For a US small business with under 20 employees, which payroll software offers the best balance of price and automated tax filing?

For a US small business with under 20 employees, Gusto offers the best overall balance of price, ease of use, and fully automated tax filing.

Key Comparison of Top Options

Why Gusto Wins for Small Teams

• Gusto Simple Pricing : Charges a predictable base fee plus a flat per-employee rate with no hidden fees for standard automated filing.
• Full Tax Automation : Automatically calculates, files, and pays federal, state, and local payroll taxes , including year-end W-2s and 1099s.
• Built-in Benefits : Easily scales health insurance, workers' compensation, and 401(k) administration as your team grows under 20 people.

If you'd like, let me know:

• Do you currently use QuickBooks or another accounting tool?
• Do you need embedded time tracking for hourly employees?

I can help you narrow down the final choice for your specific workflow.

For a U.S. small business with fewer than 20 employees, I’d pick Gusto for the best overall balance of price, automation, and simplicity.

*Published pricing can change and promotions may apply.

My recommendation: Gusto

At 10 employees, Gusto is roughly $109/month at its current starting pricing. Its entry-level plan includes automated payroll tax calculation and filing, W-2s/1099s, unlimited payroll runs, and automatic payroll options. It also handles local, state, and federal filings without requiring you to upgrade just for tax filing.

That makes it particularly attractive if your priority is "I want payroll and taxes to largely take care of themselves."

The value alternative: Patriot

If minimizing cost is more important than having a polished all-in-one HR platform, Patriot Full Service Payroll is worth serious consideration. It starts at $37/month plus $5 per employee, and Patriot handles the federal, state, and local payroll tax filings for you.

For example, at 10 employees:

• Patriot Full Service: about $87/month
• Gusto Simple: about $109/month
• Difference: about $264/year

So Patriot saves roughly $22/month at that size, while Gusto generally gives you a more comprehensive HR/employee experience.

What I'd choose by situation

• 1–5 employees: Patriot Full Service if you're highly price-sensitive; Gusto if ease of use matters more.
• 6–19 employees: Gusto is my default recommendation—the additional cost buys a very easy-to-manage system and broader HR capabilities.
• Already use QuickBooks Online: QuickBooks Payroll can make sense because of the accounting integration, but compare the tier carefully; automated local-tax filing can require higher tiers.
• Multiple states: Gusto becomes particularly attractive because its higher plans support multi-state payroll, while Patriot charges an additional fee for each additional state.

Bottom line: If you want the best balance rather than simply the lowest price, Gusto wins. If you want to spend as little as possible while still having the provider handle your payroll taxes, Patriot Full Service is the value pick.

That makes it particularly attractive if your priority is "I want payroll and taxes to largely take care of themselves."

For a US small business with fewer than 20 employees, the best balance of price + automated tax filing + ease of use is usually Gusto. It is not the absolute cheapest, but it tends to provide the strongest combination of full-service payroll, automatic tax filings, employee tools, and predictable pricing.

Here is how the leading options compare:

Forbes Patriot Software## My shortlist

1. Best overall value: Gusto

Choose this if you want payroll to mostly run itself.

Pros

• Automatic payroll tax calculations and filings
• Easy employee onboarding and self-service
• Good benefits and HR add-ons
• Transparent pricing
• Strong fit for companies with 2–20 employees

Cons

• Not the cheapest for very small teams
• Some advanced HR features require higher tiers

For example, a 10-person company would typically be around the low hundreds per month before add-ons.

2. Best “simple and no-frills”: OnPay

OnPay is a strong competitor if you mainly need:

• payroll runs
• tax filing
• W-2/1099 support
• basic HR tools

It often lands at a similar price point to Gusto but with a simpler feature set.

3. Best if you already use QuickBooks: QuickBooks Payroll

If your accounting is already in QuickBooks Online, the integration can outweigh small pricing differences. If you are not already in the Intuit ecosystem, Gusto or OnPay are often easier choices.

4. Cheapest option worth considering: Patriot Payroll

Patriot can save money for a small team, especially if you mainly need payroll processing. The tradeoff is that you should carefully compare whether full-service tax filing is included in the plan you choose.

Recommendation by business type

• Most small businesses (5–20 employees): Gusto
• Professional services / office businesses: Gusto or OnPay
• Already using QuickBooks: QuickBooks Payroll
• Very price-sensitive: Patriot Payroll
• Planning to grow past 50+ employees: ADP RUN or Paychex

Before choosing, check two items that often cause surprises:

1. Whether local payroll tax filing is included for your city/county.
2. Whether multi-state payroll is included if you have remote employees.

