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As a standout tool in the 2024 Capterra Shortlist for Payroll[1], Gusto has a user rating of 4.6 out of 5 stars. Users consistently praise its effective employee onboarding, HR management, and easy navigation.
Gusto is ideal for small businesses and it is commonly used by companies across industries such as health, wellness, and fitness, marketing and advertising, and information technology and services.[2]
Users appreciate Gusto's key features, which include direct deposit, payroll management, and payroll reporting.
Users also report some of Gusto’s limitations, such as limited phone support, slow issue resolution, and inadequate reporting features.
What is Gusto software?
Gusto is a cloud-based platform that assists small and midsize businesses with payroll, human resources, and talent management. It offers a range of features that automate and simplify administrative tasks, such as payroll processing with automated tax calculation and filing, time tracking and time requests, benefits administration, and tools for managing employee onboarding and compliance.
What is Gusto software used for?
Gusto is utilized by businesses to manage a variety of HR and administrative tasks, including:
Gusto automates payroll processing, ensuring accurate and timely payments. It also helps with federal, state, and local tax calculations and filings.
Gusto offers features to manage employee benefits such as health insurance, dental, and vision plans.
From finding future employees to hiring and onboarding, the platform is equipped to streamline processes with digital document management and e-signatures.
Gusto offers integrated time tracking for accurate payroll calculations. It helps to manage paid time off (PTO) requests and accruals.
It ensures compliance with labor laws and regulations and generates detailed reports for payroll, benefits, and employee data.
Gusto is set up to provide an employee directory and organizational charts. Also, it facilitates performance reviews and feedback processes.
Gusto supports performance management and employee development, assisting in identifying and nurturing talent within the organization.
Who uses Gusto?
Gusto has received 4,053 verified reviews on Capterra.[2] Out of these, we analyzed the 3,681 reviews published in the past 2 years to get an idea of the recent software users. Based on our analysis, 87% of recent reviewers are from businesses with 1-200 employees. It is commonly used across industries such as health, wellness, and fitness (7%), marketing and advertising (6%), and information technology and services (6%).
Teams that use the software most are:
Human resources and payroll teams: They primarily use Gusto for managing payroll, benefits, compliance, and employee records.
Business owners: It can be used by both pros and first-time users business owners.
Gusto pros and cons
These are the most frequently mentioned pros and cons by our users. To find out what users like and dislike about Gusto, our team used advanced techniques to analyze the most common positive and negative aspects mentioned about Gusto within user reviews.[3]
Pros rated by users
Effective employee onboarding
Of the 190 reviews that mention employee onboarding, 93% are positive
Users appreciate Gusto for simplifying the onboarding process. It allows new hires to input their own information, reducing administrative workload and ensuring compliance with state and federal requirements.
Comprehensive HR management
Of the 350 reviews that mention HR management, 91% are positive
Users appreciate Gusto’s wide range of HR features, including payroll, benefits, and employee self-service portals, making it a valuable tool for businesses without a dedicated HR department.
Easy navigation
Of the 241 reviews that mention navigation, 90% are positive
Users appreciate Gusto's simple and well-structured interface, allowing easy navigation and quick access to necessary tools and information without needing extensive help or manuals.
Efficient team management
Of the 177 reviews that mention team management, 86% are positive
Gusto supports team management with features like time tracking, team member profiles, and automated surveys, which help improve communication and organization within remote and local teams.
User-friendly setup
Of the 146 reviews that mention the setup, 85% are positive
Users find Gusto's setup process straightforward and well-guided, with step-by-step instructions that make it easy to get started and maintain the system.
Cons rated by users
Limited phone support
Of the 194 reviews that mention phone support, 56% are negative
Users report long wait times and difficulty reaching knowledgeable support staff by phone, leading to frustration when trying to resolve urgent issues.
Slow issue resolution
Of the 197 reviews that mention issue resolution, 39% are negative
Users experience delays and multiple rounds of communication when trying to resolve complex problems, often finding customer service unhelpful or slow to respond.
Inadequate reporting features
Of the 172 reviews that mention reporting features, 39% are negative
Users find Gusto's reporting capabilities limited and cumbersome, with difficulties in generating customized reports and accessing necessary data efficiently.
