Gusto handles payroll runs, tax filings, and basic HR tasks for small businesses hiring their first employees or contractors, whether in the US or managing a distributed team. It replaces manual payroll spreadsheets with an automated system that also keeps tax filings on track.
Key features
- Unlimited payroll runs included on every plan
- Automated tax filings handled as part of the subscription
- Contractor-only plan available for businesses without W-2 employees
- Higher tiers add multi-state payroll and dedicated HR support
Pricing
The Contractor Only plan runs about $35 a month plus $6 per contractor. The Simple plan is about $49 a month plus $6 per employee, for single-state payroll. The Plus plan is about $80 a month plus $12 per employee, adding multi-state payroll. The Premium plan is about $180 a month plus $22 per employee, with dedicated support and fuller HR services. You are only billed for active employees or contractors. Confirm current pricing on Gusto’s site.
Pros and cons
| Pros | Cons |
|---|---|
| Unlimited payroll runs without extra fees per run | Per-employee fees add up as a team grows |
| Contractor-only tier keeps costs low for businesses without full-time staff | Full HR features and multi-state support require higher tiers |
Who it’s for
Small businesses hiring their first US-based employees or contractors that want payroll and tax filing handled automatically rather than manually.
Who should skip it
Businesses paying staff entirely outside the US, where Gusto’s payroll tax compliance does not apply, will need a different payroll solution built for their country.
How to get started
Sign up for the plan matching your team structure, whether contractors or employees, and run your first payroll cycle to see the process end to end.
FAQ
Does Gusto work for businesses outside the US?
Gusto is built around US payroll tax compliance, so it fits US-based teams best. Confirm current international contractor support directly before relying on it for a fully non-US team.
Am I charged for employees who leave mid-month?
Gusto bills based on active employees, and pricing adjusts as your team size changes, so you are not paying a flat rate regardless of headcount.
Disclosure: Africapreneurs may earn a commission if you sign up for Gusto through the links in this article. This does not change what you pay, and it does not influence which tools we choose to cover.
