Free Payroll System for Small Business

Here are some of the best payroll software solutions that are free to download, use and implement. Payroll programs are not just essential to businesses, but they’re also necessary on employee side for record keeping and tax purposes.

These payroll services make it possible for businesses of all sizes to manage their expenses and save money on human resource management.

ExcelPayroll

If you’re currently doing your payroll calculations in a Microsoft Excel spreadsheet, consider upgrading to ExcelPayroll. This is a free software you can download that is essentially an Excel spreadsheet with additional payroll features. All you need to do is punch in your employees’ earnings and deductions and then ExcelPayroll will do the calculations for you. Here is more detail on how it works:

  • Process payroll in accordance with any cycle you like and for up to 50 employees. Then print checks using a laser printer and valid bank paper check stock.
  • Manually enter federal, state, and local tax information, as well as vacation and overtime accruals. ExcelPayroll cannot perform tax or benefits administration.
  • Import and export data in any format that Excel accepts, such as CSV and XLS.
  • Generate reports on tax compliance and workers’ compensation.
  • Generate accounting entries.
  • Customer support via email only.

This product is fairly bare-bones, and if you’re not an Excel user you’ll probably have a hard time with it. But for those that do use Excel, ExcelPayroll could be a great free payroll software for your small business.

5. RiseLite

If your small business has 20 employees of fewer, RiseLite is a great free payroll software option for you. The catch is, they’re only an option for businesses in Canada as of now. The service is completely free for businesses with 20 of fewer employees, but you’ll have to pay for the service if your small business increases.

They have good reviews from their customers and other sites. They have a 4.3 out of 5 star-rating from G2 and a 4 out of 5 stars from Software Advice.[1] The RiseLite software allows you to get set up and start processing payroll quickly. It also allows customers in Canada to automate their tax forms and saves users time when it comes to sorting through commissions, deductions, and bonuses. RiseLite features include:

  • Ability to pay employees whenever you want—you can make payments between regular pay period, cancel a payment add bonus pay, and more.
  • Create personalized payroll reports for your business so you can keep close track of the information that’s most important.
  • The platform offers reminders so you never miss a payment and keep your employees happy.
  • RiseLite is a cloud-based platform so you can access it from anywhere and stay on top of things even without access to your computer.

The one drawback here is that they only currently work with businesses based in Canada, but if your small business is Canadian then you’re in luck and can use RiseLite and all of its great features.

Gusto Payroll

One of the most popular payroll services, Gusto Payroll, offers a one-month free trial of their payroll software for your small business. After the free month, you’ll have the option to continue and pay $39 per month plus $6 per month per employee for their basic option, Gusto Core. Gusto also has a new option for contractor-only employers, who simply pay the $6/employee rate and no base price.

Gusto Core comes with full service payroll, including tax filings, employee profiles and employee self-service, PTO tracking, health benefits and workers comp administration, and unlimited phone, email, and chat support. Higher tiers come with features like employee onboarding services and access to certified HR professionals.Get Started With Payroll

QuickBooks Payroll

You can also get a free trial of QuickBooks Payroll if you’re interested in trying another payroll software for your small business before committing to one. It’s a popular option that has all of the bells and whistles you would be looking for, and three main different plans you can choose from depending on your business needs.

Note that there are different prices on the Quickbooks website depending on whether you buy outright when they might be offering a promotion, or if you do a free trial first. The cheapest option is called Core. The Core plan starts at $45 per month, plus $4 per employee per month and it’s a full-service payroll, it also comes with next-day direct deposit and automated tax forms.

The second and most popular plan is called Premium. This is a pricier option at $75 per month, plus $8 per employee per month, but comes with a host of additional features, like same-day direct deposit, an HR support center, and premium time tacking in the mobile app.

The last and final option Quickbooks offers is the Elite plan for $125 per month, plus an additional $10 per employee per month. In addition to all of the features that come with the less expensive plans, you’ll also get things like elite onboarding, time tracking, product support, and a personal HR advisor.Get Started With QuickBooks Payroll

OnPay Payroll

Another cloud-based payroll service you could try for free when searching for payroll software for your small business is OnPay payroll. They will give you your first month free to try them out. They offer many of the same services others do, like scheduling pay, providing pay via checks or direct deposit, and helping you calculate what to withhold for tax purposes. After your first month, the pricing is $36 per month and an additional $4 a month per employee.

OnPay comes with a few additional perks as well. OnPay is a licensed health care insurance broker in all 50 states, making it easy for your employees to find the best and least-expensive small business health insurance plan for them. They also handle all administrative tasks related to health care, and can function similarly when employees are shopping for retirement plans.Get Started With OnPay.

Wave Payroll


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Wave Payroll is our best option for pricing because they have a flat rate, depending on what state you’re in, instead of increasing the price by tiers of features. Wave also offers free accounting and invoicing software that you can combine with Payroll, making it even more of an affordable option. Wave offers a simple payroll software that is easy to use, and you can try it free for 30 days. The only drawback is that the free tax filings are only available in 14 states. 

Here’s a more detailed breakdown of Wave’s payroll service: 

  • Pricing: $35 per month in the 14 states they file taxes in, $20 per month in all other states, + $6 per employee or independent contractor per month
  • Ease of Use: Very easy, especially if you’re using Wave’s accounting software
  • Tax Services: Free tax filings, employee W2s, and contractor 1099s, only available in 14 states but does include California, New York, and Texas
  • Year-End Fees: Issues year-end W2s and 1099s in 14 states, included in the price
  • Accounting Integrations: Wave Accounting, QuickBooks

Wave has average customer service reviews online. Many users feel like Wave was not very helpful when they called into the team, but most reviews seem to be related to their payments product. For support, they offer customers the opportunity to submit a support ticket, chatbot, live chat, and a Help Center with articles and tutorials.

BEST FOR OUTSOURCING PAYROLLJustworks


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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.

BEST FOR GROWING BUSINESSESADP Run


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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.

BEST FOR PAYING HOUSEHOLD WORKERSSurePayroll


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SurePayroll is a good option if you’re looking for something different than what we’ve already discussed. In fact, if you’re in a very niche industry and find it difficult to find a good partner, then this might be the best bet for you. They work great with every business type from retail to churches. That’s why we chose it as the best payroll service if you’re looking to pay the workers who work for you at your home. 

Here’s a more detailed breakdown of SurePayroll’s payroll service:

  • Pricing: $19.99 to $49.99 + $4 to $10 per month per employee or independent contractor
  • Ease of Use: Easy—it’s not the easiest option on the list, but it’s intuitive enough to help pretty much any business
  • Tax Services: Can handle W2, 1099, and employer filings, but it’s only included in their Full-Service plan
  • Year-End Fees: The Full-Service plan includes filing of federal taxes. Additional fees may apply to state filings
  • Accounting Integrations: Zoho Books, Xero, and other accounting software

SurePayroll offers a Full-Service plan or a No Tax Filing plan, both include a variety of payroll features. Their customer support has a good, not great, reputation across the internet. They do offer six days of support, though, with their hours being Monday to Friday from 7:00 a.m. to 8:00 p.m. Central Time, and Saturday from 9:00 a.m. to 1:00 p.m.

Conclusion

An employee payroll software or more commonly known as payroll software is an ideal solution to maintaining the schedule of employees. It assists in the processing of salary, deductions and other payments such as pension, insurance and so much more. The software is not only user-friendly but also cost effective.

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