30 Best Payroll Software of 2024: Reviewed and Compared
10 Best Payroll Software Shortlist
Here's my pick of the 10 best software from the 30 tools reviewed.
Get free help from our HR software advisors to find your match.
Finding the right payroll software shouldn’t feel like another overwhelming task on your to-do list. If you’re dealing with time-consuming manual entries, payroll errors, or compliance stress, you need a solution that simplifies the process and gives you peace of mind.
This guide breaks down the top payroll tools that will streamline payments, minimize errors, and automate key tasks—so you can focus on what really matters: supporting your team.
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Best Payroll Software: Pricing Comparison Chart
This comparison chart summarizes pricing details for my top payroll software selections to help you find the best software for your budget and business needs.
| Tools | Price | |
|---|---|---|
| Deel | Flat rate user pricing, with a free version for businesses with up to 200 people | Website |
| Rippling | From $8/user/month (billed annually) | Website |
| Remote | From $50/user/month | Website |
| RUN Powered by ADP | Pricing upon request | Website |
| Oyster HR | From $25/user/month | Website |
| Paycor | Pricing upon request | Website |
| Remofirst | From $25/user/month | Website |
| OnPay | From $6/user/month | Website |
| Paychex Flex | Pricing upon request | Website |
| Trinet | Pricing upon request | Website |
Compare Software Specs Side by Side
Use our comparison chart to review and evaluate software specs side-by-side.
Compare SoftwareHow to Choose Payroll Software
Payroll software can eliminate manual data entry and help you pay employees or contractors with ease. To help you figure out which payroll software best fits your needs, keep the following points in mind:
- What payroll challenges are you trying to solve? Identifying your current challenges will help you understand the specific payroll features and functionalities you want in your new payroll system.
- What outcomes are important and how will you measure success? Being clear on your desired outcomes upfront is crucial to avoid wasting valuable time. For example, you may want to provide more flexible payment options for your employees, such as on-demand pay.
- Who are your main users? Consider your different user groups — power users, administrators, managers, employees, etc. — and their unique needs, to ensure they're all met. You'll need to evaluate if it'll just be your HR professionals, select accounting staff, or your entire finance and HR departments that need access.
- What is your budget? Determining a realistic budget for your new payroll system up-front is crucial, so you don't waste time considering software that's too expensive.
- Do you require specific software integrations? Clarify whether your new payroll platform will replace any existing tools or need to integrate with them, such as accounting, time-tracking, or HR software. Can you replace multiple tools with one consolidated HR and payroll platform?
- Does the payroll software satisfy your technical requirements? Consider the software selection alongside your existing workflows and operating systems. Evaluate what's working well, and any problem areas that need to be addressed.
Remember, every business is different — don’t assume that a payroll system will work for your organization just because it's popular.
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Deel
Visit WebsiteThis is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.4.8 -
Rippling
Visit WebsiteThis is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.4.8 -
ClearCompany
Visit WebsiteThis is an aggregated rating for this tool including ratings from Crozdesk users and ratings from other sites.4.6
Best Payroll Software Reviews
Here you’ll find my detailed overviews of the 10 best payroll solutions I’ve featured. Each overview has information about the platform’s best use case, standout features, and integrations. Plus, there are 20 additional options included below if you’d like even more choices to consider.
Deel is a global payroll platform available in over 150 countries and all 50 U.S. states, ensuring compliance with local regulations. With Deel, you can hire and pay anyone as a contractor or employee without worrying about local laws, complicated tax systems, or international payroll.
Why I picked Deel: I chose this software because it provides end-to-end global workforce management, including contract adjustments, expense reimbursements, and off-cycle payroll adjustments. You can schedule payments in advance and run off-cycle payroll whenever needed. It's also worth noting that the company has local country experts working in-house to run global payroll and ensure all regional contributions are accounted for. Their team provides 24/7 online support, and dedicated account managers are available for specific requests.
Deel Standout Features and Integrations:
Standout features I noticed were the software's 10+ payment options, ranging from bank transfers to cryptocurrency pay-ins. What makes this stand out from other options is that employees and contractors can self-manage their pay and personal data, and use providers like Wise, PayPal, Payoneer, and Revolut for easy international withdrawals.
Integrations include Ashby, BambooHR, Expensify, Greenhouse, Hibob, NetSuite, Okta, OneLogin, QuickBooks, Xero, Workday, and Workable. The software’s open API can support additional custom software integrations.
Pros and cons
Pros:
- Knowledgeable support staff
- Detailed dashboards
- Add-ons available to localized benefits and global payroll
Cons:
- Limited invoice customization
- Contract templates could be simplified
Rippling’s modern payroll system provides the robust functionality of legacy systems with the ease of newer systems to deliver the best of both worlds.
Why I picked Rippling: Rippling allows users to onboard new hires quickly and automatically, run payroll with a click, and pay employees or contractors, anywhere. Their system is built on centralized employee data, so businesses can automate all of the admin work that’s normally required to run payroll and update employee information.
Rippling Features and Integrations:
Features include domestic and international payrolls, an organization chart, expense management, talent management, local tax filing, country-specific compliance, and international benefits programs. Companies can also manage their employees’ offer letters, I-9s, health insurance, and time off.
Integrations are available with Google Workspace, Typeform, Databricks, BrightHire, Atlassian, Google Workspace, Slack, Checkr, Zoom, GitHub, Asana, 1Password, Zendesk, Dropbox, Sage Intacct, Netsuite, Microsoft 365, QuickBooks, DocuSign, Upwork, LinkedIn, and dozens more.
Remote empowers companies of all sizes to pay and manage full-time and contract workers around the world. Remote makes it possible for users to take care of international payroll, benefits, taxes, stock options, and compliance in over 50 countries.
Remote makes it easy to onboard and pay your contractors and employees in one modern, secure, cloud-based platform, freeing you and your team up to focus on more strategic work. Through Remote’s platform, you’ll have access to your most important employment documents, data, and HR processes, while Remote takes care of your localized payroll, benefits, compliance, IP protection, and taxes wherever your team works. Remote’s network of HR and legal experts stay on top of the nuances, changes, and complexities of local regulations to ensure full compliance with all relevant legislation at all times.
Remote also partners with powerful HR systems to connect people, payroll and HR data. Through Remote’s global employee API and native partner integrations, Remote empowers partners to leverage its global infrastructure in their offerings and help more customers scale their global teams faster.
RUN by ADP is a comprehensive payroll and HR software solution designed to enhance payroll processing and human resource management for small businesses.
Why I picked RUN by ADP: I like its comprehensive suite of features tailored to meet the needs of small businesses. One of the most significant advantages is its ability to automate payroll processes, including tax calculations and filings. This feature not only saves time but also reduces the risk of errors, ensuring compliance with federal and state regulations. The software automatically calculates benefits and retirement deductions, and it customizes the experience based on the specific needs of the business and its employees.
RUN by ADP Standout Features and Integrations:
Standout features include AI-powered error detection that learns your payroll and proofs your data for you, flagging potential errors before they happen. It also offers direct deposit, multi-jurisdiction payroll, job costing, and a range of HR functions, like background checks, new employee onboarding, and forms and documents.
Integrations include Quickbooks, Wave, Xero, ClockShark, Points North, TruSaic, Compy, Wex, Synerion, JazzHR, 7Shifts, Snappy Gifts, Absorb LMS, SmartRecruiters, and hundreds more.
Pros and cons
Pros:
- Good integrations
- Employee self-service portal
- Good mobile app
Cons:
- Most HR functions are only available on higher-tier plans
- Setup can be complex
Oyster’s HR and payroll management platform delivers fully-compliant online global payroll services with automatic local deductions, taxes, and contributions, no matter where your team is located.
Why I picked Oyster: Organizations in over 180 countries can use the software to recruit and hire staff globally, so I picked Oyster for its global and remote payroll management. You can pay international employees or independent contractors in their local currency (over 120 currencies are supported), and reimburse them for out-of-pocket expenses. The software has built-in tools to help you manage international payroll taxes and employment law. It has carefully crafted compliance guardrails in place to ensure your company receives the legal protection you’ll need when operating in a new territory.
Oyster Standout Features and Integrations:
Standout features include the employment cost calculator that estimates the cost of hiring a new employee in any country, including their required taxes and government contributions. I was also impressed by its built-in contractor misclassification assessment tool, which helps you determine whether a vacant position should be filled with a new employee or an independent contractor.
Integrations include BambooHR, Bob, Expensify, Greenhouse, Okta, Oracle Netsuite, QuickBooks Online, Xero, and Workday.
Pros and cons
Pros:
- Global health insurance add-on available
- Oyster Academy provides relevant training and resources
- Automated onboarding for speedier implementation
Cons:
- Robust system, can take time to learn
- Refundable security deposit required
Paycor is a human capital management solution with payroll, workforce management, and employee experience features. The payroll product can handle payroll, expense management, time and attendance, and more.
Why I picked Paycor: Once I set up payment options for employees, I was able to use the automation features to run my payroll automatically, as scheduled for a specific day and time. Multiple payment options are available through the software, including direct deposit, paycards, or on-demand pay. It also provides in-depth compliance feedback to help you respect the employment laws in your state. Because of its robust functionality, I think it's best suited to large and enterprise businesses.
Paycor Standout Features and Integrations:
Standout features include its pay-on-demand feature, which allows employees to access their earned wages before their next official payday. I thought this was a modern functionality. It's also convenient that expense management, scheduling and time tracking, and employee experience monitoring are all also available in the platform.
Integrations include several other tools for wage and salary verification, expense management, employee wellness, certified payroll, and FMLA. Key software systems to note include Certify, ESR, Payfactors, and WageWorks.
Pros and cons
Pros:
- All-in-one solution well suited to enterprise businesses
- Live and on-demand product training and industry webinars
- Mobile app allows for payroll management on the go
Cons:
- Time cards are a bit simplistic
- UX can be a little clunky at times
Best international payroll software for global teams in 170+ countries
Remofirst is a payroll software that provides users with a secure, efficient, and easy-to-use platform for managing payroll processes in 170+ countries. Users can input employee information, calculate taxes, and generate pay stubs. The software offers many features, including employee self-service, direct deposit, tax compliance, and reporting.
Why I picked Remofirst: Using Remofirst, you can manage payroll and invoicing for businesses with employees abroad. The software automatically generates accurate paychecks and invoices in the local currency and tracks employee vacation days, sick leave, and expense reimbursements. Remofirst sends invoices every month, ensuring your employees are paid on time. Users can access a dedicated account manager and Remofirst's knowledge base to troubleshoot any issues.
Remofirst also lets businesses manage employee benefits programs with ease. Users can track employee eligibility, enroll employees in benefits plans, and even change existing plans. It also allows businesses to generate employee enrollment and participation reports. Dashboards summarize team distribution and spending with visual graphs and charts.
Remofirst Standout Features and Integrations:
Features include a cost calculation tool that helps businesses budget costs effectively by considering various factors, including the number of employees, the type of benefits provided, and the frequency of payments. Employees can also view their equity and bonus information in real time, and the system automatically calculates vesting schedules and payout dates.
Other features include tools for managing employee shares and dilution, plus tools to issue specialized reports on equity and bonus activity. Its reporting feature allows users to generate detailed reports on their payroll data which can be generated for a specific period.
