Because running a business means constantly taking on new responsibilities, it’s important to delegate or automate anything you can. That’s why around 60% of growing businesses rely on an outsourced payroll service for paying employees and contractors, as well as handling payroll taxes.
ADP and QuickBooks each have strong reputations for online payroll, but their services differ in many respects. Here’s a feature-by-feature comparison of ADP Run and QuickBooks Online Payroll to help you make the best decision for your company.
Expert reviews and customer ratings from small business owners offer a first-hand account of how well ADP and QuickBooks Payroll serve small businesses. Both providers receive high ratings, but neither of them is considered the top-rated payroll provider in every category.
ADP doesn’t disclose their pricing, which means you’ll need to speak to someone to get an idea of its cost for you. And even then, there may be additional fees for common payroll needs like time-off tracking, local tax filings, year-end filing W-2s and 1099s, and integrated workers’ comp or 401(k) plans. QuickBooks Payroll, on the other hand, doesn’t offer many of the services small businesses expect (like local payroll tax processing). Similar to ADP Run, upgrades are required for workers’ comp administration or help with setup.
In terms of the basics, both services include automated federal and state tax filings and payments, but neither of them have the kind of custom reporting available through competitors like OnPay or Paychex.
When it comes to HR tools like employee offer letters, org charts, and document management and audits, ADP Run has a more comprehensive set of features, which will require extra fees to access.
Support should be more than a quick response time or a friendly rep. It should be easy to speak with a professional team of experts who are committed to your success. They should be there from the beginning, entering data for workers and pay histories, and setting up your account at no cost. And they should be knowledgeable of payroll requirements that apply to your business. Here’s how ADP and QuickBooks support their payroll services.
|Run by ADP||QuickBooks Payroll|
|Setup and data migration||Additional fees||Additional fees for customized setup|
|Expert phone support||Included||Additional fees for extended support hours|
|Chat support||Not available||Included|
|Accuracy guarantee||Not available||Additional fees|
Bottom line, payroll and HR software should simplify your business operations so you can focus on what you do best. Every business has unique needs, so choosing the right provider will make all the difference in how much time — and money — you can save. When comparing ADP Run and QuickBooks, you’ll find they differ most in a few areas.
Everyday Value: It’s hard to measure value without upfront pricing. If figuring out the price is more complicated than cost-per-employee with a few basic pricing tiers, you may want to look for a payroll provider with a simple, transparent pricing structure. Many payroll providers include essential services like multi-state payroll with integrated workers’ comp plans, tracking PTO and time-off accruals, and electronic offer letters in their basic package.
Accounting Integrations and Reporting: When you choose the right combination of payroll, time tracking, and accounting softwares, your business can sync all its finances and save a lot of time. Good payroll software should allow you to integrate your favorite apps seamlessly.
Employee management and HR: The purpose of a payroll service is to save you time by simplifying the process of paying your team. But having a team also means hiring, maintaining paperwork, and keeping employees in the loop. Since you’ll already be needing to take care of these HR to-dos and more, it’s worth looking for a payroll provider that can streamline employee management with tools like electronic offer letters, custom onboarding workflows, storing and auditing employee documents, and tracking time off.
Help with compliance: Failure to stay compliant with federal, state, and local employment laws can result in unexpected fines and potential liabilities. In this age of remote work, a good payroll provider will ensure compliance in every state with services like integrated workers’ comp, access to harassment training, and lifetime employee accounts that let former employees access key documents without your help. A great payroll provider will also offer integrated 401(k) plans, and health benefits like medical and dental plans.
Setup and ongoing support: You should have access to real experts for help, whether it’s a complex tax issue, or just getting started.Customer reviews lend valuable insight into how each company’s support teams treat their customers. But in addition to their reviews, you should also look out for any extra fees to get that support, as well as when it’s available to you.
ADP Run brings the payroll service large companies rely on to small businesses, but it lacks the personal touch and range of functionality that many small businesses expect. QuickBooks provides a more stripped down option at a lower cost, but doesn’t go quite as far to help small businesses with the facets of employment beyond the dollars and cents.
Both of these providers can work well, depending on your needs, but you may be able to save money and get a higher of service by comparing QuickBooks Payroll and ADP Run with other competitors in the same space: