Gusto vs. QuickBooks Payroll: Best Management Tools for Retailers

Key Takeaways

• Gusto is ideal for small startups with basic payroll and HR needs, offering robust HR support and employee benefits options.
• QuickBooks Payroll integrates seamlessly with QuickBooks Online, making it a great choice for larger, more established businesses.
• Both platforms offer automated federal and state tax filing, which simplifies compliance for retailers.
• Gusto provides more user-friendly interfaces and better customer support, while QuickBooks Payroll excels in comprehensive financial management.
• Pricing for Gusto starts at $39 per month plus $6 per employee, whereas QuickBooks Payroll starts at $45 per month plus $4 per employee.

Gusto vs. QuickBooks Payroll: Best Management Tools for Retailers

Quick Overview of Gusto and QuickBooks Payroll

When it comes to managing payroll for retailers, two names stand out: Gusto and QuickBooks Payroll. Each platform offers unique features tailored to different business needs. Gusto is known for its user-friendly payroll and HR services, making it a favorite among small startups. On the other hand, QuickBooks Payroll integrates seamlessly with QuickBooks Online, providing a comprehensive financial management system that larger, more established businesses find invaluable.

To make an informed decision, it’s crucial to compare these platforms based on their core functionalities, pricing, scalability, and user experience. This article aims to provide a detailed comparison to help you choose the best payroll tool for your retail business.

Features Comparison

Payroll Processing Capabilities

Both Gusto and QuickBooks Payroll excel in payroll processing, but they cater to different needs. Gusto offers a more intuitive and user-friendly interface, making it easy for small business owners to set up and process payroll. It handles direct deposits, wage garnishments, and even offers a “Gusto Wallet” for employees to access their paychecks early.

QuickBooks Payroll, on the other hand, is designed to work seamlessly with QuickBooks Online. This integration allows for a more comprehensive financial management system, including payroll, accounting, and tax filing. QuickBooks Payroll also offers faster direct deposits, often within the same day.

Here’s a quick comparison of their payroll processing capabilities:

Feature	Gusto	QuickBooks Payroll
Direct Deposit	2-4 days	Same day
Wage Garnishments	Yes	Yes
Payroll Reports	Yes	Yes
Gusto Wallet	Yes	No

Benefits Management

When it comes to managing employee benefits, Gusto has a clear edge. Gusto offers a wide range of benefits options, including health insurance, retirement plans, and even commuter benefits. The platform makes it easy to set up and manage these benefits, providing a seamless experience for both employers and employees.

QuickBooks Payroll also offers benefits management, but it’s not as comprehensive as Gusto. While it does provide health insurance options through its partner, SimplyInsured, it lacks the broader range of benefits that Gusto offers. Therefore, if your retail business plans to grow and you want to offer a competitive benefits package, Gusto might be the better choice.

Time Tracking and Scheduling

Effective time tracking and scheduling are essential for any retail business. Gusto integrates with third-party time tracking software, allowing you to track employee hours, manage schedules, and even monitor overtime. This integration ensures that your payroll is accurate and compliant with labor laws.

QuickBooks Payroll, however, offers built-in time tracking features through QuickBooks Time (formerly TSheets). This feature allows for real-time tracking of employee hours, making it easier to manage schedules and payroll in one place. The integration is seamless, providing a more streamlined experience for businesses already using QuickBooks Online.

Tax Filing and Compliance

Both Gusto and QuickBooks Payroll offer automated tax filing services, which can be a significant time-saver for retailers. Gusto handles federal, state, and local tax filings, ensuring that you stay compliant with all tax regulations. The platform also provides year-end tax forms, making it easier to manage your tax responsibilities.

QuickBooks Payroll also offers automated tax filing, but it goes a step further by providing tax penalty protection. If there’s an error in your tax filings, QuickBooks will cover any penalties or interest, giving you peace of mind. This feature makes QuickBooks Payroll an attractive option for larger businesses with more complex tax needs.

Pricing Comparison

Base Pricing Plans

Pricing is a crucial factor when choosing a payroll tool. Gusto offers three pricing tiers:

• Core: $39 per month plus $6 per employee
• Complete: $39 per month plus $12 per employee
• Concierge: $149 per month plus $12 per employee

The Core plan includes basic payroll processing, while the Complete and Concierge plans offer additional HR tools and support.

QuickBooks Payroll also has three pricing tiers:

• Core: $45 per month plus $4 per employee
• Premium: $75 per month plus $8 per employee
• Elite: $125 per month plus $10 per employee

The Core plan includes basic payroll and tax filing, while the Premium and Elite plans offer additional features like same-day direct deposit and tax penalty protection.

