respond when needed.
- Cost: Make sure it fits your budget without sacrificing essential features.
Onpay has improved over time by keeping things simple and adding useful features. They have perfected automating tax filings and direct deposits, making payroll days easier. The interface has become increasingly user-friendly, which is a big plus.
It is ideal for small to mid-sized businesses that need a payroll system without extra complexity. It’s perfect for those who want an easy-to-use platform that handles all the payroll essentials, such as automated tax filings and direct deposits. If you’re running a business and want something straightforward and affordable without all the complicated features, Onpay is an excellent choice.
Onpay wouldn’t be a great fit for large organizations with complex payroll and HR needs. If you require advanced features, extensive customization, or robust integration with other sophisticated systems, Onpay might feel too basic.
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Paycor
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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.
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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
I use Paycor Recruiting to manage multiple job openings and candidate data. Specifically, to access different job postings and review candidate details, likely to determine if they are a good fit for the role. After identifying potential candidates, I use it to manage them throughout the recruitment cycle, moving them from one stage to another as appropriate. This process may include reviewing resumes, scheduling interviews, sending messages/emails, adding comments, and conducting background checks or reference checks.
It also provides a centralized platform for managing multiple clients and candidates since it has the ability to organize and track candidate data and makes it easier to identify the right candidates for the clients and move them through the hiring process more efficiently.
Overall, Paycor Recruiting is an effective tool for managing recruitment efforts, particularly for staffing firms or organizations with multiple clients. By providing a centralized platform for managing job postings and candidate data, Paycor Recruiting can help streamline the recruitment process, making it easier to identify top candidates and move them through the hiring process more quickly.
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What I like about Paycor is that it provides a convenient way to manage and update information about job candidates all in one place. I also appreciate that I can communicate with candidates directly through Paycor, keeping track of past conversations and future interview plans. Additionally, Paycor makes it easy to sort through candidates based on specific skills needed for the job.
Our organization purchased Paycor to help address several key challenges we were facing in managing our candidate database and streamlining the hiring process. This led to inefficiencies in our recruiting efforts. By implementing Paycor, our organization hoped to have a centralized database that would make it easier to organize, search and sort through candidate data, ultimately leading to a more efficient hiring process.
Another key factor that led us to choose Paycor was its ability to help hiring managers process applications more quickly than was previously possible. With the volume of applications we were receiving, it was becoming increasingly challenging for hiring managers to review and respond to all of them in a timely manner. Paycor offered a suite of tools and features that promised to streamline the process, enabling hiring managers to identify and evaluate top candidates more efficiently.
Finally, as a staffing firm, we needed a tool that could help them manage the different clients we were working with within a single portal. Paycor offered a range of features that made it easy to organize and track client data, enabling us to manage relationships with clients more effectively.
I would like to express my dissatisfaction with the platform's outdated user interface design in comparison to other Applicant Tracking Systems (ATS) which are currently more in line with prevailing market trends. Additionally, I have noticed occasional lags in the tools when generating reports or retrieving candidates' information, which can be problematic. Another issue I have encountered is that the platform does not save the last search that was performed, which can be inconvenient and time-consuming.
One aspect that I find particularly helpful is the ability to track a candidate's progress through various stages of the recruitment process, including the "Back Burner" stage, which is valuable when identifying a potential candidate for future hiring needs if not the present needs. Another advantage of Paycor Recruiting over other Applicant Tracking Systems (ATS) is the ability to filter candidates based on niche skills, which can be especially beneficial for filling specific job requirements. Finally, I appreciate the ease of use when generating and rolling out offer letters with Paycor, making the hiring process smoother and more efficient.
When you are thinking about buying a recruitment or HR tool, there are some important things to consider. Firstly, you should think about the cost of the tool and whether it is affordable for your organization. You also need to make sure that the benefits of the tool outweigh the costs.
Secondly, you should think about the size of your organization. Some tools may be better suited to smaller or larger businesses, and you want to make sure that the tool you choose is easy to use for all team members.
You should also think about how many people will be using the tool, as this can affect the licensing and training requirements for the software. It's important to make sure that the tool can accommodate the number of users you need and that you have the resources to train your staff effectively.