Account management challenges
Of the 223 reviews that mention account management, 37% are negative
Users face issues with account security, integration with external benefits providers, and managing multiple accounts, leading to administrative headaches and potential security concerns.
Gusto key features
Our extensive database of reviews on Gusto highlights the top features that users value most on the platform. We organized this list of features according to the percentage of users who rated each feature positively in their reviews.
4.3 (114)
97% rated this feature as important or highly important
Reviewers appreciate the reliability and convenience of Gusto's direct deposit feature, highlighting its ability to split payments across multiple accounts and provide timely notifications. Users value the ease of setup and how it allows employees to manage their own deposit information. However, some mention occasional delays and issues with incorrect deposits.
4.1 (121)
93% rated this feature as important or highly important
Users find Gusto's payroll management feature efficient and user-friendly, praising its automation of payroll processes, tax calculations, and integration with timekeeping systems. They praise how the platform allows to handle various pay types and how recurring payrolls can be set up. Some reviewers, however, report issues with late payments and difficulties in updating bank information.
4.2 (75)
92% rated this feature as important or highly important
Reviewers highlight the ease of generating and accessing detailed payroll reports in various formats, which helps maintain accurate financial records and compliance. Some users mention occasional issues with syncing data and a desire for more customization options in reports.
4.2 (88)
91% rated this feature as important or highly important
Users value Gusto's tax compliance feature for ensuring accurate payroll tax calculations and timely filings, reducing the risk of penalties. The automatic generation of W-2 and 1099 forms is appreciated. However, some reviewers report issues with multi-state tax compliance and occasional errors leading to fines.
4.2 (82)
89% rated this feature as important or highly important
Reviewers find Gusto's W-2 preparation feature efficient and time-saving, with automatic creation and distribution of W-2 forms. Employees can easily access their forms online, which simplifies tax filing. The feature is praised for its accuracy and timeliness, though a few users mention difficulties in contacting support for issues.
4 (50)
84% rated this feature as important or highly important
Users appreciate the self-service portal for its user-friendly interface and the ability for employees to manage their own information, such as pay stubs, tax forms, and benefits. This reduces the administrative burden on HR personnel. The portal's accessibility via mobile app is also highlighted as a significant advantage.
More advanced features
Shift scheduling: Gusto allows employees to create, manage, and share team schedules from the web or the Gusto Wallet app.
Health insurance in all 50 states: Gusto now offers health insurance coverage in all 50 states, providing comprehensive benefits for remote and multi-state teams.
Retirement plan for solopreneurs: Gusto introduces a solo 401(k) plan for owner-only businesses, allowing solopreneurs to lower taxable income and save for retirement.
Custom Roles: Gusto's Custom Roles feature allows users to customize permissions to align with each employee's unique responsibilities.
Gusto pricing plans
Simple
$40.00
Other,Per Month
Plus
$80.00
Other,Per Month
Premium
$180.00
Other,Per Month
Contractor
Contact vendor
Gusto offers three main pricing plans: Simple, Plus, and Premium, each designed to cater to different business needs.
The Simple plan starts at $40 per month and provides essential payroll features, including full-service payroll, employee self-service, and health benefits administration. The Plus plan starts at $80 per month and builds on the Simple plan by adding advanced features like time tracking, project tracking, and next-day direct deposit. The Premium plan starts at $180 per month and offers the most comprehensive package, including all features of the Plus plan plus access to certified HR professionals and compliance alerts. It’s worth mentioning that each plan is priced monthly, plus a fee per employee per month.
Based on our analysis of more than 400 verified user reviews, reviewers have mixed opinions about Gusto's pricing plans.
On the positive side, many users appreciate that Gusto offers competitive pricing that scales with the size of their organization, making it particularly cost-effective for smaller businesses. The base package includes several useful features, and users find it valuable for managing payroll efficiently without breaking the bank. Additionally, some users mention the cost savings compared to other payroll services and the value for money, especially for startups and small businesses.
However, there are also several negative opinions regarding Gusto's pricing. Some users find that costs can quickly add up, especially as their business grows or if they need additional features like benefits administration and HR tools. The pricing model, which includes a base fee plus a cost per employee, can become expensive for larger companies. Finally, the lack of a free trial and the perceived high cost for single users or small businesses are other common complaints.
