The Best Payroll Services for 2026

• RELATED:
• Best Small Business Accounting Software
• Best Tax Software
• Best Personal Finance Software
• Best Mobile Payment Apps

(Credit: Gusto)

Best Overall

Gusto

5.0 Exemplary

Pros & Cons

• Exceptional user experience
• Simple, clean operation
• Payroll process is flexible and understandable
• Excellent reporting tools
• Numerous integrated add-ons

• Expensive

Why We Picked It

Gusto offers four subscription levels for payroll processing, making it more scalable than most of its competitors. You can start with Gusto Simple, which offers everything you need to run payroll, and then upgrade as you need more features (such as more HR options and time-tracking tools). A contractor-only version is also available. A new, separate application, Gusto Solo, is designed strictly for S corporations. Gusto's user experience is outstanding, and it almost makes the payroll process pleasant.

Who It's For

Novice payroll managers: Gusto is ideal for new payroll managers, thanks to its excellent help resources, understandable workflow, and usability. It can also easily support your business as it grows.

Experienced payroll managers who need in-depth HR tools: Gusto excels at providing tools for managing compliance issues and other HR tasks.

Global businesses: Gusto supports payroll for contractors and employees in roughly 120 countries.

Specs & Configurations

Mobile Admin Access App

Submits Federal, State, Local, and Payroll Taxes

W-2s

1099s

Time Tracking

HR Add-Ons

Free Trial

GET IT NOW

Today’s Best Deal

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Gusto Review

(Credit: Onpay)

Best Value

OnPay

4.0 Excellent

Pros & Cons

• Fast, capable payroll processing
• Top-notch user experience
• Impressive flexibility and guidance
• Supports numerous vertical industries
• Exceptional employee portal

• New pricing structure increases costs
• HR tools could be more robust

Why We Picked It

The flexible OnPay serves both general and specialized businesses, including those in agricultural, medical, and professional service industries. It's easy to use thanks to its clean interface and navigation tools. OnPay also has a reasonable price of $49 per month, plus $6 per employee per month. (Additional HR resources are available for $15 per month, plus $2 per employee per month).

Who It's For

Budget-conscious payroll managers: The service doesn't pile on extra fees the way some others do, so it's good if you are trying to keep your budget in check. Of course, you now have to pay extra for additional HR features.

Novices and specialized businesses: OnPay’s usability, excellent payroll tools, and solid support help you get up to speed quickly, no matter your level of previous experience. It can easily scale to support hundreds of employees across various specialized companies as well.

Specs & Configurations

Mobile Admin Access Responsive Site

Submits Federal, State, Local, and Payroll Taxes

W-2s

1099s

Time Tracking

HR Add-Ons

Free Trial

GET IT NOW

Today’s Best Deal

Learn More

OnPay Review

(Credit: ADP)

Best for Businesses That Plan to Grow

ADP RUN

4.5 Outstanding

Pros & Cons

• Thorough employee records
• Customizable, voluminous reports
• Straightforward user experience
• Excellent mobile apps
• Easy upgrades to other ADP products

• Prices aren't public
• Some features incur extra fees

Why We Picked It

ADP is a well-known provider of payroll and benefits administration services. ADP RUN is its SMB version. It offers an exceptional combination of usability and flexibility. ADP RUN’s depth and customizability are evident in every aspect of the software, including its mobile apps.

Who It's For

Attentive record keepers: ADP RUN's attention to detail makes it a good choice for organizations that require in-depth payroll processing, detailed record-keeping, and exceptional reporting capabilities.

SMBs with expansive HR needs. ADP RUN comes in four increasingly powerful versions, so you can start small and upgrade easily without having to learn an entirely new software platform. Its top-tier product caters to businesses that need exceptional, expert HR resources.

Specs & Configurations

Mobile Admin Access App

Submits Federal, State, Local, and Payroll Taxes

W-2s

1099s

Time Tracking

HR Add-Ons

Free Trial

GET IT NOW

See It

Learn More

ADP RUN Review

(Credit: Intuit)

Best for QuickBooks Users

Intuit QuickBooks Workforce

4.5 Outstanding

Pros & Cons

• Exceptional time tracking
• Helpful AI
• Deep integration with QuickBooks Online
• Voluminous HR tools and support
• Great employee and employer mobile access

• Expensive
• Challenging for new users

Why We Picked It

QuickBooks Online is the best overall small business accounting service, and it integrates seamlessly with QuickBooks Workforce, which can also operate as a standalone application. Its strengths include user setup and support, a thorough payroll process, exceptional Human Capital Management (HCM) tools and data, a wide range of reports, and excellent customization options.