Add-On Costs

Besides the base pricing plans, both platforms offer various add-ons that can increase the overall cost. Gusto, for instance, charges extra for certain benefits management services and third-party integrations. QuickBooks Payroll, on the other hand, may require additional costs for features like QuickBooks Time and advanced reporting tools.

It’s essential to consider these add-on costs when comparing the two platforms, as they can significantly impact your overall budget.

Value for Money

When evaluating value for money, it’s important to consider the features and services you get for the price you pay. Gusto offers a comprehensive package that includes payroll processing, benefits management, and HR tools, making it a great value for small businesses. QuickBooks Payroll, with its seamless integration with QuickBooks Online and robust financial management tools, offers excellent value for larger businesses.

Therefore, the choice between Gusto and QuickBooks Payroll ultimately depends on your business size, needs, and budget.

Add-On Costs

Besides the base pricing plans, both platforms offer various add-ons that can increase the overall cost. Gusto, for instance, charges extra for certain benefits management services and third-party integrations. QuickBooks Payroll, on the other hand, may require additional costs for features like QuickBooks Time and advanced reporting tools.

It’s essential to consider these add-on costs when comparing the two platforms, as they can significantly impact your overall budget.

Value for Money

When evaluating value for money, it’s important to consider the features and services you get for the price you pay. Gusto offers a comprehensive package that includes payroll processing, benefits management, and HR tools, making it a great value for small businesses. QuickBooks Payroll, with its seamless integration with QuickBooks Online and robust financial management tools, offers excellent value for larger businesses.

Therefore, the choice between Gusto and QuickBooks Payroll ultimately depends on your business size, needs, and budget.

Scalability and Growth

Scalability is a critical factor for retailers who plan to grow their business. Both Gusto and QuickBooks Payroll offer features that support scalability, but they cater to different business stages.

Gusto’s Scalability

Gusto is designed to grow with your business. It offers scalable HR tools and benefits management services that can accommodate a growing workforce. As your business expands, you can easily upgrade to higher-tier plans that offer more comprehensive HR support and additional features.

For example, if you start with the Core plan and later need more advanced HR tools, you can upgrade to the Complete or Concierge plans. This flexibility makes Gusto an excellent choice for small to medium-sized retailers planning to expand.

QuickBooks Payroll’s Scalability

QuickBooks Payroll is particularly well-suited for larger businesses or those already using QuickBooks Online for accounting. The seamless integration between payroll and accounting systems allows for more efficient financial management, which is crucial as your business grows.

QuickBooks Payroll also offers advanced features like same-day direct deposit and tax penalty protection, making it a robust solution for businesses with complex payroll and tax needs. Therefore, if your retail business is already established and you require a more integrated financial management system, QuickBooks Payroll is the better choice.

User Experience

User experience is a significant factor when choosing a payroll tool. Both Gusto and QuickBooks Payroll offer user-friendly interfaces, but there are some differences worth noting.

“Gusto’s interface is incredibly intuitive and easy to navigate, making it ideal for small business owners who may not have extensive payroll experience.”

Interface Design

Gusto’s interface is designed with simplicity in mind. The dashboard is clean and easy to navigate, allowing you to access payroll, benefits, and HR tools with just a few clicks. This user-friendly design makes it easy for small business owners to manage payroll without needing extensive training.

QuickBooks Payroll also offers a user-friendly interface, but it’s more complex due to its integration with QuickBooks Online. While this complexity provides more comprehensive financial management tools, it may require some training for users who are not familiar with QuickBooks.

Ease of Setup and Use

Setting up Gusto is straightforward. The platform guides you through the setup process, making it easy to enter employee information, set up direct deposits, and configure payroll schedules. Most importantly, Gusto provides excellent customer support to help you through the setup process.

QuickBooks Payroll also offers a guided setup process, but it may be more time-consuming due to its integration with QuickBooks Online. However, once set up, the integration provides a seamless experience for managing payroll and accounting in one place.

“QuickBooks Payroll’s integration with QuickBooks Online allows for real-time tracking of employee hours, making it easier to manage schedules and payroll in one place.”

Mobile App Functionality

Both Gusto and QuickBooks Payroll offer mobile apps that allow you to manage payroll on the go. Gusto’s mobile app is user-friendly and provides access to payroll processing, employee information, and benefits management. This flexibility is particularly useful for small business owners who need to manage payroll while away from the office.

