Gusto made payroll software that does not feel like payroll software, and for US small businesses it is the one we recommend most often in reviews. Filings are automatic and included rather than an upsell, which is not true of everything in this category.
What it does well
Running payroll is a three click job once set up, and the onboarding flow for a new hire handles the I-9, W-4 and direct deposit setup without you chasing paper. Contractor payments are included and 1099-NEC filing at year end is automatic.
Benefits administration is properly integrated: health insurance, 401(k) and workers compensation sync back to payroll so deductions are right without a spreadsheet.
Tax and filing
Federal Form 941 and Form 940, W-2s and state filings are all handled automatically, in all 50 states, and Gusto files and pays on your behalf. Multi state payroll is included rather than surcharged, which matters for remote teams.
Gusto does not run Canadian payroll. There is no T4, no ROE, no CPP and no EI. If you employ anyone in Canada you need a second provider, and that is the single most important fact on this page for a Canadian reader.
Where it frustrates people
The per person fee adds up: at 40 people you are paying real money each month. Support has slipped as the company grew and the reviews reflect that, particularly around resolving a tax notice. Reporting is thin compared with ADP or Paychex, so a controller who wants deep payroll analytics will find it limiting.
United States