Finally, you should consider where you will be posting your job openings. If the tool you choose isn't connected to popular job portals in your region or industry, it may limit the number of candidates you can reach.
Overall, if you carefully consider these factors, you can choose the right tool that meets your specific needs, budget, and goals.
Paycor, as a human capital management platform, has made changes over time based on user feedback to improve its interface. Additionally, Paycor is willing to provide more demo sessions to help users understand its platform better. The platform has also made changes to accommodate big organizations, and started targeting those as their potential customers. Overall, Paycor has taken steps to enhance its user experience and meet the needs of its diverse user base.
Paycor can be particularly beneficial for small to mid-sized businesses that are looking for a user-friendly, cloud-based HR solution that can streamline their HR processes, including payroll, benefits administration, time and attendance tracking, and compliance management. Additionally, Paycor can be useful for companies that are looking for tools to manage employee onboarding and development, as well as those that require custom reporting and analytics to make data-driven decisions.
Paycor may not be suitable for large organizations with complex HR requirements, as they may need more sophisticated HR software to handle multiple departments, locations, and employee types. Additionally, organizations that do not use technology for their recruitment and HR processes may not benefit from Paycor's features and functionalities.
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Netchex
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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.
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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.
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UKG
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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.
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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
I use UKG daily. It serves as our ATS, onboarding, full HRIS, and payroll system. Our applicants apply on our career page, and we can process the applications, complete the offer letters, and conduct initial onboarding all within UKG. The system also functions as our timekeeping and payroll system, allowing our staff to use the mobile app to clock in and out. Their timesheets are approved in UKG and submitted to payroll for processing.
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Some of the pros of UKG are that we can easily transfer information from the applicant profile to create the employee profile with no additional steps. Another pro is the ability for our employees to clock in and out easily from their mobile devices. Lastly, our benefits and payroll are also processed within UKG, making it a more convenient process for our organization.
We purchased UKG in 2019 to help streamline our hiring process, onboarding, and payroll system. Some of the benefits of UKG include being an all-in-one hiring, onboarding, and payroll system. I am one of the administrators of our UKG system, so I use it extensively. I am very proficient in what the system can offer, along with its downsides. The tool has significantly improved our operational efficiency since its implementation.
Some cons we have found with UKG include not being fully HR compliant; for a couple of years, we have not been able to properly run our EEO-1 reports. We use UKG to complete our I-9s and E-Verify, but that is not without constant issues. Some reporting capabilities hinder us from gathering information conveniently, often requiring us to manually maneuver the reports. Lastly, the system undergoes quarterly updates; however, each update often causes another issue in UKG, which we are not notified about until we submit a ticket. This causes many problems and makes us lose faith in new updates.
Many of their competitors are now all-in-one systems, so there isn't much difference in that aspect. Some improvements are needed to make it a perfect system, but the mobile ability for employees makes it very convenient for our staff to clock in and out from various work locations, differentiating it from its competitors.
The criteria that people should think about when buying this tool include the price; it is not an inexpensive tool, especially if purchasing all of the extended platform options such as the advanced scheduler and the leave or training modules. If a full HR compliance system is needed without manipulating the data, this system may be problematic.
UKG consistently updates its system to make improvements. They try to listen to their customers and work on ensuring they meet our needs.
UKG is best for an organization that needs a basic HRIS system.
UKG would not be suitable for an organization that needs to do extensive HR reporting or extensive compliance procedures.
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ADP
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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.
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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
ADP is used to process our US payroll and enroll in US benefits. It is also used for ADA compliance and generating 1095 forms for our employees. Since payroll is processed through ADP we also generate W2s for our full time employees. ADP helps to streamline benefits enrollment as we are able to have carrier connections with our carriers and ADP
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I like ADP's ADA health compliance features, I like their payroll processing features, and I like their report-generating tools
West Monroe has used ADP for 10 years now. We moved to ADP to streamline benefits enrollment and to process payroll. ADP was purchased to help West Monroe grow to scale. When it was first purchased we were at 300 employees. As of today, we are at 2000 plus employees who we process payroll and benefits for
I dislike their open enrollment platform, customer service is sorely lacking, and their employee benefits profile always has problems
ADPs reporting is intuitive and one of the only features i like and would recommend
People should think about how they want to grow with ADP. For example, West Monroe is now an international company, and ADP payroll and benefits only works well for those in the US
The updates in their reporting abilities have helped with our company's needs
ADP is good for payroll and tax admins
ADP is not good from an employee perspective. The way benefits enrollment is done is confusing as are the pay statement reviews
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Zenefits
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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.
