This article is authored by OnPay, a top-rated payroll provider for small businesses with more than 30 years of experience in payroll, taxes, and small business compliance.
Paying employees is considered one of the most important aspects of running a business. Some employers take care of this task themselves, others have accounting firms handle it. No matter who takes the reins, payroll software (over 50% according to our latest research) is typically how it gets processed. Many employers are looking for the best payroll software to keep operations running smoothly while getting the most bang for their buck. With so many companies to choose from, where do you start?
This guide breaks down the providers you’re most likely to encounter in your search. We’ll cover what they offer, their pricing, and how they compare so you can see which one makes the most sense for your business.
Why working with a payroll provider makes sense
Simply put, payroll providers automate much of the tax processing that businesses would otherwise handle manually. For small companies juggling multiple priorities, managing payroll without the correct software can open the door to costly mistakes, unhappy employees, and unwelcome attention from the IRS. Investing in a provider can save time while helping employers stay compliant with federal, state, and local regulations. Most providers also include helpful extras like direct deposit, self-service employee portals, and integrations with tools you may already use.
Best for small businesses
OnPay’s at the top: Best option for small businesses
OnPay is a cloud-based payroll software that’s designed for small businesses with budgets in mind and is the top choice based on expert reviews and publications. Pricing starts at $49 per month plus $6 per worker.
| OnPay’s key features |
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- Multistate payroll without extra cost
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- Time-tracking integration
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- Pay employees by direct deposit, pay card, or check
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- Self-service employee portal
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- Garnishments can be completed in two clicks
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- New hire reporting in 50 states plus DC
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- In-app W-4 and I-9 forms for simple new hire onboarding
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- Pay 1099 contractors and W-2 employees in one dashboard
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- Register businesses for state payroll tax accounts in all 50 states plus DC
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- Benefits administration and guidance on perks like 401(k) and health insurance
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- Full-service tax filing, payments, and quarterly and year-end Form 940 filing
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Pricing: $49/month base + $6/employee
Gusto overview
Gusto is cloud-based payroll for small- to medium-sized businesses. It offers unlimited pay runs (included with most plans) and next-day direct deposit. Gusto automates federal, state, and local payroll tax filings and payments, including forms W-2, 1099, 941, and 940. It also manages child support garnishments.
Key features
- Unlimited pay runs
- Full-service automated payroll and direct deposit
- Time tracking and scheduling
- HR tools for new hire onboarding and employee self-service
- Support for tax forms and payroll tax filing
Pricing: $49/month base + $6/employee (simple plan)
OnPay vs. Gusto: Both offer similar core payroll features and pricing. While Gusto has a polished interface and solid benefits tools, OnPay consistently delivers superior customer support and a much simpler setup that gets you running faster. OnPay also provides clearer pricing with fewer hidden fees and better value for the features you need. Choose Gusto if you specifically need their benefits marketplace, but when you need help, OnPay offers better overall value with more reliable support.
Patriot payroll overview
Patriot offers cloud-based payroll and accounting software for small businesses and accounting professionals. Its payroll service supports direct deposit, handles payroll tax calculations, and offers optional full-service tax filing. Employers have access to unlimited payrolls and can generate W-2 and 1099 forms. The platform also integrates with Patriot’s accounting software for bookkeeping.
Key features
- Unlimited payroll runs
- Optional full-service tax filing
- Integration with Patriot accounting
- Direct deposit payroll
- Custom pay schedules
- Multistate support
Pricing: $37/month base + $5/employee (full-service)
OnPay vs. Patriot: Patriot costs less but comes with significantly fewer features and more limited support. It’s suitable for businesses that need very basic payroll at the lowest cost. OnPay provides much more comprehensive HR tools, superior customer support, and advanced features for businesses planning to grow or needing reliable support.
SurePayroll Overview
SurePayroll provides online payroll services for small businesses and household employers, including nanny and caregiver payroll. It offers automated payroll processing, direct deposit, tax calculations, and filings. Employers can generate W-2 and 1099 forms, and employees have access to a self-service portal for pay stubs and tax documents. SurePayroll also supports federal, state, and local tax compliance.
Key features:
- Household employee payroll
- Mobile app
- New hire reporting
- Tax compliance
- Employee self-service
- Multiple pay schedules
Pricing: $29/month base + $7/employee (full-service)
OnPay vs. SurePayroll: SurePayroll is unique in offering household employee payroll, making it ideal for domestic employers. However, for traditional small businesses, OnPay offers better value with more comprehensive features, superior customer support, and better integration capabilities.
ADP overview
ADP is one of the oldest payroll companies and is used by small businesses and enterprises. It offers ADP Run, a payroll-only product for small businesses, as well as an HR platform. ADP Run offers automated payroll processing, compliance management for tax forms, and new hire onboarding. Its HR platform integrates with accounting software, supports benefits administration, and provides a user-friendly employee portal.
Key features:
- Flexible payroll options, ADP Run for small businesses payroll, and HR platform for scalability
- Full-service payroll, including deductions and payroll tax filing
- Self-service employee portal for pay history, pay stubs, and benefits
- Built-in time tracking tools
- Integrated HR tools like employee onboarding and benefits administration
- AI-powered error detection
- 24/7 customer support
Pricing: Pricing based on business size and features (not advertised)
OnPay vs. ADP: ADP offers enterprise-level features and scalability, but it comes at a higher cost with complexity that most small businesses don’t need. OnPay provides better value and problem solving for small businesses with transparent pricing, easier setup, and more personal and accessible customer service. Choose ADP only if you need enterprise features or plan to significantly scale. OnPay delivers everything most small businesses need more efficiently and affordably.
