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There are seemingly countless HRMS for small business available, so figuring out which is best for you is tough. You want to manage various human resource functions efficiently—employee data management, payroll, recruitment, and benefits administration—but now need to figure out which tool is the best fit. In this post, I make things simple, leveraging my experience as an HR expert and using dozens of different HRMS tools with small teams to bring you this shortlist of the best HRMS for small business overall.

What is an HRMS?

Human resource management systems (HRMS) is a software tool designed to streamline and automate various HR functions, such as employee data management, payroll processing, benefits administration, and recruitment processes. It provides a centralized platform for storing and accessing employee information, simplifying HR tasks, and improving decision-making.

This software aids small businesses in efficiently managing a small workforce, ensuring compliance with labor laws, and reducing manual workload without costing a bundle. By using HRMS, small businesses can focus more on strategic growth and less on administrative burdens.

Overviews Of The 10 Best HRMS For Small Business

Here’s a brief description of each HRMS for small business to showcase each tool’s best use case, some noteworthy features, and screenshots to give a snapshot of the user interface. Keep reading to find additional bonus picks at the bottom of the list.

1

Deel

Best free all-in-one HRMS for small businesses

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.7
2186 reviews

Free demo available

Flat rate user pricing, with a free version for businesses with up to 200 people

Deel is a global HRMS solution designed for businesses of all sizes. Deel’s HR tools are completely free for small businesses, so it’s a powerful platform to manage additional help from anywhere in the world.

The Deel platform has a clean and straightforward user interface that makes it easy to manage employees and contractors without having to juggle several tools. Features include contract and stock option management, expense reimbursements, and compliance tracking. In addition, their automated onboarding with compliance document collection is a great time saver. 

Employees and contractors can self-manage their pay and personal data, which reduces admin load. The platform provides a polished and consistent payment experience, making it easy to update their own data and set up withdrawals.

Deel has positive online reviews from clients and their workers. The company offers 24/7 online chat support.

Deel integrates with a handful of popular HR and accounting software systems, including Ashby, BambooHR, Expensify, Greenhouse, Hibob, Netsuite, Okta, OneLogin, Quickbooks, SCIM, Xero, Workday, and Workable.

Deel’s HR management tools are free for businesses with under 200 workers. They offer flat rate pricing for their hiring and payroll services, so you can simply scale up or down depending on your situation. You can request a free demo through their website to discuss your hiring needs.

2

Rippling

Best HRMS for small businesses needing support with HR, payroll, IT and benefits

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.8
1133 reviews

Free demo available

From $8/user/month (EOR pricing upon request)

Rippling is a cloud-based HRMS that combines payroll, benefits administration, onboarding, and IT management into one platform. With the click of a button, your HR teams can access all the information they need to make informed decisions about their HR operations. The platform eliminates the hassle of manual data entry by streamlining processes such as onboarding new employees or running payroll reports. By automating these key functions, small businesses can save time and money while providing a better employee experience.

Rippling allows employees to manage their personal information through its self-service portal. Employees can log in to view their pay stubs, W2s, contact information, vacation days remaining, benefits packages, and any other information they might need about their employment with the company. This ensures employee records remain accurate and frees the HR team from having to answer tedious questions about employee data.

Rippling’s time tracking feature keeps track of how many hours each employee works each week and how many vacation days they've taken throughout the year. This helps employers ensure their staff are working within their allotted hours according to company policies and relevant labor laws in their state or country. The feature also helps employers plan employee schedules when assigning work tasks or planning for vacation days throughout the year.

Rippling also includes advanced benefits management capabilities. Employees can enroll in their plan of choice as part of their onboarding workflow. Benefit deductions are synced directly to payroll, and Rippling ensures the plans offered are always compliant with local regulations too.

Integrations are available with 1Password, Asana, Checkr, Databricks, DocuSign, Dropbox, Google Workspace, Microsoft 365, Sage Intacct, Slack, Typeform, QuickBooks, Zendesk, Zoom, and many other systems.

