Our picks · 2027
Best payroll for restaurants
Payroll for hourly teams with shifts, timecards and tips, and where scheduling is priced per location.
AWBy Austin Witherow · Updated Nov 12, 2026 · 6 min read · How we review
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Quick answer
- Best overall: Homebase Payroll, hourly teams that need scheduling and a time clock (from $49/mo)
- #2: Square Payroll, square sellers and contractor-only payroll (from $35/mo)
- #3: Gusto, growing teams that want room to add states and benefits (from $49/mo)
Compared
Payroll services compared (USD, checked Nov 12, 2026)| Payroll service | Best for | Starts at | Our score | Link |
|---|
| Homebase Payroll | Hourly teams that need scheduling and a time clock | $49/mo | 7.6 | Visit |
|---|
| Square Payroll | Square sellers and contractor-only payroll | $35/mo | 8.4 | Visit |
|---|
| Gusto | Growing teams that want room to add states and benefits | $49/mo | 8.9 | Visit |
|---|
#1HoHomebase Payroll
Hourly teams that need scheduling and a time clock7.6/10GoodHomebase Payroll is an add-on to Homebase's scheduling and time clock: $49/mo + $6 per employee paid, on any scheduling plan, including the free one for a single location of up to 10 employees. It files federal, state and supported local taxes.
$49/mo + $6 per employee, on top of a scheduling plan
Pros
- Timesheets from the time clock feed payroll directly
- Free scheduling plan for 1 location and up to 10 employees
- W-2s, 1099s and unlimited pay runs included
- First 6 months of payroll free (limited-time offer)
Cons
- Scheduling plans beyond the free one are billed per location
- Only supported local taxes are filed
- Tip Manager costs $25/mo per location
- HR advisors need the $120-per-location All-in-One plan
#2SqSquare Payroll
Square sellers and contractor-only payroll8.4/10Very goodSquare Payroll is $35/mo + $6 per person paid, files federal and state taxes in all 50 states and DC, and has a $6-per-contractor plan with no base fee. Some local taxes in Ohio, Pennsylvania and New York are left for you to file.
$35/mo + $6 per person paid
Pros
- $35/mo base, the lowest of the payroll plans we compare
- Contractor-only plan: $6 per contractor paid, no base fee
- Federal and state filing in every state; month to month
- Timecards flow in from Square POS
Cons
- Some local taxes are calculated but left for you to file
- Can't pay one employee across several tax jurisdictions
- Mailed paper W-2s and 1099s cost $3 each
- No free trial listed
#3GuGusto
Growing teams that want room to add states and benefits8.9/10Very goodGusto files federal, state and local payroll taxes on every plan, month to month. Simple ($49 + $6 per person) covers one state; Plus ($80 + $12) adds multi-state payroll, next-day deposit and time tracking. Many extras are paid add-ons.
$49/mo + $6 per person (Simple)
Pros
- Federal, state and local tax filing on every plan
- Published prices for every plan and add-on
- Unlimited pay runs; month to month, cancel anytime
- Contractors billed only in months you pay them
Cons
- Simple covers one state; multi-state needs Plus at $80 + $12 per person
- Next-day deposit is a $15/mo + $3 per person add-on on Simple
- Priority phone and chat support costs extra below Premium
- Trustpilot score is 3.3/5
How we picked for restaurants
Restaurant payroll runs on shifts, timecards and tips, and the scheduling tool that tracks them is often priced per location. We compared these three on that full bill, based on each provider's pricing pages and help docs, checked November 12, 2026.
Why each pick fits
Homebase
Homebase starts as a scheduling app and time clock, and timesheets from the clock feed payroll directly. Payroll is an add-on at $49/mo + $6 per employee paid, on any scheduling plan (Homebase pricing). The free Basic plan covers one location with up to 10 employees. Past that, scheduling is billed per location: Essentials $30, Plus $70 and All-in-One $120 per location per month on monthly billing, with 20% off shown for annual billing. The pricing page also shows a "$29 per month for teams up to 5" payroll card without saying whether it replaces $49 + $6; our table uses $49 + $6, so ask Homebase if you have 5 or fewer staff.
Of the three, only Homebase lists a priced tips tool: Tip Manager at $25/mo per location. Payroll is free for the first 6 months as a limited-time offer, then bills at $49 + $6 per employee.
Square Payroll
Square suits a restaurant that already takes payments on Square, because timecards flow in from Square POS. Full-service payroll is $35/mo + $6 per person paid ($65 for 5, $155 for 20) and runs month to month (Square pricing). The plan includes scheduling, 2-day payroll and free seasonal inactivity, which helps a place that closes for part of the year.
Gusto
Gusto files federal, state and local payroll taxes on every plan, which matters for a restaurant in a city with its own payroll tax. Simple is $49/mo + $6 per person but covers one state. Time and attendance on Simple is a paid add-on, Time & Attendance Plus, at $6/mo per person (Gusto pricing). For 20 hourly staff that adds $120 a month to the $169 base bill.
What to check for a restaurant
Price scheduling per location. Two locations on Homebase Essentials with 20 employees cost $169 for payroll plus $60 for scheduling, before Tip Manager at $25 per location. Homebase also runs several locations in one payroll only if they share an EIN and the same pay schedule.
Check local taxes against your city. Homebase files federal, state and supported local taxes, and says some taxes and forms are unsupported and must be paid by you (Homebase tax management). Square files local taxes only in supported jurisdictions. In Ohio, it calculates but doesn't file municipal taxes outside RITA, CCA and the City of Columbus. In Pennsylvania, you file any local tax it doesn't support. Square also can't pay one employee who works across several tax jurisdictions (Square help), which affects a cook who covers shifts in two cities.
Check deposit speed for hourly staff who expect fast pay. Square's standard is 4 business days, with 2-day payroll on full-service. Homebase lists 2-day deposit for qualified companies without stating the criteria.
| Setup |
5 employees |
20 employees |
| Homebase payroll + free Basic (1 location, up to 10) |
$79 |
not eligible |
| Homebase payroll + Essentials, 1 location |
$109 |
$199 |
| Square Payroll |
$65 |
$155 |
| Gusto Simple + Time & Attendance Plus |
$109 |
$289 |
Common questions
What does Homebase payroll cost for a restaurant?
$49/mo + $6 per employee paid, on top of a scheduling plan. The scheduling plan is free for one location with up to 10 employees, and from $30 per location per month (billed monthly) after that.
Does Square Payroll file local taxes?
Only in supported jurisdictions. In parts of Ohio and Pennsylvania, Square leaves unsupported local taxes for you to file and pay, and in New York it doesn't support the Employer Compensation Expense Program.
Which restaurant payroll has tip tools?
Homebase sells Tip Manager for $25/mo per location. The Square and Gusto pages we checked don't list a priced tips feature.