Paychex Flex Overview
Paychex Flex is a cloud-based human capital management (HCM) platform that offers payroll, HR, and benefits services. It includes payroll processing, time and attendance tracking, benefits administration, and employee management tools. The platform supports automatic tax filings, provides self-service employee access to pay and tax documents, as well as 24/7 customer support. Paychex Flex is used by businesses of various sizes and can integrate with other systems.
Key features:
- Comprehensive HCM platform
- Advanced reporting and analytics
- Benefits administration
- Time and attendance tracking
- Employee management tools
- 24/7 customer support
- Multiple integration options
Pricing: Rates are not advertised
OnPay vs Paychex Flex
Paychex Flex is designed for businesses looking for comprehensive HCM solutions. For a clear picture of what you’ll receive for your investment, OnPay is the more straightforward choice. Paychex Flex operates on a tiered pricing model that requires negotiating with sales and comes with extra fees for integrations and premium support levels. For example, businesses that need to process garnishments must upgrade to the middle-tier ‘Pro’ plan and pay additional fees, while OnPay’s base plan includes garnishment processing.
Intuit QuickBooks Payroll Core Overview
Intuit payroll, also known as QuickBooks Payroll Core, is a suite of tools and services designed to help businesses efficiently manage their payroll processes. It offers features like calculating, filing, and paying federal and state payroll taxes, managing HR and employee benefits, and providing payroll reporting. It also seamlessly integrates with other QuickBooks products, like QuickBooks Online and QuickBooks Time, for a more streamlined workflow.
Key features:
- Seamless QuickBooks integration
- Automated tax calculations and filings
- Employee benefits management
- Payroll reporting
- Time-tracking integration
- Mobile app access
- Same-day direct deposit option
Pricing: Starts at $50/month base + $6.50/employee
OnPay vs. QuickBooks Payroll Core: If you’re already using QuickBooks for accounting, QuickBooks payroll offers good integration. OnPay provides better standalone payroll features and significantly superior customer support. QuickBooks payroll can be frustrating when you need help, while OnPay’s support team quickly helps solve problems. For a small business using only one platform and keeping a close eye on the bottom line, OnPay could be a better option to avoid having to manage multiple integrations.
Wave overview
Wave’s payroll software has features to streamline compliance and employee payments. Employers can pay both employees and contractors via direct deposit and generate W-2 and 1099 forms for tax season. Wave also handles state and federal payroll tax payments and filings. Payroll integrates with Wave’s free accounting software to reduce manual bookkeeping, and employees can access pay stubs and tax forms through a secure self-service portal.
Key features:
- Free accounting software integration
- Contractor and employee payments
- Automated tax filings
- Self-service employee portal
- Mobile app access
Pricing: $40/month base + $6/employee
OnPay vs. Wave: While Wave offers competitive pricing and a free accounting integration, OnPay provides comprehensive HR tools and assistance with benefits administration that growing businesses need. Similar to OnPay, Wave works well for businesses that primarily need basic payroll with an accounting integration. If you need tools for HR teams, OnPay offers much better scalability and support for solopreneurs or single-member organizations.
Justworks Overview
Justworks is a payroll service offered as part of Justworks’ broader professional employer organization (PEO) solution. It simplifies payroll processing for small businesses by automating tasks like calculating pay, taxes, and deductions, as well as handling direct deposit, time tracking, and year-end tax forms. Justworks acts as a co-employer, taking on select human resource functions and allowing businesses to focus on growth.
Key features:
- PEO model with co-employment
- Unlimited pay runs
- Multistate payroll
- Compliance support
- HR consulting services
- Automated payroll processing
- Employee self-service portal
Pricing: $50/month base + $8/per employee
OnPay vs. Justworks: Justworks offers a full PEO solution with comprehensive benefits and HR support, but at a significantly higher cost that many small businesses may not be able to justify. OnPay provides excellent payroll services with solid HR tools at a much lower price point, giving you more control over your business. Choose Justworks only if you want full HR outsourcing and have the budget. Pick OnPay for cost-effective payroll with good support that keeps you in control.
Also see our table below that highlights the characteristics of each provider most business owners need.
| Provider |
Best for |
Starting price* |
Key strength |
| OnPay |
Small businesses |
$49 + $6/employee |
Best overall value and support |
| Patriot |
Small businesses |
$17 + $4/employee |
Low cost |
| Gusto |
Small businesses |
$49 + $6/employee |
Benefits administration |
| SurePayroll |
Household employers |
$29 + $7/employee |
Household employee payroll |
| ADP |
Medium-to-large businesses |
Custom pricing – not advertised |
Enterprise scalability |
| Paychex Flex |
Small businesses needing HCM |
Custom pricing – not advertised |
HCM platform |
| QuickBooks Payroll Core |
QuickBooks users |
$50 + $6.50/employee |
QuickBooks integration |
| Wave |
Micro businesses using Wave accounting |
$40 + $6/employee |
Includes accounting integration |
| Justworks |
Businesses wanting PEO services |
$50 + $8/employee |
PEO solution |
*Note: Prices and features are subject to change. Always verify current pricing and features with providers before making a decision.
“OnPay is the best payroll for small businesses. After using Gusto and Intuit, I’m even more appreciative of what OnPay offers. It’s extremely cost-effective with a beautiful, easy-to-use interface. The support team is fantastic, and automatic reporting has made life as a business owner so much easier.”
— Sasha Rowe, Rivvly
Payroll should provide peace of mind
Payroll should provide peace of mind, not pile on more to-dos. Finding the best payroll software that fits your needs can take some time because there are so many options available. We hope this guide helps you get a better snapshot of the top providers, key features, and what to look for. The OnPay team is here to help and ready to answer any payroll-related questions you may have. We can’t wait to hear from you!
The OnPay editorial team covers payroll, benefits, and HR-related topics to deliver practical insights for growing businesses.