Integrations include Slack, Microsoft Teams, Google Workspace, BambooHR, Greenhouse, Workable, Lever, Gusto, QuickBooks, Xero, Zapier, HubSpot, Salesforce, Asana, Trello, Jira, PayPal, Stripe, and TransferWise.
Pros and cons
Pros:
- Dedicated account managers
- Customizable dashboards
- Multi-currency abilities within a single payroll run
Cons:
- Pricing structure varies for different services
- No mobile app available
OnPay’s payroll platform helps organizations with payroll processing, managing HR functions, and integrating employee benefits, all in one place. Their software includes a full suite of payroll services and compliance settings for the US, covering all 50 states.
Why I picked OnPay: I picked this company because special payroll services are offered at no additional cost for niche industries like restaurants, farms and agriculture, churches and clergy, and nonprofits. They provide great customer service in addition to the payroll platform, which is helpful when you have specific business needs. Platform specialists are available to help you set up your payroll process and automate your taxes, even if you don’t have any previous experience with this kind of software.
OnPay Standout Features and Integrations:
Standout features include their team of licensed in-house insurance brokers. I like that they can help you set up health, dental and vision plans with top providers such as Humana, Cigna, Blue Cross / Blue Shield, and UnitedHealthcare. You can also set up a 401k integration that supports employer matching and profit sharing arrangements.
Integrations include Deputy, Magnify, Mineral, PosterElite, QuickBooks, When I Work, Xero, Guideline, and Vestwell.
Pros and cons
Pros:
- QSEHRA payments can be made
- Clean, intuitive user interface
- A team of specialists come with the cost
Cons:
- Employee files can be a bit complex
- Integrations can be a bit tricky to set up
Best for streamlining payroll processing with accuracy, compliance, and ease
Paychex Flex is a cloud-based payroll and human resources management software designed to help businesses of all sizes manage their payroll processes, employee benefits, and other HR-related tasks. It's a comprehensive solution that aims to simplify and streamline the entire payroll process, making it easier for businesses to stay compliant with tax regulations and ensure their employees are paid accurately and on time.
Why I picked Paychex Flex: Paychex Flex enables you to track your team’s daily hours, manage time sheets, approve PTO, and oversee benefits in one place. The solution offers a self-service portal where employees can access digital copies of their pay stubs, see their contributions, and manage their retirement accounts, making it easy for them to access their data.
With Paychex Flex, you can schedule your payrolls and approve them before payday with ease. You can schedule multiple runs in the same pay period, and you can oversee your work on the mobile app. The solution also gives you access to extra HR features as add-ons for additional fees.
Paychex Flex Standout Features and Integrations
Features include payroll processing, payroll tax filing, a garnishment payment service, paycheck preview and approval, new-hire reporting, and a mobile app.
Integrations include Ashby, BambooHR, Clover, Deputy, HIREtech, iCIMS, Indeed, Oracle Netsuite, QuickBooks Payroll, and others.
Pros and cons
Pros:
- 24/7 specialized service for US clients
- Knowledgeable representatives
- Helps you save time with payroll filters and saved views
Cons:
- Adding pay categories could be easier
- Automatically creates multiple subfolders, making it difficult to find the right files at times
Trinet is a global payroll and HR software and service provider. It can help your organization manage various HR operations including payroll and employee benefits administration, performance and learning management, and risk mitigation.
Why I picked Trinet: I picked this platform because its payroll capabilities can handle complex regulations in several countries, making it suitable for global organizations or businesses operating in multiple locations. It can also manage worker's compensation claims, retirement plans, and employee benefits packages. Time tracking is included, which connects exact employee hours with their pay.
Trinet Standout Features and Integrations:
Standout features are definitely the software's compensation benchmarking capabilities, which stood out to me in my testing. The data is verified by Salary.com and covers 15,000 different job titles and 225 industries, helping you craft a better, more competitive compensation structure.
Integrations include QuickBooks, Oracle NetSuite, Sage Intacct, BambooHR, Lattice, Greenhouse Software, Carta, and Xero.
Pros and cons
Pros:
- Global payroll management for multinational businesses
- Centralizes all of your HR processes in one platform
- Company provides HR consulting as well as software
Cons:
- Robust system, comes with a learning curve
- Full functionality may not be needed
Other Payroll Software
Here are a few more options that didn’t make the best online payroll software shortlist. If you need additional suggestions for software to help you process payroll, check these out:
- Bambee
Software and services for ease of use and expert guidance
- Insperity
Payroll management software and services combined
- Namely
All-in-one payroll software solution for SMBs
- UZIO
Payroll software with integrated HR and benefits
- Patriot Payroll
Basic payroll software for US companies
- Knit People
Basic payroll software for startups
- FinancePal
Payroll management software for outsourcing
- Buddy Punch
Payroll software with integrated employee time-tracking
- BambooHR
Payroll software for employee self-service
- Papaya Global
End-to-end workforce management in 160+ countries
- ADP Workforce Now
Scalable payroll software for small businesses
- PrimePay
Payroll software for early wage access through paycards
- ADP TotalSource
Payroll system with manager and employee self-service features
- Justworks
Payroll software for both salaried and hourly employees
- QuickBooks Payroll
Popular payroll software for small businesses
- Wagepoint
Payroll software for Canadian-based small businesses
- Humi
Payroll management software designed by Canadians for Canadian SMBs
- Eddy
Full-service payroll software including hiring and onboarding
- WebHR
Global payroll provider with add-ons for applicant tracking and performance reviews
- StarGarden HCM
A cloud-based HR automation with automated workflows, reporting, and dashboards as well as full-function HRM/HCM.
