Gusto Review

SEE WHAT USERS HAVE TO SAY

"Gusto makes payroll ridiculously easy! I switched from a different provider, and I love how automated everything is. Taxes, benefits, and even compliance tasks are handled without me having to lift a finger. The interface is intuitive, and I love that my employees can access their own pay stubs and tax documents without me having to send them manually."

"This is simply the best alternative for hiring and getting remote jobs. They will make the whole experience simple and fast. They seamlessly handle all the processes. They know the local laws and handle communications perfectly. On top of that, their platform is fast, well-designed, simple and works really well. Their support is fast and effective too."

"I run a small business, and Gusto has been a game-changer for handling payroll and contractor payments. The automated tax filings alone save me hours every month. Plus, their support team is knowledgeable and always ready to help. Highly recommend it!"

"We’ve used Gusto for over two years, and the platform just keeps getting better. It’s super easy to onboard new employees, set up direct deposits, and manage PTO. The integration with our accounting software makes bookkeeping seamless. The only downside is that support response times can be slow during tax season."


WHAT EXACTLY IS GUSTO?

Gusto is a full-service, cloud-based payroll and HR platform that helps businesses manage employee compensation, tax compliance, and benefits in one place. Designed for single-person businesses, small and midsized companies, and contractor-only businesses, Gusto also offers features tailored for fully remote and international businesses.

The platform automates payroll processing, ensuring employees and contractors are paid on time while handling tax withholdings and filings on behalf of employers. Beyond payroll, Gusto provides a comprehensive suite of HR services, including benefits administration, compliance tracking, brokered health insurance, time tracking, and talent management. Gusto operates on a tiered pricing model, with different plans offering varying levels of features. It integrates seamlessly with popular accounting and business tools, such as QuickBooks, Xero, and FreshBooks, simplifying financial management.

Originally founded in 2012 as ZenPayroll, Gusto rebranded in 2015 and has since grown to serve over 300,000 businesses. With its intuitive interface, automation capabilities, and strong compliance support, Gusto eliminates the hassle of payroll management, making it an essential tool for business owners looking to streamline operations.


WHO IS IT FOR?

Gusto is a versatile payroll and HR platform designed to meet the needs of various businesses and organizations. Whether you're running a small business, a startup, or managing payroll for a household employee, Gusto provides an easy-to-use solution with automated tax filing, benefits management, and strong customer support.

Here’s how different types of employers can benefit from Gusto:

1. Small Businesses: Gusto offers an affordable and intuitive payroll solution backed by reliable customer support, making it an excellent choice for small businesses.

2. Startups: With a straightforward pricing model, modern interface, and essential HR tools, Gusto helps startups quickly set up and manage payroll without hassle.

3. Restaurants: Designed with the food service industry in mind, Gusto includes restaurant-specific features like tip pooling, distribution, and automated reporting.

4. Nonprofits: Gusto supports budget-conscious nonprofits by waiving the base fee for the first 10 employees, making payroll more cost-effective.

5. Professional Services: Ideal for firms with varying pay rates and schedules, Gusto simplifies payroll with automatic tax filing and flexible payment options.

6. Household Employers: Gusto also caters to household employers, handling W-2s and 1099s for nannies, housekeepers, and other domestic workers.

With its robust features and ease of use, Gusto is a solid payroll solution for a wide range of businesses and organizations.


WHAT ARE THE KEY FEATURES?

Gusto offers multiple service plans, with features varying based on the package you choose. This review will specifically focus on Gusto’s payroll features, where the platform truly excels. Below, we’ll explore the key payroll functions that make Gusto a standout choice for businesses.