Due to the modular nature of their system, pricing details are customized upon request. You can also request a free demo through their website too.

3

Paycor

Robust human capital management with an intuitive self-service portal

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.1
562 reviews

90-day free trial + free demo available

From $5/employee/month + $99/month base fee

As an HRMS, Paycor helps businesses manage employee data, onboard new employees, and automate payroll and tax compliance. Paycor’s payroll system can automatically calculate and withhold taxes, track employee hours, and generate pay stubs. It offers a wide range of reports that allow employers to track employees' compensation history and compare it to market rates, which can be used to ensure that employees are being paid fairly and identify opportunities for cost savings.

Paycor’s compliance tools help businesses comply with federal, state, and local employment laws. These tools include a compliance calendar, an onboarding checklist, and a document library. Its self-service portal helps small businesses manage their payroll and HR needs by providing a secure online environment where they can access their account information and take care of tasks such as managing employee records, running payroll reports, and paying invoices. The self-service portal helps businesses save time and money by eliminating hiring a separate payroll and HR provider. The portal has the ability to create custom reports, set up automatic payments, and track employee vacation days.

Paycor’s Work Opportunity Tax Credit (WOTC) feature allows employers to take advantage of federal and state tax credits for hiring employees from certain target groups, such as veterans and food stamp recipients. Businesses can offset the costs of training new employees. The HRM system provides dedicated customer support, ensuring users have the resources to run their businesses effectively. It integrates with various third-party applications, making it easy to manage all HR data in one central location.

Pricing for Paycor starts at $199/month.

4

Remofirst

Best HRMS to support growing international teams in 170+ countries

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.3
59 reviews

Free demo available

From $199/employee/month for EOR and $25/mo for contractors

Remofirst is a human resources management solution that helps companies with global HR services, international benefits, and compliance. Their Employer of Record (EOR) services help businesses manage payroll processes, benefits, and taxes for their workforce more effectively by accessing their pool of legal experts and HR professionals. Their software also helps users streamline HR operations and improve efficiency, helping save money on administrative costs.

Remofirst provides a centralized hub for all HR data, allowing users to create custom workflows and automate HR processes including onboarding, performance reviews, and compliance tracking. They provides a secure environment for storing employee data, ensuring that sensitive information is protected. Users can enroll employees in health, dental, and other benefits programs. Their payroll module makes it easy to calculate payroll taxes and send direct deposit payments to employees' bank accounts. It can also calculate and handle bonuses, equity, and benefits in compliance with local employment laws. In addition, Remofirst can handle the logistics of providing equipment like laptops to international hires too.

Their dashboard with visual graphs provides an overview of employees, expenses, and performance. Remofirst provides a comprehensive database of HR policies and procedures for a smooth onboarding process. Employees have access to self-service features that make finding the information they need a hassle-free affair. Its performance management tools help managers and employees set and track goals, receive feedback, and measure progress over time. Remofirst is a scalable solution that can be customized to meet the needs of startups and small-scale enterprises.

Remofirst’s services cost from $199/employee/month and are available in 170+ countries. They also offer a $25/month plan if you only need to manage global contractors. There is no free trial available, but you can request a free demo through their website.

5

Freshteam

Empower your workforce with paperless employee self-service options

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.6
181 reviews

21-day free trial

From $1.20/user/month + $71/month base fee

Freshteam by Freshworks is a low-code HR system that helps you manage hiring, onboarding, time off, employee data, and HR workflows. It automates repetitive routines to reduce recruiter workload by up to 75%.

Using Freshteam, you can organize and store all employee data and files securely. You can also manage time off, track absences, and report other employee events.

Managers can hire and onboard new team members without needing paper, as well as cutting down on new hire queries. Employees can use the self-service option to access their own records and update their information.

This tool integrates with a wide range of applications, including DocuSign, Google Calendar, Google Meet, LinkedIn, and Zoom.