Related HR Software Reviews
If you still haven't found what you're looking for here, check out these other related tools that we've tested and evaluated:
- HR Software
- Recruiting Software
- Employer of Record Services
- Applicant Tracking Systems
- Workforce Management Software
- Learning Management Systems
Selection Criteria for Payroll Software
Selecting the best payroll software for this list required a thorough understanding of how common pain points can be alleviated by choosing the right software. My approach to selecting the best systems for this list is grounded in thorough research, recent payroll software market data, and my personal experience maintaining payroll details within a human capital management system for numerous years.
Here’s a summary of the selection criteria I used to develop this list of the best payroll software:
Core Payroll Software Functionalities (25% of total score): To be considered for inclusion in my list of the best payroll software, each solution had to offer the following functionalities first:
- Automated calculation of wages and taxes
- Payment processing including direct deposit for employee paychecks
- Compliance with federal, state, and local tax laws
- Tools to generate and distribute employee pay stubs and tax forms
- Digital pay stubs that are accessible to employees through a self-service portal
- Integration capabilities to sync data with time tracking and other HR systems to reduce manual data entry
Additional Standout Features (25% of total score): To help me uncover the best payroll software out of the numerous options available, I also took note of any unique features, including:
- Sophisticated features, such as pay-on-demand or earned-wage-access
- Advanced analytics and reporting capabilities
- Customizable payroll workflows
- Integration with a broader range of HR and financial systems, including bookkeeping systems and benefits administration systems for health insurance
- Enhanced security features, such as multi-factor authentication
Usability (10% of total score): To evaluate the usability of each payroll system, I considered the following:
- An intuitive design and user-friendly interface that simplifies complex processes and requires minimal training to master
- Quick access to essential features without overwhelming users
- A user-friendly mobile experience or dedicated mobile apps for Android and iOS mobile devices
- Role-based access control that's straightforward to configure
Customer Onboarding (10% of total score): To get a sense of each software provider's customer onboarding process, I considered the following factors:
- Quick setup processes and clear guidance for first-time users, including customizable templates
- The availability of training materials such as videos or interactive tutorials
- Support systems like chatbots and webinars to guide new users through the initial learning curve
- Support for migrating historical employee data into the new platform
Customer Support (10% of total score): To evaluate the level of customer support each vendor offered, I considered the following:
- The availability of multiple support channels, including email, phone, and chat
- The existence of a self-service knowledge base, FAQ repository, or other self-help resources to speed up troubleshooting
- The overall quality, responsiveness, and helpfulness of the support team during customer onboarding and post-purchase, as inferred from customer reviews
- Whether the company offers a dedicated account manager, full-service payroll services, or any additional HR support services
Value for Price (10% of total score): To gauge the value of each software, I considered the following factors:
- The availability of free trials or demos to test the software before purchasing
- Transparent pricing models that clearly explain which payroll features are included at each level, with no additional hidden costs for training or set-up
- Tiered pricing plans that cater to different business sizes, from small to medium-sized businesses (SMBs) up to large businesses and enterprise-level organizations
Customer Reviews (10% of total score): Evaluating customer reviews is the final element of my selection process, which helps me understand how well a product performs in the hands of real users. Here are the factors I considered:
- Whether a product has consistently high ratings across multiple review platforms, indicating a broad level of user satisfaction
- Specific praises, criticisms, or trends in customer feedback that indicate the software's strengths or areas for improvement
- Whether customer feedback specifically mentions issues with ease of use, customer support responsiveness, or lacking features
- Any testimonials that highlight how a platform solved a particular challenge or adapted to changing payroll needs
Using this assessment framework helped me identify the payroll software that goes beyond basic requirements to offer additional value through unique features, intuitive usability, smooth onboarding, effective support, and overall value for price.
Trends in Payroll Software for 2024
If there's one aspect of people management that absolutely everyone cares about, it's making sure that payroll is working properly. Therefore, staying aware of the latest payroll software trends is crucial.
These trends not only streamline operations but also address key concerns for HR professionals, from ensuring compliance with various labor laws to offering flexible payment methods to employees. Here are four emerging trends that resonate with the needs and challenges of payroll professionals:
- AI-enhanced payroll processes: Many payroll systems now use artificial intelligence (AI) to automate routine tasks, detect anomalies, monitor compliance, reduce errors, and save time. This advancement in payroll technology is a response to the increasing complexity of payroll regulations and the ongoing need for precision, helping to make payroll processes more efficient.
- Integration with financial wellness tools: Another growing trend in payroll software is the integration with financial wellness tools that help employees track their earnings and receive personalized financial advice. This trend underscores the shift towards providing a better experience by helping employees enhance their awareness and knowledge of personal financial management practices.
- Global payroll management abilities: As businesses become more global, the need for payroll software that can manage multi-country payroll across different currencies has become crucial. Tools like Papaya Global and Deel have emerged as leaders in this space, offering solutions that simplify the complexity of global payroll, tax, and compliance issues.
- Enhanced data security features: As new cybersecurity threats continue to emerge, payroll software providers have added enhanced data security features to help organizations protect sensitive employee data, such as two-factor authentication, or biometric identification features.
- Mobile accessibility: The shift towards mobile accessibility in payroll software caters to the increasing trend of remote and hybrid work environments. Despite seeming like a small detail in the grand scheme of your business, making payroll software accessible from mobile devices is an important part of improving the user experience for your employees and your HR team.
These five trends in payroll software reflect the ongoing challenges and needs of HR and accounting professionals, including compliance monitoring, providing a better employee and user experience, improving payroll efficiency, and managing a global workforce.
What is Payroll Software?
Payroll software is a tool that allocates employee pay based on hourly rates or annual salaries. It's used by HR and finance teams to track employee work hours, pay rates, vacation accruals, paid time-off, payroll taxes, payroll deductions (like federal and local taxes), and more.
