It’s a common question the small business owner faces: What is the best software for payroll for a small business? We’ll tell you. You don’t need to go into debt to pay an expensive payroll system. Learn about a free payroll software for small business.
Free payroll software for small business allows you to have employees’ paychecks directly deposited into their bank accounts. It will withhold taxes and Social Security, allowing you to comply with government regulations. Payroll software programs are available for on-premise system or online use. With cheap software, you can create the payrolls for your small business employees at the click of a button.
Justworks
Justworks is a professional employer organization (PEO) that will completely outsource all of your payroll and handle it for you. The drawback of PEOs is that your employees are technically employees of the PEO and you have less control when something goes wrong. Justworks is our best outsourcing payroll service because of its ease of use, pricing, and the number of HR functions you can outsource with payroll.
Here’s a more detailed breakdown of Justworks payroll service:
- Pricing: $39 to $49 per employee per month, depending on how many employees you have
- Ease of Use: The easiest because you don’t have to do anything except point your employees to Justworks to get signed up
- Tax Services: Handles all W2 and 1099 filings and employer payroll tax filings
- Year-End Fees: Issues all year-end W2s and 1099s online, included in the price
- Accounting Integrations: QuickBooks and Xero, with other API options
Justworks has a strong online reputation in regard to its customer support. They offer support via phone, email, Slack, chat, or SMS 24/7. They also offer a lot of helpful articles and other forms of content that might help your employees through any issues they’re having with the service.
ADP Run
ADP is the most experienced payroll service option on our list. They service businesses of all sizes so they are equipped to handle a small business or they can handle hundreds of employees without a problem. That’s why we chose ADP Run as our best payroll service for growing businesses that plan to be greater than 100 employees.
Here’s a more detailed breakdown of ADP’s payroll service:
- Pricing: Unique pricing for all businesses that is undisclosed.
- Ease of Use: Moderately easy to use but it can be difficult for small businesses who are unfamiliar with payroll software
- Tax Services: Handles all W2 and 1099 filings as well as employer tax filings
- Year-End Fees: All year-end filings are included in the price, regardless of what package you select
- Accounting Integrations: QuickBooks, Xero, and most other accounting software
ADP isn’t known for great customer service, but they still have mostly good reviews online. Their customer service is available 24/7. Overall, their service is widely available but it’s subpar in terms of quality compared to other options on the list.
ADP is the biggest name in the world of PEOs, or professional employer organizations. But if your business isn’t big enough to warrant a PEO, RUN Powered by ADP distills ADP’s decades of HR expertise into an easy online payroll service with thorough HR add-ons.
All of ADP’s payroll system plans include direct deposit, automatic payroll tax filing, and W-2 submissions. It also goes heavy on the HR help. Even the cheapest plan, Core Payroll, includes HR perks like employee onboarding, health care compliance forms, and a regular HR checkup. And if you want more than the HR basics to support your growing team, ADP’s more expensive plans include employee background checks, ZipRecruiter assistance, and dedicated HR assistance.
In contrast to Gusto, OnPay, and QuickBooks Payroll, some of ADP’s basic payroll services cost extra, namely W-2 form filing. So how much does ADP payroll cost? Unfortunately, we don’t know, since ADP doesn’t list its payroll cost online. You have to contact the company directly to get a quote—useful if you want to build a custom package, but less useful if you’d rather not deal with a pushy sales rep.ProsDedicated HR and payroll assistance
Multiple customizable plans
Heavy focus on human resources supportCons
Additional fee for payroll tax administration
Additional fee for insurance add-ons
No transparent pricing
OnPay
OnPay is a solid payroll service that offers integrations for not only most accounting software options but also with most time tracking software. OnPay’s API makes it easy to integrate even if they don’t currently offer a direct integration. That’s why we chose OnPay as the best option if you’re looking for integration options. OnPay is also very quick to process payroll, and you can run the entire process easily right on your mobile device. They offer a flat pricing structure that’s affordable and easy to understand.