Who It’s For

Engaged employees: Workforce is a great tool for workers. With it, employees can clock in and out, view past pay stubs and historical data charts, track their time off, edit personal information, see scheduled shifts, and more.

QuickBooks Online users: If you use QuickBooks Online, Workforce is the best option for integrating payroll capabilities. Yes, it's pricey, but the deep, smooth integration justifies the expense if you're looking for the best all-in-one system.

Specs & Configurations

Mobile Admin Access App

Submits Federal, State, Local, and Payroll Taxes

W-2s

1099s

Time Tracking

HR Add-Ons

Free Trial

GET IT NOW

Today’s Best Deal

Learn More

Intuit QuickBooks Workforce Review

(Credit: Patriot Software)

Best Low-Cost Payroll Service

Patriot Software Payroll

4.0 Excellent

Pros & Cons

• Reasonable pricing
• Exceptional setup process and guidance for new users
• Attractive, intuitive interface
• Detailed and flexible Hours and Money Types
• Excellent employee portals
• Great mobile access

• Can’t import history directly from competitors
• No user-defined custom fields

Why We Picked It

There's something almost charming about the flexible and inexpensive Patriot Software Payroll. The information it shows you is, for the most part, easily accessible, though its simplicity is deceptive. Behind those modest, friendly pages lies an efficient, intuitive payroll processing engine. The availability of an affordable, simple, and integrated accounting application (Patriot Software Accounting) adds to the appeal.

Who It's For

Payroll beginners: Thanks to its exceptional setup wizard, user guidance, and ubiquitous support, Patriot Software Payroll is well-suited for new payroll managers. Everything is straightforward and easy to understand.

Small businesses that don't plan to grow: If you run a business that isn't likely to grow tremendously and requires more sophisticated tools and HR resources, Patriot Software Payroll is a good choice. It works well for companies with 10 employees or fewer, but can handle hundreds.

Specs & Configurations

Mobile Admin Access Responsive Site

Submits Federal, State, Local, and Payroll Taxes

W-2s

1099s

Time Tracking

HR Add-Ons

Free Trial

GET IT NOW

Today’s Best Deal

Learn More

Patriot Software Payroll Review

(Credit: Square)

Best for Square POS Users

Square Payroll

3.5 Good

Pros & Cons

• Excellent payroll processing
• Close integrations with related Square apps
• Clean and simple user experience
• Helpful setup guide and support resources

• Not the best value by itself
• Supports few earnings types
• Minimal customizability
• Limited report options

Why We Picked It

Square offers an excellent ecosystem of financial services and tools that work well together. Its payroll piece, Square Payroll, integrates especially well with Square Point of Sale (POS). The combination supports hourly workers and payroll administrators as they record hours, schedule shifts, and complete other compensation-related tasks. Square Payroll makes the list primarily because of those powerful connections.

Who It's For

Users of Square labor management applications: Square Payroll works best with Square POS and other related apps, so we recommend it only if you intend to use both.

Specs & Configurations

Mobile Admin Access App

Submits Federal, State, Local, and Payroll Taxes

W-2s

1099s

Time Tracking

HR Add-Ons

Free Trial

GET IT NOW

Today’s Best Deal

Learn More

Square Payroll Review

What Is Payroll Software?

We use the term payroll software to describe do-it-yourself applications that enable you to run payroll, even if you don't have a background in finance. These web-based apps process your organization's payroll and distribute the correct amount of money to employees every payday. They calculate and submit payroll taxes and filings, and track other withholdings, such as those for health insurance and retirement plans. They provide templates for comprehensive employee records and enable you to create policies for additional benefits, such as time off. These apps also comply with industry standards and best practices.

