Gusto Payroll

Gusto Payroll – For small and medium-sized businesses, managing payroll efficiently while ensuring tax compliance can be a daunting task. Gusto Payroll simplifies this process with its user-friendly interface and comprehensive feature set. From payroll automation to employee benefits management, Gusto offers an all-in-one platform that has become increasingly popular. This article will explore the features, integrations, pricing, free trial and demo options, and the pros and cons of Gusto Payroll.

What is Gusto Payroll?

Gusto Payroll is a cloud-based payroll solution designed to help businesses automate payroll processing, tax filings, and manage employee benefits. Formerly known as ZenPayroll, Gusto is specifically built to simplify payroll management for small businesses, but it also scales well for growing companies. It offers additional HR services, including employee onboarding, benefits administration, and time tracking.

Features of Gusto Payroll

1. Full-Service Payroll

Gusto handles every aspect of payroll processing. It calculates wages, withholds taxes, and automatically files payroll taxes at the federal, state, and local levels. Gusto also supports different pay schedules for salaried and hourly employees, contractors, and freelancers.

2. Employee Benefits Management

Gusto offers a variety of employee benefits, including health insurance, retirement plans (401(k)), workers’ compensation, and commuter benefits. Businesses can manage these benefits through the platform, and Gusto handles all related deductions.

3. Direct Deposit and Paper Checks

Gusto enables businesses to pay employees through direct deposit at no extra cost. If your employees prefer paper checks, Gusto can also print and mail them. Payments are processed on time without requiring manual intervention.

4. Automated Tax Filings

One of the most significant benefits of using Gusto Payroll is automated tax filings. Gusto calculates, files, and pays federal, state, and local payroll taxes automatically, ensuring businesses stay compliant and avoid penalties. It also generates and sends W-2s and 1099s for employees and contractors.

5. New Hire Reporting

When you hire new employees, Gusto automatically submits new hire reports to the appropriate government agencies, saving you time and keeping you compliant with local regulations.

6. Employee Self-Service Portal

Employees can log in to their personal Gusto accounts to view pay stubs, manage direct deposits, and access tax forms like W-2s and 1099s. The self-service portal also allows employees to update their information, reducing HR administrative tasks.

7. Time Tracking

Gusto integrates with time-tracking tools, enabling businesses to track employee hours directly within the payroll system. Time tracking ensures accurate payroll processing for hourly employees and helps businesses maintain compliance with overtime regulations.

8. PTO and Time Off Management

Gusto allows businesses to manage paid time off (PTO), sick leave, and vacation policies. Employees can request time off, and the platform will track and calculate their accruals and balances.

9. Compliance and Notifications

Gusto helps businesses stay compliant with labor laws and regulations by sending timely notifications about tax changes, filing deadlines, and other regulatory updates.

Integrations of Gusto Payroll

To ensure a seamless workflow, Gusto integrates with various popular business tools, enhancing its functionality.

1. Accounting Software

Gusto integrates with major accounting platforms such as QuickBooks Online, Xero, and FreshBooks. This integration allows businesses to automatically sync payroll data with their accounting software for accurate financial reporting.

2. Time-Tracking Tools

Gusto integrates with time-tracking apps like Toggl, When I Work, and TSheets to streamline time tracking for hourly employees, ensuring precise payroll calculations based on hours worked.

3. Expense Management

Expense management tools like Expensify can be integrated with Gusto to handle employee reimbursements. This simplifies expense tracking and ensures that reimbursements are included in payroll.

4. HR Platforms

Gusto can connect with various HR platforms, such as BambooHR and JazzHR, to streamline employee management, onboarding, and performance reviews.

5. Benefits Providers

Gusto integrates with health insurance providers, retirement plan managers, and other benefits platforms, making it easier for businesses to manage employee benefits and compliance.

Pricing of Gusto Payroll

Gusto offers three main pricing plans designed to meet the needs of different businesses:

1. Core Plan

The Core plan is ideal for small businesses. It is priced at $40 per month plus $6 per employee per month. This plan includes full-service payroll, employee self-service, and health benefits administration.

2. Complete Plan

The Complete plan is priced at $60 per month plus $9 per employee per month. It includes all the features in the Core plan, along with PTO tracking, time-off requests, and team management tools such as surveys and employee directories.

3. Concierge Plan

The Concierge plan is priced at $120 per month plus $12 per employee per month. This plan offers premium customer support and a dedicated HR expert to assist with compliance and employee relations, along with all features in the Complete plan.

Additional Services

• Contractor-Only Plan: For businesses that only hire contractors, Gusto offers a contractor plan at $35 per month plus $6 per contractor.
• Businesses may incur extra costs for certain integrations, benefits administration, or if adding specific HR tools.

Free Trial and Demo Options

1. Free Trial

Gusto offers a 30-day free trial for new users, allowing businesses to explore its features and determine if the platform meets their needs. During the trial, you can run payroll, file taxes, and manage benefits without any financial commitment.

2. Live Demo

For businesses that want a more hands-on experience before signing up, Gusto offers a live demo. A Gusto expert will walk you through the platform’s features and answer questions related to your business needs.

Pros of Gusto Payroll

1. User-Friendly Interface

Gusto is known for its intuitive, user-friendly design that makes payroll processing simple, even for those without extensive payroll experience.

2. All-in-One Solution

Gusto goes beyond just payroll. It also offers benefits management, employee onboarding, time tracking, and HR features, providing a comprehensive solution for small and medium-sized businesses.

3. Automated Tax Filing

Gusto’s automated tax filing system eliminates the need for manual tax calculations and submissions, reducing the risk of errors and compliance issues.

4. Employee Self-Service

The employee portal allows workers to access their pay stubs, tax forms, and benefits information, improving employee satisfaction and reducing the administrative burden on HR.

5. Affordable Pricing

Gusto’s pricing plans are competitive, especially for small businesses. The contractor-only plan is also a great option for businesses that rely on freelancers or independent contractors.

6. Excellent Customer Support

Gusto provides robust customer support, including access to HR experts in higher-tier plans. This helps businesses navigate complex HR issues and compliance challenges.

Cons of Gusto Payroll

1. Limited Global Payroll

Gusto is designed primarily for U.S.-based businesses. If your company has international employees, Gusto may not be the best option, as it lacks support for global payroll.

2. Higher Costs for Large Teams

While Gusto is affordable for small businesses, the per-employee pricing structure can become costly as your team grows, especially if you opt for the higher-tier plans.

3. Limited Customization

Gusto offers a set list of features and doesn’t provide extensive customization options. For businesses with very specific payroll or HR needs, Gusto may be limiting.

4. No 24/7 Support

Although Gusto offers excellent customer service, it lacks 24/7 support. This may be a drawback for businesses that require around-the-clock assistance.

Conclusion

Gusto Payroll offers a comprehensive and user-friendly solution for small and medium-sized businesses looking to automate payroll processing and manage employee benefits. With features like automated tax filings, time tracking, employee self-service, and robust HR tools, Gusto provides an all-in-one platform that simplifies payroll and HR tasks.

Its pricing is competitive, and the platform scales with your business needs, making it ideal for startups, small businesses, and companies on the rise. However, Gusto may not be suitable for large enterprises or businesses with international employees due to its limitations in global payroll.

For businesses interested in Gusto, the 30-day free trial and live demo options provide a great way to evaluate the platform’s functionality before committing to a subscription. Despite some drawbacks, Gusto remains a popular and reliable payroll solution, especially for businesses operating in the U.S.