Here’s a more detailed breakdown of OnPay’s payroll service:
- Pricing: $36 + $4 per employee per month
- Ease of Use: Very Easy
- Tax Services: Handles all W2 and 1099 filings, annual employer tax filings
- Year-End Fees: All filings are included in the flat fee pricing
- Accounting Integrations: QuickBooks, Xero, and most other major accounting software
OnPay has strong reviews for its customer support. They offer both phone and email support, available Monday to Friday from 9:00 a.m. to 8:00 pm Eastern. If customer support is one of the most important things to you, then this is a great option.
Like Gusto, OnPay is a straightforward payroll and HR program with a beautiful, easy-to-use platform. If you ask, OnPay can tailor its payroll services to your industry at no additional cost. And if you just hired your first employee and are still a little unclear on the payroll process, OnPay is a great fit. Its interface is extremely intuitive—but its experts also set up the software for free, then talk you through your first run.
OnPay further stands out from the crowd by offering key payroll services for free, namely automatic tax filing and end-of-year paperwork. Plus, thanks to its in-house team of insurance brokers, you pay just the premium with no integration fees.
While we love OnPay (as do its users), it’s not the best fit for businesses that want more perks and support as they grow. The base price ($36) and per-employee price ($4) never change—but neither do the features. If you’re hoping for scalable, comprehensive HR packages, you might consider Paychex or Gusto instead.ProsExtremely affordable full-service payroll
Comprehensive payroll tax administration at no additional cost
Solid employee benefits and insurance optionsCons
One plan only (limited scalability)
SurePayroll is the best payroll company for customer service
Best customer supportSurePayroll
3.4
- Starting at $19.99/mo. + $4.00/payee/mo.
Automatic payroll tax administration
Workers compensation and health insurance add-ons (additional fee)
Two-day direct deposit (full-service plan only)
Data as of 12/13/21. Offers and availability may vary by location and are subject to change.
SurePayroll’s customer service, affordable self-service, and easy HR add-ons make it a good payroll option for small-business owners with just one or two employees.
With self-service online payroll software starting at $19.99 a month and full-service software starting at $29.99 a month, SurePayroll is the most affordable payroll system in our top five. Its extended customer service hours on weekdays and Saturdays are perfect if you want (nearly) round-the-clock assistance for payroll problems, which can cause major issues for your employees if they aren’t resolved ASAP.
SurePayroll is cheap, but it has a few additional costs. For instance, multi-state payroll tax filing costs an extra $9.99 a month. And SurePayroll lacks the expansive employee benefits, scalable plans, and HR perks you’ll get with Gusto or Paychex—another reason it works best for the smallest of small businesses. If you have just a few employees and want to offer good benefits without going all-in on expensive add-ons, SurePayroll’s online payroll system could work well for you.ProsAffordable full- and self-service plans
Extended customer service hours
Affordable insurance add-onsCons
Limited scalability
Limited employee benefits
Limited HR assistance
Patriot – Best Payroll Software for Startups
Best Payroll Software for Startups360 OVERALL RATING
4.0 out of 5MONTHLY FEE$10 + $4/Payee and UpDIRECT DEPOSITTRIAL PERIOD30 DaysPRIORITY SUPPORTMORE DETAILSSEE REVIEW
Patriot: Patriot comes in at No. 2 on our Best Payroll Software for Small Businesses rating. It offers the most affordable plan in our payroll software ratings, starting at just $10, plus $4 per payee per month for its Self-Service plan. Small business owners may be attracted to Patriot by the price alone, but even at such a low cost, Patriot offers its users comparable features to most other payroll providers. Patriot will set up your account for you and allow you to process unlimited payroll runs, at any frequency, across multiple office locations. You can integrate payroll with Patriot’s accounting software or QuickBooks, and use Patriot Time and Attendance or TSheets to track your employees’ hours. And Patriot offers an add-on HR service for $6, plus $2 per employee per month.
However, Patriot’s Self-Service plan does not cover your payroll taxes. If you want to automate your local, state, and federal taxes, you will need to get Patriot’s Full Service plan for $30, plus $4 per payee per month.
Conclusion
If you are looking for the best payroll software for a small business then look no further. There is a solution to all your problems. Payroll processing can be time-consuming and tedious, but retail sales software can make the process much easier. With this software you can integrate multiple platforms into a consolidated report that handles your accounting and payroll work with ease.