7 Best Payroll Software for Restaurants in 2026

10 min read

Introduction

The best payroll software for restaurants handles tip reporting, tax filings, and labor law compliance—without draining your time or budget. These top tools do just that and more.

Restaurant payroll is uniquely complex—tip credits, shift differentials, overtime rules, and multiple pay types can quickly become a compliance headache. If your current system is slow, error-prone, or just wasn’t built for restaurant life, you’re not alone. Many restaurant owners are stuck with outdated tools that create more work, cost too much, or simply can’t scale as their team grows. That’s why we reviewed the best restaurant payroll software for 2026. These tools reduce admin time, simplify compliance, and support the real-world needs of restaurant teams—so you can focus on serving customers, not crunching numbers.


Gusto

Best all-in-one restaurant payroll software

Overview

Gusto is a top pick for restaurant payroll, offering a fully integrated platform that handles payroll, compliance, benefits, and basic HR in one place. It’s easy to use, affordable, and built with small business needs in mind. Gusto supports tip reporting, FICA credits, and labor law compliance, helping restaurants stay on top of complex regulations. With transparent pricing, reliable customer support, and robust reporting tools, Gusto simplifies back-office tasks—so you can focus on running your restaurant.

Key Features

  • Payroll, tax filing, and compliance in all 50 states

  • Built-in tip tracking and FICA credit support

  • Unlimited pay runs and multi-rate support

  • Time tracking with GPS-enabled clock-ins

  • Centralized kiosk or mobile time clocks

  • Pay-as-you-go workers’ comp

  • Employee self-service portal

  • Benefits administration included at all tiers

  • Custom labor cost and workforce reporting

  • 300+ third-party software integrations

Pros and Cons

Pros

  • All-in-one platform with full compliance

  • Transparent pricing and no hidden fees

  • Robust reporting tools

  • Seamless POS and time tracking integrations

  • Top-rated customer support

Cons

  • Time tracking lacks built-in scheduling

  • Advanced HR tools require Plus or Premium

  • Doesn’t file Form 8846 (FICA credit form)

Pricing

  • Simple: $49/month + $6/person/month

  • Plus:  $80/month + $12/person/month

  • Premium plans are custom-priced.

  • Free trial: Yes — until first payroll

  • Free plan: No

      Transform your payroll processes with Gusto, a platform that’s already the choice of over 500,000 businesses.

      Get started

      Benefits That Make a Difference

      Help your team thrive with Gusto’s health, retirement & financial benefits.

      How It Works

      Homebase

      Best restaurant payroll software for shift scheduling

      Overview

      Homebase combines payroll, time tracking, scheduling, and HR—built specifically for shift-based businesses like restaurants. Auto-scheduling, shift swapping, and mobile time tracking are included, and its HR suite supports hiring, onboarding, compliance, and employee engagement. While payroll is a paid add-on, Homebase excels at schedule and team management. For restaurants already using a different payroll provider, it integrates with Gusto, Paychex, ADP, and more.

      Key Features

      • Automated shift scheduling based on availability and forecasts

      • Shift swapping, PTO tracking, and time clocks

      • Payroll add-on with automated tax filing

      • Hiring, onboarding, and compliance tools

      • Communication hub for team coordination

      • Mobile app for scheduling, clock-ins, and messages

      • HR support, document storage, and employee surveys

      • Integrates with top payroll and POS providers

      Pros and Cons

      Pros

      • Powerful scheduling and time tracking

      • HR tools tailored to hourly teams

      • Seamless integrations with payroll platforms

      • Competitive pricing for all-in-one plan

      Cons

      • Payroll is a separate paid add-on

      • HR suite only available in top-tier plan

      • Some bugs with clock-in corrections

      Pricing

      • Homebase offers a free Basic plan for up to 20 employees at one location. 

      • Paid plans start at $20/month (Essentials) and go up to $80/month (All-in-One). 

      • The payroll add-on costs $39/month + $6 per employee paid.

      • Free trial: Yes — 14 days

      • Free plan: Yes — Basic tier

          ADP Run

          Best restaurant payroll for larger restaurants

          Overview

          ADP Run is designed for small to mid-sized businesses that expect to scale. It offers robust payroll, tax filing, new-hire reporting, and time tracking—but most features require add-ons. While it’s more expensive than other options and lacks transparent pricing, ADP’s a la carte flexibility and enterprise integrations make it a solid choice for larger or multi-location restaurants planning for growth.

