Gusto

What is gusto

Gusto is a cloud-based payroll and HR platform built for small and mid-sized U.S. employers. It centralizes payroll processing, tax withholding and filings, employee benefits administration (including health insurance and 401(k)), time tracking integrations, and basic HR workflows such as onboarding, document storage, and compliance tracking. The product targets companies that want an integrated payroll-first solution without maintaining separate systems for HR, benefits, and accounting.

Gusto operates as a modern SaaS service: employers set up company and employee profiles in the web interface, run payroll on a recurring cadence or ad hoc, and Gusto calculates wages, tax withholdings, employer contributions, and initiates payments. It also handles federal, state, and local payroll tax filings and year-end forms like W-2s and 1099s for contractors. For companies that need benefits, Gusto offers benefits enrollment and administration with integrated deductions that flow directly into payroll.

Beyond payroll and benefits, Gusto includes employee-focused features such as employee self-service for pay stubs and tax documents, time-off requests and approvals, offer letters and onboarding checklists, and access to employee data for HR reporting. The interface is designed for non-specialists: HR admins, small business owners, and office managers can complete routine tasks without needing a dedicated payroll specialist.

Gusto features

What does gusto do?

Gusto provides a consolidated toolset for payroll, HR, benefits, and compliance tasks. At its core is automated payroll processing: calculate pay, withhold taxes, deposit net pay to employees, and file employer taxes. Payroll supports both hourly and salaried employees, multiple pay schedules, contractors (1099), and integrations with time-tracking tools to import hours.

Gusto also manages benefits enrollment and deductions. Employers can offer medical, dental, and vision plans through Gusto’s marketplace, enroll employees, and have premium deductions automatically processed in payroll. Retirement plan options (401(k)) and workers’ compensation integrations are available depending on the employer’s state and plan choices.

Key HR features include employee onboarding flows, offer letter templates, digital signatures, employee document storage, PTO and time-off policies, and performance review templates. Administrative controls allow role-based access, multi-location management, and reporting on payroll costs, headcount, and benefits spend. Gusto’s interface provides employee self-service so workers can view pay history, access tax forms, and manage personal information.

Gusto also emphasizes tax and compliance automation. It files and pays federal, state, and local payroll taxes, generates and files year-end W-2s and 1099s, and provides compliance reminders and resources to help employers stay current with changing regulations. For companies with more complex compliance needs, concierge-level support and dedicated account services are available.

Gusto pricing

Gusto offers these pricing plans:

• Core: $40/month base fee plus $6/month per employee
• Complete: $80/month base fee plus $12/month per employee
• Concierge: $150/month base fee plus $12/month per employee
• Contractor Plan: $35/month base fee plus $6/month per contractor

Each plan includes payroll processing, employee self-service, tax filings for employees and employers (where offered), and basic onboarding. Higher-tier plans add HR tools, enhanced benefits administration, dedicated support, and additional payroll features such as multiple pay schedules and advanced reporting. Check Gusto's current pricing plans for the latest rates and enterprise options.

Pricing is billed monthly. The base fee covers the employer account and core platform access; per-employee fees cover active employee processing and access to employee self-service features. Benefit administration costs may vary based on the specific insurance plans employers choose; Gusto collects any benefit premiums and remits them to carriers as part of payroll.

Gusto sometimes offers promotional credits, partner discounts, or third-party integrations that influence effective cost. Employers with larger workforces or special compliance needs often request a customized quote and may be eligible for negotiated pricing or added implementation services.

How much is gusto per month

Gusto starts at $40/month plus $6 per employee per month for the Core plan. That base monthly price covers the employer account and primary payroll tools; each employee processed on payroll adds the per-employee fee. The Complete plan begins at $80/month plus $12/month per employee and adds more HR and onboarding features. The Concierge plan begins at $150/month plus $12/month per employee and includes priority support and HR advisory services.

Monthly billing reflects active employees or contractors in the payroll run for that month. Add-ons such as additional benefit offerings, workers’ compensation administration, or third-party integrations may increase monthly costs depending on selection and state requirements. If you run payroll for contractors only, the Contractor Plan starts at $35/month plus $6/month per contractor.

For organizations evaluating cash flow, monthly pricing lets you scale expenses in line with headcount. When you increase staff or add benefits, expect the monthly invoice to update automatically based on the active employee count and any chosen services.