Gusto integrations
Gusto provides strong integration capabilities, seamlessly linking with over 150 tools. These integrations enhance workflows connecting with accounting tools, business operations, point of sale, and much more. Based on our user review analysis, we've identified the most significant Gusto integrations, ranked as follows:
Users integrate Gusto with Xero for seamless payroll and accounting management. The integration simplifies financial reporting and reconciliation, making it a popular choice for businesses using Gusto.
Users integrate Gusto with QuickBooks Online to automate payroll entries and streamline accounting processes. The integration reduces the need for manual journal entries, ensuring accurate and timely financial records.
Users integrate Gusto with FreshBooks to automate payroll data syncing and reduce manual entry errors. The integration allows for quick and efficient payroll processing, with data instantly updated in FreshBooks.
Gusto ease of use
Analysis of our extensive database of verified Gusto reviews shows that users generally appreciate Gusto’s ease of use and user interface (Out of 454 verified reviews, 93% are positive).
Many users highlight the clean, intuitive design that makes navigation straightforward, even for those new to the platform. The interface is described as visually appealing, with well-organized information and minimal clicks required to complete tasks. Users particularly value the automation features and timely notifications, which streamline administrative tasks and enhance efficiency. The onboarding process is often praised for being seamless, and the integration with other software applications is seen as a significant advantage.
MG
Moran G
Mobile Marketing LeadConsumer Services, 51 - 200 employeesUsed the software for: More than 2 years.
“I love the employee interface, it gives a detailed breakdown of actual hours worked and amounts due, with statistics that enhance transparency. The real-time order documentation is excellent, and it’s great that it allows us to track orders with ease.“
December 31, 2024
HR
Hannah R
Billing SpecialistLaw Practice, 11 - 50 employeesUsed the software for: Less than 6 months.
“I LOVE the user interface for Gusto, they make HR so easy for the employee. I have enjoyed the ability to clock-in/out as well as see all of my HR benefits documents in one central location.“
December 16, 2024
However, some users find the interface too basic or lacking in customization options, which can be a drawback for organizations with unique requirements. There are complaints about the interface being unresponsive at times, slow to load, and occasionally confusing. Some users mention that the font and colors are dull, and the overall design can be boring or annoying. Despite these issues, the general sentiment is that Gusto's user interface is user-friendly and effective for managing payroll and HR tasks.
VV
Venkatesh V
micro financeFinancial Services, 2 - 10 employeesUsed the software for: 1-2 years.
“The payroll and HR software Gusto has limitations. Its user interface, which some find complicated and challenging to use, is one frequent problem.“
August 2, 2024
AS
Alexis S
Managing DirectorHealth, Wellness and Fitness, 2 - 10 employeesUsed the software for: 1-2 years.
“From an aesthetics perspective, the font is stale and the colors are boring. There should be more flashy indicators for the next step.“
August 27, 2024
Gusto user reviews
GCS
Gil C S. President Information Services Used the software for: 1-2 years
Link Copied!
“Gusto works well: unobtrusive and effective”
February 7, 2025
5.0
Overall Rating
5.0
Ease of Use
5.0
Customer Service
5.0
Features
4.0
Value for Money
5.0
Likelihood to Recommend
9/10
I started using it over a year ago and it remains in our toolbox for detailing and managing payroll. I don't do the accounting/payment side, but we've had no negative issue with it across multiple accounts
Pros
Tracks time easily, the reminder system works well, and the user interface is excellent
Cons
Harder to track disjointed project efforts (multiple segments during the day) as iut lacks a separate function for that
Review Source
Incentivized review: software users are invited to submit an honest review and offered a nominal incentive for their time and effort. All incentivized reviews are subject to our verification process prior to publication.
HJ
Hope J. Choreographer Fine Art Used the software for: Less than 6 months
Link Copied!
“New to Gusto”
February 6, 2025
5.0
Overall Rating
5.0
Ease of Use
5.0
Customer Service
4.0
Features
5.0
Value for Money
4.0
Likelihood to Recommend
10/10
Overall, I am new to this app and it has been so nice! I really enjoy it and think it has made the whole payroll process less of a mystery.
Pros
This has been so easy to use! Simple and straightforward to enter my hours and payroll.
Cons
I haven’t really explored the other features on the app yet. I do wish there were less clicks to get to adding more hours.