The primary purpose of payroll software is to streamline paying employees accurately and on time while ensuring tax compliance.
Features of Payroll Software
Here's a list of the standard payroll software features you can expect to find in modern payroll systems:
- Automated payroll processing: The software must be able to process your employee’s pay, including automatically calculating wages, deductions, and taxes. This eliminates manual errors and saves time, making the process more efficient.
- Direct deposit: Pretty much all payroll software allows employers to pay their staff directly into their bank accounts. This eliminates paper-based processes and provides a better experience for employees and payroll staff.
- Tax compliance forms: Compliance requirements require payroll software to prepare year-end tax forms for employees, such as W2's or T4's.
- Customizable payroll reports: The ability to customize your payroll reports to track payroll taxes, employee deductions, and other expenses can help with budgeting and financial forecasting.
- Data management: Payroll software typically includes an employee database to store key details such as salaries or hourly rates, position levels, emergency contacts, social insurance numbers, and other employment details.
- Unique payment options: This might be unlimited payroll runs or pay-on-demand options to make payments between designated pay days.
- Time-tracking: Especially for hourly workers, having timesheets and scheduling built into your payroll system can really streamline your processes.
- Compensation management: This includes being able to track different pay rates (salary, hourly, overtime, vacation pay, PTO, etc.). It can also mean tracking salary increases over time.
- Self-service employee portals: These portals allow employees to proactively access and update their own personal information, access pay statements, and submit time off requests or expense reports. This is an important feature since it simultaneously empowers employees and reduces demands on your HR staff.
- Analytics: Dashboards, graphs, and reports to analyze payroll data to gather insights about your staff. These analytics support your organization’s workforce planning efforts.
Benefits of Payroll Software
Payroll software offers several benefits for organizations as a whole, and for those who use the software regularly to manage payroll processes. As you're evaluating the different options for payroll software, understanding these main benefits is key to making an informed decision.
- Time and cost efficiencies: Since payroll software automates many elements of the payroll process, it can significantly reduce the amount of time and effort required to complete payroll tasks, especially if your staff are currently relying on manual calculations for some aspects. This efficiency then translates into cost savings, as it reduces the amount of manual labor required.
- Improved compliance monitoring accuracy: By automatically updating with the latest tax rates and regulations, cloud-based payroll software reduces the risk of compliance-related issues due to incorrect payroll calculations.
- Enhanced data security: Payroll software offers secure data storage, encryption, and role-based permissions to restrict access to sensitive employee data to only those who need it, which is a significant improvement over manual payroll processes or paper-based data storage.
- Integrated reporting & analytics: Payroll software is often one module within a larger HR management system, allowing users to generate reports on more than just payroll data. For example, you may also be able to run reports to assist with financial planning, budgeting, and decision-making, or monitor details such as employee hours worked during key times to predict future demand.
- Employee self-service portals: By empowering employees to access their pay statements, tax documents, and personal information, you'll reduce the administrative demands on your HR staff, freeing them up to work on other tasks. Employee portals also give your staff more control over their personal details, providing a smoother experience for simple tasks such as changing addresses or updating bank account details.
For more details on these benefits plus several more, read our detailed breakdown of the benefits of payroll software.
Costs & Pricing for Payroll Software
As you explore the different payroll options on the market, it's important to understand the full range of plans and pricing structures that are available. Payroll software varies in price depending on the type of payroll services and features that are included. Often, you’ll pay a monthly base fee and an additional fee for every active employee on your payroll register.
To give you a general sense of what you can expect to pay for different payroll software packages, I've compiled the most common plan levels into this table:
Plan Comparison Table for Payroll Software
| Plan Type | Average Monthly Fee | Average Price per Employee | Common Features |
| Free | $0 | $0 | Basic payroll processing for a limited number of employees, basic tax calculation, and limited reports. |
| Basic | $10 - $25 per month | $2 - 4 per employee, per month | Payroll processing for a limited number of employees, basic tax filing, standard reports, employee self-service portal |
| Professional | $25 - $40 per month | $4 - $6 per employee, per month | Multi-state or province payroll, additional reports, HR features, compliance report + all the features in Basic. |
| Advanced | $40 - $60 per month | $5 - $8 per employee, per month | Customizable reports, advanced HR tools, integrations, enhanced security + all the features in Professional. |
| Enterprise | Custom pricing | Custom pricing | Scalable for a large number of employees, dedicated support, advanced analytics, custom integrations + all features in Advanced. |
| Global Payroll | Usually priced per employee | $199 - $500 per employee, per month | Ability to pay employees in multiple currencies, international direct deposit, international compliance monitoring, dedicated support + required Basic features or higher. |
In addition to the prices above, some payroll vendors may also charge a one-time set-up fee for complex software implementations. To explore this in more detail, take a look at my breakdown of payroll costs including hidden fees.
If you only have a small number of employees, you can likely get started with a free or basic plan initially. However, there are several reasons why you may want to opt for a more advanced plan, including:
- Growth in Employee Numbers: As your company expands, your payroll processing needs will also increase. Advanced plans can handle higher volumes of payroll transactions and offer better tools for managing a larger workforce.
- Need for Additional Features: You may find you need more advanced payroll software that offers features like automated tax filings, direct deposit, benefits management, compliance tracking, and detailed financial reporting, which aren't included in your current plan.
- Increased Complexity in Payroll Requirements: If your business has complex payroll requirements (e.g., new employees in multiple states or countries) you might need software with more sophisticated capabilities to handle varying tax laws, regulations, and multi-currency payments.
- Enhanced Customer Support: More comprehensive plans often come with better customer support, including dedicated support teams, quicker response times, and more personalized assistance, giving you additional peace of mind.
