Best Payroll Software for 2024: Top Payroll Services for Small Businesses

Best Payroll Software for 2024: Top Payroll Services for Small Businesses

Managing payroll is one of the most critical tasks for any business, especially small businesses with limited resources. The right payroll software can save time, reduce errors, and ensure compliance with tax regulations. With so many options available, choosing the best payroll software for your small business can be challenging. This guide will help you navigate through the top payroll systems, services, and software designed specifically for small businesses in 2024.

Why Your Small Business Needs Payroll Software

Payroll software automates the complex process of calculating employee wages, withholding taxes, and ensuring that your employees are paid accurately and on time. For small businesses, these tools can also help with compliance, reduce administrative costs, and free up valuable time to focus on growth. Investing in the right payroll software is essential for maintaining smooth operations and keeping your workforce happy.

Best Payroll Software for Small Businesses in 2024

Here’s a comprehensive look at the best payroll software and services available for small businesses in 2024.

1. Deel

Deel is a powerful payroll platform designed for businesses that operate globally. It simplifies payroll management for teams spread across different countries, making it an ideal choice for small businesses with remote or international employees.

Key Features:

• Global Payroll: Manage payroll for employees in over 150 countries.

• Compliance: Automatic compliance with local labor laws and tax regulations.

• Contractor Payments: Streamlined payments for freelancers and contractors.

• Starting Price: Contact Deel for customized pricing.

Pros:

• Excellent for managing global teams.

• Strong compliance features.

• Easy-to-use interface with robust support.

Cons:

• Higher cost, especially for very small businesses.

• Primarily focused on international payroll.

2. Gusto

Gusto is a highly popular payroll software for small businesses, offering a comprehensive suite of payroll and HR tools. It’s particularly known for its user-friendly interface and seamless integration with other business tools.

Key Features:

• Automated Payroll: Easy payroll processing with automatic tax filings.

• Employee Benefits: Integrated benefits management, including health insurance.

• Time Tracking: Built-in time tracking and PTO management.

• Starting Price: $40/month + $6 per employee.

Pros:

• Affordable for small businesses.

• Excellent user experience.

• Strong integration with other HR tools.

Cons:

• Limited international payroll capabilities.

• Additional features can increase costs.

3. QuickBooks Payroll

QuickBooks Payroll is a robust option for small businesses already using QuickBooks for accounting. It offers seamless integration with QuickBooks, making it easy to manage both accounting and payroll from one platform.

Key Features:

• Automatic Payroll: Automated payroll processing with tax calculations.

• Integration: Seamless integration with QuickBooks Online.

• Employee Benefits: Manage health benefits and retirement plans.

• Starting Price: $45/month + $5 per employee.

Pros:

• Strong integration with QuickBooks accounting software.

• Reliable and accurate payroll processing.

• Scalable for growing businesses.

Cons:

• Higher starting price.

• Some features are locked behind premium plans.

4. OnPay

OnPay is a straightforward and affordable payroll service designed for small businesses. It offers a full range of payroll features, including tax filing, benefits management, and time tracking, at a competitive price.

Key Features:

• Full-Service Payroll: Automated payroll with tax filing in all 50 states.

• Employee Self-Service: Employees can manage their profiles and benefits.

• Benefits Management: Integrates with health insurance, 401(k), and workers' comp.

• Starting Price: $40/month + $6 per employee.

Pros:

• Affordable pricing structure.

• Simple and easy to use.

• Excellent customer support.

Cons:

• Limited advanced HR features.

• Not ideal for businesses with complex payroll needs.

5. Wave Payroll

Wave Payroll is part of the Wave suite of financial tools, offering an affordable payroll solution for small businesses. It’s particularly suitable for very small teams or freelancers looking for a simple payroll service.

Key Features:

• Automated Payroll: Simplifies payroll with automatic tax calculations.

• Tax Filing: Supports tax filing in 14 states, with manual filing in others.

• Employee Self-Service: Employees can access their pay stubs and tax forms.

• Starting Price: $20/month + $6 per employee (self-service); $35/month + $6 per employee (full-service).

Pros:

• Affordable for very small businesses.

• Easy to use with a clean interface.

• Integrates with Wave’s free accounting software.

Cons:

• Limited to basic payroll features.

• Tax filing only supported in a limited number of states.

Comparing the Best Payroll Software for Small Businesses

Here’s a quick comparison of the top payroll software options to help you decide which is the best fit for your small business:

Feature	Deel	Gusto	QuickBooks Payroll	OnPay	Wave Payroll
Starting Price	Contact for pricing	$40/month + $6/employee	$45/month + $5/employee	$40/month + $6/employee	$20/month + $6/employee
Global Payroll	Yes	No	No	No	No
Tax Filing	Yes	Yes	Yes	Yes	Yes (14 states)
Employee Benefits	Yes	Yes	Yes	Yes	No
Best For	Global teams	Small businesses	QuickBooks users	Simple payroll	Very small teams

Best Payroll Software for Startups

Startups often have unique payroll needs, particularly if they are hiring internationally or managing a remote workforce. For startups, Deel is an excellent choice, offering robust global payroll and compliance features that make managing a distributed team straightforward. Deel handles the complexities of international payroll, allowing startups to focus on growth and innovation.

Affordable and Free Payroll Software for Small Businesses

For small businesses on a tight budget, affordable and even free payroll options can be a lifesaver. Wave Payroll is a solid choice for very small teams, offering basic payroll services at a lower price point. While it doesn’t have all the bells and whistles of more expensive platforms, it’s sufficient for businesses that need a simple, reliable payroll service.

Why Choosing the Right Payroll Software Matters

Choosing the right payroll software is crucial for ensuring your employees are paid accurately and on time while maintaining compliance with tax laws. The best payroll software for your business will depend on factors such as the size of your team, whether you need global payroll capabilities, and your budget. By selecting a payroll system that meets your specific needs, you can streamline payroll processing, reduce administrative burdens, and focus on growing your business.

Conclusion

Finding the best payroll software for your small business can be a game-changer, helping you save time, reduce errors, and ensure compliance. Whether you choose Deel for its global payroll capabilities, Gusto for its comprehensive services, or Wave Payroll for its affordability, each of these platforms offers unique benefits that can enhance your payroll management process.

By evaluating your specific needs and comparing the features of these top payroll software solutions, you can find the perfect tool to support your business’s success in 2024 and beyond.

FAQs

1. What is the best payroll software for small businesses?Gusto and Deel are among the best payroll software options for small businesses. Gusto is ideal for U.S.-based small businesses, while Deel is excellent for companies with international payroll needs.

2. Are there any free payroll software options?Yes, Wave Payroll offers an affordable option with a self-service plan starting at $20/month. While not entirely free, it's much cheaper than most alternatives.

3. Can payroll software handle tax filing?Most payroll software, including Gusto, QuickBooks Payroll, and OnPay, offer automated tax filing services, ensuring compliance with federal, state, and local tax laws.

4. What should I consider when choosing payroll software?Consider factors such as the size of your business, your budget, the need for global payroll capabilities, integration with existing tools, and the level of customer support.

5. How does Deel handle global payroll?Deel specializes in managing payroll for international teams, handling compliance, tax regulations, and payments in over 150 countries.