Best Payroll Software for Small Business 2026: 9 Providers, Priced for a 10- and 25-Person Team

Payroll is the one piece of business software you cannot get wrong for long. A late deposit or a missed quarterly filing turns into IRS penalties, and every payroll run decides what each employee takes home that week. For a business that has just hired its first employee, it is usually also the first HR system it buys.

This comparison is for US small businesses with roughly 1–50 employees choosing or switching a payroll provider. Every price below was read on the provider's own pricing page on 8 November 2026 and is attributed in the sources. Where a page left something unclear, or showed no price at all, we say so instead of guessing.

The 9 providers at a glance

"Not stated on pricing page" means just that: the pricing page we read does not say either way. Ask before you sign if you employ people in more than one state.

What the same team costs with each provider

"$35 plus $6" and "$37 plus $5" are hard to compare in your head, so we priced two common team sizes at list price. For each provider we used the cheapest published plan that files and pays your federal and state payroll taxes. A plan that only calculates the numbers and leaves the filing to you is a different product, and we cover it separately below.

10 and 25 employees, full-service payroll, one state

The spread is 1.76x at 10 employees ($87 vs $153) and 1.55x at 25 ($162 vs $250.50). It narrows as the team grows because the per-person fees ($5 to $8) are much closer together than the base fees ($35 to $88). Two caveats. First, the QuickBooks figure includes an accounting subscription (QuickBooks Online Simple Start). If you would pay for accounting software anyway, it is not really the most expensive option. Second, Wave also charges $6 for each contractor paid, so a team that mixes employees and contractors pays more than the table shows.

Why the per-person fee decides the bill

At 25 employees, Gusto Simple's $150 of per-person fees make up 75.4% of its $199 invoice. Patriot Full Service's $125 makes up 77.2% of $162. So the cheapest provider is mostly the one with the lowest per-person fee. Patriot's $5 per worker is the lowest per-person fee on a full-service plan here. Square's $35 base fee is the lowest base, but Patriot still costs less from 3 employees up, because $37 + $5n is below $35 + $6n once n is more than 2.

Scenario B: the same 25 people, in two states

Hiring a remote employee in a second state is the most common way a small business outgrows its payroll plan. Gusto describes Simple as "Run basic payroll in one state" and lists multi-state payroll as a Plus feature. For 25 employees, moving from Simple to Plus raises the price from $199 to $380 a month ($80 + $12 × 25), which is 1.91x. Square's full-service plan lists "multistate payroll and multiple tax jurisdiction support" at the same $35 + $6 price, so the same team costs $185 with Square. Gusto's option costs 2.05x as much for that team, and that one fact can decide the choice.

Doing the tax filing yourself: Patriot Basic

Patriot is the only provider here that publishes a cheaper plan in which you file the taxes yourself. Basic Payroll costs $17 a month plus $4 per worker paid. It includes free direct deposit, an employee portal, unlimited payrolls and automatic payroll runs. Federal, state and local tax filing and deposits come only with Full Service. For 25 workers, Basic costs $117 against Full Service's $162. That makes the filing service $45 a month, or $540 a year, which is cheap compared with the cost of a single missed deposit. Most small businesses should pay for full service.

The 9 providers, ranked

1. Gusto: best overall

Gusto is our default recommendation because its plans progress sensibly from payroll to HR, and its entry plan already covers what a first-time employer needs. Simple ($49 a month + $6 per person) includes unlimited payrolls, tax filings and payments, direct deposit or printable checks, payroll approvals, Payroll on AutoPilot, the employee app, multiple pay rates and schedules, domestic contractor payments and expense reimbursements. Plus ($80 + $12) adds time tracking and scheduling, unlimited next-day pay, multi-state payroll, contractor invoice management, workforce cost reports and unlimited custom earning types. Premium ($180 + $22) adds premium support, HR guidance, Gusto Business Compliance, unlimited same-day and instant pay, and custom admin roles.

Watch the add-ons. On Simple and Plus, same-day pay costs $90 per payroll and instant pay $100 per payroll. Time tracking on Simple is free to try and then $6 a month per person. State tax registration is an add-on on every plan. Gusto's page says there are no contracts, account setup is free, and you can switch or cancel any time. Solo owners and S-corps have a separate Gusto Solo plan.

2. OnPay: best single published price

OnPay publishes one figure: a $49 base fee per month plus $6 per employee. That is the same list price as Gusto Simple, but OnPay has no ladder of plan tiers to compare. Its partner pricing for accounting firms itemises the extras as optional modules: HR from $15 a month base, HR plus time tracking from $21, and time tracking alone at $15 base + $4 per worker, with bundle discounts. Integrated benefits are free to connect and administer. OnPay offers free data migration and was advertising one month free when we checked.

The pricing pages we read do not say which features or states the base price includes. If you are comparing OnPay with Gusto at the same price, ask OnPay to confirm in writing what the $49 + $6 covers that Gusto Simple does not, starting with multi-state payroll.