Payroll Automation

Gusto streamlines payroll processing by automating key tasks, ensuring that employees and contractors are paid accurately and on time. The platform handles automatic payroll runs, calculating wages, taxes, and deductions without manual input. It also takes care of federal, state, and local tax filings, so businesses remain compliant without the hassle of paperwork. Employers can run unlimited payrolls at no extra cost, with flexible payment options including direct deposit, paper checks, or pay cards. Additionally, Gusto simplifies tax season by automatically generating and distributing W-2s and 1099s, reducing administrative workload and minimizing errors.

Multiple Payment Options

Gusto offers multiple payment options, including direct deposit, prepaid debit cards, and printed checks, giving businesses flexibility in how they compensate employees. Direct deposit and prepaid debit cards ensure that payments are automatically deposited on payday, while employers who prefer paper checks can print them using check stock paper. These options align with what most competitors provide, but Gusto stands out with its international payment capabilities. Through the Gusto Global add-on, businesses can pay employees in Canada and India, with plans to expand to additional countries. Additionally, the international contractor payments add-on allows companies to pay contractors in over 120 countries, handling exchange rates and multiple currencies seamlessly. This feature is a significant advantage in today’s increasingly global workforce, setting Gusto apart from many payroll providers.

Payroll Taxes

Gusto simplifies payroll tax management by handling all tax calculations, filings, and payments on your behalf. The platform automatically calculates payroll taxes, fills out the necessary tax forms, and submits them to local, state, and federal agencies, ensuring compliance with tax regulations. Additionally, Gusto takes care of state tax registration when hiring employees in new states, a valuable feature for businesses expanding their workforce across multiple locations. This comprehensive tax automation reduces administrative burden and ensures accuracy, making payroll processing seamless and stress-free.

Employee Benefits Administration

Gusto makes it easy for businesses to offer comprehensive employee benefits without the administrative burden. The platform seamlessly integrates health, dental, and vision insurance, ensuring that payroll deductions are handled automatically. Employers can also provide 401(k) retirement plans, savings accounts, and workers' compensation insurance, helping employees plan for the future while maintaining compliance. Additionally, Gusto supports commuter benefits and wellness perks, giving businesses the flexibility to offer incentives that enhance employee satisfaction. With a range of affordable benefits plans designed for businesses of all sizes, Gusto simplifies benefits administration, making it accessible even for small companies.

Contractor Payments

Gusto simplifies payments for independent contractors, making the process as seamless as payroll for full-time employees. Businesses can automate recurring payments, ensuring contractors are paid on time without manual intervention. Gusto supports contractor payments in all 50 states at no additional cost, eliminating hidden fees. The platform also automatically generates and files 1099s, helping businesses stay compliant with tax regulations. Contractors receive access to a self-service portal, where they can track payments, download tax forms, and manage their payment details with ease.

Time Tracking & PTO Management

Gusto’s built-in time tracking tools simplify workforce management by allowing businesses to accurately monitor employee hours and manage paid time off (PTO). Employees can clock in and out using a self-service portal, while the system automatically calculates overtime to ensure accurate payroll processing. PTO requests are seamlessly tracked and approved, with the platform automating accruals and syncing time-off balances with payroll. This integration eliminates manual tracking errors and ensures employees are compensated correctly for their time worked.

HR & Compliance Tools

Beyond payroll, Gusto provides HR and compliance tools to help businesses stay aligned with state and federal labor laws. The platform includes onboarding tools that simplify the hiring process, allowing new employees to complete paperwork digitally. Employers can securely store employee records and important documents within the system, ensuring easy access when needed. Gusto also offers customizable employee handbooks, allowing businesses to establish clear policies and maintain compliance. For those needing additional HR guidance, higher-tier plans include HR advisory services, providing expert support to navigate complex workforce regulations.


IS IT SAFE TO USE?

Gusto encrypts all data in transit using TLS v1.2 to ensure secure communication between users' browsers and its servers. It relies on Amazon Web Services to host its production servers, databases, and supporting services. Regular backups protect its production systems and data. Additionally, Gusto supports multi-factor authentication and actively monitors customer accounts to detect and prevent fraudulent transactions.


