Payroll software automates compensation management and tax filing.
For every finance manager working with a small business, managing payroll alone can be exhausting. Processes such as employee time tracking, tax calculation, and tracking compliance with labor laws can be further time-consuming and prevent you from focusing on growing your business. One solution to these challenges is the use of payroll software.
Payroll software for small businesses can automate several recurring tasks associated with payroll, such as calculating paychecks, withholding taxes, and tracking time off. Additionally, many payroll software options offer features such as direct deposit and electronic payments, making it easier for you to manage your payroll processes.
To help you make the right choice, this article highlights, in alphabetical order, the top five payroll software for small businesses based on user reviews. For each product, we include overall user ratings along with the highest-rated parameter, review excerpts from industry professionals, and product pricing. Read more.
Searching for a payroll service provider to hire for your business? We've got you covered. Check out our list of companies in the following areas:
1. OnPay
Trial/Free Version
- Free Trial
- Free Version
Highest-rated parameter
Commonly used by
Starting price
Device compatibility
Screenshots
Full-service payroll in OnPay (Source)
Here are some review excerpts from small business professionals who have used Onpay for payroll:
"OnPay was a game changer for our company and has made the payroll process simple and pain free. The best part is that their customer service ROCKS and is full of helpful people. Very happy and plan to stay for a long time. Thanks!"
"The best part about Onpay for us, is not only the ease of use, but the ability to set up Onpay so it maps to Quickbooks Online, so we don't have to make any adjustments later. Also, we are super thankful for Onpay's support as they are always super friendly and make sure any payroll challenges we have are resolved. Also, we really like the liabilities always balance."
"The OnPay customer service has been excellent since the first call I had with them. The help transferring our information from a big, clunky payroll platform to getting it to the streamlined & easy to use OnPay platform was seamless. The communication, information, help & kindness shown throughout the process has been a real change from our last experience. The response time is super quick too!"
2. Patriot Payroll
Trial/Free Version
- Free Trial
- Free Version
Highest-rated parameter
Commonly used by
Starting price
Device compatibility
Screenshots
Running a new payroll in Patriot Payroll (Source)
Here are some review excerpts from small business professionals who have used Patriot Payroll for payroll:
"There are many things that we like about Patriot Payroll. First, they offer a variety of services that cater to our needs. Second, their customer service is excellent. We always receive prompt responses to our questions, and their representatives are always willing to help. Third, their prices are very reasonable, and they offer a variety of payment options. Finally, their software is easy to use and very reliable. We never have any problems with it, and it makes processing payroll a breeze."
"This software allows us to do payroll and file our payroll and quarterly taxes at a fraction of the price of using an accountant. It is very easy to use and has excellent videos to show you how to use the reports and other functions. The few times I have needed help, their representatives have been very friendly and helpful. During the Covid pandemic they included a very helpful feature that you can attach for the PPP loan and forgiveness. I am very thankful for this company!"
"This is my second attempt at finding a simple but competent payroll program that I could run myself and more importantly trust the program, Patriot Payroll is perfect for our small business. The other thing that makes me extremely happy is that I don't have to wait on hold to get help for any questions. Customer service has been top notch!"
Read all Patriot Payroll reviews here.
3. Rippling
Trial/Free Version
- Free Trial
- Free Version
Highest-rated parameter
Commonly used by
Starting price
Device compatibility
Screenshots
Payroll report in Rippling (Source)
Here are some review excerpts from small business professionals who have used Rippling for payroll:
"Overall, Rippling has been a total game-changer! We've been able to change our onboarding from a very manual process to a wonderfully automated experience, our payroll no longer feels clunky and unreliable, time-off tracking is 10x easier, employee profiles make it easy to remember birthdays and work anniversaries...at the end of the day, you want software that's great across the board - Rippling delivers!"
"Rippling has been a lifesaver for our fast, growing company by providing all things Payroll to our team. Interface is user friendly and easy to train new staff to use. We love Rippling! Everyone looks forward to their inbox payroll notice, so cute and witty."
"We're still working through our implementation, but I'm already impressed with how user friendly the system is, how easy it is to do simple processes that were manual for us before (benefits administration/PTO management/hiring/offboarding/org chart/company directory). And it already seems easy to integrate a lot of amazing apps into Rippling! Excited to see what other features we'll be able to incorporate in the future."
