Articles | Lift HCM

Best Payroll Services for Small Businesses in 2024

Written by Caitlin Kapolas | July 5, 2024 8:40:00 PM Z

Managing payroll can be one of the biggest stressors for small business owners. From tracking employee hours to calculating taxes accurately, payroll can feel like a never-ending puzzle. Every small error could lead to costly penalties, and manual payroll processing takes up precious time and resources that could be spent growing your business. If you’ve ever felt overwhelmed by payroll responsibilities, know that you’re not alone.

At Lift HCM, we understand the challenges small business owners face when it comes to payroll. That’s why we’ve put together a guide on the top-rated payroll services for small businesses in 2024. We aim to provide a detailed look at each option so you can make the best choice for your business, whether you’re looking for a budget-friendly solution or a full-service provider with robust features.

This article will cover:

  • A breakdown of the features, pricing, and support each provider offers.
  • Insights into which service might be the best fit for different business needs.
  • Practical advice on how to choose a payroll solution that aligns with your goals.

Why Payroll Services are Game-Changers for Small Businesses

Payroll services streamline complex tasks, ensure compliance with ever-changing tax laws, and free up valuable time to focus on your core business. For small businesses, investing in payroll solutions is about gaining peace of mind and leaving compliance and calculations to the experts.


Gusto: Comprehensive Solution for Payroll & Benefits Management

Gusto offers a robust payroll solution tailored for small to mid-sized entities, encompassing benefits administration and HR tools. 

Best for: Small to mid-sized businesses needing an all-in-one payroll and HR solution.

Key Features:

  • Full-Service Payroll: Handles all payroll tasks, including tax filing.
  • Employee Benefits: Offers robust benefits administration options.
  • Time Tracking: Integrated time and PTO management.
  • Employee Portal: Easy self-service for employees to access pay info and manage benefits.

Technology and Software:  Cloud-based, accessible on any device, with a user-friendly interface.

Integrations: QuickBooks, Xero, FreshBooks, TSheets, Homebase, Asana, Slack

Pricing:

  • Simple: $40/month base fee + $6 per employee per month
  • Plus: $60/month base fee + $9 per employee per month
  • Premium: Custom Quote Needed
  • Contractor Only: $6 per employee per month
  • Additional fees for add-ons like health benefits administration

Customer Support: Includes phone, email, and live chat, with priority support for higher-tier plans

OnPay: Affordable Payroll with Built-in Compliance

OnPay simplifies payroll processes for small businesses with essential payroll features and HR compliance tools. 

Best for: Small businesses looking for budget-friendly payroll with essential compliance features.

Key Features:

  • Automated Tax Filing: Ensures accuracy in federal, state, and local taxes.
  • Employee Self-Service: Empowers employees to manage their own information.
  • Workers' Compensation Tracking: Simplifies compliance with state requirements.

Technology and Software: Cloud-based and mobile-friendly interface

Integrations: QuickBooks, Xero, TSheets, Deputy

Pricing: $40/month + $6 per employee per month

Customer Support: Includes email, phone, live chat, and online help center

Paychex: Personalized Payroll with Added HR Tools

Paychex is a software service for W-2 employees and 1099 contractors. In addition to payroll, it provides a variety of HR tools, customizable user roles for tailored access, and integrations with time tracking, attendance management, and other business management systems.

Best for: Businesses needing payroll along with advanced HR solutions.

Key Features:

  • Full-Service Payroll: Comprehensive payroll services with automated tax compliance.
  • HR Solutions: Includes time tracking, attendance management, and employee benefits.
  • Financial Wellness Programs: Offers educational resources and programs for employees.

Technology and Software: Paychex Flex (cloud-based)

Integrations:

  • QuickBooks
  • Sage
  • BambooHR
  • JazzHR
  • TSheets
  • NetSuite
  • APIs for custom integrations

Pricing:

  • Paychex Flex Essentials: $39/month plus $5 per employee; includes payroll processing, tax services, and new hire reporting
  • Paychex Flex Select: Custom pricing; offers more personalized services and additional features like a learning management system
  • Paychex Flex Pro: Custom pricing; includes full-service payroll and HR tools like new hire onboarding, background checks, and employee handbook builder
  • Customer Support: Includes 24/7 phone support for all customers, email and live chat, dedicated account manager, online knowledge base and support articles

Rippling: Unified IT and Payroll for Tech-Savvy Companies

Rippling merges payroll, HR, and IT into a single platform, which is ideal for varying business sizes with customization and automation. 