3. Patriot Software: lowest full-service bill

Patriot has the lowest published full-service price in this comparison: Full Service Payroll costs $37 a month plus $5 per worker paid. It includes everything in Basic plus federal, state and local tax filings and deposits, year-end payroll tax filings "at no additional fee" and a tax filing guarantee. Time and attendance and HR software are each a $6 monthly add-on plus $2 per employee, so a 25-person team that wants both pays $162 + $112 = $274.

Patriot is a good fit for a cost-conscious business that wants a plain payroll tool and does not need HR built in. The 30-day free trial and 50% off for three months were promotions on the day we checked and are not included in our totals.

4. Square Payroll: best for multi-state teams on a budget

Square Payroll costs $35 a month plus $6 per person paid, and that price includes automated federal and state tax payments and filings, multistate payroll and support for multiple tax jurisdictions. Square says: "We calculate, withhold, and file all federal payroll taxes on your behalf." It also includes timecard import, scheduling up to 10 days ahead, direct-tip tracking, overtime calculations and labor-cost reporting, which suits hospitality and retail businesses already using Square's point of sale.

A contractor-only plan costs $6 per person paid with no base fee. It does not include tax filing, multistate payroll, scheduling or tip tracking. It is the cheapest option here for a business that pays only 1099 contractors.

5. QuickBooks Payroll: best if your books are already in QuickBooks

QuickBooks' pricing page sells payroll as bundles with QuickBooks Online accounting. Workforce Payroll + Simple Start costs $88 + $6.50 per employee, with next-day direct deposit. Workforce Payroll + Essentials costs $125 + $6.50, with same-day direct deposit. Workforce Premium + Plus costs $203 + $10 and adds the Workforce time-tracking app, custom reports and HR and benefits. All three are full-service plans: "We'll calculate, file, and pay your payroll taxes for you."

The page links to a separate payroll-only option ("Just need payroll? Get payroll only") but does not show a payroll-only price, and it mentions a Workforce Elite tier only in the FAQ. If your bookkeeping already runs on QuickBooks Online, payroll that posts straight into your books is worth paying for. If it does not, the bundle price makes QuickBooks the most expensive published option in our table.

6. Wave Payroll: best for micro-businesses already on Wave

Wave Payroll costs $40 a month base plus $6 per active employee and $6 per independent contractor paid. Its tax service automatically pays and files your state and federal payroll taxes, but it excludes 1099 filings. Employees get self-service pay stubs and tax forms. Wave suits owners who already use Wave's free invoicing and accounting and pay a handful of people. Note that its FAQ says the base price has changed for some US states.

7. Justworks: best route into a PEO

Justworks publishes two different products. Payroll costs $8 per employee a month plus a $50 base fee and includes payroll for all employees, multi-state payroll, HR tools, expert support and access to time tracking. The PEO plans (PEO Basic at $79 and PEO Plus at $124 per employee a month, with no base fee) make Justworks the co-employer, which adds compliance support, 401(k) and, on Plus, medical, dental and vision administration through its group plans.

As a payroll-only provider, Justworks is mid-priced ($250 for 25 people). The reason to choose it is the PEO: a small company that wants large-employer benefits can move up to PEO without changing provider. For international hiring, the same page lists an EOR at $599 per employee a month. Our employer of record comparison covers that market.

8. RUN Powered by ADP: best for support and room to grow

ADP does not publish a price for RUN, its product "for businesses with 1-49 employees". The page asks you to request a quote and was advertising "up to 6 months FREE payroll". RUN can pay employees by direct deposit, a Wisely debit card or paper check, includes hiring, onboarding and employee self-service, and offers 24/7 support from payroll specialists. The case for ADP is scale: a business that expects to grow past 50 employees can move to ADP's larger products without changing provider.

9. Paychex Flex: best for a large provider with bundles

Paychex also prices by quote. The term worth reading is in its promotion. Its "Do Not Pay Until April 2027" offer, which runs from 12 October to 24 November 2026, gives up to six months of free payroll to new clients with 1–250 employees. To qualify, you must sign a one-year service agreement for a qualifying bundle (Flex Select, Pro, Enterprise or Enterprise+). If you terminate before the year ends, Paychex "will be entitled to recover the value of any free months provided" on top of any early-termination charges. Free months come with a contract, so compare Paychex's full 12-month price, not the free period.

Seven things to check before you sign

1. Who files the taxes. "Payroll" can mean only calculating the numbers (Patriot Basic) or full service. Make sure federal, state and local filing and deposits, plus year-end W-2s, are included.
2. States. Check whether your entry plan covers a second state before you hire there, not after. This is the most expensive surprise in this comparison.
3. Who counts as a "person". Square and Patriot charge per person or worker paid. Wave charges separately for employees and contractors. Gusto charges per person. Ask how a month with no payroll is billed.
4. Payment speed fees. Next-day, same-day and instant pay are included on some plans and cost extra per payroll on others (Gusto: $90 same-day and $100 instant on Simple and Plus).
5. Off-cycle runs. Bonuses, corrections and final paychecks need unlimited off-cycle payrolls. Gusto, Patriot and the others listing "unlimited payrolls" include them.
6. Custom earning types. Gift cards, awards and other non-cash taxable benefits need their own earning code so they are taxed but not paid out twice. Gusto lists unlimited custom earning types only from Plus up.
7. Contract and promotion terms. Gusto says it has no contracts. Paychex's free months require a one-year agreement and can be clawed back if you leave early.

