Here’s a breakdown of the top payroll company for small business, tailored to meet different needs.
OnPay: Best for Comprehensive Features
OnPay offers everything a small business might need in a payroll platform. It handles payroll taxes at the federal, state, and local levels, manages multiple pay schedules, and even allows you to create customizable payroll reports.
If you have employees across multiple states, OnPay ensures compliance with tax and unemployment insurance regulations.
Standout Features:
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Integration with accounting tools like QuickBooks and Xero.
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Employee self-service features for onboarding, time-off requests, and paperwork completion.
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Affordable pricing for robust tools.
Who it’s for: Businesses that want a full-featured payroll solution at an accessible price.
Gusto: Best for User Experience
Gusto is known for its user-friendly design and simplicity. It streamlines tasks like payroll runs, W-2 and 1099 forms, state tax registration, and even international contractor payments. Gusto makes payroll management easy for both employers and employees.
Standout Features:
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Unlimited payroll runs and PTO tracking.
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Tools for paying employees and contractors across multiple states.
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Positive customer feedback for ease of navigation and customer support.
Who it’s for: Small businesses prioritizing simplicity and a smooth user experience.
Wave Payroll: Best for Affordability
Wave Payroll is an excellent choice for businesses on a budget. It offers a straightforward platform with lower rates in “self-service” states where Wave doesn’t file payroll taxes automatically. Even in these cases, Wave makes it easy to handle taxes manually by providing the necessary forms.
Standout Features:
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30-day free trial for new users.
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Available to small businesses in the U.S. and Canada.
Who it’s for: Businesses looking for basic payroll services at a lower cost.
QuickBooks Payroll: Best for Payroll and Bookkeeping
If your business already uses QuickBooks for bookkeeping, adding QuickBooks Payroll is a natural extension. This platform integrates bookkeeping and payroll tools, offering a seamless experience for small business owners.
Standout Features:
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Income and expense tracking, invoicing, and tax deductions.
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Options for same-day direct deposits and mobile time tracking.
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Affordable plans for businesses need only payroll services.
Who it’s for: Businesses seeking an all-in-one platform for payroll and financial management.
Rippling: Best for International Payments
Rippling is ideal for businesses that employ both U.S.-based and international workers. It offers a wide array of HR, IT, and finance tools, along with payroll services that handle local currency payments and ensure compliance with tax laws worldwide.
Standout Features:
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Robust automation for global payroll and onboarding.
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Tools to manage both local and international tax regulations.
Who it’s for: Businesses with international employees or contractors.
SurePayroll: Best for Free Trial Offer
SurePayroll provides the longest free trial in the industry—six months! This gives businesses plenty of time to try out its features before committing. It offers two plans: full-service and no-tax filing, giving you flexibility based on your needs.
Standout Features:
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No-tax filing tier starts at just $19.99/month plus $4 per employee.
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Affordable options for businesses willing to handle tax filing independently.
Who it’s for: Small businesses looking for a budget-friendly payroll service with a generous trial period.
FAQs about Payroll Company for Small Business
What are the Benefits of Using Payroll Software for Small Businesses?
Payroll software can save business owners time, minimize errors, and simplify managing payments, even for contractors or employees in other countries. Ensuring employees are paid on time is a key responsibility, and payroll software makes this process easier and more efficient.
What Information is Needed to Add an Employee to Payroll?
To add an employee to your payroll, you’ll need their full legal name, home address, a completed W-4 form, and often an email address. These details ensure accurate records and compliance with tax regulations.
What are Payroll Taxes?
Payroll taxes are deductions from wages, tips, and salaries that must be sent to the IRS on behalf of employees. As a business owner, it’s your responsibility to withhold these taxes and submit them to the appropriate authorities.
Can I Manage Payroll Myself?
Yes, but managing payroll on your own can be complex, especially if you have employees in multiple states or countries. Using a payroll service or software reduces the chance of mistakes and helps you avoid penalties for errors in payroll or tax filings.
Are Paychecks the Same as Paystubs?
No, paychecks and paystubs are different. A paycheck is the actual payment to the employee, either as a direct deposit or physical check. A paystub, on the other hand, provides a detailed breakdown of how the paycheck amount was calculated, including taxes and other deductions.
Final Thought
Managing payroll doesn’t have to be overwhelming, even for small businesses. With the right payroll company for small business, you can streamline the process, ensure compliance, and save time. Whether you prioritize affordability, ease of use, or international capabilities, there’s a solution that fits your needs.
As your business grows, investing in a payroll service is a step toward smoother operations and a more professional experience for your employees. Take the time to explore your options and choose the best fit for your business.