When I talk to small business owners, one of the first pain points that comes up is managing people, from hiring and onboarding to paying them accurately and on time. It is never just about sending money on payday. It is about making sure your team feels supported, staying compliant without headaches, and not losing hours each week to admin tasks.
The best HR and payroll software does more than process pay runs. It brings HR and finance together, simplifies compliance, supports benefits, and keeps your team engaged as your business grows.
That is why I put together this list of the 5 best HR and payroll solutions for small businesses in October 2025, with my top pick being HiBob, a platform that reimagines how HR and payroll can work seamlessly together.
Top 5 HR & payroll solutions for small businesses in 2025
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How do I choose the right HR and payroll software for my small business?
The best system depends on what matters most to your business. If you're looking for something simple and affordable, consider software that offers automated tax filing, easy setup, built-in HR support, and strong customer service.
If your business is growing quickly or has employees in multiple locations, flexibility and scalability become more important. Features such as multi-cycle payroll, advanced reporting, and integrations with HR tools for onboarding, benefits, or performance management can save you hours each month.
I always recommend starting with a clear list of your priorities: budget, compliance needs, and how much time you want to save. From there, compare platforms against those needs instead of just choosing the most popular name.
That is exactly what I did when putting together this list of the 5 best HR and payroll software options for small businesses in October 2025.
1. HiBob – Best all-in-one HR & payroll platform for small businesses
HiBob is a modern HR platform built for fast-growing small and mid-sized businesses. It combines payroll, benefits, and workforce planning with core HR functions like onboarding, performance management, and employee engagement. By keeping everything in one intuitive system, HiBob helps HR and finance teams save time, reduce errors, and support growth with confidence.
Its Payroll Hub keeps data accurate in real time, supports multiple pay cycles, and integrates with leading providers around the world. With the launch of its native U.S. payroll and benefits administration, HiBob is continuing to raise the standard for how HR and payroll work together.
Key Features
- Centralized Payroll Hub with real-time updates and visual tracking
- Plug-and-play integrations with providers like ADP, Paylocity, Trinet, and Xero
- Flexible payroll cycles (weekly, bi-weekly, monthly, or custom) across multiple regions
- Core HR tools for onboarding, performance reviews, time off, and employee engagement
- Advanced analytics and workforce planning to support strategic HR decisions
- AI-powered payslip explanations that improve employee transparency and trust
Pros
- All-in-one HR, payroll, benefits, and workforce planning in one platform
- Employee-first, intuitive interface designed for adoption at every level
- Scales easily for multi-site and multinational businesses
- Strong automation that reduces manual work and errors
- Powerful analytics that help HR leaders make data-driven decisions
Cons
- Pricing available only via custom quote
- More advanced than micro-businesses may need
Pricing
Custom pricing based on business size, features, and regions supported.
Best For
Small and mid-sized businesses that want a modern, scalable HR and payroll system that grows with them.
Why We Picked It
HiBob goes far beyond payroll by consolidating HR, finance, and benefits in a single platform. It empowers HR teams with tools for engagement, performance, and analytics while giving finance and payroll the automation they need. For small businesses planning to scale, HiBob is the HR and payroll solution that will not just keep up but help them move ahead.
2. Gusto – Best User-Friendly HR and Payroll Solution
Gusto is one of the most popular platforms for small businesses because it blends easy-to-use payroll with HR support features that simplify compliance, benefits, and team management. Its clean design, automated tax filing, and strong customer service make payroll stress-free, while HR tools like onboarding, PTO management, and performance tracking give business owners confidence that their people are supported from day one.
Key Features
- Automated federal, state, and local tax filings with guaranteed accuracy
- Unlimited payroll runs with direct deposit
- Benefits management, including health, dental, vision, retirement, and commuter plans
- HR features such as employee onboarding, document storage, and compliance alerts
- Performance management tools (available on higher-tier plans)
- Integrations with QuickBooks, Xero, and popular time-tracking apps
Pros
- Extremely intuitive, beginner-friendly design
- Includes HR tools like onboarding, performance reviews, and compliance support
- Strong customer service and knowledge base
Cons
- Benefits are not available in every state
- Some HR features (like performance management) require higher-tier plans
Pricing
Starts at $49/month + $6 per employee.
Best For
Small businesses that want an approachable payroll platform that also offers HR features for onboarding, compliance, and employee management as they grow.
Why We Picked It
Gusto makes payroll simple and reliable, but it also adds HR essentials that small businesses need, such as onboarding, compliance help, and benefits administration. It is the best choice for business owners who want a user-friendly system that covers both payroll and HR without unnecessary complexity.
3. OnPay – Best for Small Businesses That Want Simplicity
OnPay is designed specifically for small businesses that need a straightforward payroll and HR solution without the complexity or high costs of enterprise systems. It covers payroll essentials while also including useful HR features like onboarding, compliance support, and benefits administration, all in one easy-to-use platform.
Key Features
- Full-service payroll with automated federal, state, and local tax filings
- Unlimited monthly payroll runs at no extra cost
- Benefits management, including health, dental, vision, and retirement plans
- Employee self-service onboarding and document storage
- PTO tracking and compliance support (labor law posters, HR templates, etc.)
