Gusto vs Paychex

A quick and easy comparison guide

Gusto vs Paychex

Payroll software is essential for paying your team quickly and accurately. With so many options available, how do you find the best payroll provider for your business? Below you can compare Gusto and Paychex across payroll, benefits, time tracking, integrations, and other features.

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Compare pricing and features: Gusto vs Paychex

Monthly feeStarting at $40/mo + $6/mo per person
No upfront pricing
Setup feeFree
Extra feesExtra fees
Unlimited payrollsCheckmark
Pay per payrollPay per payroll
Automated federal and state tax filingCheckmark
Direct depositCheckmark
File W-2sCheckmark
Extra feesExtra fees
File 1099sCheckmark
Extra feesExtra fees
Multiple pay rates and schedulesCheckmark
Multiple statesCheckmark(Plus and Premium)
Extra feesExtra fees
Contractor paymentsCheckmark
E-sign I-9 and W-4Checkmark
Extra feesExtra fees
Lifetime access for employeesCheckmark
Household employer payrollX
International payrollDollar(International contractor add-on)
Extra feesExtra fees
Health benefitsPay premiums only
Pay premiums only
Workers’ compPay premiums only
Premiums + fees
Available add-ons
  • Broker integration
  • 401(k) retirement
  • Commuter benefits
  • Life and disability
  • HSA and FSA
  • Broker integration
  • 401(k) retirement
  • Commuter benefits
  • Life and disability
  • HSA and FSA
HR tools
Time trackingCheckmark(Plus and Premium)
(Paychex Flex)(Paychex Flex)
Team directory and org chartCheckmark(Plus and Premium)
Time-off requestsCheckmark(Plus and Premium)
(Time & Attendance subscribers)(Time & Attendance subscribers)
Online offer lettersCheckmark
Secure document vault and e-signingCheckmark
Custom employee handbookCheckmark(Premium and HR add-on)
(Paychex Flex)(Paychex Flex)
Job description and policy templatesCheckmark(Premium and HR add-on)
Proactive compliance updatesCheckmark(Premium and HR add-on)
Certified HR prosCheckmark(Premium and HR add-on)
(Paychex Flex)(Paychex Flex)
Direct phone line for dedicated supportCheckmark(Premium and HR add-on)
Custom Onboarding ChecklistCheckmark(Plus and Premium)
Software ProvisioningCheckmark(Plus and Premium)
Google (G-suite) SSOCheckmark

*Competitive data on this page was collected as of June 27th, 2022 and is subject to change or update. Gusto does not make any representations as to the completeness or accuracy of the information on this page. All Gusto services listed in the payroll features comparison chart are provided by Gusto or by one of Gusto’s trusted partners.

“Gusto helps me stay on top of compliance.”

93% of surveyed customers

Save 4 hours running payroll each month

on average, compared to Paychex1

Save 4 hours monthly onboarding new hires

on average, compared to Paychex1

Clipart of three people
Clipart of three people

What to consider when choosing a payroll provider?

  • Think about the features you need now and what you might need later.

    As your company grows, you might need more features. Choose a payroll platform that doesn’t make you pay more every time you need something new.

  • Find a provider that can grow with you.

    A payroll solution that focuses on enterprises might not give your business what it needs. Select a payroll company that will work for where you are today and where you want to go in the future.

  • Check that expert help is available when you need it.

    Even with the most automated payroll services, you might need occasional help from a platform expert. You should have easy access to customer service through email, if not phone and live chat too.

Comparison details: Gusto vs Paychex


Setup and monthly fees

When you go with Gusto, there are no hidden fees. Our plans begin with a $40 monthly base fee, and you’ll pay an additional $6 per employee per month. Your fees cover multiple payroll runs, thorough and accurate tax filing and reporting, access to benefits, and more. We also don’t charge any setup fees. Learn more about our product plans and current promotions.

Paychex often charges a setup fee along with extra fees to enable direct deposit. The monthly cost fluctuates depending on features added and the number of employees you have.

Gusto Paychex
Monthly feeStarting at $40/mo. + $6/mo. per userNo upfront pricing
Set up feeFreedollar icon Extra fees
Create account


Running payroll

With Gusto, you can complete payroll in just a few clicks, whether you’re on your phone or a desktop. It takes our customers 11 minutes on average to process payroll, and you can even set up AutoPilot to process your payroll automatically.

Paychex offers online payroll processing from your phone or computer. You can also process payroll by phone or fax.

Processing payroll

Gusto doesn’t limit the number of times you can run payroll each month, no matter how many employees and contractors you have. We enable you to rapidly run payroll as many times as you need.

Paychex has payroll processing limits on one-time payments, and its base fee may increase as your company adds more employees.