How much is gusto per year

Gusto costs $480/year plus $72 per employee per year for the Core plan when you multiply the monthly rates by 12. Annualized cost for the Complete plan equates to $960/year plus $144 per employee per year, and the Concierge plan annualizes to $1,800/year plus $144 per employee per year. The Contractor Plan annualizes to $420/year plus $72 per contractor per year.

Annual totals are a simple projection of monthly billing and do not reflect potential discounts, promotional pricing, or custom enterprise contracts. Some employers negotiating larger agreements may receive annual billing options or invoicing terms depending on Gusto’s partner or enterprise arrangements.

When planning annual budgets, include variable components such as benefit premiums, state filing fees, workers’ compensation, and any third-party integrations that bill separately. Those items can substantially change annual totals compared to base platform pricing.

How much is gusto in general

Gusto pricing ranges from $35/month base plus $6 per contractor or employee to $150/month base plus $12 per employee, depending on plan and services selected. The typical small business spends on the lower end with Core or the Contractor Plan for basic payroll and tax filing; businesses that require full HR tools, benefits administration, and HR advisory services typically move to Complete or Concierge.

Total cost of ownership depends on headcount, frequency of payroll runs, insurance premiums for offered benefits, and whether the employer uses optional services such as workers’ comp administration, additional compliance support, or third-party integrations. Employers with complex multi-state payrolls should budget for higher overall costs due to additional filing and tax complexity.

For comparison, factor in the time savings from automated filings, reduced errors, and centralized benefits administration when evaluating the platform’s value. Calculating per-employee cost and comparing it to the administrative time saved helps determine ROI for most small and mid-sized businesses.

What is gusto used for

Gusto is primarily used for payroll processing and payroll tax compliance. Employers use the platform to run regular payrolls, pay employees and contractors, and ensure payroll taxes are calculated and remitted correctly. Gusto manages federal, state, and local payroll tax filings automatically in supported jurisdictions and produces W-2s and 1099s at year end.

Beyond payroll, Gusto is used as an HR system of record for small businesses. Companies use it to onboard new hires with digital offer letters and e-signatures, store employee documents, manage PTO policies and requests, and produce headcount and payroll reports. Its employee self-service features mean staff can access pay stubs, update withholding, and view benefits information without HR intervention.

Gusto is also a benefits administration platform for employers that want integrated benefits and payroll. Employers can offer and administer health insurance, dental and vision plans, 401(k) retirement plans, and commuter benefits. Premiums are deducted automatically through payroll, simplifying reconciliation and benefit remittance.

Use cases where Gusto is commonly deployed include small-business payroll consolidation, contractor management and 1099 processing, startups that need an easy-to-use payroll and onboarding system, and professional employer organizations (PEOs) or accountants that run payroll for multiple small-client businesses.

Pros and cons of gusto

Pros:

• Comprehensive payroll automation and tax filing across federal, state, and many local jurisdictions that reduces manual bookkeeping and compliance errors.
• Integrated benefits administration for medical, dental, vision, and retirement plans with automatic deductions tied into payroll.
• Employee self-service and polished onboarding workflows that reduce HR administrative workload and speed up new-hire setup.

Cons:

• Pricing scales with headcount and can be more expensive than bare-bones payroll providers for very small teams or sole proprietors.
• Some advanced HR features and compliance advisory services are reserved for higher-tier plans, which may require upgrading to access full functionality.
• Multi-state or highly complex payroll scenarios sometimes require additional manual setup or support from Gusto’s service teams.

Operational considerations:

• Implementation effort: Small businesses can usually launch payroll quickly, but transferring historical payroll records, benefits elections, and workers’ comp can require careful setup and reconciliation.
• Support model: Support level depends on plan; Concierge customers receive more hands-on HR advisory services, while Core customers receive standard support resources and knowledge-base access.
• Integrations: Gusto connects to common accounting and time-tracking tools, minimizing duplicate data entry, but custom integrations may require API work or middleware such as Zapier.

Gusto free trial

Gusto generally offers a guided demo and the ability to start setting up an account without committing to a full paid subscription, but a full-production payroll run typically requires a live subscription and verification of company details for tax filings. The onboarding process includes entering company tax IDs, bank account details for direct deposit, and employee data. Employers can explore the product and review settings before running the first payroll.

Many employers use the setup period to import employee and contractor data, configure pay schedules, and connect accounting integrations before running a paid payroll. Gusto’s online resources, help center, and onboarding checklists help minimize issues during the first live payroll run. For partners and accountants, Gusto often provides sandbox or partner account options for testing workflows without affecting client payrolls.

