Gusto — HR & Recruiting

What it does

Gusto automates payroll, tax filings, and benefits administration for small businesses and startups. Enter hours or salaries, and Gusto calculates paychecks, deducts taxes, and files federal and state payroll taxes automatically. Employees get a self-service portal for pay stubs, W-2s, and benefits enrollment.

Who it is for

Best for small business owners who want to outsource payroll compliance, startups offering health benefits and 401(k) without a dedicated HR person, and freelancers or contractors needing simple invoicing and 1099 filing. It is not designed for large enterprises with complex HR needs.

Use cases

Use Gusto to run payroll on autopilot, set up health insurance and 401(k) plans in one dashboard, track employee time and PTO, and manage contractors with automated 1099 forms.

• Automated payroll — Calculate pay, deduct taxes, and direct deposit on your schedule
• Tax compliance — Gusto files and pays all federal and state payroll taxes automatically
• Benefits administration — Set up health insurance, 401(k), workers’ comp, and commuter benefits
• Employee self-service — Employees access pay stubs, W-2s, PTO balances, and benefits info
• Time tracking — Built-in clock-in/out and PTO requests sync with payroll
• Contractor management — Pay contractors, send 1099 forms, and track invoices

Gusto pricing: from $40/mo + $6/employee. Billing model: Subscription.

For comparison: the median starting price in HR & Recruiting is $24.50/month, measured across 152 tools we track. See the full SaaS Pricing Index →

Simple plan

$40/mo + $6/employee: Full-service payroll, tax filings, employee self-service, and time tracking.

Plus plan

$60/mo + $9/employee: Everything in Simple, plus next-day direct deposit, time-off management, and contractor management.

Premium plan

Custom pricing: All features above, plus dedicated support, HR advisory, and compliance alerts.

Free trial available for all plans.

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