Gusto vs. ADP — Which Is the Best Payroll Software?

ADP doesn’t offer any transparent pricing on their website, requiring you to request a quote to obtain it. Alternatively, Gusto is competitively priced when matched against other services. 

Both services offer valuable features with their payroll software packages. However, ADP requires additional fees for many features including setup, employee documentation, and multi-state payroll.

While Gusto does offer email, phone, and chat support Monday through Friday, ADP offers 24/7 phone and online support. To receive dedicated support through Gusto, you will need to splurge on the Premium package. 

Both Gusto and ADP boast an easy-to-use platform with setup support available. Whether you’ve used payroll software before or not, each platform is straightforward, making it usable for beginners and experienced users. 

Gusto and Run Powered by ADP are both going to provide you with the basics to manage employees and run payroll. Therefore, businesses looking for only the essential payroll software features will find them included with either Gusto or ADP’s packages. 

QuickBooks, Zero, and other popular applications are available for data export or integration with both Gusto and ADP. Each service can blend seamlessly with your current tech stack. 

Gusto is used by entrepreneurs who:

• Have employees in multiple states 
• Run small to mid-sized companies 
• Want a variety of features for HR and payroll included 

Here are some verified Pipedrive reviews (from TrustRadius) by customers who used this software to help their business:

“Our day-to-day needs are met with ease. Our employees are able to onboard super quickly and easily, and their pay is consistently delivered. On my end, entering my employee's work times is quick and painless. The fact that Gusto runs in the background with very little thought on my end (other than the recent issue with submitting some state forms in a timely manner), is a testament to how well they do.”

"Whenever I've had questions about specific issues related to W2s or payroll taxes, I have been able to get in touch with Gusto, and they've been able to answer my questions every time.”

“I recommend Gusto to all startups and small businesses who are evaluating a payroll provider. Much more affordable than the top corporate payroll providers with intuitive use and accessible support, Gusto fits the bill. I also recommend it for individuals who pay themselves from a self-owned company as Gusto will ensure your quarterly and annual obligations are met with your state and at the federal level. I can’t speak to enterprise use, but even a business with an employee count around 100 should be able to find their needs met with Gusto.”

ADP is used by entrepreneurs who:

• Run small businesses 
• Have a small, salaried staff
• Do not have an HR department 

Here are some verified ADP reviews (from TrustRadius) by customers who used this software to help their business:

"The year-end process with ADP RUN is seamless. Once you run your last payroll for the year and run your reports the rest of year-end reporting is done for you. W-2s are processed right away at the beginning of the year and sent out to each employee. The process is simple and really takes off any burdens you would normally have at the end of the year."

"RUN Powered by ADP® seems well suited for basic payroll entry and processing for small to medium-sized companies. The website is fairly clean and simple to understand. The Help button is very useful and the live chat has great customer service. It isn't a great solution for more complicated payroll scenarios, and sometimes corrections can be finicky, but overall it's a good system."

"RUN is well suited to handle the needs for payroll solutions especially for a small business that does not have a separate HR department."

Whether you opt for Gusto or ADP for payroll software, you can expect to choose from several different plans with varying features. However, ADP doesn’t list pricing on their website; therefore, you will be required to request a quote. These are the packages offered by ADP and Gusto for payroll software, with each plan’s most notable features. 

Simple ($40/month + $6/month/user)

Notable Features:

• Single-state payroll, including W-2s and 1099s 
• Self-service employee portal 
• Basic hiring and onboarding 
• Time-off reports 

Plus ($80/month + $12/month/user) 

Notable Features:

• Multi-state payroll including W-2s and 1099s 
• Next-day direct deposit 
• PTO management tools 
• Performance reviews 

Premium (Custom Pricing) 

Notable Features:

• Dedicated customer success manager 
• HR resource center 
• Compliance alerts 
• R&D tax credit discount 

Contractor ($6/contractor/month) 

Notable Features:

• Unlimited contractor payments in all 50 states 
• Four-day direct deposit 
• New hire reporting 
• 1099-NECs at the end of the year 

Essential Payroll 

Notable Features:

• New hire onboarding 
• Tax filing services 
• Direct deposit 
• Robust reporting features 

Enhanced Payroll

Notable Features:

• State unemployment insurance management 
• Check signing features 
• Job costing tools 
• New hire reporting 

Complete Payroll & HR

Notable Features:

• Salary benchmarks 
• HR tracking, forms, and training 
• HR HelpDesk access 
• Multi-company management 

HR Pro Payroll & HR 

Notable Features:

• Applicant tracking system 
• Employee training and handbook features 
• Legal assistance services 
• Marketing tools and live advice 

While businesses can secure decent payroll software services from either ADP or Gusto, the strong option is definitely Gusto. The service not only provides more transparency in pricing but also offers a myriad of valuable features included in each package that make the platform usable for a variety of business sizes and types. 

Gusto provides the most comprehensive payroll software solutions for the price — regardless of business size. Try Gusto today.