Tax filings

It’s really important for your payroll service to accurately handle your taxes. At Gusto, we automatically file all tax forms, including new hire reporting, W-2s for full-time employees, and 1099s for contractors. We also calculate, file, and pay your end-of-year federal, state, and local taxes without charging you extra. Need to file taxes in multiple states? No problem, that’s also included.

Like Gusto, Paychex calculates, pays, and files federal and state payroll taxes—but not local taxes. While there are some local payroll taxes that Paychex will cover, some may need to be completed outside of Paychex. The platform also charges extra to issue W-2 and 1099 forms.

Unlimited Payrolls$ Pay per payroll
File 1099’s$ Extra fees


Employee benefits

We know you want to give your employees the best. That’s why Gusto provides leading medical, dental, and vision benefits administration with all of our payroll plans. The only costs are the premiums for the plans you choose. Our team has licensed health insurance brokers in many U.S. states, so we can secure the best benefits for your employees.

Our health insurance options span more than 3,500 plans from top-tier networks like Humana, BlueCross BlueShield, United Healthcare, and more. Our licensed advisors will work with you to find affordable insurance options that keep your employees happy and healthy.

We can also help you transfer existing insurance plans to our platform without coverage interruptions, along with setting up and managing contributions to financial benefits. These benefits include flexible spending accounts, workers’ compensation, 401(k) retirement plans, and commuter plans.

You can also support your employees’ financial health with Gusto Cashout™. Unique to Gusto, this benefit gives employees access to funds in between paydays, for free.

Paychex offers health insurance, 401 (k) retirement plans, and financial wellness programs.

Health benefitsPay premiums onlyPay premiums only
Workers’ compPay premiums onlyPremiums + fees

The Cashout Program is issued by Sunrise Banks, N.A., Member FDIC. The Sunrise Banks, N.A. Privacy Policy can be found here.

HR tools

Expert HR help

Gusto can help generate and issue offer letters to potential employees. When new hires start, they can log into Gusto and enter their information to set up payroll and benefits. This minimizes human error and keeps their sensitive information secure. We also give employees ways to provide anonymous feedback to help you improve your business.

Our expert HR assistance doesn’t stop at onboarding. Our Premium plan and HR services add-on come with expert HR support including resources, templates, and real-time advice from SHRM and HRCI-certified professionals.

Paychex also offers access to HR features. However, only large customers who sign up for the Flex® Enterprise tier can use their HR tools. These tools include employee development resources, hiring services, and in-house teams of HR compliance experts.

sending an offer letter from Gusto dashboard
sending an offer letter from Gusto dashboard

Employee self-service

Gusto saves you time while giving employees power over their information. Your team can log into their employee portal and set up their profiles on their own, making their information more accurate and secure.

Employees of companies that use Paychex also have access to an online self-service tool, though it can only be used to view pay stubs and forms rather than edit information. The Paychex employee self-service portal does not include access to benefits information.

Gusto’s platform stands out because we give employees access to their information forever—even if they’re not working with you anymore. No matter how long it’s been since an employee left your company, they’ll always be able to access their W-2s and benefits information without having to contact anyone on your team.

Time management

When you sign up for Gusto’s Plus or Premium plans, you get straightforward tools for tracking employee hours and processing requests for paid time off. Our tools also integrate seamlessly with Homebase, TSheets, and other widely used time tracking platforms so you can automatically add employee hours.

Paychex offers time tracking through its Paychex Flex platform, which costs extra to add. It integrates with select time and schedule management platforms, including Dolce Software and OnShift. Paychex users who pay for higher-tier memberships can use additional HR tools that may prove helpful with time and schedule management software.

Customer service

Support team

At Gusto, we offer email, phone, and chat support. Our customer support team can be reached Monday through Friday, and we also have a comprehensive online FAQ and Help Center that’s readily accessible around the clock.

Paychex users can find ample information on the company’s website. Customers who need live assistance can also reach Paychex’s customer support and sales teams by phone. The support team is available 24 hours a day, 7 days a week.


Integration capabilities

Our payroll platform integrates with leading software tools for time tracking, expense management, point of sale (POS), and accounting. We never charge extra for integrations. Our payroll integration partners currently include QuickBooks, Xero, Homebase, and Clover. Take a look at the full integrations list.

list of software integration logos

Paychex also offers integrations with benefits, HR, attendance, and accounting platforms. Some of its integration partners are Indeed, OnShift, QuickBooks Online, and Xero. Paychex also allows Paychex Flex users to recommend new integration partners.

*Competitive data on this page was collected as of June 27th, 2022 and is subject to change or update. Gusto does not make any representations as to the completeness or accuracy of the information on this page. All Gusto services listed in the payroll features comparison chart are provided by Gusto or by one of Gusto’s trusted partners.

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