You can often connect payroll websites to small business accounting applications, such as Intuit QuickBooks Online, so that the payroll data becomes a part of a company’s overall finances. Within payroll apps, you can view such data in preformatted reports and customize the output to suit your specific needs. Although our focus is on the payroll process itself, we also examine the HR tools these services provide.

In addition to automatically submitting payroll taxes and filings, the payroll software we review also calculates, prepares, and sometimes distributes W-2s and 1099s. The companies that develop them also provide mobile apps that allow you to perform most tasks that you can on the desktop web versions, including processing payroll. Workers can access a lot of their payroll information via employee apps, too.

How We Test Payroll Software

When we test and review payroll software, we focus on the best options for small businesses with 10 or fewer workers. (Of course, some of these applications can handle hundreds of employees.) We run payrolls using sample payroll data and evaluate the depth and usefulness of features, such as employee records and HR tools. We also look at each payroll app’s history, reputation, and security practices.

How Much Does Payroll Software Cost?

Every payroll website we reviewed charges a base price, averaging around $50 per month, and a per-worker (employee or contractor) monthly charge of usually just a few dollars. Some, like ADP RUN and Gusto, have additional fees for some services.

If you’re on a budget and want full-service payroll at the lowest cost, Patriot Software is your best choice. It costs $37 per month, plus $5 per month per worker. Square Payroll works especially well for hourly workers in the Square labor management ecosystem. It costs $35 per month, plus $6 per worker per month. (Its contractor-only version waives the monthly base fee.)

You pay a lot more for three of the other payroll websites we reviewed. ADP RUN, Gusto, and Intuit QuickBooks Workforce are among the most expensive. Their equivalent tiers start at around $80 per month, and you must also factor in per-worker fees. Of course, these applications provide more depth and flexibility than the less expensive ones.

Why Do You Need Payroll Software?

If you process payroll manually, you know it's complex, deadline-driven, and exacting. Your employees count on you to dispatch their paychecks and authorize direct deposits on scheduled paydays. They expect you to know how much to withhold for all the taxes they owe and the benefits you offer—and to pay them.

This creates an enormous amount of detail to track, especially if you try to do it all on paper. Employees generally don't tolerate mistakes well. Tax agencies can assess stiff fines and other penalties if you don't get payroll filings and taxes in on time, too. Benefits providers might cut off services such as health insurance if you fall behind on payments.

Payroll applications help you run accurate, timely payrolls. They count on you to provide correct information about your payroll configuration and employees. And they won't let you complete a payroll if you're missing any required inputs.

Most of these applications make supporting data, such as employee profiles, available as you prepare to pay your workers. They also offer special assistance and error-checking in many areas. For example, Gusto can complete your state registration for you (for a fee), and OnPay is especially good at error-checking pay runs.

Payroll software has been gradually rolling out AI-driven capabilities to enhance error-checking. They’ve also incorporated AI into their help systems, allowing you to ask a question and get a direct answer in some cases, though they more often provide step-by-step instructions for getting there. Some also use AI to help you move worker hours into payroll worksheets, for example.

These apps can save you an enormous amount of time, which is usually in short supply for business owners. They minimize the frustration and headaches that come with payday, ultimately promoting goodwill with your employees because of their accuracy, flexibility, and timeliness. And they might even save you money you would otherwise pay in penalties.

In short, there really aren't any downsides to paying your employees and contractors via payroll software.

What Does Setting Up Payroll Software Entail?

Although each payroll service has a unique user experience, they all have similar structures. They begin with the setup process, which is the most detail-oriented and time-consuming aspect of paying your staff.

Though the exact order varies, some apps walk you through pages of questions in a step-by-step fashion. Others provide partial setup wizards and leave the rest to you, using the Settings menu. These setup wizards ask for information about your company, such as your address and Employer Identification Number (EIN). You select your payroll schedule, which is usually weekly or biweekly, and you connect the application to your payroll bank account.

If your business offers employee benefits such as health insurance and retirement plans, you can specify the cost to employees and any company contributions. If this is the case, you need to ensure that you pay benefits providers on time. Some companies, such as ADP and OnPay, function as benefits brokers, while others, such as Intuit and Square, allow you to work with third-party providers. These services then deduct the required amounts during the payroll process.

As part of the setup, you must also create thorough records for each employee, including their contact information, date of birth, number of allowances from Form W-4, salary or hourly pay rate, and Social Security number.