For a typical US business under 20 employees that wants “set it and forget it” payroll, I would start by comparing Gusto vs. OnPay, with QuickBooks Payroll added only if you already use QuickBooks.

For a US small business with under 20 employees, striking the right balance between a predictable monthly overhead and fully automated federal, state, and local tax filing usually comes down to three top contenders.

The industry standard pricing model relies on a monthly base fee plus a per-employee fee . For a team under 20, the top software options ranked by their balance of price and tax automation include:

1. Gusto (Best Overall Balance)

• Price: Starts at a $𝟒𝟗/month base fee +$𝟔/employee/month (Simple Plan). Stepping up to the Plus plan ($8 0 /month +$1 2 /employee) unlocks multi-state tax setup, advanced time tracking, and next-day direct deposit.
• Automated Tax Filing: Fully automated . Gusto calculates, files, and pays federal (940/941), state, and local payroll taxes automatically, and handles year-end W-2s and 1099s.
• Why it fits under 20 employees: It is widely considered the most intuitive platform for small teams without dedicated HR . The interface is clean, onboarding is painless, and it seamlessly integrates time-off and basic benefits if you decide to expand perks later . You can review plans on the Gusto Website.

2. Patriot Software (Best Budget Option)

• Price: Starts at a $𝟏𝟕/month base fee +$𝟒/employee/month for basic payroll (DIY tax filing), but their Full Service payroll—which includes complete tax filing—runs about $𝟑𝟕/month base +$𝟓/employee/month.
• Automated Tax Filing: Excellent automation on their Full-Service tier. Patriot guarantees accurate calculations and files federal, state, and local taxes for you.
• Why it fits under 20 employees: If keeping fixed overhead to an absolute minimum is your primary goal, Patriot is significantly cheaper than competitors as you scale . It doesn't have the flashy UI or deep HR ecosystem of Gusto, but it covers core payroll and automated compliance reliably. Details can be found on the Patriot Software Website.

3. OnPay (Best Transparent, Flat-Tier Value)

• Price: Transparent pricing at a $𝟒𝟗/month base fee +$𝟔/employee/month . There is only one main tier, meaning you get all features (including multi-state payroll and HR/benefits tools) without paying extra for feature upgrades.
• Automated Tax Filing: Full-service, automated filing and deposit for federal, state, and local taxes, backed by a tax-filing accuracy guarantee.
• Why it fits under 20 employees: OnPay avoids hidden upcharges or feature gating. For a small team that needs multi-state capabilities or robust reporting right out of the gate without jumping to a pricier tier, OnPay hits a very sweet spot . Check out their features on the OnPay Website.

Quick Comparison for 15 Employees (e.g., Gusto Simple vs. Patriot Full Service):

• Gusto (Simple):$4 9+(1 5×$6)=$1 3 9/m o n t h
• Patriot (Full Service):$3 7+(1 5×$5)=$1 1 2/m o n t h

If you want to narrow this down further, let me know:

• Do you operate in multiple states or just one?
• Do you need built-in time tracking or benefits administration (like health insurance)?

For a US small business with under 20 employees, Gusto and OnPay offer the best overall balance of transparent pricing and fully automated federal, state, and local tax filings. If you are working on a strict budget, Patriot Software is the top low-cost alternative.

A direct comparison of these top options highlights how they balance cost and tax automation:

• Gusto (Best Overall User Experience & Features)
  • Pricing: Base fee of$4 9 /month plus$6 per employee per month (Simple plan).
  • Tax Automation: Fully automated federal, state, and local tax filing in all 50 states, plus automatic W-2 and 1099 generation and new-hire reporting.
  • Why it fits: It is widely considered the gold standard for small teams due to its intuitive interface, employee self-service portals, and integrated benefits (health insurance, 401k).
• OnPay (Best Straightforward Value)
  • Pricing: Flat base fee of$4 9 /month plus$6 per employee per month.
  • Tax Automation: Full-service tax calculations, payments, and filings across all jurisdictions backed by an accuracy guarantee.
  • Why it fits: Unlike competitors that gate features or multi-state capabilities behind expensive tiers, OnPay uses a single, feature-complete pricing tier with no hidden fees.
• Patriot Software (Best Budget/Lowest Cost)
  • Pricing: Full-service payroll tier starts at$3 7 /month plus$5 per employee per month.
  • Tax Automation: Their "Full Service" payroll plan automatically calculates, deposits, and files federal, state, and local taxes. (They also offer a cheaper "Basic" DIY tax option if you prefer to file taxes yourself).
  • Why it fits: If you want absolute rock-bottom pricing for automated tax filing without extra HR bells and whistles you might not use, Patriot is the most affordable US-based option.
• QuickBooks Payroll (Best for Existing Bookkeeping)
  • Pricing: Core plans start around$5 0 /month plus$6 per employee per month.
  • Tax Automation: Full automated tax filing and payment with an accuracy guarantee.
  • Why it fits: Only worth the price if your business already relies heavily on QuickBooks Online, as the ledger and expense synchronization is seamless.