- Integration with Other Systems: If your current payroll software or plan doesn't integrate seamlessly with the other systems your business uses (such as human resources management systems, accounting software, or time tracking tools), then it's time to find a better fit.
Ultimately, it's important to secure a plan that offers the features you need to serve your current needs and solve your challenges without exceeding your budget.
New & Noteworthy Product Updates
Below, I've summarized the most recent release notes and product updates for my top payroll software recommendations. Discover what’s now possible through new feature releases, improvements, and updates for web, desktop, and mobile apps. Learn what’s new, if it’s hot—or not, and why it matters for payroll.
September 2024: Payroll Software Updates
ADP Update Notes
On September 23, 2024, ADP announced the launch of Lyric, its latest innovation in global HR platforms. Lyric is designed to offer a more flexible, intelligent, and human-centric approach to managing HR operations across global organizations. By combining advanced AI with an intuitive user interface, ADP gives HR teams greater control and flexibility in navigating the complexities of modern workforce management.
Lyric offers tools for payroll, compliance, and employee engagement. It uses AI to provide insights and improve decision-making. The platform is built for global use, simplifying collaboration across borders for remote, hybrid, and in-office teams.
This product update adds value for ADP users by reducing manual workloads and enhancing the employee experiences. The platform's focus on personalization and flexibility ensures that it adapts to a company's evolving workforce needs, while its AI capabilities offer strategic insights that drive better outcomes.
Verdict: Hot! Ultimately, Lyric helps HR professionals save time, improve efficiency, and foster stronger connections between employees and leadership.
Oyster HR Update Notes
On September 9, 2024, Oyster HR announced expanded global payroll coverage, automated offboarding, and centralized payroll entity information. The update enables users to pay direct employees in 20 countries, adding Belgium, Italy, Netherlands, Portugal, and Switzerland to the platform's coverage, reducing the need for multiple payroll solutions.
The updates also introduce an offboarding API to streamline the process and sync changes with Oyster, enhancing integration with existing tools. Centralized payroll data improves user access to essential information, promoting smoother global payroll management.
These updates streamline critical HR tasks, reducing manual work, and supporting global operations through expanded payroll coverage, automation, and centralized data access.
Verdict: Hot! Collectively, these updates increase efficiency for HR professionals managing international teams.
Patriot Software Update Notes
On September 4, 2024, Patriot Software announced that its payroll software is now SOC 2 Type II compliant, which is a significant milestone in data security. This certification ensures the company meets rigorous standards in security, availability, processing integrity, confidentiality, and privacy, following an extensive audit by a third party.
SOC 2 (System and Organization Controls 2) Type II compliance verifies that Patriot's systems and processes are designed to protect sensitive customer data and provides assurance that the company's infrastructure is safe from unauthorized access and ensures reliability.
The five key components of SOC 2 Type II certification include security, availability, processing integrity, confidentiality, and privacy.
Verdict: Hot! For users, this certification enhances confidence in Patriot’s commitment to safeguarding data, aligning with industry best practices in risk management.
Rippling Update Notes
In September 2024, Rippling introduced several enhancements to support international businesses and improve spend management. In September, Rippling expanded its Employer of Record (EOR) services to Norway and Finland (to add to other recent service expansions into Colombia, Costa Rica, Denmark, Israel, New Zealand, the Philippines, Switzerland, and Turkey in July 2024). The update also introduced easier pay run corrections and improved tracking of EOR email status.
In addition, Rippling's spend management features now integrate with Slack for streamlined approvals, allowing administrators to approve spend requests from anywhere. This feature simplifies financial workflows by enabling faster approvals within both Slack and Rippling’s dedicated app.
These updates are valuable for companies managing global teams, offering more seamless payroll corrections and financial oversight. The spend management integration with Slack boosts efficiency by reducing the friction in approval processes, making it easier for businesses to manage expenses across platforms.
Verdict: Hot! Collectively, these updates expand and improve the user experience for Rippling customers, allowing teams to hire more talent abroad.
August 2024: Payroll Software Updates
Paycor Update Notes
On August 8, 2024, Paycor launched a new Compensation Management solution designed to enhance pay transparency and retention. The new tool reduces the manual effort involved in pay cycle management and gives leaders insights into total rewards, supporting compensation discussions and budget management.
The update allows leaders to collaborate across departments, manage budgets dynamically, and conduct efficient approval processes. The solution’s analytics offer visibility into employee timelines and the effects of pay changes, providing a clearer picture for leadership when making compensation decisions.
Verdict: Hot! For Paycor users, this new tool can help boost employee retention by promoting fairness and transparency in compensation decisions, which helps build trust and engagement within the workforce.
July 2024: Payroll Software Updates
Papaya Global Update Notes
On July 17, 2024, Papaya Global launched its Payroll and Payments Academy, which is a free educational platform designed to empower payroll professionals globally. The Academy includes 21 courses and 85 expert-led sessions, designed to provide comprehensive education on payroll management and workforce payment processing. It is accessible to all, regardless of location or affiliation.
This initiative aims to raise industry standards by making high-quality education available to everyone, fostering professional growth and operational excellence. Papaya Global is committed to continuously expanding the academy’s content to stay current with industry developments.
By offering this platform, Papaya Global helps organizations improve compliance, efficiency, and employee skills. It positions itself as a leader in payroll innovation and education, encouraging professionals to stay ahead of industry trends and best practices.
Verdict: Hot! This is a great opportunity for global companies to enhance their employee's skills and knowledge regarding global payroll — and for no cost!
Deel Update Notes
On July 16, 2024, Deel released several updates to improve global workforce management for EOR and global payroll clients. These updates include visa support in 20 countries, enhanced tools for secure contract signing, access to global salary data, and the ability to view salary trends by role and region.