Freshteam costs from $1.20/user/month. A 21-day free trial is also available.

6

Breezy HR

Attract the right candidates with an end-to-end applicant tracking system

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.5
416 reviews

14-day free trial

From $143/month

Breezy HR is one of the best HR software solutions for startups and SaaS businesses that want to attract top candidates. The platform gives you actionable insight into how well your job postings are doing and enables you to identify the ideal recruiting channels for your business.

The tool has a great layout, making it easy to organize your work. You can track different job postings on your dashboard and use the app’s communication features to discuss each application you receive with your team.

The highlight of using Breezy is that it enables you to increase your volume of job applicants without adding to your workload. You can track your candidates visually, so you can get back to them without combing through spreadsheets for their contact information. The scorecard feature allows you to rank interviewees, making it easy to create candidate shortlists.

Breezy HR integrates with multiple solutions, including Zenefits, Indeed, Checkr, Google Calendar, Office 365 Calendar, Outlook, BambooHR, Rippling, Zoom, and others.

Breezy HR costs from $143/month. You can also access a free-forever version with limited functionalities.

7

Eddy

Stay on top of your company data with a detailed employee directory

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.8
15 reviews

Free demo available

From $8/employee/month + a $49 base fee/month

Eddy is an HR software that’s great for performance management. The tool acts as a database for your employee records and makes it easy to track employee engagement, run payroll and create standardized HR processes.

This human resources information system (HRIS) stands out from its competition thanks to its ease of use. Its interface is customizable and easy to navigate, and your team members should be able to learn how to use all of the tool’s features after a brief training period.

With Eddy, you can create a company directory rich with employee data, track billable time, manage time off, and store documents. The platform provides access to HR training materials and educational content, so your HR professionals can learn how to create onboarding, training, and people management processes.

Eddy integrates with a variety of tools, including QuickBooks, HelloSign, and Indeed.

Eddy costs from $8/user/month. The company offers a live demo.

8

Kallidus Sapling

Simplify your work with standardized processes for every HR task

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.3
384 reviews

Free demo available

Pricing upon request

Sapling is an HR management software that helps small business owners save time with process templates. The software enables you to store employee information, automate workflows, process payroll, and train new hires.

The highlight of this solution is its clean and modern interface. Sapling offers a flawless user experience for HR departments. Your HR team can set up employee benefits, create templates for HR tasks, check timesheets in real-time, process payroll, and track applicants with ease.

Sapling integrates with a lot of tools, including Workday, ADP, 15Five, Lattice, Zapier, Gusto, Xero, and more.

Sapling’s core HR solution costs from $4.92/user/month. You can access different add-ons for an additional cost. You can also schedule a customized demo.

9

ZenHR

Improve employee experience with a mobile app for attendance tracking

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
4.6
50 reviews

14-day free trial

Pricing upon request

ZenHR is a human capital management (HCM) platform that features a great employee self-service portal. The solution offers a mobile app version for Android and iOS devices, so your team members can clock in and out of work, check their leave balance, request time off, and store their payment slips.

Besides its time-tracking features, ZenHR also offers a configurable benefits management and payroll module. Once you set it up, the payroll process automatically calculates salaries, deductions, taxes, and social security. You can set up an additional pay structure for overtime, but you can also compensate for overtime with extra time off.

ZenHR has open APIs, so you can integrate it with other could-based solutions.

ZenHR offers customized pricing upon request. You can try out the platform for free for 14 days. The platform offers a live demo.

10

Qandle

Create company policies with a flexible HR software

This is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.
5
1 review

14-day free trial

From $38/company/month plus from $4.5 per employee/month

Qandle is an up-and-coming HR management software that features a strong employee self-service portal. The platform has a clean interface and is simple to use, so your team should be able to access all of its functions without training.

One of the things that make Qandle stand out is its flexibility. You can create company policies for minimum hours or late employees, facilitate mobile clock-ins for field employees with geo-fencing or geo-tagging attendance, and get real-time notifications about policy breaches.