          Key Features

          • Full-service payroll with automated tax filing

          • Multi-state and jurisdiction payroll support

          • Onboarding tools and employee reports

          • 700+ integrations with POS and HR platforms

          • Time tracking and benefits available as add-ons

          • Custom pricing tiers based on team size

          • Mobile app for admin and employee access

          Pros and Cons

          Pros

          • Highly scalable platform

          • Extensive integrations and features

          • Trusted by large and mid-size employers

          • Upgrade path to ADP Workforce Now

          Cons

          • Pricing is opaque and add-ons cost extra

          • Interface feels dated

          • Contractors require separate tool

          • Basic plans miss essential features

          Pricing

          • ADP Run pricing is available by quote only. Forbes reports starting rates at $79/month + $4/employee, but actual costs vary by plan and add-ons.

          • Free trial: Yes — 3 months on select plans

          • Free plan: No

              One Platform for Happy Teams

              Hire, pay & manage effortlessly with Gusto’s all-in-one HR platform.

              How It Works

              Square Payroll

              Best for restaurants using Square POS

              Overview

              Square Payroll is an easy choice for restaurants already using Square POS. Hours, tips, and pay data flow directly into payroll—no manual entry needed. It supports tip pooling, split pay, time tracking, and scheduling. While HR tools are limited and customer service has mixed reviews, Square Payroll’s intuitive interface, flat pricing, and instant pay features make it ideal for small restaurants looking to streamline operations.

              Key Features

              • Seamless sync with Square POS and time cards

              • Built-in tip splitting and reporting

              • Time tracking and shift scheduling via Square Shifts

              • Instant and off-cycle payroll runs

              • Automated tax filings

              • Employee self-service access

              • Pay via direct deposit, check, or Cash App

              • Flat-rate pricing model

              Pros and Cons

              Pros

              • Seamless integration with Square ecosystem

              • Easy-to-use interface

              • Flat-rate pricing with no surprises

              • Tip management built-in

              Cons

              • Fewer HR features than competitors

              • Four-day direct deposit for most users

              • Limited customer support

              • No custom reporting

              Pricing

              • Square Payroll costs $35/month + $6 per employee/month. Time tracking and scheduling tools (Square Shifts) are free for up to five users; additional users start at $4 per month.

              • Free trial: No

              • Free plan: No

                  OnPay

                  Best for restaurants with simple payroll needs

                  Overview

                  OnPay is a streamlined payroll solution with surprisingly deep functionality. It offers unlimited pay runs, automated tax filing, and excellent support—all at a single, flat rate. OnPay supports restaurants with features like tip reporting, FICA tax calculations, and pay types for hourly and salaried workers. While it lacks advanced HR tools, it’s an ideal fit for small restaurant teams that want no-frills payroll done right.

                  Key Features

                  • Unlimited payroll runs and automated tax filing

                  • Built-in tip reporting and FICA support

                  • Onboarding tools with e-signatures

                  • Health benefits and workers' comp administration

                  • Custom pay types and earnings codes

                  • Role-based access controls

                  • Free migration and setup

                  • Integrates with QuickBooks, Xero, and time tracking tools

                  Pros and Cons

                  Pros

                  • All features included at one price

                  • Excellent customer support

                  • Supports restaurants and hourly teams

                  • Transparent, affordable pricing

                  Cons

                  • No scheduling or shift tools

                  • Fewer integrations than competitors

                  • Basic UI design

                  • No 24/7 support

                  Pricing

                  • OnPay costs $40/month + $6 per employee, with no setup or cancellation fees. All features are included at this flat rate.

                  • Free trial: Yes — 30 days

                  • Free plan: No

                      Smarter Time Tracking

                      Save hours with Gusto’s automated payroll, PTO, and compliance tools.

                      How It Works

                      Paychex Flex

                      Best for restaurants needing customization

                      Overview

                      Paychex Flex is built for flexibility, offering modular payroll and HR services that scale with your restaurant. From basic payroll to full-service HR outsourcing, it supports complex needs like shift-based pay, multi-location reporting, and custom onboarding workflows. However, its pricing is opaque, and most features require add-ons. It’s a good match for restaurants that need a tailored solution and have the budget to match.

                      Key Features

                      • Full-service payroll and automated tax filing

                      • Built-in compliance alerts and new hire reporting

                      • Time tracking, scheduling, and labor cost forecasting

                      • Customizable onboarding and document management

                      • Mobile app for employees and admins

                      • 200+ integrations with POS and accounting tools

                      • Access to HR professionals (add-on)

                      Pros and Cons

                      Pros

                      • Scalable platform with deep customization

                      • Full HR suite available

                      • Strong compliance support

                      • Mobile-friendly for staff and managers

                      Cons

                      • Pricing is quote-based and add-on heavy

                      • Interface can be clunky

                      • Support quality varies by plan

                      • Not ideal for very small restaurants

                      Pricing

                      • Paychex Flex pricing is quote-based and varies by business size and selected features. 