USER INTERFACE

One of Gusto’s biggest strengths is its ease of use. As a cloud-hosted platform, there’s no need to install or maintain software—everything is accessible from any web browser, smartphone, or tablet.

During testing, we found Gusto’s interface to be intuitive and well-organized. The dashboard prominently displays key action items, such as upcoming payroll runs, time-off requests, and contractor payments. Employee details are easily accessible and editable, with built-in reminders to help ensure timely payments and compliance.

Gusto provides employees and contractors with their own login credentials, allowing them to view pay stubs, time-off balances, and year-end tax forms anytime. Notably, Gusto offers lifetime access to these accounts, meaning former employees can still log in to retrieve past W-2s, benefits details, and other important documents long after they leave the company. This added convenience simplifies record-keeping for both employers and workers.


GETTING STARTED WITH GUSTO

Signing up for Gusto’s payroll services is a straightforward process that begins on its website. While Gusto doesn’t offer a free trial, it does provide a demo to showcase its features. Here’s how to get started:

1. Watch a Demo – Click the “See demo” button in the top right corner of the homepage. You’ll be directed to a form where you’ll enter your contact details, company name, number of employees, and industry before gaining access to the demo.

2. Select a Plan & Provide Business Details – Click “Find your plan” under your preferred option or “How it works” at the top of the page. You’ll be asked to answer a few questions about your business, employees, and the features you’re interested in. Alternatively, you can call Gusto’s sales team for personalized assistance.

3. Create Your Account – Once you’ve selected a plan, you’ll be prompted to create a Gusto account and verify your email address. After verification, Gusto will provide further instructions to complete your setup and get your payroll up and running.


ONBOARDING EXPERIENCE

Gusto sets itself apart with a personalized onboarding process. When you sign up, you’re assigned a dedicated representative who assesses your payroll and HR needs and provides a customized onboarding checklist. This step-by-step guidance ensures a smooth transition, helping you configure payroll settings, tax details, and employee benefits with ease.

Throughout the process, your representative is available to answer questions, provide guidance, and even offer screen-share walkthroughs to ensure you're comfortable with the system. Additionally, Gusto’s resource center offers how-to articles and tutorial videos for extra support. This hands-on approach contrasts with many other payroll platforms that rely on self-serve onboarding, making Gusto a top choice for businesses that want a seamless and stress-free setup experience.


INTEGRATIONS

Gusto integrates effortlessly with a wide range of business software, allowing companies to streamline payroll, accounting, time tracking, benefits management, and more. These native integrations help businesses automate workflows, reduce manual data entry, and improve accuracy, ensuring a more efficient payroll and HR process.

Gusto’s key integrations include:

1. Accounting Software – Sync payroll data seamlessly with QuickBooks, Xero, and FreshBooks, eliminating the need for manual reconciliation.

2. Time Tracking & Scheduling – Automate employee time tracking with integrations like TSheets, When I Work, and Homebase, making it easy to calculate hours worked and process payroll accurately.

3. Point of Sale (POS) Systems – Connect Gusto with Clover and Shopify to manage payroll for retail and restaurant employees while ensuring compliance with wage laws.

4. Retirement & Benefits Management – Gusto integrates with Guideline 401(k), making it simple for businesses to offer retirement plans and ensure contributions are handled automatically.

With these integrations, Gusto enhances operational efficiency, reduces administrative burdens, and ensures a smooth payroll and HR experience for businesses of all sizes.


HOW MUCH DOES IT COST?

Unlike some payroll providers that offer only one or two plans, Gusto provides businesses with multiple pricing tiers, each including payroll processing and tax services. The plans differ in the number of HR features available, allowing businesses to choose the right option based on their needs.

The Contractor plan costs $35 per month, plus $6 per contractor, per month. Designed for businesses that work exclusively with contractors, this plan includes unlimited contractor payments, four-day direct deposit, 1099-NEC form generation, and new-hire reporting. Businesses that need to pay international contractors can add that option for an additional fee.

