Gusto
Best all-in-one employee & contractor payroll for small business
Overview
Gusto leads the pack for small businesses that want to pay both employees and contractors in one place. The platform includes automatic tax filing, unlimited payroll runs, intuitive onboarding, and support for paying domestic and international contractors. You also get robust HR tools, benefits management, and time tracking with upgraded plans.
Gusto ranks #1 on G2's Small-Business Indexes for Contractor Payments — Implementation, Usability, and Results for Spring 2026, based on verified small business reviews of ease of setup, ease of use, and business outcomes.
Key Features
Contractor-only plan available
1099-NEC filing included
Unlimited payroll runs
Pay by direct deposit, check, or debit card
New-hire reporting in all 50 states
Self-onboarding for contractors
International contractor payments in 120+ countries
Employee & contractor lifetime portal access
Seamless HR, time tracking, and benefits tools
Pros and Cons
Pros
Transparent pricing
Excellent customer service
Built-in tax filing & compliance
Includes international contractor payments
Cons
Faster direct deposit limited to higher plans
Contractor-only plan requires at least one U.S.-based contractor
Pricing
Contractor-only: $35/mo + $6 per contractor (billed only in months with payments)
Employee + Contractor (Simple): $49/month + $6/person/month
Plus: $80/month + $12/person/month
Premium: $180/month + $22/person/month
Free trial: yes— pay nothing until your first payroll
Free plan: No
Transform your HR processes with Gusto, a platform that’s already the choice of over 500,000 businesses.
OnPay
Best basic contractor payroll
Overview
OnPay offers all-in-one payroll and HR for a flat rate. Their plan includes automated taxes, onboarding, benefits, and 1099 filings. It’s a no-frills option that works well for small teams or businesses without complex payroll needs.
Key Features
Flat-rate pricing
Multi-state payroll
1099-NEC generation and filing
Contractor self-service setup
Pay via check, deposit, or debit card
Pros and Cons
Pros
Transparent, single-tier pricing
Supports ITIN-only contractors
Includes basic HR and benefits setup
Cons
Few integrations
Limited growth scalability
Extra fee for mailing tax forms
Pricing
Flat rate: $40/mo + $6/person
Free trial: yes— 3 months free promo
Free plan: No
Learn more about OnPay
ADP
Best for quickly growing teams
Overview
ADP is a household name in payroll—and offers a contractor platform called WorkMarket for hiring, onboarding, paying, and managing freelancers. It integrates with ADP Run and Workforce Now, making it ideal for businesses scaling past 50 employees.
Key Features
ADP WorkMarket for contractors
Full-service payroll for employees
1099 and W-2 filing
Self-service portals
Over 700 integrations
Pros and Cons
Pros
Extensive features for growing teams
Modular pricing across plans
Dedicated contractor management tools
Cons
Complicated pricing tiers
Requires multiple platforms (Run + WorkMarket)
No out-of-the-box solution
Pricing
Custom quote required
Reported rates start at $59/mo + $4/person (not confirmed)
Free trial: Yes — select products
Free plan: No
Learn more about ADP
Rippling
Best contractor payroll for tech-forward teams
Overview
Rippling’s all-in-one workforce platform automates HR, IT, and payroll processes. Their contractor services include international payments, hardware provisioning, and easy W-2 conversion. It’s ideal for tech-savvy businesses with complex workflows.
Key Features
Payroll & HR in 150+ countries
1099 onboarding and storage
Workflow automation
Customizable reports and triggers
Hardware/software provisioning
Pros and Cons
Pros
Supports global payments
Rich automation features
Hundreds of software integrations
Cons
Minimum one-year contract
Not ideal for very small teams
Pricing can add up fast
Pricing
Contractor payments: $20/worker/mo
EOR services: $599/employee/mo
Requires Unity Core platform: $35+ base + per-user fees
Free trial: No
Free plan: No
Learn more about Rippling
Square
Best contractor payroll for retail and restaurants
Overview
Square Payroll works seamlessly with its POS system, making it a smart choice for service businesses. It includes tip pooling, time tracking, and a low-cost contractor-only plan.
Key Features
Syncs with Square POS
Unlimited pay runs
Tip reporting and splitting
Built-in time tracking
1099 prep and e-filing
Pros and Cons
Pros
Affordable contractor-only plan
Ideal for retail and restaurants
Free time tracking for small teams
Cons
No new hire reporting for contractors
Customer support can be limited
Pricing
Employee + contractor: $35/mo + $6/person
Contractor-only: $6/contractor/mo
Free trial: No
Free plan: No
Learn more about Square Payroll
Deel
Best feature-rich payroll for international contractors
Overview
Deel is built for global teams, with tools to hire, onboard, and pay contractors in 150+ countries. It offers local compliance, payment options like PayPal and crypto, and fast onboarding.