Where payroll meets rewards: gift cards are wages (Rewordin's angle, clearly labelled)

This is why a gift-card company is writing about payroll. The IRS is explicit in Publication 15-B: "Cash and cash equivalent fringe benefits (for example, gift certificates, gift cards...), no matter how little, are never excludable as a de minimis benefit." Every gift card you give an employee is taxable wages and must go through payroll. A low-value non-cash holiday gift can be excluded. A $25 gift card cannot. Our guide to the IRS gift-card rules covers the details.

What that costs depends on how your payroll provider withholds tax. Publication 15 sets the federal withholding rate on supplemental wages at 22% (37% above $1 million in the year), and social security (6.2%, up to the $184,500 wage base for 2026) and Medicare (1.45%) apply as normal. If you want an employee to receive the full $100 value, you gross it up:

So a $100 gift card, fully grossed up, costs about 1.53x its face value before state taxes. That is the same multiplier our holiday bonus statistics found for cash bonuses, because for federal tax purposes the two are the same thing. The practical point for choosing payroll software is that you need a plan that can add a non-cash taxable earning to a regular or off-cycle run without paying the amount out again in cash. Ask for that in the demo.

Rewordin keeps a per-employee record of every reward, with the recipient, date and face value, which you can export to whichever payroll provider you use. It delivers gift cards from local catalogues one at a time or in bulk through the bulk gift card API. If your rewards run on shifts, our scheduling software comparison covers the tools that sit next to payroll for hourly teams.

Sources

All pages retrieved on 8 November 2026. Prices are list prices in USD per month, before tax, as displayed. Derived figures (scenario totals, spreads, shares, break-evens and the gross-up) are our own arithmetic on those figures.

• Gusto pricing (Simple $49/mo + $6/mo per person, "Run basic payroll in one state"; Plus $80 + $12 with multi-state payroll, time tracking and unlimited custom earning types; Premium $180 + $22; same-day pay $90 and instant pay $100 per payroll on Simple and Plus; time tracking $6/mo per person on Simple; state tax registration add-on; "No contracts. Free account setup. Switch or cancel anytime.").
• OnPay pricing ("$49 base fee per month plus $6 per employee"; partner module pricing: HR $15 base + $2/worker, HR + Time Tracking $21 base + $4/worker, Time Tracking $15 base + $4/worker; free benefits integration and admin; free data migration; one month free offer).
• Patriot Software pricing (Basic Payroll $17/mo + $4 per worker paid; Full Service Payroll $37/mo + $5 per worker paid, with federal, state and local filings and deposits and year-end filings "at no additional fee"; Time & Attendance and HR Software $6/mo + $2 per employee each; promotion 30 days free + 50% off for 3 months).
• Square Payroll pricing (full-service $35/mo + $6 per person paid, including automated federal and state tax filings and multistate payroll; contractor-only $6 per person paid without tax filing or multistate payroll; "We calculate, withhold, and file all federal payroll taxes on your behalf").
• QuickBooks Payroll pricing (Workforce Payroll + Simple Start $88 + $6.50/employee; Workforce Payroll + Essentials $125 + $6.50; Workforce Premium + Plus $203 + $10; full service "We'll calculate, file, and pay your payroll taxes for you"; payroll-only option linked without a price; 50% off for 3 months promotion).
• Wave Payroll ($40 USD base fee + $6 per active employee + $6 per independent contractor paid; automatic state and federal tax payments and filings, excluding 1099 filings; FAQ on base-price changes in some US states).
• Justworks pricing (Payroll $8/month/employee + $50/month base fee; PEO Basic $79 and PEO Plus $124 per employee per month with no base fee; EOR $599 per employee per month; multi-state payroll listed).
• RUN Powered by ADP ("Get Pricing" quote form; "Get up to 6 months FREE payroll"; "for businesses with 1-49 employees"; direct deposit, Wisely debit card or paper check; 24/7 support).
• Paychex payroll ("Request Pricing"; "Do Not Pay Until April 2027" promotion terms, 10/12/2026–11/24/2026, 1–250 employees, one-year service agreement, qualifying Flex Select, Pro, Enterprise and Enterprise+ bundles, recovery of free months on early termination).
• Rippling pricing (custom quote only).
• IRS Publication 15-B (2026), De Minimis (Minimal) Benefits (cash and cash equivalents including gift cards "are never excludable as a de minimis benefit").
• IRS Publication 15 (2026) (supplemental wage withholding 22%, 37% above $1 million; social security 6.2% each, wage base $184,500; Medicare 1.45% each).
• Google Search Central: Review snippet structured data (rating genuineness requirements).