                      • Expect to pay around $39–$99/month + $5–$10 per employee depending on the plan.

                      • Free trial: No

                      • Free plan: No

                          SurePayroll

                          Best for restaurants with tight budgets

                          Overview

                          SurePayroll is a budget-friendly payroll platform offering basic features at a low price. It supports tip reporting, time tracking integrations, and FICA tax credit reporting—making it a decent fit for small restaurants. However, the user experience is dated, and the interface can be clunky. If you want simple payroll at a low cost and don’t need HR features, it gets the job done.

                          Key Features

                          • Automated tax filings and year-end forms

                          • Tip and FICA credit reporting

                          • Pay hourly and salaried workers

                          • New hire reporting

                          • Mobile payroll app

                          • 401(k) and benefits options available

                          • Integrates with QuickBooks and time tracking tools

                          Pros and Cons

                          Pros

                          • Affordable for small teams

                          • Includes key restaurant payroll features

                          • FICA credit reporting supported

                          • Live U.S.-based customer support

                          Cons

                          • Dated interface

                          • Limited HR and onboarding tools

                          • Add-on fees can add up

                          • No free trial

                          Pricing

                          • SurePayroll starts at $19.99/month + $4 per employee/month for self-service, and $29.99/month + $5 per employee/month for full-service.

                          • Free trial: No

                          • Free plan: No

                              Compare All

                              Product comparison table
                              ColumnPricingFree TrialFree PlanBest Use Case

                              Simple $49/mo + $6/user/mo; Plus $80/mo + $12/user/mo; Premium custom pricing

                              Restaurants wanting all-in-one payroll, HR, benefits, and tip compliance

                              Free; paid plans $24.95+/location

                              Restaurants prioritizing shift scheduling and time tracking with optional payroll

                              Custom pricing

                              (select plans)

                              Larger or multi-location restaurants planning to scale

                              $35/mo + $6/employee

                              Restaurants already using Square POS for tips and time tracking

                              $49/mo + $6/employee

                              (1 month)

                              Small restaurants with simple payroll and tip needs

                              $39/mo + $5/employee; higher tiers are custom-priced.

                              Restaurants needing highly customizable payroll and HR

                              $19.99–$29.99/mo + per employee

                              Not listed

                              Restaurants on tight budgets needing basic payroll and tip reporting

                              Product comparison table
                              CompanyPricingFree Trial

                              Simple $49/mo + $6/user/mo; Plus $80/mo + $12/user/mo; Premium custom pricing

                              Free; paid plans $24.95+/location

                              Custom pricing

                              (select plans)

                              $35/mo + $6/employee

                              $49/mo + $6/employee

                              (1 month)

                              $39/mo + $5/employee; higher tiers are custom-priced.

                              $19.99–$29.99/mo + per employee

                              Not listed

                              Page 1 of 2

                              FAQ

                              How to do payroll for a restaurant?

                              To do restaurant payroll, you need to calculate wages, tips, tax withholdings, and employer taxes accurately and on time. Good payroll software automates this process and handles special considerations like tip reporting, minimum wage compliance, and FICA tax credits—saving time and reducing risk.

                              What percentage of sales is a restaurant payroll?

                              Restaurant payroll typically ranges from 25% to 35% of gross sales, depending on the business model. Fast-casual and QSR restaurants often fall on the lower end, while full-service establishments may pay more due to tipped workers, kitchen staff, and management overhead.

                              How do restaurants pay their employees?

                              Restaurants typically pay employees via direct deposit, paper check, or payroll cards—often on a biweekly or weekly basis. Many also allow instant or same-day pay access for hourly staff. Tip reporting and split pay between credit card and cash tips are also common.

                              What is the FICA tip credit?

                              The FICA tip credit lets restaurants offset their share of Social Security and Medicare taxes on reported tips. Employers can claim this credit for tips exceeding the federal minimum wage, reducing overall tax liability for tipped staff. Accurate tip tracking is required to qualify.

                              Is there a minimum wage for tipped employees?

                              Yes. The federal tipped minimum wage is $2.13/hour, but employers must ensure total wages plus tips meet the $7.25/hour federal standard—or higher if your state requires it. If not, the employer must add the difference as a tip makeup.

                              Empower Growth & Performance

                              Boost engagement with Gusto’s built-in feedback & development features.

                              How It Works