Key Features
Contractor payments in 150+ countries
15+ payment methods (PayPal, crypto, bank, etc.)
Compliant contracts and onboarding
Global HR tools included
Built-in background checks
Pros and Cons
Pros
Best-in-class international tools
Fast contractor setup
Robust payment flexibility
Cons
Pricing not transparent
Expensive for small teams
Limited integrations
Pricing
International contractor plan: $49/contractor/mo
EOR services: $599/employee/mo
Free trial: Account setup free; charges apply once you hire
Free plan: No
Learn more about Deel
QuickBooks
Best value contractor-only payroll
Overview
QuickBooks Payroll is a smart choice if you're already using QuickBooks for accounting. The contractor-only plan offers next-day deposits and easy 1099 creation at a low price.
Key Features
Contractor-only plan: up to 20 contractors
1099 generation (e-filing extra)
Next-day direct deposit
Syncs with QuickBooks accounting
Pros and Cons
Pros
Affordable pricing
Bundles with QuickBooks accounting
User-friendly interface
Cons
Local taxes and advanced tools require higher plans
Doesn’t integrate with other accounting platforms
Pricing
Contractor-only: $15/mo (up to 20 contractors)
With Simple Start: $45/mo
Full-service Payroll Core: $45/mo + $6/person
Free trial: Yes — 30 days or 50% off 3 months
Free plan: No
Learn more about Quickbooks
SurePayroll
Best budget contractor payroll with DIY taxes
Overview
SurePayroll is ideal for small businesses that want bare-bones payroll at a low price. Their self-service option is the cheapest on the list but requires you to file your own taxes.
Key Features
DIY or full-service tax filing
1099 and W-2 support
Same-day and next-day deposits
Limited HR tools
Pros and Cons
Pros
Cheapest option for payroll basics
Option to save with DIY tax filing
Evening and weekend customer support
Cons
Pricing lacks transparency
Extra fees for integrations
No global or advanced HR features
Pricing
Self-service: From $19.99/mo + $4/person
Full-service: From $29.99/mo + $5/person
Free trial: Yes — up to 6 months free
Free plan: No
Learn more about SurePayroll
Compare All
| Pricing | Free Trial | Free Plan | Best Use Case | |
|---|---|---|---|---|
 | Simple $49/mo + $6/user/mo; Plus $80/mo + $12/user/mo; Premium custom pricing | Small businesses paying both employees and contractors with built-in 1099 compliance | ||
 | $49/mo + $6/employee | (1 month) | SMBs wanting simple, no-frills contractor payroll at a predictable price | |
 | Custom pricing | (select plans) | Quickly growing teams needing scalable contractor and employee payroll | |
 | ~$8/user/mo + base fee 35-$40/month + add‑ons | (varies by product) | Tech-forward teams automating contractor workflows and global payments | |
 | $35/mo + $6/employee | Retail and restaurant businesses paying contractors through Square POS | ||
 | $49/contractor/mo; $599 EOR | Companies paying international contractors with flexible payment methods | ||
 | $45–$125/mo + per employee | Not listed | QuickBooks users needing low-cost contractor-only payroll | |
 | $19.99–$29.99/mo + per employee | Not listed | Budget-conscious teams handling basic contractor payroll and DIY taxes |
| Pricing | Free Trial | |
|---|---|---|
| Simple $49/mo + $6/user/mo; Plus $80/mo + $12/user/mo; Premium custom pricing | |
| $49/mo + $6/employee | (1 month) |
| Custom pricing | (select plans) |
| ~$8/user/mo + base fee 35-$40/month + add‑ons | (varies by product) |
| $35/mo + $6/employee | |
| $49/contractor/mo; $599 EOR | |
| $45–$125/mo + per employee | Not listed |
| $19.99–$29.99/mo + per employee | Not listed |
FAQ
Which contractor payroll software is rated highest by small businesses?
Gusto ranks #1 on three G2 Small-Business Indexes for Contractor Payments — Implementation, Usability, and Results in the Spring 2026 reports. These rankings are based on verified user reviews measuring setup speed, ease of use, and business outcomes among small businesses.
How do I know if a worker is a contractor or employee?
The IRS looks at control: if you dictate how, when, and where work is done, they may be an employee. Independent contractors set their own hours, use their own tools, and serve multiple clients.
What’s the difference between 1099 and W-2 workers?
W-2 employees have taxes withheld from paychecks and receive benefits. 1099 contractors handle their own taxes and typically aren’t eligible for benefits.
How do payroll services for contractors work?
Contractor payroll software lets you onboard freelancers, collect tax forms (like W-9s), run payments, and generate 1099s. Many also offer self-service portals and automation for recurring payments.
How do I pay international contractors?
Some platforms like Deel and Gusto allow you to pay contractors overseas using services like Wise, PayPal, or direct bank transfers—often with built-in tax and compliance tools.
