5 Cheaper Gusto Alternatives in 2026 (US Payroll for Less)

Gusto is the most popular payroll service for US small businesses: it runs unlimited payrolls, files and pays federal, state and local taxes, handles W-2s and 1099s and adds benefits and HR tools on top. On 1 March 2026 Gusto raised the base fee of its Simple plan from $40 to $49 a month, still plus $6 per person. Plus costs $80 a month + $12 per person and Premium $180 + $22 per person. A ten-person company on Plus pays $200 a month — $2,400 a year — and many need Plus for features such as time off, next-day direct deposit and multi-state payroll.

Payroll is not a place to cut corners: missed tax filings bring penalties. But several respected providers offer full-service payroll with tax filing for less than Gusto, especially for very small teams.

What Gusto actually costs in 2026

Benefits, workers' compensation and time tracking may carry additional costs, and Gusto sometimes waives fees for the first months for new customers.

The 5 cheaper alternatives at a glance

How we picked these alternatives

We compared full-service tax filing (federal, state and local), multi-state support, direct deposit speed, HR and benefits features, integrations with accounting software, and the monthly cost at five and ten people. Prices checked 28 October 2026.

1. Patriot Payroll

Price: Basic Payroll $17/month + $4 per worker (you file and pay taxes yourself); Full Service Payroll $37/month + $5 per worker. See Patriot Payroll's official pricing page for current plans.

Patriot Software has offered low-cost payroll and accounting to small businesses for years. Its Full Service Payroll calculates, files and pays federal, state and local payroll taxes for you, with unlimited payroll runs and free direct deposit, at a lower base fee than Gusto Simple. If you are comfortable filing taxes yourself, the Basic plan is even cheaper.

Patriot Payroll pricing in detail

What you get

• Unlimited payroll runs with free direct deposit.
• Full-service federal, state and local tax filing (Full Service plan).
• Employee portal for pay stubs and W-2s.
• Contractor payments and 1099s.
• US-based support and optional accounting software.

Where it falls short

• Benefits and HR features are limited compared with Gusto.
• Interface is functional rather than modern.
• Add-ons cost extra.

Who it's best for

Very small US businesses that need reliable payroll and tax filing on a tight budget. Skip it if you want benefits administration and onboarding workflows in the same tool.

2. OnPay

Price: $49 a month + $6 per person, one plan with everything included. See OnPay's official pricing page for current plans.

OnPay has a single, transparent plan that includes what Gusto puts in its higher tiers: full-service payroll in all 50 states, unlimited pay runs, HR tools, onboarding, PTO tracking and integrations with benefits and workers' comp providers. Its base price matches Gusto Simple, but its features are closer to Gusto Plus — so for many businesses it is effectively a Gusto Plus for Simple prices deal.

OnPay pricing in detail

Ten people on OnPay cost $109 a month, versus $200 on Gusto Plus.

What you get

• Full-service payroll in every state including multi-state.
• HR tools — onboarding, document storage, org chart, PTO policies.
• Benefits and workers' comp integrations.
• Accounting sync with QuickBooks, Xero and others.
• Specialised payroll for restaurants, farms and non-profits.

Where it falls short

• Base price is the same as Gusto Simple — savings come from features, not headline price.
• Smaller brand and app ecosystem than Gusto.
• No dedicated HR expert tier.

Who it's best for

Small businesses that would otherwise need Gusto Plus for multi-state payroll or PTO. Skip it if you want Gusto's built-in benefits marketplace.

3. Square Payroll

Price: $35 a month + $6 per person; contractor-only payroll $6 per person with no base fee. See Square Payroll's official pricing page for current plans.

Square Payroll is built for businesses that already use Square for payments, especially restaurants and retail. Timecards from Square POS flow straight into payroll, tips are imported automatically, and full-service tax filing is included. Paying only contractors costs just $6 per person with no monthly fee.

Square Payroll pricing in detail

Square does not always show pricing on review sites; confirm in your Square dashboard.

What you get

• Square POS timecard sync — no manual hours entry.
• Automatic tip imports from Square transactions.
• Full-service federal and state tax filing.
• Contractor payments with no base fee.
• Benefits and workers' comp integrations.

Where it falls short

• Limited HR features.
• Best value only if you use Square.
• Fewer advanced reports than Gusto.

Good to know

Square Payroll can pay contractors and employees in the same account, and team members can see pay stubs in the Square Team app. If your staff earn tips, Square imports card tips from POS transactions automatically, which removes manual reconciliation. Square also integrates with partners for health insurance, 401(k) and workers' comp, so you can add benefits without changing payroll providers.