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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 payroll and tax reporting for employees and contractors. I process payroll biweekly but log into Zenefits weekly for updates. We also enter our health insurance and retirement info into Zenefits, although we have external brokers. Another way we use this HRIS is to view and download payroll reports for our Accountant to use. I access and download these reports monthly.
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Zenefits is user friendly. The reporting documents are displayed in a way that is easy to read and follow. The policy templates are helpful. The cost for a small business is reasonable.
We purchased Zenefits because we needed to hire a team of contractors and after trying out a few options we preferred Zenefits. Zenefits handles payroll and employment tax reporting for us. Zenefits also has a suite of HR policies and forms we can use or customize. We have used this HRIS for 2 years now. I work for a client as their HR Manager but use a different HRIS than Zenefits for my own company because Zenefits's customer service is less than desirable.
Zenefits has very poor customer support. We often have to speak with 2 or 3 different reps to get an issue resolved, and it takes days to weeks. Zenefits also does not offer 24/7 support. Reps are not always helpful and often seem to be unfamiliar with basic HR fundamentals. Improving their customer service would resolve all 3 of these issues.
Zenefits is very easy to use and the dashboard is displayed in a very appealing way, making it easy to find what I am looking for. For example, all things related to payroll can be found under the payroll button. All reports can be found under reports tab, etc.
People should consider their budget as Zenefits is a pay per employee service. People should also consider if they are likely to need regular customer support. I advise anyone considering Zenefits to schedule and view the demo to determine if the system may be a good fit.
Zenefits was purchased by TriNet and the customer service has been horrible since then. I can't think of any improvements.
Small businesses who won't need a great deal of customer service support, or who won't need a lot of immediate assistance.
Businesses that require a ton of customer support.
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Namely
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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.
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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 for every payroll of course, but also onboarding staff and making sure they are set up in payroll. Additionally, things like getting employees data regarding payroll such as w2s was much easier. It was especially helpful that our staff can self-serve, which in a company with a small HR department is critical. It was really easy for them to learn, and employees are able to enter PTO requests and track their balances without having to reach out to an HR professional. So that feature was used throughout the company every week. Also, the social feature was appreciated by the staff, such as seeing coworkers' birthdays and anniversary, so they can congratulate and interact.
I really liked the fact that our staff, who had never used any kind of HRIS before, was able to pick up on this so easily and didn't have trouble or need intensive instruction. I also liked the degree to which they were able to solve problems and access information on their own. I also felt the onboarding features were robust and easy to use.
At the time we switched to Namely we didn't have an HRIS and were manually doing everything from onboarding to payroll. Since we were growing, we needed a proper system. It definitely made things like reporting and providing employee data far more efficient and accurate. Also, the onboarding process was easy and saved a lot of time and prevented overlooked details and errors. The staff also liked using it and clocking in and out became easier with fewer mistakes. Once it was all set up, running payroll, making payroll changes, and accessing payroll records was much faster, easier and problems became rare. I used it for a year.
When I needed customer service, it wasn't the best I have ever experienced or the quickest, with a lot of different representatives involved of varying knowledge and understanding. I think better built in help resources would improve the product overall. I didn't find the benefits administration easy to use either.
I have used many similar tools and feel like Namely is a solid system compared to similar products. I don't think it is the very best, as it did lack some features such as an ATS, but for a smaller company these may not be as needed. The ease of use was a bit better than others, but the customer support needed improvement. Overall, I was happy with it.
People should consider what features they may need, and compare them to similar tools, since there are similar products with more features. Also, they should consider the size of the company, since Namely is best for small to medium sized organizations. If people are without any kind of tool like this, they should consider the cost involved is worth the many efficiencies they will gain from employing Namely.
In the time I used Namely, I think they did improve the customer service somewhat, which was a problem in the beginning. This is important because the work done in Namely is often time sensitive, such as payroll, and problems can have a major impact on staff, so customer service is critical.