If you want to evaluate Gusto without running live payroll, request a product demo or consult Gusto’s sales team to see a walkthrough tailored to your business size and needs. For the most current trial and demo options, review Gusto's platform overview and setup resources.

Is gusto free

No, Gusto is not free for live payroll; it requires a paid subscription. While you can create an account and view product features, active payroll processing, tax filings, and benefits administration are behind paid plans. The Contractor Plan offers a lower-cost entry if you only pay contractors, but it is still a paid monthly service.

Some promotional or partner arrangements may include credits for new customers, and accountants or partners may be eligible for trial accounts for demonstration purposes. However, for production payroll that issues employee payments and submits tax filings, a paid plan is required.

Gusto API

Gusto provides RESTful API endpoints for developers and partners to integrate payroll, employee, benefits, and company data with external systems. The API supports operations such as retrieving employee profiles, reading pay runs, exporting payroll reports, syncing time and hours, and managing contractors. This allows accountants, HR software vendors, and custom integrations to exchange data with Gusto programmatically.

Authentication is token based and API documentation details rate limits, request formats, and available resources. Common integration patterns include syncing time-tracking systems to payroll, exporting payroll and tax reports to accounting systems, and automating user provisioning between HR systems and payroll. Gusto also offers webhooks to notify external systems about events like payroll completion, employee hire, or termination.

Developers building integrations should consult the official Gusto developer documentation for endpoints, sample code, and best practices. For partner integrations and deeper platform access, Gusto maintains partner and reseller programs with technical onboarding and support. See the Gusto developer documentation and API reference for implementation details and authentication guidance.

10 Gusto alternatives

• ADP — Large payroll and HR provider offering scalable payroll, HR, and benefits services for businesses of all sizes
• Rippling — HR and IT platform that combines payroll with device management and app provisioning
• Paychex — Traditional payroll and HR services with strong compliance and payroll tax support
• Justworks — Professional employer organization (PEO) style offering with payroll, benefits, and HR support
• BambooHR — HR-focused platform with payroll add-ons; strong people data and performance management features
• Square Payroll — Simplified payroll solution targeted at small businesses and contractors, integrates with Square payments
• QuickBooks Payroll — Payroll product tightly integrated with QuickBooks accounting software for small businesses
• Wave Payroll — Payroll add-on for Wave accounting software geared toward small businesses and freelancers
• Patriot Software — Simple payroll and accounting tools for small businesses with cost-focused plans
• Zenefits — HR platform with benefits administration and payroll integrations

Paid alternatives to Gusto

• ADP: Full-service payroll, tax filing, and HR tools for small to enterprise customers with multiple service tiers and global capabilities. ADP is known for compliance focus and large-company features.

• Rippling: Combines payroll with IT management features (device provisioning, app access) making it appealing to companies that want HR and IT workflows in a single product.

• Paychex: Offers payroll processing, retirement services, and HR administration with local expertise and account management for regulated industries.

• Justworks: Positioned as a PEO-style solution that simplifies benefits purchasing and compliance by acting as the employer of record for certain services.

• QuickBooks Payroll: Best if you already use QuickBooks for accounting — payroll syncs directly to your books and offers various tax filing tiers.

• BambooHR (with payroll add-on): Strong HRIS with employee lifecycle and performance modules; payroll is available as an integrated add-on.

Open source alternatives to Gusto

• Odoo: Open source ERP that includes payroll modules (availability and features vary by country). It provides HR, accounting, and payroll in one customizable suite.

• ERPNext: Open source ERP with HR and payroll capabilities for businesses that want self-hosted control and extensibility.

• OrangeHRM: Open source HR management software focused on HR processes; payroll integrations require additional configuration or community modules.

• Sentrifugo: Open source HRMS with modules for core HR, performance management, and personnel information; payroll features may require customization.

• Payroll4Free: Not open source but a zero-cost desktop/web payroll tool suitable for very small businesses; limited compared to SaaS payroll providers.

Frequently asked questions about Gusto

What is Gusto used for?

Gusto is used for payroll processing and HR administration. Companies run employee and contractor payroll, handle tax filings, manage benefits enrollment, and use onboarding and HR recordkeeping tools within a single platform. It's commonly used by small and mid-sized U.S. businesses that want an integrated payroll-first solution.

Does Gusto file payroll taxes for employers?