Who it's best for

Restaurants, cafés and shops that run on Square. Skip it if you do not use Square POS.

4. Roll by ADP

Price: From about $39 a month with per-employee fees; promotions such as three months free are common. See Roll by ADP's official site for current plans.

Roll is ADP's app-first payroll service for micro businesses. You run payroll by chatting with an assistant in a mobile or web app, and ADP handles tax calculation, filing and compliance — backed by the largest payroll company in the US. It is designed for owners who want payroll done in a minute without learning software.

Roll by ADP pricing in detail

Check current pricing in the app — promotional offers change frequently.

What you get

• Chat-based, app-first payroll.
• Automatic federal and state tax filing.
• Unlimited pay runs.
• Employee self-service for pay stubs and W-2s.
• ADP compliance expertise.

Where it falls short

• Few HR and benefits features.
• Less suited to growing companies with complex payroll.
• Pricing is less transparent than competitors'.

Good to know

Roll is designed for owners who run payroll themselves on a phone, so its interface is a chat rather than menus. Because ADP handles tax compliance, you can upgrade to ADP RUN as you grow without changing company. Ask for the full price including per-employee fees before signing up, as promotional offers can hide the regular rate.

Who it's best for

Micro businesses with a few employees that want the simplest possible payroll with ADP behind it. Skip it if you need benefits, onboarding and HR tools.

5. Wave Payroll

Price: In tax-service states, $40 a month + $6 per person; in self-service states, $20 a month + $6 per person. See Wave Payroll's official pricing page for current plans.

Wave is known for free accounting software, and its payroll add-on is a natural fit for very small teams already using Wave. In tax-service states Wave files and pays payroll taxes for you; in self-service states it calculates them and you file — at a lower price. Everything syncs automatically with Wave's bookkeeping.

Wave Payroll pricing in detail

Check Wave's list of tax-service states before signing up.

What you get

• Automatic sync with Wave accounting.
• Direct deposit and pay stubs.
• Employee self-service portal.
• Contractor payments.
• Automatic tax filing in tax-service states.

Where it falls short

• Full tax service only in some states.
• Limited HR features.
• Best value only if you use Wave for accounting.

Good to know

Wave Payroll works best when you also use Wave's free accounting, because payroll journal entries post automatically. Before signing up, check whether your state is a tax-service state; if not, you will need to file payroll taxes yourself using reports Wave provides. Wave's support is mostly online, so if you want phone support, Patriot or OnPay may suit you better.

Who it's best for

Very small businesses already using Wave accounting. Skip it if you have employees in many states.

What a ten-person company pays per month

How to switch without losing your work

1. Switch at the start of a quarter — ideally 1 January — to avoid splitting quarterly tax filings between providers.
2. Gather year-to-date payroll registers, tax IDs, state account numbers and employee details.
3. Ask the new provider to enter prior payrolls so W-2s are correct for the full year.
4. Run a parallel payroll once to compare results before going live.
5. Cancel Gusto only after the first payroll and tax deposit succeed with the new provider.

Which one should you choose?

• You want the lowest-cost full-service payroll: Patriot Payroll.
• You need Gusto Plus features for less: OnPay.
• You run on Square POS: Square Payroll.
• You want the simplest app with ADP behind it: Roll by ADP.
• You already use Wave accounting: Wave Payroll.

Hidden costs and gotchas

• Per-person fees. Contractors and employees often both count — check what a "person" is.
• Mid-quarter switches. Switching mid-quarter can mean filing with two providers. Choose quarter starts.
• State registrations. Hiring in a new state requires state tax accounts, whichever provider you use.
• Benefits. Health insurance and 401(k) plans may be tied to the payroll provider and need separate migration.
• Year-end forms. Some providers charge extra for W-2s or filing amendments.

Our verdict

OnPay is the best Gusto alternative for most small businesses — full-service, multi-state payroll and HR tools at Gusto Simple's price. Patriot Payroll is the cheapest full-service option, Square Payroll is ideal for Square merchants, Roll by ADP is the simplest app, and Wave Payroll suits teams already on Wave.

More cheaper alternatives: see our breakdowns of the cheaper options to QuickBooks, Expensify and Harvest.

Related reading: Build vs Buy Software: A Practical Decision Framework, How to Estimate Software Development Without Pretending It Is Certain and What Should a Privacy Policy Actually Say?.

Planning a switch, or not sure which tool fits the way your team works? Book a free call and we will look at your stack with you.

Prices are US list prices in USD unless marked, checked on 27 October 2026. "Annual" means the per-month price when billed yearly. Vendors change pricing often, so confirm on the vendor's site before buying. Product names and logos are trademarks of their respective owners and are used here for identification only.

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