5 Gusto Alternatives for Small Business Payroll & HR

Gusto is one of the most popular payroll and HR platforms for small businesses, and it earned that reputation. Clean interface, straightforward payroll processing, and decent benefits administration. But at $40/month base plus $6/person for the Simple plan, or $80/month base plus $12/person for the Plus plan, Gusto is not cheap -- especially for small businesses watching every dollar.

For a 10-person team on the Simple plan, you are paying $100/month. On the Plus plan, $200/month. And that covers payroll and HR. You still need separate tools for CRM, project management, invoicing, and everything else.

Whether you are looking for a cheaper alternative, more features, or a different approach entirely, these five options are worth evaluating.

Gusto works well for what it does, but common complaints include:

- The pricing adds up quickly as your team grows ($6-12 per person per month) - Customer support response times have gotten slower as they have scaled - Limited time tracking (requires the Plus plan or a third-party integration) - No built-in project management, CRM, or other business tools - Benefits administration is limited in some states - The contractor-only plan ($35/mo base + $6/contractor) is expensive for businesses that primarily use contractors

If any of these resonate, one of the alternatives below may be a better fit.

Pricing: Free tier, then $19/seat/month (all apps included) Best for: Small businesses that want HR, payroll tracking, and 50+ other business apps in one subscription

Deelo is not a standalone payroll provider -- it is an all-in-one business platform that includes an HR module alongside CRM, invoicing, project management, marketing, helpdesk, and 45+ other apps. The HR app covers employee directory, time tracking, PTO management, onboarding workflows, document management, and org charts.

For payroll processing specifically, Deelo integrates with payroll providers rather than processing payroll directly. This means you use Deelo for time tracking, PTO approvals, and employee management, then sync that data to your payroll provider for the actual payment runs. For businesses that want to consolidate their SaaS stack, this approach works well -- you replace 5+ separate tools with one platform that handles everything except the payroll ACH transfer.

Pros: Dramatically lower total cost when you factor in all the business tools included. Time tracking, PTO, and HR management are built in. Employee data connects to your CRM, projects, and operations automatically.

Cons: Does not process payroll directly -- you need a payroll partner for the actual payment processing. Not the right choice if standalone payroll is your only need.

10-person team cost: $190/month (vs. Gusto Simple at $100/month -- but Deelo includes CRM, invoicing, PM, marketing, and 46 more apps)

Pricing: $40/month base + $6/person Best for: Businesses that want the same payroll experience as Gusto with better customer service

OnPay matches Gusto's Simple plan pricing exactly ($40/mo + $6/person) but includes features that Gusto locks behind its Plus tier: multi-state payroll, custom pay schedules, and workers' comp management. OnPay has one plan with all features included -- no tiered pricing games where the features you need are always on the next tier up.

OnPay consistently receives higher customer support ratings than Gusto. Their implementation team helps with setup and migration, and phone support is available during business hours.

Pros: Same price as Gusto Simple but with more features. All features on one plan (no tiers). Better customer support ratings. Includes workers' comp administration.

Cons: Smaller integration ecosystem than Gusto. Benefits administration is available but with fewer carrier partnerships. Interface is functional but not as polished as Gusto's.

Pricing: Free (scheduling + time clock), Essentials at $24.95/location/month, payroll at $39/month + $6/person Best for: Restaurants, retail, and hourly-wage businesses that need scheduling and time clock alongside payroll

Homebase starts as a free scheduling and time clock tool and adds payroll as a paid feature. For businesses that rely on hourly workers, this bottom-up approach makes sense: you get scheduling, time tracking, and team communication for free, then add payroll when you are ready.

The scheduling tool is genuinely good and genuinely free -- drag-and-drop shift scheduling, shift swapping, availability management, and a mobile app for employees. Payroll adds automatic time-to-pay calculation so that hours tracked in the time clock flow directly into payroll runs with no manual data entry.

Pros: Free scheduling and time clock is excellent. Payroll auto-calculates from tracked hours (no manual entry). Built for shift-based businesses. Employee app for schedule viewing, shift swaps, and time clock punch-in/out.

Cons: Payroll pricing ($39/mo + $6/person) is comparable to Gusto, not cheaper. HR features are basic. Not suitable for salaried knowledge workers. Benefits administration is limited.

Pricing: Custom pricing, typically $8-15/user/month for core HR + payroll Best for: Companies growing quickly that need IT + HR + payroll unified

Rippling is an ambitious platform that unifies HR, payroll, IT management, and benefits under one roof. When you hire a new employee, Rippling can provision their laptop, set up their email, add them to payroll, enroll them in benefits, and configure their app access -- all from one workflow. When someone leaves, all of that is revoked automatically.

The platform is more sophisticated than Gusto and priced accordingly. Custom pricing typically lands at $8-15/user/month depending on modules selected. For companies adding employees regularly, the automation of onboarding and offboarding saves significant admin time.

Pros: Unified HR + IT + payroll is genuinely unique. Onboarding automation is best-in-class. The platform is modern, fast, and well-designed. Global payroll available. Excellent integrations with 500+ apps.

Cons: Custom pricing means you need a sales call (no self-serve pricing). More expensive than Gusto for most small businesses. The breadth of the platform can be overwhelming for a 5-person company. Overkill if you just need basic payroll.

Pricing: $20/month base + $6/person (tax-service states) or $40/month base + $6/person (self-service states) Best for: Solo operators and micro businesses that use Wave for accounting and want payroll in the same platform

Wave is known for its free accounting software, and Wave Payroll is the natural add-on for businesses already using Wave for invoicing and bookkeeping. In the 14 states where Wave handles tax filing automatically, the pricing is $20/month base + $6/person -- half of Gusto's base price.

The trade-off is simplicity. Wave Payroll handles the basics: direct deposit, tax calculations, T4/W-2 generation, and basic deductions. It does not offer benefits administration, time tracking, PTO management, or HR features. For solo operators or micro businesses with 1-3 employees, this simplicity is a feature, not a bug.

Pros: Cheapest payroll option when paired with Wave's free accounting. Tax filing included in supported states. Simple and fast -- run payroll in minutes. Integrates natively with Wave accounting.

Cons: Limited to payroll only (no HR, no benefits, no time tracking). Self-service tax filing in non-supported states adds complexity. No scheduling or team management features. Wave's free accounting has its own limitations.