Yes, Gusto files payroll taxes on behalf of employers where supported. The service calculates, pays, and files federal, state, and local payroll taxes, and prepares year-end W-2s and 1099s, reducing manual compliance work for employers. Employers must provide accurate company and banking details for filings to proceed.

How much does Gusto cost per employee?

Gusto starts at $40/month plus $6 per employee per month for the Core plan. Per-employee charges vary by plan: higher tiers such as Complete and Concierge have larger per-employee fees ($12/month per employee) that include additional HR and advisory features.

Can Gusto run payroll for contractors only?

Yes, Gusto offers a Contractor Plan for 1099 workers. The Contractor Plan allows you to pay contractors, issue 1099s, and manage contractor records at a lower base cost ($35/month plus $6 per contractor), without full employee payroll features.

Does Gusto integrate with accounting software?

Yes, Gusto integrates with common accounting packages. Gusto offers native integrations with accounting systems such as QuickBooks and Xero, and can export payroll journals and reports for reconciliation to external ledgers. Additional integrations are available via partners and middleware like Zapier.

Is Gusto suitable for multi-state payroll?

Yes, Gusto supports multi-state payroll, but setup can be more complex. The platform can process payroll for employees across different states and handle state tax withholdings and filings, but you should verify registration requirements, local taxes, and workers’ compensation rules for each state you operate in.

Can employees access pay stubs and tax forms in Gusto?

Yes, employees have self-service access to pay stubs and tax documents. Workers can log into the employee portal to view pay history, download W-2s or 1099s, and update personal information or direct deposit details if allowed by administrators.

Does Gusto offer benefits administration?

Yes, Gusto provides benefits administration for health insurance and retirement plans. Employers can offer medical, dental, vision, and 401(k) plans through the platform; premium deductions are handled automatically through payroll so benefit costs and payments remain synchronized.

What integrations does Gusto support for time tracking?

Gusto supports integrations with multiple time-tracking tools. Popular integrations include providers such as TSheets/QuickBooks Time and other time and attendance systems; time data can be imported into payroll runs to calculate hourly pay accurately.

Does Gusto provide an API for custom integrations?

Yes, Gusto offers a RESTful API and developer documentation. The API supports employee data, payroll exports, and webhooks for events like payroll completion; developers and partners should consult the official Gusto developer documentation for authentication, endpoints, and sample code.

gusto careers

Gusto maintains recruiting pages and posts open roles across engineering, customer support, sales, product, and operations. Career listings and role descriptions are available on the company website and on major job boards. Roles frequently emphasize experience with payroll, benefits, HR systems, and SaaS operations.

The company typically highlights culture, employee benefits, and remote or hybrid work options for applicants. Interviews often cover domain knowledge in payroll and employment law for roles that interface with customers on compliance questions. For the most current openings and hiring locations, see Gusto’s careers section on their website.

Gusto also runs internship and early-career programs at times, focusing on product, engineering, and customer experience. Recruiting pages provide details about the application process, interview timelines, and benefits packages available to new hires.

gusto affiliate

Gusto operates partner programs for accountants, payroll professionals, and referral partners. These programs provide partner dashboards, API and integration access, and often eligible commission or referral credits for bringing new customers onto the platform. Cultural partners and broker networks may also receive dedicated onboarding assistance.

If you are an accountant or HR consultant, Gusto’s partner program includes tools for managing multiple client accounts and consolidating billing. For marketers or resellers, Gusto provides co-marketing materials and partner support to streamline signups and onboarding for referrals.

To join the partner or affiliate programs, review Gusto’s partner information and reach out through the partner sign-up pathways on the official site; details about fees, commission rates, and partner support vary by program.

Where to find gusto reviews

You can find independent customer reviews of Gusto on review marketplaces such as G2, Capterra, and Trustpilot, where users rate payroll accuracy, ease of use, customer support, and value. These reviews include pros and cons from a range of business sizes and industries and often include implementation notes and time-to-value experiences.

Industry publications and accounting-focused blogs also publish comparative reviews and buyer’s guides that evaluate Gusto alongside competitors like ADP and Rippling. Reading both positive and critical reviews can uncover recurring themes, such as support responsiveness and pricing considerations for larger headcounts.

For hands-on evaluation, request a demo from Gusto or speak to current users in your industry; many reviewers offer real-world context about multi-state payroll, benefits setup, and how Gusto integrates with commonly used accounting systems.