Best Payroll Software for Small Business

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Clear Choice Picks Editorial Team

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Quick Picks

  • Best overall payroll software for small businesses: Gusto
  • Best if you already use QuickBooks accounting: QuickBooks Payroll
  • Best straightforward payroll and HR option: OnPay
  • Best for businesses that want a larger payroll provider: RUN Powered by ADP

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What Payroll Software Should Do

Payroll software helps you pay employees and contractors, calculate taxes, handle filings, track pay records, and reduce the risk of missed deadlines. For a small business, the right payroll tool should make payday predictable without forcing you to become a payroll specialist.

Look for:

  • Automated payroll runs
  • Federal, state, and local payroll tax support
  • Direct deposit and contractor payments
  • Employee self-service access
  • Time tracking or timesheet integrations
  • Benefits and workers’ compensation options
  • Clear payroll reports
  • Support for year-end tax forms

Payroll has real compliance consequences, so avoid choosing only by price. Make sure the tool fits your state, worker types, pay schedule, and support needs.

Recommended Payroll Software

Gusto

Gusto is a popular payroll and HR platform for small businesses that want payroll, tax filing, employee profiles, onboarding, benefits, and basic people operations in one place.

It is a strong first stop for owners who want a modern payroll experience that can grow into lightweight HR.

Choose Gusto if:

  • You want payroll software built around small business teams.
  • You need automated payroll taxes and filings.
  • You want employee onboarding and benefits options.
  • You prefer a clean, beginner-friendly interface.

Watch for:

  • Multi-state payroll, benefits, and HR needs can change which plan makes sense.
  • Compare pricing carefully as your team grows.

QuickBooks Payroll

QuickBooks Payroll is a natural option for businesses already using QuickBooks for bookkeeping or accounting.

It can be especially helpful when payroll reports, contractor payments, time data, and accounting records need to stay close together.

Choose QuickBooks Payroll if:

  • You already use QuickBooks Online.
  • You want payroll connected to bookkeeping.
  • You need payroll reports your accountant can use easily.
  • You want one vendor for accounting and payroll workflows.

Watch for:

  • It is most attractive when you are already in the QuickBooks ecosystem.
  • Confirm which payroll, HR, and time features are included in your plan.

OnPay

OnPay offers payroll, HR, benefits, and support for small businesses that want a straightforward payroll system without too much operational complexity.

It is a practical option for owners who want full-service payroll support with a relatively simple setup.

Choose OnPay if:

  • You want payroll and HR basics in one place.
  • You need employee and contractor payments.
  • You want clear payroll processing without a heavy enterprise system.
  • You value guided setup and support.

Watch for:

  • Make sure its integrations fit your accounting and time tracking stack.
  • Specialized payroll needs may still require closer review before switching.

RUN Powered by ADP

RUN Powered by ADP is ADP’s small business payroll and HR platform. It fits businesses that want payroll from a long-established provider with broader HR and compliance support behind it.

It may be a good fit if you expect payroll needs to become more complex over time.

Choose RUN Powered by ADP if:

  • You want a major payroll provider.
  • You need payroll plus HR support options.
  • You expect hiring or compliance needs to grow.
  • You prefer a provider with a broad service ecosystem.

Watch for:

  • Pricing and package details may require a sales conversation.
  • Small teams with simple needs may prefer a lighter tool.

How To Choose

Start with your current business stack:

  • If you want a modern small business payroll system, compare Gusto first.
  • If your books already live in QuickBooks, look at QuickBooks Payroll.
  • If you want straightforward payroll and HR basics, compare OnPay.
  • If you want a larger provider with broader HR support, consider RUN Powered by ADP.

Before switching, confirm your state requirements, pay schedule, contractor needs, benefits plans, and year-end tax form support. Payroll is one of the places where a little setup patience is worth it.

Related Guides

Related guides for this stage

Still comparing options? Use these related Clear Choice Picks guides to see where this category fits in your business stack.

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