Clients using Deel's global payroll services can now view global salary trends for different countries on the Deel dashboard. This helps companies compare average compensation rates to ensure their offers are both fair and competitive, leading to better global hiring outcomes.
Additionally, while Deel's expanded visa support ultimately only affects their employer of record clients, it's still a worthwhile update from an employee mobility perspective.
Verdict: Hot! These new features will collectively help global organizations work through their hiring, onboarding, and compensation processes more efficiently.
Remote Update Notes
On July 3, 2024, Remote announced a new integration with Coinbase, allowing companies to offer salary payments in cryptocurrencies. Through this partnership, employees can opt to receive their salaries in various cryptocurrencies supported by Coinbase, with Remote facilitating automatic transfers and conversions without transaction fees. As part of this update, employees paid through Remote can set up split payments, with set portions of their salary paid in both fiat and crypto.
For businesses, this feature may help companies attract top talent and stay competitive, particularly in global and remote hiring environments. For employees, this new option satisfies a growing demand for privacy, fast transactions, and protection against inflation.
Verdict: Not hot. I mean, it's a very interesting option to have. However, I don't know how much adoption this new feature will see. However, I could be wrong!
Paychex Flex Update Notes
In July 2024, Paychex Flex introduced a new product to supplement their payroll software called HR Analytics Premium Plus to help teams transform their HR data into actionable insights.
This update offers over 160 standard reports, customizable dashboards, and trend exploration tools, allowing users to track key performance indicators, employee mobility, compensation details, and diversity metrics.
The new features include predictive insights and AI-driven analysis to reduce subjectivity in data interpretation. Users can analyze labor costs, monitor retention, and turnover, and benchmark against market data, providing comprehensive support for HR strategy and decision-making.
Verdict: Hot! These new features help users leverage technological advancements to get the most value out of their existing employee data.
Payroll Software Frequently Asked Questions
Do you have general questions about how payroll software works or how to choose the right system for you? Take a look through these answers to frequently asked questions to get yourself oriented.
Who uses payroll software?
Payroll software is considered both an HR solution and a form of finance and accounting software. It’s designed to simplify payroll workflows for both accounting and human resource departments. As such, it’s commonly used by both payroll administrators and HR professionals in tandem.
For a more thorough analysis, read our explanation of who should handle payroll. Some systems also cater to payroll software for accountants for those who occupy both roles.
What is the most popular payroll software?
It’s hard to gauge the most popular payroll software overall, but cloud-based payroll software and global payroll software are definitely on the rise. According to Deloitte research, 74% of companies are currently using cloud-based payroll technology. In addition, the global payroll market was valued at $5435.88M USD at the end of 2021 and is expected to reach up to $8,447.91M USD by the end of 2027.
If you’re interested in finding out which systems have the highest user adoption rates, the big names like ADP, NetSuite, QuickBooks Online, or Xero always stand out due to their large user base and strong brand recognition. However, all the payroll providers in this list are also worthy of consideration. Sometimes the biggest isn’t always the best.
If you’re interested in drilling into specific companies, take a look at my best payroll company recommendations as well.
Which payroll software is best for small businesses?
For small businesses, top payroll software includes Gusto, known for its user-friendly interface and comprehensive payroll features; QuickBooks Payroll, which integrates seamlessly with QuickBooks accounting; Paychex, offering robust payroll and HR services; ADP Run, tailored for small business needs with scalable features; and Wave Payroll, an affordable solution with basic payroll functions and tax filings. Each offers strong support, easy setup, and reliable performance to streamline payroll management.
Luckily for you, I’ve already researched small business payroll solutions extensively, if that’s what you’re after.
What is same-day payroll?
Same-day payroll (also known as pay-on-demand, on-demand pay, or real-time pay) is a new style of paying employees that shortens the traditional waiting period between their work day and pay day. It rose to popularity during the COVID-19 pandemic as millions of workers suddenly needed access to their earnings in order to cover their basic household expenses.
While many payroll providers can support this type of flexible pay, additional fees may be charged to the company or employee. Companies may choose to put restrictions on any same-day payment services to limit their financial risks and liabilities.
What's the difference between cloud-based vs. on-premise payroll software?
The terms “cloud-based” and “on-premise” refer to how a payroll system is set up and hosted. Cloud-based payroll software is hosted on external servers and accessible through the internet. It is the preferred software configuration for most organizations. However, on-premise payroll software may be a better fit for an organization with proprietary data concerns or other restrictions that require more control. With on-premise systems, the software is installed and run from a server within the organization’s offices.
Cloud-based payroll software is generally easier to use. You can access it from anywhere, including mobile devices. Software updates and data backups are handled by the hosting payroll provider. They will keep your software up-to-date, and you can lean on their customer support for additional support as needed. It is suitable for businesses looking for flexibility, accessibility, limited maintenance, and lower initial costs.
If your business primarily uses Apple computers, you may want to consider payroll software for Mac, which are essential cloud-based payroll software systems.
On-premise payroll software requires more internal resources from your organization, including installation on each computer that needs access, and dedicated IT staff to troubleshoot any issues that arise. Your organization would be responsible for updating the software as needed, and ensuring your payroll data is sufficiently backed up. It is more appropriate for organizations that prefer having direct control over their data systems and have the necessary IT infrastructure to maintain it internally.
What integrations are the most important for payroll software?
Based on my personal experience reconciling and updating employee data for payroll, the most important integrations for payroll software are:
- HR Management Systems: If your payroll software is separate from your HRIS, HRMS, or HCM system, you’ll want to ensure your employee data is deeply integrated. That means, if you make a change to an employee’s compensation level in your HR management system, it will automatically update your payroll system as well.