- Integrations with accounting software like QuickBooks and Xero
Pros
- Simple, transparent pricing with no hidden fees
- Designed for small business ease of use
- Includes HR tools such as onboarding and compliance help
- Strong customer support and setup guidance
Cons
- HR feature set is more streamlined than some enterprise-level platforms
- Not ideal for very large or multinational companies
Pricing
Flat $40/month + $6 per employee.
Best For
Small businesses that want a reliable, easy-to-use payroll and HR platform with clear pricing and essential features.
Why We Picked It
OnPay strikes the right balance for small businesses: affordable, easy to run, and packed with payroll and HR essentials without unnecessary complexity. It’s ideal for owners who want peace of mind that payroll, taxes, and compliance are handled correctly while also giving employees a smooth onboarding and self-service experience.
4. ADP RUN – Best for Growing Businesses
For small businesses that expect rapid growth, ADP RUN offers the kind of infrastructure usually reserved for larger companies. It combines accurate payroll with scalable HR services, giving owners the tools to handle new hires, multiple locations, and stricter compliance requirements without outgrowing the system.
Rather than locking you into one package, ADP RUN is built to expand. You can begin with streamlined payroll and tax filing, then layer in HR support such as onboarding workflows, employee recordkeeping, training programs, and access to live HR advisors.
Key Features
- Automated payroll with federal, state, and local tax filing
- Compliance alerts and reporting to reduce risk
- Multi-state payroll and global expansion support
- HR features, including hiring, onboarding, and employee record management
- Time and attendance tracking
- Access to a 24/7 HR helpdesk and compliance resources
- Mobile-friendly tools for both employers and employees
Pros
- Extremely scalable for growing companies
- Combines payroll with HR services in higher-tier plans
- Trusted industry leader with deep compliance expertise
- 24/7 support and access to HR professionals
- Mobile apps for on-the-go payroll and HR management
Cons
- Some HR features are only available on higher-tier plans
- May feel more complex for very small teams
Pricing
Custom pricing. Typically starts around $59/month + $4–$6 per employee.
Best For
Small businesses planning to scale or in highly regulated industries.
Why We Picked It
ADP RUN combines payroll accuracy and compliance with HR tools that growing businesses need, such as onboarding, time tracking, and expert HR guidance. It is ideal for business owners who want a trusted partner that will support both payroll and HR as their company expands.
5. Paychex Flex – Best for Hands-On Support
Paychex Flex is designed for small businesses that want more than just software. Along with payroll automation and HR features, every client is paired with a dedicated payroll specialist who provides personalized guidance when questions come up. That level of support sets Paychex apart, especially for owners who want reassurance that an expert is always available.
Key Features
- Automated payroll and tax filing
- Benefits administration and retirement plan support
- HR tools, including onboarding, training, and compliance resources
- Time tracking and employee scheduling
- Employee self-service portal and mobile apps
- 24/7 access to live support and HR advisors
Pros
- Dedicated payroll specialist for each client
- Wide range of HR and payroll features in one platform
- Flexible add-ons for benefits and compliance-heavy industries
- Reliable support for both small and mid-sized businesses
Cons
- Add-on costs can raise the overall price
- Interface is functional but not as modern as some competitors
Pricing
Starts around $39/month + $5 per employee, varies by features.
Best For
Small businesses that want the security of expert guidance, along with a full suite of HR and payroll tools.
Why We Picked It
Paychex Flex combines strong HR and payroll features with dedicated support that gives business owners peace of mind. It is the right choice for companies that want reliable technology backed by real people who can help them stay compliant and efficient.
Final Thoughts
Small business owners wear many hats, and HR and payroll are two of the heaviest. The platforms on this list are designed to lighten that load by combining payroll accuracy with the HR tools that keep teams engaged and businesses compliant.
HiBob stands out as the most complete choice for companies that want a modern, all-in-one system. Gusto and OnPay make things simple and affordable, ADP RUN brings scalability for growing teams, and Paychex Flex provides the extra reassurance of expert guidance.
Ultimately, the right HR and payroll software is the one that matches your priorities and gives you confidence that people management is handled. With the right system in place, you can spend less time on admin and more time building the business you want to run.
Frequently Asked Questions
What is the simplest HR and payroll software for small businesses?
For ease of use, HiBob is often considered the most straightforward option. Its intuitive design, automated payroll, and built-in HR tools such as onboarding and compliance support make it ideal for business owners handling HR and payroll for the first time.
What is the best cloud-based HR and payroll software?
HiBob is a top choice for businesses that want a fully cloud-based solution. It combines HR management, payroll, benefits, and engagement tools in one platform, accessible from anywhere.
How much does HR and payroll software cost for small businesses?
Pricing usually starts around $35–$45 per month plus $5–$6 per employee, depending on features and providers. Platforms like OnPay use simple flat-rate pricing, while HiBob and ADP RUN provide custom quotes based on company size and needs.
Which HR and payroll software is best for growing companies?
ADP RUN and HiBob are strong choices for companies that expect to scale quickly. Both platforms support multiple payroll cycles, compliance tools, and HR services that smaller systems may lack.
Can HR and payroll software also manage employee benefits?
Yes. Most modern platforms include benefits administration to save time and reduce errors. HiBob, Gusto, and Paychex Flex all connect payroll with health, retirement, and other benefits to streamline employee management.
Disclaimer: This story was published under HackerNoon’s Business Blogging Program.