I think this is perfect for small companies with employees who need an easy-to-use tool. It is great for companies who have never used a system like this before because the user interface is very intuitive.
Very large companies that do a great deal of hiring may find Namely not robust enough and lacking in certain features.
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WorkDay
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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.
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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
What I like the most about Workday is its simple interface that you don't have to ask your Boss how to use it. It is very intuitive and easy to find what you are looking for. I worked for 3 companies before and ALL of them are using Workday. It is famous for being so straight-forward and simple and yet a very reliable tool between the company and the employees.
It is user friendly. It is easy to teach it to employees outside of our Human Resources department. There are so many features!
We bought Workday to ensure we had a financial system that would work with our HR systems. This helped us accurately run payroll. We use this Workday for storing the employee information, such personal details, previous employment details and contact details. It helps to track the goal setting to yearly appraisal feedback. We can easily be able to track the compensation revision history as well. It is a highly secured website. It requires a password + additional two security questions to login. This ensures the additional safety of the data.
It can be confusing to navigate at times. That is partially the software itself but more so how our team decided to set everything up. We are still adding more and more and making this process better for our users.
I would consider it very similar to Paycom. I would recommend Paycom over Workday by a slight margin.
Workday is an excellent choice if you are the owner of a business with 250 to 1,000-plus employees and require workforce management tools (onboarding and training, scheduling and leave management), as well as HR analytics tools (pay management and performance evaluation and management)
It has evolved to take on more employees with little effort.
Human Resources, Management, Financial Department
A smaller or start-up business.
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BambooHR
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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.
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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
As the HR leader I use BambooHR for everything!! I store all of our important documents and records in Bamboo. I do all of our recruiting, offer letters, and onboarding through HR. Once we hire an employee they are given their own login information to be able to access the org chart as well as put their PTO in. I also run reports to track everyone's PTO, promotions, and other key performance indicators for employees.
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- BambooHR is easy to use and train employees on. BambooHR makes it very easy to create offer letters and email templates when it comes to recruiting.
- BambooHR makes it easy to recruit and keep track of candidates, and the stages they are in in the interview process.
- The BambooHR 'how can we help button' makes it super easy when you have a problem or a question to get a resolution.
We are a small organization with roughly only 25 employees but we need a tool that could do it all. When making this decision we compared tools that could sit as an ATS system combined with an HRIS system. Not only can BambooHR fit in those factors, it can also have benefits and payroll implemented in their system if we wanted to stop using our other payroll system. We have been using BambooHR since March 2023 but I had used it at a prior organization so that was an easy decision to move forward with it.
- I wish BambooHR let you have candidate scorecards when recruiting.
- BambooHR makes it easy to create onboarding documents but it does not always simplify the packets for each job function.
- I wish BambooHR had the ability to open and close jobs more fluidly similar to Greenhouse - multiple openings in one job code for tracking purposes.
BambooHR is a great product for a small growing organization that needs a product to do it all. Because we have a limited budget we needed to find an ATS that could also onboard and fit as a people management system. I think that BambooHR is cheaper and easier to use.
When buying a tool like BambooHR I think they should consider price (this was our number one driving factor), and scalability. As we continue to grow, BambooHR will be able to grow with us.
BambooHR has evolved over the years since I last used it. They have developed their reporting capabilities, added payroll and benefits to their system, as well as created a system to organize a 'talent pool'.
BambooHR is good for a company with less than 400 employees that is looking to grow their organization, and manage current employees.
BambooHR might not be a fit for companies that are larger than 600 employees or trying to make a lot of hires at any given time.
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Gusto
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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
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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.
I use Gusto daily for various HR and payroll-specific tasks. When an applicant has made it through the interviewing and screening process, I send an offer letter using Gusto. I also send a background check through Gusto's provider, Checkr.
After the applicant accepts the offer and completes the background check, Gusto walks me through the hiring and onboarding process for the new employee. I enter worksite-specific information such as the new employee's supervisor, which department they will be working in, assign risk class codes for worker's compensation, and assign any company-paid time off/sick time policies to their file so that these will accrue during each payroll.