- Time Tracking Software: Many payroll systems have time-tracking features within them, which is the new gold standard. However, I can tell you from personal experience, it is very problematic if your timesheet system doesn’t automatically integrate with your payroll tool. I’ve been in this position, and it required many hours of manual data reconciliation between each system prior to each payroll run. Avoid this situation at all costs!
- Benefits Administration Software: Since the monthly costs of some employee benefits can change, having an integration set up between your benefits administration system and your payroll system is also very helpful. I’ve experienced a world without this integration, and it required a lot of manual cross-checking as well.
- Expense Reporting Software: If your organization deals with a lot of employee expenses, you’ll want to push for an integration with your expense reporting software too. This will also cut down on manual data entry and allow you to incorporate your expense reimbursements into your next payroll run easily.
What data security features are included in payroll software?
Payroll software houses a lot of personal identifying information (PII), including your employees’ names, addresses, contact information, social security or SIN numbers, and personal bank accounts. Here are some of the security features in place to safeguard your payroll data:
- Data encryption: This includes encryption for data that is transmitted as well as stored.
- Multi-factor authentication (MFA): This requires users to complete two or more verification steps to ensure their identity.
- Role-based access control (RBAC): This feature allows system administrators to restrict system access to specific user-based roles within the organization (e.g., payroll administrator, payroll clerk, HR administrator, etc.).
- Regular software updates and patches: These are initiated by the payroll software provider to ensure their software is always up-to-date.
- Secure data backups: Cloud-based backups should be captured regularly in case your information needs to be restored after a data loss event. Off-site data backups can also offer added security too.
- Audit trails: This is a running record of all changes made to payroll data, in case of future discrepancies or unauthorized changes.
What kind of compliance monitoring features are built into payroll software?
Payroll software offers many built-in tools to manage compliance with regional employment laws and regulations. Here’s a list of the most common compliance-related features you can expect to find within payroll software:
- Tax withholdings and filings, including at the federal, state, and local level
- Overtime payment calculations that comply with federal, state, and local laws
- Employee classification tools to determine if a worker should be an employee or independent contractor
- Accurate historical record-keeping for payroll and benefits administration, as required by laws
- Wage garnishment and deduction tools that comply with legal limits
- Equal pay and anti-discrimination monitoring tools
- Leave entitlement accrual tracking that complies with legal requirements
- Year-end tax reporting tools
- Compliance with data security and privacy regulations, e.g., GDPR and others
- Compliance with government bodies like the IRS or CRA
- Workers’ compensation requirements
To learn more, hop over to our comprehensive guide on payroll processing.
How does payroll software accommodate different employment types?
Many payroll software providers accommodate different employment types through features like variable pay structures, customizable deductions, and contributions for each type of employee. For example, they might offer the ability to set different pay rates for full-time versus part-time employees, manage contractor invoicing and payments separately from regular employee payroll, and automate the calculation of overtime, commissions, or bonuses based on predefined rules.
These functionalities cater to businesses that employ a mix of permanent, temporary, and freelance staff, ensuring accurate payroll processing while complying with varying tax and employment laws. This flexibility is particularly beneficial for companies with diverse staffing models, enabling them to manage payroll complexities efficiently.
Can payroll software handle multiple currencies for global teams?
Some payroll software is capable of handling multiple currencies offers features like automatic currency conversion, compliance with local tax regulations, and customizable payroll elements for each region. This is essential for businesses with employees in different countries, allowing them to:
- Pay salaries in the local currency
- Adhere to regional employment laws, and
- Manage tax obligations accurately.
Such software simplifies the complexity of international payroll, making it easier for companies to expand globally while ensuring that their payroll operations are compliant and efficient across various jurisdictions.
Why is it important to integrate your payroll software with other HR systems?
Integrating payroll software with other HR systems is crucial for streamlining processes and ensuring data accuracy across other systems, such as time tracking, benefits, and employee attendance tools.
When these systems are connected, time-tracking data automatically feeds into payroll, reducing manual entry and errors, while benefit deductions and absences are accurately reflected in employee paychecks.
Integrating all your HR systems with payroll ultimately enhances efficiency, eliminates redundant tasks, and ensures payroll accuracy, giving HR teams more time to focus on strategic initiatives.
If you're ready to give your payroll process a boost, this article can help you learn more about the payroll integration process and how to set it up for success.
What are PEO payroll services?
PEO payroll services are offered by Professional Employer Organizations (PEOs) that manage payroll processing, tax filings, and compliance for businesses by acting as a co-employer. They handle employee wages, deductions, and benefits, reducing the administrative burden on businesses. This allows companies to focus on core activities while ensuring payroll accuracy and compliance with labor laws.
If you're feeling overwhelmed by managing payroll compliance, especially across numerous jurisdictions, a PEO service, such as those offered by TriNet, can help.
Additional Payroll Software Reviews
Want to check out our other reviews related to payroll software? Here are a few more:
- Automated Payroll Software
- Payroll Software for CAD Businesses
- Payroll Services for Small Businesses
- Free Payroll Software
- Payroll Software for Contractors
If you're ready to take things one step further, here are my tips on how to prepare an effective payroll RFP.
Modernize Your Payroll Process
There are plenty of payroll software options available, and each one is a bit different from the next. That's why understanding the core functionality of these platforms equips you to pick the right one for your business needs.
Your payroll software will be a foundational pillar in your suite of HR tools, so it's important to choose wisely. As John Boitnott, Inc. journalist, said:
"Money isn't the only thing that motivates someone to perform well at their job, but it certainly factors in heavily."
That's why it's worth it to invest in advanced payroll software that satisfies all your business needs, including compensation and salary benchmarking features.
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