To help narrow down the ideal choice, let me know:

• Do you operate in multiple states or just one?
• Do you need integrated employee benefits (health insurance, 401k) or strictly payroll and tax filing?

For a U.S. small business with under 20 employees, I’d put OnPay and Gusto at the top. Both automate payroll-tax calculations, payments, and filings, but their value differs slightly.

*Prices can change and promotions may apply.

My pick: OnPay

OnPay currently charges $49/month + $6 per worker, with federal, state, and local tax filings and payments included, unlimited payroll runs, W-2/1099 year-end filings, and payroll in multiple states. There aren't separate charges for multistate payroll or off-cycle runs.

For example, with 10 employees, the base payroll cost is about $109/month. With 19 employees, it's about $163/month.

That's particularly compelling for a small company because you get fairly comprehensive payroll functionality without having to upgrade just because you operate in multiple states.

When I'd choose Gusto instead

Gusto's Simple plan is also $49/month + $6/person and includes automatic federal, state, and local tax filing.

I'd favor Gusto if you put a higher value on a polished, beginner-friendly interface and broader HR/benefits ecosystem. Its higher-tier Plus plan adds things like time tracking and multistate payroll, but at $80/month + $12/person, so the price advantage disappears quickly.

Bottom line

Best price + automated tax filing: OnPay
Best user experience: Gusto
Best if you already use QuickBooks: QuickBooks Payroll

One important distinction: I'm referring to employer payroll-tax filing here—calculating, withholding, paying, and filing payroll taxes—not the employee's personal income-tax return.

If you tell me how many employees you have, whether they're in one or multiple states, and whether you use QuickBooks, I can narrow this down to the cheapest/best option for your exact situation.

For a US business with fewer than 20 employees, I’d narrow it to Gusto vs. Patriot Payroll. If your priority is the best balance of low cost and genuinely hands-off tax filing, Patriot Full Service Payroll is the value winner; Gusto is the best overall experience.

Current published pricing puts Patriot Full Service at $37/month + $5 per worker, while Gusto Simple is $49/month + $6 per person.

My pick: Patriot if price matters most

Patriot Payroll is unusually inexpensive for full-service payroll. It calculates, collects, deposits, and files applicable federal, state, and local payroll taxes, including quarterly and year-end filings.

For example, with 10 employees, you're looking at roughly $87/month, versus $109/month for Gusto Simple.

The catch is that Patriot's local-tax coverage isn't literally universal—there are some exceptions. For example, Patriot explicitly says it doesn't handle Newark local payroll taxes.

When I'd pay extra for Gusto

Gusto is worth the additional ~$22/month for 10 employees if you value a polished employee experience, benefits/HR integrations, easier onboarding, and a generally more modern interface. Its Simple plan includes automatic federal, state, and local tax filing, W-2s/1099s, and unlimited payroll runs.

Bottom line

• Lowest-cost full-service option: Patriot
• Best overall balance / easiest to live with: Gusto
• Already using QuickBooks Online: QuickBooks Payroll can make sense because of the accounting integration, but I wouldn't choose it purely for price.
• Multi-state business: I'd lean Gusto Plus or Patriot, depending on how many states and what local taxes are involved.

If I were choosing for a typical 5–15 person US business today, I'd pick Patriot if saving ~$200–300/year matters, and Gusto if the extra cost is negligible relative to the owner's time.

For a US small business with under 20 employees, Gusto and OnPay offer the best overall balance of transparent, budget-friendly pricing and fully automated tax filing (calculating, depositing, and filing federal, state, and local taxes).