If you compensated employees in the past year, you need to enter any existing payroll history. This process can be arduous and may require assistance from a site's onboarding specialists, as absolute accuracy is critical. Some sites, such as ADP RUN, include tools to automate the import of payroll history from competitors.

If you offer additional payroll types, such as paid time off and sick pay, you can define the policies for accruing these benefits. The services then keep track of them for you. You can also pay bonuses and commissions during a regular pay run or issue them by creating an off-cycle payroll. Need to include garnishments like child support on paychecks? Payroll software can do that, too. Most also let you create custom pay types, sometimes even when you're in the middle of a pay run.

Once you complete the setup process, you generally can't return to the dedicated setup wizards, so it's essential to get everything right the first time. That said, every payroll app we tested has a comprehensive settings section where you can add to and modify the payroll information you already entered.

Setup takes time and might require you to consult many resources. But in the end, it lets you run your payroll so much faster than you could manually.

Recommended by Our Editors

Run Payroll Like a Pro: A Stress-Free Setup Guide for Small Businesses

Avoid Payroll Pitfalls: 10 Tips to Keep Your Small Business Running Smoothly

Avoid IRS Fines and Penalties: How Payroll Software Protects Your Business

How Long Does It Take to Run a Payroll?

Running payroll is the easy part. Though the exact process may differ, payroll applications generally work similarly during the pay run. When you launch a payroll, they show you a list of hourly and salaried employees (and possibly contractors; you might run them separately) and their pay rates. You first check to make sure the pay period and pay date are correct. After that, you simply enter the number of hours worked, where applicable, in the appropriate pay type boxes (such as regular, overtime, vacation) or import them.

Every application has more than one way to import hours from a mobile app, a time clock, or time sheets, all of which are more likely to be accurate than manual entry methods. Sometimes, you pay extra for this capability, such as with ADP RUN, which lets you turn a tablet into a time clock for punching in and out.

After you enter all the necessary details, you preview your payroll. You can see each employee's gross and net pay, withholding for taxes and benefits, and any company contributions. The payroll apps then show you the total amount of money they will withdraw from your bank account for direct deposits, benefits, taxes, and other withholdings, as well as the exact date of the withdrawal. And they usually provide a link to any checks you must print.

After you approve a payroll, the services can generate additional tables or reports with the details of the pay run. Many allow you to edit, cancel, or void a payroll after you approve it, but before a certain deadline.

If you have few employees or a very simple payroll, the process shouldn't take more than a few minutes. Depending on which application you use, you might be able to let payroll process automatically (assuming there are no changes from the previous run). Some even offer next-day payroll and paycheck advances.

Do Payroll Applications Have Special HR Tools?

In larger companies, separate departments usually handle payroll and HR. In your small business, though, both of those responsibilities might land on your desk or that of another employee. There's so much overlap between payroll and HR that you will do HR tasks even if you're strictly running your payroll through payroll software. Every app also includes numerous customizable preformatted reports for both payroll and HR—even powerful custom reports in some cases.

Most of the payroll apps we review offer basic HR components, such as document storage, document templates, new hire reporting, and online W-4 and W-9 forms. Some offer extras, such as background checks, compliance alerts, performance reviews, and recruitment and talent management. We primarily evaluate each site’s payroll processing capabilities, and we consider good HR tools a bonus.

Are Payroll Sites Safe?

The thought of using a payroll application might leave you wondering whether it's safe to put all your business's payroll data online. All the payroll services we review come from reputable companies with years or even decades of experience. They make every effort to keep your sensitive payroll data safe, as you can read about in our reviews. All support multi-factor authentication, too.

Can You Conduct Payroll from Your Phone?

It's possible to run payroll on your phone, though it’s easier on your PC. Many mobile versions let you view employee records and, in some cases, even reports. Some payroll sites are accessible via mobile browsers, while others offer dedicated apps. They don’t all replicate absolutely every feature of their desktop counterparts, but some do.

As mentioned, you can invite employees to create login credentials and enter their personal information in their worker portal, available on desktop or mobile. In most cases, they can do much more than that, such as punch in and out, request time off, see pay stubs, and view benefits.