Best for: Businesses wanting a combined solution for payroll, HR, and IT management.

Key Features:

  • Unified Platform: Manages payroll, HR, and IT in one place.
  • Automation: Reduces administrative work with extensive automation.
  • Device & App Management: Allows for seamless device and application setup for employees.

Technology and Software: Cloud-based platform with extensive automation, user-friendly interface with customizable workflows

Integrations:

  • QuickBooks
  • Xero
  • BambooHR 
  • Greenhouse
  • Slack
  • Google Workspace
  • Okta
  • Microsoft Azure
  • Developer APIs for custom integrations

Pricing: Starts at $8 per month per user with custom quotes based on selected services

Customer Support: Includes email and phone support during business hours, live chat accessible from the platform, and online resources, including articles, guides, and FAQs

ADP Run:  Scalable Solution for Growing Small Businesses

ADP Run is designed for small businesses with under 50 employees. It offers a range of features, including payroll processing and HR tools, that can be customized to meet your business's needs. The platform also provides customer support to assist with any questions or issues that may arise.

Best for: Small businesses expecting growth and needing flexible payroll options.

Key Features:

  • Flexible Payroll Options: Supports weekly, bi-weekly, and monthly payroll cycles.
  • Mobile App: Allows payroll management from anywhere.
  • Compliance Support: Comprehensive HR tools to support compliance and regulatory needs.

Technology and Software: cloud-based platform and mobile app, advanced security and compliance features

Integrations:

  • QuickBooks 
  • Xero
  • ZipRecruiter
  • Connections with over 700 insurance carriers and financial institutions for benefits administration

Pricing: $79 per month plus $4 per employee per month

Customer Support: Includes 24/7 expert support, extended live chat hours, and HR advisory services

SurePayroll: Reliable and Affordable Payroll Option

SurePayroll, a subsidiary of Paychex, is designed for small businesses and offers a suite of services to manage payroll processes. These include tax filings and payroll processing, along with optional features such as retirement plans and health insurance support, which may incur additional fees.

Best for: Small businesses seeking a straightforward payroll solution at a low cost.

Key Features:

  • Tax Filing & Compliance: Ensures all tax forms and payments are handled.
  • Workers’ Compensation: Integrates with workers’ compensation providers.
  • Flexible Payroll Options: Supports various payroll schedules and payment methods.

Technology and Software: Cloud-based platform, mobile-friendly interface

Integrations:

  • QuickBooks
  • Xero
  • Sage
  • FreshBooks
  • ZohoBooks.
  • Homebase
  • BuddyPunch

Pricing: $29.99/month plus $5 per employee base price; Additional fees for features like multiple state filing, local tax filing for Ohio and Pennsylvania, and accounting integrations

Customer Support: includes support via phone, email, and live chat. Users have access to an online help center with articles, tutorials, and FAQs

Patriot: Simple, Budget-Friendly Solution

Patriot Payroll is designed for small businesses looking for a simple, cost-effective payroll solution that integrates payroll, tax filing, HR, and accounting services. However, it lacks mobile support and international payroll capabilities.

Best for: Small businesses looking for a low-cost, easy-to-use payroll solution.

Key Features:

  • Full-Service and Self-Service Options: Offers both for flexibility.
  • Automated Tax Filing: Includes tax filing in the full-service plan.
  • User-Friendly Interface: Simple setup and management tools.

Technology and Software: Cloud-based platform, simple and user-friendly interface

Integrations:

  • QuickBooks Online
  • QuickBooks Time
  • GoCo and Plaid 
  • Vestwell for Retirement Plans
  • WorkforceHub

Pricing:

  • Basic Plan: $17/month + $4 per employee
  • Full Service: $37/month + $4 per employee

Customer Support: includes phone, email, live chat, and online help center with articles, tutorials, and FAQs

Making the Right Choice for Your Payroll Needs

Choosing the right payroll service for your business can have a significant impact on both your time and bottom line. The right provider will simplify the payroll process, handle complex tax filings, and ensure compliance with the latest regulations. Each of the providers listed here offers unique features and strengths, so it’s essential to consider which one aligns best with your business’s size, budget, and specific needs.

Why Lift HCM?

At Lift HCM, we believe in transparent, personalized service. With over fifty years of experience, we know what small businesses need to stay compliant and grow. Our goal is to simplify your payroll management so that you can focus on what matters most—scaling your business. Reach out to Lift HCM today to discover how we can provide a tailored payroll and HR solution to support your unique needs.