The best 6 Paylocity competitors

Cloud-based payroll and human capital management (HCM) system Paylocity offers a number of features to help businesses streamline payroll processing, benefits administration, and other common human resources tasks. Like all systems, it comes with advantages and limitations and may not be the best choice for every company.

Let’s explore Paylocity alternatives so you can evaluate if one of them may be the ideal solution for your specific HR needs. 

6 Paylocity alternatives

If you suspect Paylocity may not fit the bill for your company, the payroll solutions below offer unique combinations of features and capabilities.

1. Rippling

Rippling offers a comprehensive human capital management (HCM) solution that centralizes your HR, IT, and finance functions in a single platform that supports powerful automation and advanced data analytics and reporting. With customizable workflows that operate across Rippling and over 600 third-party integrations, Rippling automates the entire employee lifecycle from end to end. 

When it comes to payroll administration, Rippling’s features include US and global payroll processing, full integration with time and attendance tracking, automated tax filing, and compliance alerts.

Key features of Rippling:

• Advanced automations and workflows that allow you to customize HR modules based on over 20 actions and events
• Over 150 pre-built reports that pull data from across HR, IT, and Finance systems
• Over 600 integrations with popular apps and software tools, along with in-app integrations
• 360-degree customer care, including live chat, video calls with screen sharing, and a library of tutorials and support materials

2. ADP Workforce Now

One of the oldest and best-known names in the payroll industry, ADP offers a range of solutions and tools designed to meet the needs of small businesses and global enterprises alike. From simple payruns to HCM and professional employer organization (PEO) services, ADP works hard to provide a plan or tool for any HR need.

Key features of ADP Workforce Now:

• Easy access to all documents related to an employee or contractor, including W-2s, W-9s, and paystubs
• Extensive library of payroll reports, which employers can tailor to specific needs
• Unlimited payruns in all 50 US states, and a global payroll tool that covers over 140 countries

Because ADP relied on acquisitions to expand its collection of tools and features, navigating between tools or connecting specific products can sometimes require workarounds or extensive technical support. While ADP does offer trainings and certifications to help develop customers into power users, the time required to complete these initiatives might be better spent elsewhere. 

3. Paychex Flex

A payroll processing software at its core, Paychex Flex has expanded its offering in recent years to include HR services and add-ons that cater to small businesses and startups. For an additional fee, Paychex can assist with group health benefits, employee retirement plans, and business insurance, allowing smaller organizations to benefit from targeted offers. 

Note that many of the distinguishing features that make Paychex Flex more than just a payroll tool carry a separate price tag.

Key features of Paychex Flex:

• Automated new-hire onboarding procedures and state new-hire reporting
• Separate mobile payroll apps for employees and employers
• Payroll tax administration and multiple employee pay options for enhanced compliance and flexibility
• Human resources materials for businesses of all sizes, including a handbook builder, performance management tools, and labor posters

Unlike other payroll providers, Paychex charges an additional fee for some table-stakes services, such as benefits management, time tracking, and worker’s compensation. 

4. Gusto

A popular payroll processing tool and HR software, Gusto appeals to many HR professionals due to its extensive library of integrations and comprehensive approach to payroll compliance in the US. 

Key features of Gusto:

• Global payroll processing for over 120 countries
• Cloud-based self-onboarding for contractors around the world
• Built-in payroll compliance management for US and international payroll

Gusto limits some important features, such as HR alerts, to its most expensive plans. Certain health insurance features are also only available in a limited number of states.

5. Paycor

A human capital management (HCM) system with powerful payroll features, Paycor supports complex automations that remove much of the “busy work” and risk of human error from payroll. Employee self service options like OnDemand pay, which allows employees to access money they’ve earned before payroll runs, and the Paycor Mobile wallet offer your team a high degree of financial control and flexibility.

Key features of Paycor:

• Comprehensive human resources information system (HRIS) with tools for performance management, benefits administration, time tracking, and payroll administration
• Real-time payroll changes and automated compliance, as well as automatic overtime calculation
• Leadership management system (LMS) add-on

With Paycor, you may pay extra for essential tools like time tracking and check stuffing. The selection of integrations may also be lacking. 

6. BambooHR

A human resources information system (HRIS) that incorporates a robust payroll function, BambooHR offers a solid collection of tools for small businesses, including time and attendance tracking, pre-built workflows, and basic payroll report templates. 

While BambooHR does a great job of cutting out the admin work associated with payroll, if you’re looking for advanced compliance support and monitoring, you may want to keep exploring.    

Key features:

• High-touch, high-quality customer service with ongoing support and training for your HR team
• Smooth onboarding and offboarding workflows with straightforward task lists
• Easy-to-use reporting features, albeit somewhat limited in terms of available information

BambooHR only operates in the United States, making it a poor fit for companies with a global presence.  Some customers also find the interface difficult to navigate, while others reported difficulties integrating with popular finance and HR apps.

Why Rippling is your best HR software option

By consolidating your HR, IT, and finance functions in a single platform, Rippling unlocks the potential for advanced automation, analysis, and reporting. Built to work together, Rippling HCM’s features allow you to automate the entire employee lifecycle, from payroll to benefits management to time and attendance.  

Frequently asked questions

What features should I look for in a Paylocity software alternative?

If you’re looking for a Paylocity alternative, start by thinking about what the software offers—or doesn’t—that leads to frustration. If you’re frustrated by difficult onboarding, focus on a solution with dedicated account managers for all customers. If you’re struggling to navigate the system, consider whether Paylocity offers the right combination of tools and ease of use for your needs.

What makes Rippling an excellent competitor to Paylocity for small and medium-sized businesses? 

Unlike Paylocity, which focuses on payroll automation, Rippling goes beyond payroll automation, offering customizable workflows across your entire HR, IT, and finance functions. With access to data from three key sectors, Rippling also offers a much more advanced reporting and analytics functionality than Paylocity. Where Paylocity offers 12 template reports, Rippling has over 150.

What are the key differences between Rippling and Paylocity?

The key difference between Rippling and Paylocity lies in scope. While Paylocity aims to provide small and mid-size businesses with a straightforward solution to payroll administration and compliance, Rippling offers businesses of any size a robust HCM solution with advanced automation and analytics capabilities.

Disclaimer: Rippling and its affiliates do not provide tax, accounting, or legal advice. This material has been prepared for informational purposes only, and is not intended to provide or be relied on for tax, accounting, or legal advice. You should consult your own tax, accounting, and legal advisors before engaging in any related activities or transactions.