The platform’s dashboard enables managers to review employee performance, schedule leaves, plan team activities, and create custom notifications.

Qandle enables you to link to various platforms with API integrations.

Qandle costs $38/company/month plus from $4.5 per employee/month. The company offers a free 14-day trial and a live demo.

Preview Image - <h2 class="c-block__title b-summary-table__title c-listicle__title h3" > Compare Software Specs Side by Side</h2>

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Other Options

Here’s a few more that didn’t make the top list. I didn't have room for a full review for each of these but they are still worthy of consideration:

  1. WorkforceHub

    Track your team’s activity with a simple solution

  2. BambooHR

    Improve your HR initiatives with automation and simplified workflows

  3. eloomi

    Cultivate your team’s skills with dedicated learning packages

  4. Factorial

    Best employee well-being and feedback module

  5. Connecteam

    Best mobile-first HRMS for managing deskless workers

  6. Sage HR

    Best for planning shifts and handling timesheets

  7. Rise

    Manage your workforce effectively with an intuitive HRMS solution

  8. HR Cloud

    Make the onboarding process easier with automation features

  9. Trinet

    Best for its robust mobile app

  10. Justworks

    Best for small businesses starting an HR team

Related Read: 10 Best Employee Evaluation Software For Performance Reviews & Recognition

How I Picked the Best HRMS for small business

How did I pick the best HRMS for small business? Here's my comparison criteria:

  1. User Interface (UI): I look for solutions that offer a clean interface. You shouldn’t go through a series of unnecessary steps to access the right HR functions. 
  2. Usability: I look for tools that are easy to use. You should be able to understand how the software works after going over the tool’s documentation or watching a series of training videos. 
  3. Integrations: I look for software that integrates with your existing solutions so you’ll be able to simplify your work processes. 
  4. Value for $: I look for tools that help you achieve a variety of HR goals, so you get the most out of your investment.

HRMS For Small Business Key Features

  1. Payroll management: The solution should help you manage the payroll process, so you can focus on other aspects of your business.
  2. Employee management: The tool should enable you and your team to forecast and manage workload, handle benefits, and schedule PTO in a self-service portal. 
  3. Employee performance tracking: The software should enable you to identify top performers in your organization so you can reward them accordingly. 
  4. Talent management: The solution should create a database for all your employee-related data and help with applicant tracking and employee onboarding. 

For businesses looking for more customization options, exploring advanced HR software can provide a wider range of features to tailor to your needs.

Help Your Small Business Grow With HRMS Solutions

Growing a small business is complicated because there are a lot of things owners have to look out for. But HRMS solutions and other HR software designed for small businesses make the process easier. Many of them help you automate repetitive HR tasks, so you can focus on other aspects of your business. And they help you save time with recruiting, talent management, onboarding, and workforce management. 

But most importantly, HRMS software can help you and your team understand how to grow.  Mary Karamanos, Senior Vice President, Human Resources at BDC, said “A common mistake that growing companies make is not taking enough time to plan their HR needs. […] The good news is small businesses often attract top employees because they can often offer challenging responsibilities, good learning opportunities, and personal growth.” 

You can read more about human resources management systems on our blog. If you want to get tips on how to improve your small business with the help of HR, subscribe to the People Managing People newsletter

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By Kim Behnke

Kim Behnke is an HR Tool Expert & Writer for People Managing People. She draws on her 9 years of human resources experience and her keen eye for systematic processes to support her analyses of the top HR tools on the market. She is passionate about maximizing efficiencies and streamlining workflows to ensure internal systems run smoothly. Kim's HR experience includes recruitment, onboarding, performance management, training and development, policy development and enforcement, and HR analytics. She also has degrees in psychology, writing, publishing, and technical communication, and recently completed a Certified Digital HR Specialist program through the Academy to Innovate HR. When away from her desk, she can usually be found outside tending to her ever-expanding garden.