The applicant is then invited to enter their personal information so that we can complete their I-9 and sign them up for direct deposit, wage withholding with the W-4 form, etc.
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Gusto has a user-friendly and intuitive interface for basic payroll and onboarding functions. Their app is easy for our employees to understand and navigate. They integrate with several other third-party apps, such as Checkr for background checks and Guideline for 401k plans.
My company purchased Gusto because it was recommended to us by our CPA as a great payroll provider for small businesses. We needed to find a way to automate as much of the payroll process as possible. We looked for software that would file new hire reports for us, automate the onboarding experience, and pay our employees accurately and on time. We also needed something easy to use and that had the option to integrate with other frequently used apps. I have used Gusto for over two years.
I have experienced several "bugs" when we have unique issues with employees, such as messages indicating an overdue payroll from a year previous after entering an employee's promotion. Their customer service team is available during business hours for calls, but I have been given inadequate solutions several times when speaking with one of these representatives. Their reporting function is very limited and doesn't allow for complex custom reports.
Gusto is an affordable solution for small businesses that don't require complex reporting. If you have a company with 50 employees or less, it may be a great solution. I have used other payroll and HRIS systems, such as ADP, Paychex, and Paylocity, which have more advanced capabilities, and I would recommend one of those for mid- to large-sized companies. The biggest difference between Gusto and these other systems is the ability to create custom reports and formulate data analytics as a tool for talent acquisition planning.
If you're in the market for a tool like this, consider the size of your business and what you will be using the tool for. If you're operating a small business and just want the basics covered, a platform like Gusto may be affordable and practical. If you want the ability to create data analytics and grow your talent, you'll need a system with advanced custom reporting capabilities. Government-required reports such as OSHA 300 and annual EEOC reporting will require data each year, so you'll want to have a tool to handle these needs without manual number crunching.
Gusto meets virtually with customers on a quarterly basis to review their accounts and ensure customers are aware of all the capabilities they have access to. They accept feedback and send ticket requests to their support team for consideration when updates are requested. Since I started using Gusto, they've expanded by giving companies the ability to address employee performance, send out monthly anonymous employee surveys, and upgraded their payroll entry process so that data can be imported from other apps.
Small to mid-sized businesses without complex reporting needs will find Gusto very helpful.
Large businesses (100 employees or more) or those that want to create complex reports and utilize data analytics should look for more robust tools.
Payroll and HR Software Benefits
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 software 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, but 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 and attendance, and applicant tracking.
- Avail expert advice: Dealing with the nuances of payroll processing can get complicated pretty quickly. Although integrated payroll and HR software would have a user-friendly interface, most such software comes 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 frequently. You could also avail of 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 is an effective employee retention strategy but also helps you save money and stay compliant.
- Transparency: Makers of HR and payroll 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 and attendance, request time off, avail of 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: 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 system 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 system to formulate new HR strategies and bring change.
ROI Of Payroll and HR Software
HR and payroll systems are often 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 system.
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
The cost of payroll and HR software varies based on the provider, company size, and features included. Most vendors use a pricing model that includes a monthly base fee plus a per-employee-per-month fee, with the per-employee cost typically around 25% of the base fee. Vendors also offer differently priced packages based on feature requirements and company size, and many require custom quotes instead of listing standard prices publicly.
Here’s what you can expect from some of the top payroll and HR software providers:
- APS: Minimum monthly billing of $250, additional HR tools cost extra.
- Paylocity: Pricing is not publicly disclosed; custom quotes are required.
- Rippling: Starts at $8 per user per month, but costs increase based on the selected modules.
- OnPay: Offers transparent pricing with free setup and data migration.
- Gusto: Base plan starts at $40 per month + $6 per employee.
- Deel: Payroll options start at $19 to $29 per employee per month.
- Patriot: "Basic" plan is $17 per month + $4 per employee; "Full Service" plan is $37 per month + $4 per employee.
- QuickBooks: "Core" plan is $45 per month + $4 per employee.
HR and Payroll 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 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?
HR and Payroll System 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 on board. 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 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 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 HR software, 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 HE and payroll 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 HR and payroll systems, their features, pricing, and how to go about implementing them.
Using a top payroll and HR solution 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
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- 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.