Gusto (formerly ZenPayroll) has become a leading name in payroll and HR solutions specifically tailored for small and medium-sized businesses (SMBs) in the US. Serving over 400,000 customers, it offers an end-to-end platform designed to simplify payroll, benefits administration, compliance, onboarding, and time tracking through an notably user-friendly interface and transparent pricing structure.
Gusto's primary strength lies in its straightforward approach to core functions. It handles full-service payroll for US-based W-2 employees and both domestic and international 1099 contractors, featuring flexible pay schedules, unlimited pay runs (including off-cycle/bonus runs at no extra cost), and automated calculation, filing, and payment of federal, state, and local taxes. The platform supports direct deposit (with 2-day and next-day options on higher tiers), garnishments, new hire reporting, and provides employees with lifetime access to paystubs and tax forms via a self-service portal and mobile app (Gusto Wallet).
Users consistently praise Gusto for its intuitive design and ease of use, often enabling businesses to run payroll in minutes. The onboarding process guides users through setup, and basic HR tasks like creating offer letters, managing onboarding checklists, and handling electronic document signing are streamlined (though some features like native e-signatures and time tracking require the Plus plan or integrations).
Gusto simplifies benefits administration, allowing businesses to manage health insurance, 401(k) plans, dental, vision, and other financial benefits within the platform, often leveraging partnerships to offer competitive rates. All plans include access to licensed benefits advisors. Unique employee features include the Gusto Wallet mobile app for paycheck management and savings goals, and an interest-free cash advance option ("payday financing") based on accrued wages.
A key differentiator is Gusto's ability to easily handle payments for both domestic and international contractors directly. For businesses needing to hire full-time employees internationally, Gusto offers "Gusto Global," an Employer of Record (EOR) service powered by Remote. This allows US companies to hire, onboard, pay (in local currency), and manage employees in numerous countries compliantly through Remote's infrastructure, all integrated within the Gusto platform – covering expenses, time off, and reporting. It's important to note this EOR service is distinct from directly processing international employee payroll natively.
Gusto emphasizes its simple, transparent pricing structure with no hidden fees, no long-term contracts, and the ability to cancel anytime. They offer four main plans tailored to different business needs:
Price: $49/month + $6/month per person
This plan is designed for small businesses with basic needs, offering:
Price: $80/month + $12/month per person
Current Offer (as of April 23, 2025): $60/month + $9/person for the first 3 months. Requires account creation by April 30, 2025, and running payroll by May 31, 2025.
Aimed at businesses needing more advanced features, this plan includes everything in Simple, plus:
Price: $180/month + $22/month per person
Current Offer (as of April 23, 2025): $135/month + $16.50/person for the first 3 months. Requires account creation by April 30, 2025, and running payroll by May 31, 2025.
Geared towards scaling businesses requiring dedicated support. Includes all Plus features, plus:
Price: $35/month + $6/month per contractor
Current Offer (as of April 23, 2025): $0/month for the first 6 months
Designed for businesses that only pay 1099 contractors and have no W-2 employees.
While the core plan pricing is transparent, overall costs can increase with optional add-ons for benefits or specific services. It's important to note that Gusto does not offer a traditional free trial period for its main payroll plans (Simple, Plus, Premium), although promotional discounts like the ones currently available may apply.
Support is available via phone and email during business hours, alongside a 24/7 help center. Higher tiers offer more dedicated support. While generally responsive, some user reviews note instances of receiving inadequate solutions from representatives and encountering occasional software bugs.
Gusto's primary limitations lie in its reporting and analytics capabilities, which are considered basic compared to more enterprise-focused platforms like ADP or Paylocity, making it less suitable for businesses needing deep data insights or complex custom reports. The lack of native accounting or spend management features necessitates reliance on integrations. Furthermore, critical features like native time tracking, advanced compliance alerts, and broker integration are reserved for higher-priced plans. The distinction between paying international contractors directly (supported) and needing the Gusto Global EOR service for international employees is crucial.
Gusto boasts a large ecosystem of third-party integrations, significantly enhancing its capabilities and allowing businesses to connect payroll and HR functions with other critical software tools. These integrations are vital for extending the platform's core features, particularly for users on the entry-level Simple plan which lacks native time tracking, and for bridging gaps in areas Gusto doesn't cover natively, such as comprehensive accounting or spend management.
Gusto integrates smoothly with leading accounting software like QuickBooks and FreshBooks, facilitating the synchronization of payroll data and simplifying financial reporting.
While the Plus and Premium plans feature native time tracking, businesses on the Simple plan can integrate with various third-party time tracking applications. Gusto has also improved its payroll entry process to allow data import from other apps.
Streamline processes with integrations like Checkr for background checks. During onboarding, Gusto can help set up Single Sign-On (SSO) for popular tools such as Slack and Google Suite.
Connect directly with 401(k) providers like Guideline. Gusto facilitates benefits administration through partnerships with health insurance providers and allows integration with a company's existing health insurance broker (available on Plus and Premium plans). Integration with financial tools like the Brex corporate card is also available, sometimes offering partner perks.
Sync employee information directly from platforms like Shopify POS to streamline user management.
The ecosystem also includes integrations with more specialized applications, such as allGeo.
These integrations enable crucial functions like automated data syncing between platforms, streamlined workflows (like initiating background checks), and easier access to specialized partner services. By connecting Gusto with other frequently used applications, businesses can save time, reduce manual data entry, and create a more unified operational tech stack.
Gusto stands out as an excellent, user-friendly payroll and HR solution for US-based SMBs, particularly startups and businesses prioritizing ease of use and transparent pricing. Its ability to handle both W-2 employees and contractors (including international) is a significant plus. While it lacks the advanced reporting depth and some native features found in more complex systems, and requires the Gusto Global EOR add-on for compliant international employee hiring, its streamlined interface, solid core functionality, and strong integration support make it a highly attractive option for businesses whose needs align with its offerings.
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