Recommendations for Payroll software?

Seeking Software Suggestions for Payroll Management

As an experienced bookkeeper and tax accountant (EA), I’ve recently embarked on running my own practice after spending a decade handling tax and Bookkeeping tasks. Throughout those years, I’ve relied on QuickBooks Desktop for payroll management and an Excel spreadsheet. However, I’m now faced with a client who prefers not to use QuickBooks, whether desktop or online.

Given this situation, I’m seeking recommendations for alternative payroll software suitable for my clients. It’s been about five months since this topic was last discussed according to my research, and I’m curious to know if there have been any updates or new tools that have gained traction since then.

Additionally, I’m interested in understanding the standard pricing for payroll services. At my previous firm, we charged a flat fee of $50, plus $5 for each employee. How do these rates compare to what others are charging?

Your insights and experiences would be immensely valuable to me.

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  1. Choosing the right payroll software is crucial for streamlining your Accounting and tax preparation processes. Below are some recommendations for payroll software, along with pricing strategies that may work for your business.

    Payroll Software Recommendations

    1. Gusto
    2. Features: Gusto is known for its user-friendly interface and comprehensive payroll services. It includes benefits administration, time tracking, and compliance support.
    3. Pros: It integrates with a variety of Accounting Software beyond QuickBooks. Offers a self-service portal for employees.
    4. Cons: Pricing can be higher compared to some other options, especially for larger teams.
    5. Pricing: Starts at $39/month plus $6 per employee.

    6. ADP

    7. Features: ADP offers a robust platform that can handle payroll for businesses of all sizes. It includes reporting tools, tax compliance, and human resources support.
    8. Pros: Renowned for strong customer support and scalability.
    9. Cons: It may have a steeper learning curve and higher cost.
    10. Pricing: Customized pricing based on business needs.

    11. Paychex

    12. Features: Paychex Flex provides payroll solutions along with HR services, retirement plans, and insurance.
    13. Pros: Suitable for growing businesses with varying HR needs.
    14. Cons: User interface may not be as modern as some competitors.
    15. Pricing: Starts at $59/month plus $4 per employee.

    16. Wave Payroll

    17. Features: Especially popular among small businesses for its simplicity and integration with Wave’s free Accounting Software.
    18. Pros: Cost-effective for very small businesses; easy to use.
    19. Cons: Limited features compared to more comprehensive systems.
    20. Pricing: $35/month plus $6 per employee.

    21. OnPay

    22. Features: Delivers a full-service payroll with added HR benefits and compliance tools.
    23. Pros: Good value for money; simple user interface and great customer support.
    24. Cons: Limited advanced features that larger businesses might require.
    25. Pricing: $40/month plus $6 per employee.

    Pricing Strategies

    Pricing can vary significantly based on market conditions, the complexity of payroll tasks, and geographical factors. A typical approach would be a base fee plus a variable fee per employee:

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