Gusto vs Paylocity

What Gusto is

Gusto is a modern HR platform that simplifies complex payroll, tax, and benefits processes. Designed for small to medium-sized businesses (SMBs), it automates 'boring' HR tasks and provides a user-friendly portal for employees to manage their own info, view paystubs, and request time off. Gusto acts as a security layer for companies, ensuring they stay compliant with ever-changing labor laws so they can focus on their teams rather than paperwork.

What Paylocity is

Paylocity provides US payroll and HR with self-service and workforce management features.

What Gusto is built to do

Full-Service Payroll

Pay your team, taxes, and deductions accurately with just one click.

Employee Self-Service

A dedicated panel for employees to access their own documents and benefits.

Legal Compliance

Stay automatically updated with changing labor and tax laws in your region.

Digital Onboarding

Complete new hire paperwork digitally and easily from the dashboard.

Choose Gusto if

• Startups and Small Business Owners.

Choose Paylocity if

• US companies wanting payroll and HR from one vendor.

Gusto: pros & cons

• Beautiful Design: The most friendly and modern interface among HR software.
• Auto Taxes: Automatically calculates and pays federal and state taxes (US-focused).
• Employee Experience: Makes managing pay and benefits easy and pleasant for the team.
• Wide Integration: Works flawlessly with accounting tools like QuickBooks and Xero.
• Geographic Focus: Its core features are heavily oriented toward the US market.
• Additional Costs: Some advanced health insurance integrations may not be available everywhere.
• Pricing: The base fee plus per-employee costs can rise quickly for larger teams.

Paylocity: pros & cons

• Solid US payroll and tax handling
• Employee self-service reduces HR load
• Workforce management included
• US only
• Implementation takes time
• Support quality varies by account