Compare 6 of the Best Small Business Payroll Software Solutions

There's a reason employers and small business operators outsource their payroll processes to payroll software.

If you're a growing business owner and payroll is taking up too much of your time and energy on your already busy schedule, you're not alone. About 70% of small business owners believe that payroll significantly increases their workload (1).

It's not just about logging hours and writing paychecks: you need to make sure your payroll is error-free because you might:

End up losing employees because of a single payroll error Incur heavy fines from the Internal Revenue Service (IRS) for late or insufficient tax payments (2) Facing lawsuits or fines for mislabeling employees as independent contractors (3)

But we're here to help you research and compare the best payroll tools for small businesses. We've created this guide to break down the variety of functions payroll software can perform for you and explore some of the unique features that set each of these tools apart. This way, you can start managing payroll with peace of mind and without a lump in your stomach.

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National Federation of Independent Businesses, 2021 IRS Data Book, 2021 National Labor Law Project, 2020 What is payroll software?

Payroll software allows you to automate and streamline the process of tracking employee payroll, deducting appropriate state and local taxes, and issuing regular paychecks and direct deposits. Depending on the vendor you choose, payroll software can walk you through the entire process – from when employees electronically complete and sign their tax documents to when you need to file payments and tax reports. Ultimately, effective payroll software will save you time, resources, and room for error.

Comparison of the best payroll services for small businesses

You may be familiar with one or two of the payroll services listed below, but you may not know what makes these services so valuable for small businesses. Scroll down to view a chart that breaks down six of the top payroll services based on their key features.

Note: The acronym PEPM refers to the "per employee, per month" pricing model used by many payroll software vendors.

Company Price range per month Integrated timesheets Unlimited pay cycles Automated payroll tax payments and declarations Mobile app Additional features (including HR tools like time tracking, scheduling, etc.) home base $39 + $6 PEPM to $119 + $6 PEPM X X X X X QuickBooks $37.50 + $5 PEPM to $80 + $8 PEPM X X X X X Enthusiasm $40 + $6 PEPM to $80 + $12 PEPM With integration X X X Payment $39 + $5 PEPM for their Paychex Flex Essentials plan. The sales team will provide you with a personalized quote for their Select and Pro plans. X X X X OnPay $40 + $6 PEPM X X X X RUN powered by ADP The sales team will provide you with a personalized quote X X X X X How to choose the best payroll provider for your small business

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