The Simple plan costs $40 per month, plus $6 per employee, per month. It includes full-service single-state payroll, employee profiles and self-service, hiring and onboarding tools, health insurance administration, employee financial benefits, payroll and time-off reports, custom admin permissions, integration capabilities, and basic customer support.

The Plus plan costs $80 per month, plus $12 per employee, per month. It includes everything in the Simple plan, along with multistate payroll, next-day direct deposit, advanced hiring and onboarding tools, PTO management, time and project tracking, a time kiosk, workforce costing and reporting, team management, performance reviews, and employee surveys and insights. Businesses that need priority customer support and HR resources can add them for an additional $8 per employee, per month.

The Premium plan offers custom pricing based on specific business needs. It includes everything from the Plus plan, along with a dedicated customer success manager, an HR resource center, compliance alerts, certified HR expert assistance, full-service payroll migration and account setup, health insurance broker integration, research and development tax credit discounts, and dedicated customer support.

Having multiple plan options allows businesses to select the best fit for their current needs while providing the flexibility to upgrade or switch tiers as the company grows.


CUSTOMER SUPPORT

Gusto provides multiple ways to access customer support, including phone, email, and web chat. Businesses subscribed to the Premium plan benefit from a dedicated support team and a direct phone line for quicker assistance. Premium users also gain access to certified HR professionals, who can provide expert guidance on HR policies, employee relations, and compliance issues.

Additionally, Gusto’s HR resource center, available at the Premium package level, includes valuable tools such as custom employee handbooks, job description templates, HR guides, policy templates, and proactive compliance updates. However, if you're looking for an HR provider that includes personalized HR support with every plan, you may want to explore Bambee—our comparison between Bambee and Gusto breaks down the differences in customer service offerings.

Beyond direct support, Gusto offers a robust help center and a detailed FAQ section on its website. One standout feature is Gusto’s interactive payroll demo, which allows users to explore the software before committing. The demo provides a hands-on simulation where you can navigate the system, add employees, and test essential payroll functions—a rare offering in the payroll software industry that sets Gusto apart from many competitors.


FAQ

What is Gusto?

Gusto is a cloud-based HR, payroll, and benefits management platform designed for small to mid-sized businesses. It helps automate core HR processes, including payroll processing, employee onboarding, tax filings, and benefits administration. As an all-in-one solution, Gusto saves time and ensures compliance with federal and state regulations.

Does Gusto have a mobile app?

Yes, Gusto offers a mobile app for both iOS and Android. Employees can use the app to view pay stubs, access W-2s, and manage benefits on the go. Administrators can also handle key HR tasks like running payroll and adding employees, though the mobile app has limited functionality compared to the full web platform.

Is Gusto HIPAA compliant?

Yes, Gusto is HIPAA compliant and follows strict security measures when handling protected health information (PHI). It encrypts sensitive data in transit and at rest, maintains access logs, and enforces strict access controls to ensure data privacy and compliance.

Is Gusto SOC 2 compliant?

Yes, Gusto is SOC 2 Type II compliant, meaning it has passed an independent audit of its security, availability, and privacy controls based on AICPA standards. Customers can request Gusto’s SOC 2 report under a non-disclosure agreement (NDA) for further assurance of data security.

How secure is Gusto?

Security is a top priority for Gusto. It uses industry-standard security measures to protect user data, including:

256-bit SSL/TLS encryption for data transmission

Firewalls and continuous network monitoring to detect threats

Strict access controls and audit logs to prevent unauthorized access

Background checks and security training for employees

Is Gusto GDPR compliant?

Yes, Gusto is fully GDPR compliant and follows EU data protection regulations. It provides tools for data access, deletion requests, and records of processing activities. Gusto also uses Standard Contractual Clauses (SCCs) for international data transfers from the EU.

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