Review Source
Incentivized review: software users are invited to submit an honest review and offered a nominal incentive for their time and effort. All incentivized reviews are subject to our verification process prior to publication.
SH
Shaun H. Owner Automotive Used the software for: 1-2 years
Link Copied!
“Customer service is useless. Dont use Gusto”
February 5, 2025
1.0
Overall Rating
1.0
Ease of Use
1.0
Customer Service
1.0
Features
1.0
Value for Money
4.0
Terrible. Do not use Gusto. Customer service is terrible. Quickbooks maybe more expensive but definitely worth it rather then Gusto
Pros
Quickbooks is way easier to use. My accountant asked me to swap. Wish I never did
Cons
Customer service is horrible. I have been on the phone with them for over 11 hours 15 different times about a simple payroll set up. Everyone I talked to couldnt figure it out. Talked to a supervisor multiple times who told me they would call back. Of course never received a call back. My problem is so simple. Pay week is Monday to Sunday and paydate is 2 weeks later.
Accountant wanted us to change. Worst decision ever
Review Source
Non-incentivized review: any software user can leave a review for any product listed on our site. All submitted reviews are subject to our verification process prior to publication.
MD
Marina D. Project Manager Design Used the software for: 6-12 months
Link Copied!
“great software to access and manage from my end”
February 5, 2025
5.0
Overall Rating
5.0
Ease of Use
5.0
Customer Service
4.0
Features
5.0
Value for Money
4.0
Likelihood to Recommend
9/10
It is great and easy to access information and adjust when needed.
Pros
The fact that it houses all information and I have the capability to update my direct deposit, access 1099 and any pertaining documents and can control it all on my end. It houses my paystubs and are accessible for me. It is wonderful and easy!
Cons
I would like for the entire paystubs to be easily accessible.
Review Source
Incentivized review: software users are invited to submit an honest review and offered a nominal incentive for their time and effort. All incentivized reviews are subject to our verification process prior to publication.
KM
Katie M. COO Hospitality Used the software for: 1-2 years
Link Copied!
“Gusto provide efficient and clean processes, with easy to use software.”
February 3, 2025
5.0
Overall Rating
5.0
Ease of Use
5.0
Customer Service
5.0
Features
4.0
Value for Money
5.0
Likelihood to Recommend
10/10
Gusto has been a great tool for our HR Management, time tracking and tax information collecting tool for our small business.
Pros
Gusto provides clear instruction and definitions for a variety of hiring categories. The tax options for hiring and onboarding are clear. The time tracking tool is efficient.
Cons
It would be helpful to include scheduling tools for staff.
Review Source
Incentivized review: software users are invited to submit an honest review and offered a nominal incentive for their time and effort. All incentivized reviews are subject to our verification process prior to publication.
Analysis of our reviews shows that users have mixed opinions about Gusto’s customer support and training options.
On the positive side, reviewers generally appreciate Gusto's customer support for its responsiveness, helpfulness, and ability to resolve issues efficiently. Many users highlight the ease of contacting support through various channels, such as online chat and phone, and praise the knowledgeable and friendly support staff. Users also value the support during critical times, such as tax season or when dealing with compliance issues, and appreciate the dedicated teams available for higher service tiers.
On the other hand, some reviewers express dissatisfaction with Gusto's customer support, citing slow response times and difficulties in resolving complex issues. Several users mention that support can be unresponsive or take days to address urgent matters, which is problematic for time-sensitive tasks like payroll processing. Finally, the need for better self-service options and more flexible support hours, especially during weekends, is a common request among users facing these challenges.
Reviewers appreciate Gusto's training resources for their simplicity and accessibility. Many users highlight the comprehensive tutorials and explanations available, which help them understand the software without needing to contact support. The step-by-step guides and onboarding tutorials are particularly praised for making the learning process straightforward, even for those without prior payroll or HR experience. Users also value the minimal training required due to the intuitive user interface, which is beneficial for both tech-savvy individuals and beginners. Additionally, the integration with training partners like EasyLlama and the availability of HR-related videos are seen as valuable resources.
However, some users express concerns about the adequacy of training resources. They mention that the absence of tutorials can make it challenging to find specific information, leading to confusion. The learning curve is noted by several reviewers, especially for new users or administrators, who feel that more comprehensive training would be beneficial.