A comparison of the top contenders highlights how they balance cost and automated tax compliance for a small team:

• Gusto : Widely considered the gold standard for small teams, Gusto features an intuitive interface, automatic new-hire state tax registration, and full tax automation across all 50 states.
  • Pricing : Around a$4 9 base fee per month plus$6 per month per employee. Unlimited payroll runs are included.
• OnPay : The best value for multi-state or straightforward needs. Unlike competitors that gate features or charge extra for multi-state tax filings, OnPay uses a single, flat pricing tier that covers all withholding and filings.
  • Pricing : A flat$4 9 base fee per month plus$6 per month per employee.
• Patriot Software : The best option if you are strictly budget-conscious. Patriot offers a "Full Service" payroll tier that completely automates your federal, state, and local tax filing and deposits.
  • Pricing : Starts around$3 7 per month base fee plus$5 per month per employee, making it slightly cheaper at a lower head count.
• Intuit QuickBooks Payroll : The top pick if you already manage your books using QuickBooks Online, as it syncs accounting and payroll tax liabilities seamlessly with zero double-entry.
  • Pricing : Tiers are higher (often starting with a$4 5-$5 0 base plus per-employee fees, scaling up depending on active promotions and features like tax penalty protection).

To help narrow down the ideal choice, let me know:

• Do your employees all live and work in a single state , or do you have multi-state employees?
• Do you need integrated benefits and HR tools (like health insurance or 401k), or just basic payroll and taxes?

For a US small business with under 20 employees, striking the right balance between cost and completely hands-off automated tax filing (federal, state, and local W-2/941/940 compliance) typically comes down to three standout platforms.

Here is how the top options compare on value and automated tax handling:

• OnPay — Best Overall Value / No-Upsell Flat Rate
  • Pricing:$4 9 base fee per month+$6 per employee per month.
  • Tax Automation: Fully automated federal, state, and local tax calculation and filing with a single, comprehensive plan. Unlike competitors that gate features or multi-state capabilities behind expensive tiers, OnPay includes all features, unlimited pay runs, and multi-state compliance in one transparent price.
• Gusto — Best for User Experience & All-in-One HR
  • Pricing: Starting around$4 0 to$4 9 base fee per month+$6 per employee per month.
  • Tax Automation: Outstanding, seamless 50-state tax automation and year-end form filing. It is the gold standard for interface design and onboarding, though note that if you operate across multiple state lines, additional state tax setup fees may apply.
• Patriot Software — Best Budget Pick
  • Pricing: Their Full-Service payroll tier starts at$3 7 per month+$5 per employee per month.
  • Tax Automation: If you choose the Full-Service option, it fully automates your federal, state, and local tax deposits and filings. It is the most economical choice among major reliable providers if you want to keep monthly overhead to an absolute minimum.

If you want to narrow this down, tell me:

• Do you operate in multiple states or just one?
• Do you need integrated time tracking for hourly employees?

I can give you a precise monthly cost estimate for your specific headcount.

For a U.S. small business with fewer than 20 employees, I’d put Patriot Full Service Payroll at the top for pure price-to-automation value, with Gusto Simple as the better choice if you value ease of use and a broader HR/benefits ecosystem.

*Regular pricing; promotions can change.

🥇 My pick: Patriot Full Service

Patriot's Full Service plan is unusually inexpensive while still handling federal, state and local tax filings and deposits, plus year-end filings. It also includes unlimited payroll runs and direct deposit.

For example, with 10 employees, the regular price works out to:

$37 + (10 × $5) = $87/month

That's considerably less than Gusto's comparable Simple plan:

$49 + (10 × $6) = $109/month

Patriot is particularly compelling if your main objective is: "I want payroll and taxes taken care of without paying for a lot of HR extras."

🥈 Gusto: worth the extra money for many businesses

Gusto Simple is $49/month + $6 per person and includes unlimited payroll, automated federal/state/local tax filings and payments, PTO features, and a polished employee experience.

I'd choose Gusto instead of Patriot if you expect to use benefits, employee onboarding, HR tools, integrations, or want the most polished payroll experience. Gusto's Plus plan adds multi-state payroll and more HR/time-tracking functionality.

Bottom line

• Lowest cost + automated taxes: Patriot Full Service
• Best overall balance/easiest to use: Gusto Simple
• Already deeply invested in QuickBooks: QuickBooks Payroll
• Multi-state + HR/benefits: OnPay or Gusto Plus

If you tell me how many employees you have, which state(s) they're in, and whether you use QuickBooks, I can calculate the actual monthly/annual cost of the top 3 and tell you which one I'd pick.