Our picks · 2027
Best payroll for startups
Payroll for a new company that will add states, contractors and benefits as it grows, and which providers have startup offers.
AWBy Austin Witherow · Updated Nov 12, 2026 · 7 min read · How we review
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Quick answer
- Best overall: Gusto, growing teams that want room to add states and benefits (from $49/mo)
- #2: Rippling, companies that want payroll, hr and it in one system (from $8/employee)
- #3: Justworks, small teams that want a peo for benefits and hr compliance (from $79/employee)
Compared
Payroll services compared (USD, checked Nov 12, 2026)| Payroll service | Best for | Starts at | Our score | Link |
|---|
| Gusto | Growing teams that want room to add states and benefits | $49/mo | 8.9 | Visit |
|---|
| Rippling | Companies that want payroll, HR and IT in one system | $8/employee | 7.8 | Visit |
|---|
| Justworks | Small teams that want a PEO for benefits and HR compliance | $79/employee | 7.3 | Visit |
|---|
| OnPay | Most small businesses | $49/mo | 9.1 | Visit |
|---|
Gusto
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
Rippling
Companies that want payroll, HR and IT in one system7.8/10GoodRippling files federal, state and local payroll taxes and lets you run payroll as often as you need. Pricing starts at $8 per employee per month plus a monthly base fee it doesn't publish, and the total depends on the modules you add.
$8/employee per month + an unpublished base fee
Pros
- Federal, state and local tax filing
- Unlimited pay runs at no extra charge
- Payroll, HR and IT modules share one employee record
- 4.6/5 on Trustpilot from 2,797 reviews
Cons
- Base fee isn't published; you need a quote
- Cost rises with each module you add
- No free trial (6 months free only for eligible VC-backed startups)
- Pricing page lists no contract terms or support hours
Justworks
Small teams that want a PEO for benefits and HR compliance7.3/10GoodJustworks is mainly a PEO: it becomes a co-employer of your staff and handles payroll taxes under its own tax ID, plus HR support and, on PEO Plus, health insurance. PEO Basic is $79 and PEO Plus $124 per employee per month. A payroll-only plan is $50/mo + $8 per employee.
$79/employee per month (PEO Basic); payroll-only $50/mo + $8
Pros
- Published per-employee PEO prices with no base fee
- On PEO, federal, state and local taxes filed under Justworks' own EIN
- 24/7 support and HR consulting on PEO plans
- W-2 and 1099 filings included on every plan
Cons
- PEO needs at least two W-2 employees and workers' comp approval
- Part-time employees cost the full $79 on PEO and can't get benefits
- Time tracking is $8 per person per month extra
- Trustpilot score is 2.2/5 from 40 reviews
OnPay
Most small businesses9.1/10ExcellentOnPay sells one payroll plan at $49/mo + $6 per worker that files federal, state and local taxes, includes every state and unlimited pay runs, and runs month to month. Direct deposit takes up to 4 days and HR features cost extra.
$49/mo + $6 per worker, one plan
Pros
- Federal, state and local tax filing on the only plan
- Multi-state payroll at no extra cost, with state tax registration
- Unlimited pay runs and no fee to cancel a pay run
- Phone, chat and email support for every customer
Cons
- Direct deposit takes up to 4 days, with no faster option listed
- Mailing W-2s or 1099s costs $10 per form
- Every worker in a pay run is billed, even if paid $0
- Terms let OnPay change fees without guaranteed notice
How we picked for startups
A startup's payroll needs change fast. You may pay two founders and a contractor this quarter, then hire in a second state and add health insurance next year. We ranked these four on what that growth costs, based on each provider's pricing pages and help docs, checked November 12, 2026.
Why each pick fits
Gusto
Gusto files federal, state and local payroll taxes on every plan and runs month to month. Simple is $49/mo + $6 per person, which is $79 a month for 5 people. It covers one state, so the first remote hire in another state moves you to Plus at $80/mo + $12 per person ($140 for 5, $320 for 20). Contractors are billed at the plan's per-person rate only in months you pay them, which suits a team that uses freelancers in bursts. Gusto also lists a health insurance broker integration at $6/mo per eligible employee (Gusto pricing).
Rippling
Rippling is the one pick with a startup program: eligible US VC-backed startups get free access for 6 months (Rippling pricing). After that, pricing starts at $8 per employee per month plus a monthly base fee Rippling doesn't publish, and each module you add (payroll, HR and others) raises the price. It files federal, state and local taxes and lets you run payroll as often as you need at no extra charge. Ask for a written quote for month 7 before you sign up.
Justworks
Justworks fits a startup that wants benefits early. PEO Plus, at $124 per employee per month with no base fee, adds medical, dental and vision administration. PEO Basic is $79 per employee per month. Both need at least two W-2 employees and a workers' comp approval (Justworks pricing). At 20 employees, PEO Basic costs $1,580 a month against $210 on Justworks Payroll ($50 + $8 per employee), so you pay a lot for the co-employment and HR support.
OnPay
OnPay has one plan at $49/mo + $6 per worker, and it includes payroll in all 50 states at no extra cost, with automatic state tax registrations (OnPay pricing). A startup that hires remotely from day one pays $169 a month for 20 workers on OnPay. On Gusto, the same team needs Plus at $320. OnPay's tradeoff is direct deposit of up to 4 days, with no faster option listed.
What to check as you grow
Multi-state payroll is where startup costs jump. OnPay includes it. Gusto needs Plus, and also charges for state tax registration in a new state, with pricing that varies by state. On Justworks Payroll (the non-PEO plan) you must register your business in each state where remote staff work.
Check how contractors are billed. Gusto charges the per-person rate only in months you pay a contractor. OnPay counts contractors toward the per-worker fee, and Justworks charges $8 per paid US contractor per month.
For Rippling, treat the 6 free months as a cost fact with an end date. The base fee after month 6 is the number you don't yet know.
| Plan |
5 people |
20 people |
50 people |
| OnPay (all states) |
$79 |
$169 |
$349 |
| Gusto Simple (1 state) |
$79 |
$169 |
$349 |
| Gusto Plus (multi-state) |
$140 |
$320 |
$680 |
| Justworks PEO Basic |
$395 |
$1,580 |
$3,950 |
| Rippling |
$40 + base fee |
$160 + base fee |
$400 + base fee |
Common questions
Does Rippling have a free plan for startups?
Rippling lists no free trial, but eligible US VC-backed startups get free access for 6 months. Everyone else pays from $8 per employee per month plus an unpublished base fee.
What is the cheapest payroll for a remote startup in several states?
Of these four, OnPay: $49/mo + $6 per worker with every state included. Gusto's multi-state plan, Plus, starts at $80/mo + $12 per person.
Can a two-person startup use a PEO?
Justworks PEO needs at least two W-2 employees, full-time or part-time, plus workers' comp approval. A solo founder can use Justworks Payroll instead, which has no minimum.