Read all Rippling reviews here.
4. UZIO
Trial/Free Version
- Free Trial
- Free Version
Highest-rated parameter
Commonly used by
Starting price
Device compatibility
Screenshots
Employee payroll setup in UZIO (Source)
Here are some review excerpts from small business professionals who have used UZIO for payroll:
"Uzio is helping our staff quickly apply for all insurances available for themselves and their families. These benefits have been great for our staff and all others interested. We love taking advantage of the offers within Humana for the next year, allowing us to stay healthy and be more diligent in regard to our health."
"Great program for employees and very helpful staff help make this super easy to use. We have been using it for over 2 years for our employees and it has been great. The best part about it is that it's very easy to process and what's even better that is it is even easier to finish."
"Onboarding, Payroll, and Time Tracking has never been easier!"
5. ZenHR
Trial/Free Version
- Free Trial
- Free Version
Highest-rated parameter
Commonly used by
Starting price
Device compatibility
Screenshots
Employee profiles in ZenHR (Source)
Here are some review excerpts from small business professionals who have used ZenHR for payroll:
"ZenHR is a very nice application for human resources management. It allows employees to submit a wide range of requests, and employers to approve/deny them. It is very easy to use and has a lot of nice features."
"Time sheet management to the team leader is very amazing, the ability to track the team's expenses as well. I won't forget how at first I thought it wasn't much needed as a software but after a while of usage I've discovered that it made my life easier career-wise."
"As a user, this software is so user-friendly, I didn't need a training or help on how to use it. Login feature is very helpful, where I have many ways to login. The connection with the email is great. Very Very useful software to be used."
What features do payroll tools offer?
The core features of a payroll solution include:
Payroll management: Track attendance, salary levels, benefits, reimbursements, leave, advances, taxes, and policies and processes for employee payroll.
Payroll reporting: View and track pertinent metrics (such as pay stubs and salary benefits) to create payroll reports containing information on employee earnings, deductions, contributions to employee benefit programs, and taxes.
Tax compliance: Process tax-related transactions and assist in reporting and filing federal, state, and local taxes.
All products listed in this report include the features mentioned above.
Besides these core features, payroll software for small businesses also commonly tend to offer:
Benefits management
Check printing
Compensation management
Compliance management
Direct deposit
Employee database
Employee portal
Employee profiles
Time tracking
W-2 preparation
Payroll tax filing
How to choose the right payroll software for small businesses
Here are some factors you should consider to choose the best payroll software for your small business:
Identify the payroll features your business needs: As a small business owner, you might want a solution dedicated 100% to payroll, including some basic payroll processing functions such as time and attendance tracking and support for multiple pay frequencies, tax rates, employee benefits, and deductions. Before you search for the best payroll software, make a checklist of your requirements and pick a tool that will fulfill most, if not all, of them.
Ensure integration with existing tech stack: An ideal small business payroll software solution should easily integrate with your existing accounting software, human resources software, or workforce management tools and migrate data automatically. Before investing in a solution, do not forget to look at its integration options.
Look for an employee self-service portal: Using a self-service portal, employees can easily access pay stubs, payroll tax forms, and other important documents. A payroll solution with an employee portal simplifies data access and streamlines tax filing for your employees.
Consider payroll data security capabilities: Payroll software handles sensitive financial and personal information, so it's important to choose a solution that offers strong security measures. Look for secure access controls and data encryption features to protect your data.
Common questions to ask software vendors before purchasing payroll software
These are some common questions that you can ask vendors before selecting a payroll software solution for your small business:
Does your software handle all federal and state tax compliance requirements?
An ideal payroll system should comply with all federal, state, and local regulations that dictate how employees get paid. Make sure to ask vendors whether their software is compliant with all major payroll laws and regulations, such as Fair Labor Standards Act (FLSA), Federal Insurance Contributions Act (FICA), Federal Unemployment Tax Act (FUTA), and Equal Pay Act (EPA).
Does your software handle multiple pay rates and pay types?
The payroll system you select should be able to handle different pay rates and types, such as salaried, hourly, or commission-based pay. The software should also keep track of overtime pay for your employees.
Are there any additional charges on calculating payroll taxes?
Some payroll software have a flat monthly or annual fee, which comprises all features and services, including payroll tax calculations. Other software may levy an extra charge for certain features, such as direct deposit or tax calculation and filing.