Gusto privacy and security
Gusto offers several privacy and security options to ensure the protection of user data and information. These include:
Gusto ensures data security through encryption. The infrastructure is hosted in a multi-region setup with regular backups and periodic testing to ensure data availability.
Access controls are enforced based on employee roles, with changes subject to peer review and testing.
Gusto offers multi-factor authentication for enhanced account security and allows limited-access permissions for certain accounts under the Complete plan. Transaction monitoring is implemented to prevent fraudulent activities.
A dedicated security team oversees secure practices, with robust security policies communicated to all employees.
Gusto updates its SOC reports annually and follows HIPAA guidelines to protect customers' health information, maintaining business associate agreements with relevant parties.
Reviewers appreciate Gusto's robust security features, highlighting two-factor authentication, secure logins, and privacy controls as key benefits. Users feel confident that their personal and financial information is protected, and they value the ease of securely entering banking details and managing payroll. The software's ability to handle sensitive data, such as tax documentation and employee onboarding, is also praised for its security measures.
However, some users report significant security concerns, including unauthorized access to accounts and inadequate customer support in resolving these issues. Additionally, frequent double-authentication and issues with remembering credentials are noted as inconveniences.
Gusto alternatives
Gusto is a widely used talent management software, but it's not the only option available for businesses looking to streamline their HR processes. Several other platforms offer comprehensive features and user-friendly interfaces tailored to meet diverse business needs. Here are two alternatives that users often consider after using Gusto, based on an analysis of their reviews on Capterra:
Rippling: Users switch to Rippling for its comprehensive suite of features, including onboarding/offboarding, IT management, and payroll processing. Some of them appreciate its scalability, better customer service, and ease of use. Many users mention that Rippling offers a more integrated and user-friendly experience, especially for growing businesses with diverse needs.
Patriot Payroll: Users switch to Patriot Payroll primarily due to its cost-effectiveness and better customer service. They find it easier to use and appreciate the straightforward setup. Many reviewers highlight dissatisfaction with Gusto's pricing changes, unreliable tax payments, and overly complicated interface as reasons for the switch.
Gusto is a comprehensive payroll and HR solution designed to enhance the management of employee-related tasks for businesses of all sizes. With its range of pricing plans, Gusto caters to varying business needs, offering essential payroll services, advanced HR tools, and expert support. The platform prioritizes data security and privacy, ensuring that sensitive information is protected through robust security measures. Additionally, Gusto's user-friendly interface and commitment to customer service make it a reliable choice for businesses seeking to streamline their HR operations.
Gusto received 4.6 out of 5 stars on Capterra and is recognized in the 2024 Capterra Shortlist for Payroll. While users appreciate Gusto for its effective employee onboarding, comprehensive HR management, and easy navigation, they also highlighted challenges like limited phone support, slow issue resolution, and inadequate reporting features. While Gusto remains a popular choice, alternatives like Rippling and Patriot Payroll offer user-friendly interfaces and competitive features, providing options for teams seeking different talent management solutions.
FAQs
Yes, Gusto can be trusted as it prioritizes data security and privacy, employing robust encryption methods and regular security audits. With more than 4,000 verified user reviews on Capterra, Gusto has an overall rating of 4.6 out of 5 stars.
Gusto is popular due to its comprehensive features, user-friendly interface, and flexible pricing plans that cater to businesses of all sizes. It simplifies payroll and HR processes, offers customer support, and integrates seamlessly with other business tools, making it a favorite among small to midsize businesses.
Yes, Gusto reports to the Internal Revenue Service (IRS) on behalf of its users. The platform handles federal, state, and local tax filings, ensuring compliance with tax regulations. By automating these processes, Gusto helps businesses avoid errors and penalties, providing peace of mind regarding tax obligations.
Gusto is transparent about its pricing, with no hidden fees. The platform charges a monthly base fee plus a per-employee fee, depending on the chosen plan. Learn more in our Gusto Pricing Guide 2025.
According to our verified reviews, Gusto is mostly appreciated for its effective employee onboarding, comprehensive HR management, easy navigation, efficient team management, and user-friendly setup.
Yes, Gusto is a reputable company known for its reliable payroll and HR solutions. On Capterra it has garnered more than 4,000 verified user reviews with an overall rating of 4.6 out of 5 stars.
Yes, Gusto offers its app, Gusto Wallet, which allows users to track, save, and access paychecks, spending accounts, and saving tools.
Yes, Gusto integrates seamlessly with QuickBooks, allowing businesses to synchronize payroll data with their accounting software. This integration streamlines financial management by automatically updating payroll expenses, reducing manual data entry, and ensuring accurate financial records.
Yes, Gusto offers time-tracking features. These features allow businesses to track employee hours, manage time-off requests, and integrate with payroll for accurate wage calculations. This functionality helps streamline workforce management and improve operational efficiency.
No, Gusto payroll is not free. It operates on a subscription model with a monthly base fee and a per-employee fee. The cost varies depending on the plan chosen, with additional charges for optional services.
Yes, you can trust Gusto. Gusto is a well-established platform known for its reliability and that is widely used by businesses for payroll, benefits, and HR services. Gusto has an overall rating of 4.6 out of 5 stars on Capterra, with more than 3,680 verified user reviews in the last two years.
The choice between ADP and Gusto depends on your business needs. ADP is suitable for larger enterprises with complex requirements, offering extensive features and scalability. Gusto, on the other hand, is ideal for small to midsize businesses seeking an affordable, user-friendly solution with comprehensive payroll and HR functionalities.
Based on our analysis, Gusto is ideal for small businesses: 87% of recent reviewers are from businesses with between 1 and 200 employees. It is widely used in the health, wellness, and fitness, marketing and advertising (6%), and information technology and services industries. The teams that use the software most are HR and payroll teams.
Gusto automates payroll processing, handling calculations, deductions, and tax filings. It ensures compliance with federal, state, and local tax regulations, offers direct deposit options, and provides employees with access to digital pay stubs. This streamlines payroll management and reduces administrative burdens for businesses.
Gusto's pricing varies depending on the plan. The Simple plan costs $40 per month, plus a fee per employee. The Plus plan starts at $80 per month, while the Premium plan starts at $180. Learn more in our Gusto Pricing Guide 2025.
According to our verified user reviews, direct deposit is the best-rated feature. It has received more than 100 reviews and 97% rated it as important or highly important. Reviewers appreciate its reliability and convenience, highlighting its ability to split payments across multiple accounts and provide timely notifications. Users value the ease of setup and the ability for employees to manage their own deposit information.
Our analysis indicates that Gusto is particularly suited for small businesses, with 87% of recent reviewers coming from companies with 1 to 200 employees. It is predominantly utilized by industries such as health, wellness, and fitness, marketing and advertising, and information technology and services. The teams that use the software most are HR and payroll teams and business owners.
Sources
Capterra Shortlist: Capterra Shortlist identifies the top products in our software categories based on a proprietary blend of user ratings and popularity. Read the complete methodology here.
Capterra reviews data: Capterra reviews are collected from verified users for individual software products. For this report, we analyzed reviews from 2008 until 2024. Learn more about how we source our data.
To identify what users like and dislike about Gusto, our data scientists apply advanced modeling techniques to our proprietary reviews data. We’ve sorted the resulting list of pros and cons based on the percentage of users who expressed positive sentiment towards the given topic in their reviews.
Giorgia Pisano is a content associate at Capterra. She is always in search of the latest technology trends for small and midsize businesses, with a focus on retail and customer experience insights.
Giorgia’s research and analysis is informed by more than 120,000 authentic user reviews on Capterra and nearly 8,000 interactions between Capterra software advisors and retail software buyers. Giorgia also regularly analyzes market sentiment by conducting surveys of retail and restaurant leaders, as well as consumers, so she can provide the most up-to-date and helpful information to small and midsize businesses purchasing software or services.
Her research has been featured in various media publications including ANSA, Today, and La Nazione. She has a bachelor's degree in public relations and a master's degree in marketing and management.
Kathryn Todd is a senior editor at Capterra. She specializes in editing data-driven research reports that cover the latest technology trends. She has almost a decade of experience writing and editing content to help small businesses stay ahead of trends and find the best tech solutions for their needs.
Kathryn holds a bachelor's degree in English Language and Linguistics from Sheffield Hallam University in the U.K. When not editing content herself, she enjoys reading content other people have edited and can usually be found with her head in a fiction book and a cup of tea in hand.