QuickBooks Payroll’s mobile app also offers robust functionality, including time tracking through QuickBooks Time. This feature allows employees to clock in and out from their mobile devices, making it easier to track hours and manage payroll in real-time.

Customer Support

Good customer support is essential when dealing with payroll issues. Both Gusto and QuickBooks Payroll offer multiple support options, but there are some differences in the quality and availability of support.

Gusto’s Support Options

Gusto offers excellent customer support through various channels, including phone, email, and live chat. The platform also provides a comprehensive help center with articles and tutorials to help you troubleshoot common issues. Additionally, Gusto’s Concierge plan offers dedicated HR support, providing expert advice on complex HR issues.

QuickBooks Payroll’s Support Options

QuickBooks Payroll also offers multiple support options, including phone and chat support. The platform provides a robust help center with articles and video tutorials to help you navigate common issues. However, some users have reported longer wait times for phone support, which can be a drawback if you need immediate assistance.

Overall, Gusto’s customer support is more responsive and comprehensive, making it a better choice for small businesses that may need more hands-on assistance.

Integrations and Add-Ons

Integrations and add-ons can significantly enhance the functionality of your payroll system. Both Gusto and QuickBooks Payroll offer various integrations, but they cater to different needs.

Integrations and add-ons can significantly enhance the functionality of your payroll system. Both Gusto and QuickBooks Payroll offer various integrations, but they cater to different needs.

Gusto’s Key Integrations

Gusto integrates with a wide range of third-party software, making it a versatile choice for retailers. Some of the key integrations include:

• QuickBooks Online for accounting
• Expensify for expense management
• Deputy for time tracking and scheduling
• Slack for team communication
• Xero for accounting

These integrations allow you to streamline various aspects of your business, from accounting to employee communication, making Gusto a comprehensive solution for small to medium-sized retailers.

QuickBooks Payroll’s Key Integrations

QuickBooks Payroll is designed to integrate seamlessly with other QuickBooks products, providing a unified financial management system. Some of the key integrations include:

• QuickBooks Online for accounting
• QuickBooks Time (formerly TSheets) for time tracking
• Expensify for expense management
• Shopify for e-commerce
• Square for point-of-sale transactions

These integrations make QuickBooks Payroll an excellent choice for retailers who already use QuickBooks products, offering a more streamlined and efficient financial management experience.

Final Thoughts and Recommendations

Choosing between Gusto and QuickBooks Payroll ultimately depends on your business needs, size, and budget. Both platforms offer robust payroll processing, tax filing, and employee management features, but they cater to different types of businesses.

Who Should Choose Gusto?

Gusto is ideal for small to medium-sized retailers who need a user-friendly payroll and HR management solution. Its comprehensive benefits management options, intuitive interface, and excellent customer support make it a great choice for businesses planning to grow. If you value ease of use and a wide range of HR tools, Gusto is the better option.

Who Should Choose QuickBooks Payroll?

QuickBooks Payroll is best suited for larger, more established retailers who already use QuickBooks Online for accounting. Its seamless integration with other QuickBooks products, advanced financial management tools, and tax penalty protection make it an excellent choice for businesses with more complex payroll and tax needs. If you need a comprehensive financial management system, QuickBooks Payroll is the way to go.

Frequently Asked Questions (FAQ)

Can Gusto integrate with QuickBooks Online?

Yes, Gusto can integrate with QuickBooks Online, allowing you to synchronize payroll data with your accounting system. This integration ensures that your financial records are always up-to-date, simplifying your accounting processes.

Is QuickBooks Payroll suitable for large retailers?

Yes, QuickBooks Payroll is suitable for large retailers, especially those who already use QuickBooks Online. Its advanced features, such as same-day direct deposit and tax penalty protection, make it a robust solution for businesses with complex payroll and tax needs.

What are the primary benefits of using Gusto for payroll?

The primary benefits of using Gusto for payroll include its user-friendly interface, comprehensive benefits management options, and excellent customer support. Gusto also offers scalable HR tools, making it a great choice for businesses planning to grow.

Does QuickBooks Payroll offer better tax filing services?

Both Gusto and QuickBooks Payroll offer automated tax filing services. However, QuickBooks Payroll provides tax penalty protection, covering any penalties or interest if there’s an error in your tax filings. This feature can give you added peace of mind.

Which platform is more cost-effective for a growing business?

The cost-effectiveness of each platform depends on your business needs and size. Gusto offers more comprehensive HR tools and benefits management options, making it a great value for small to medium-sized businesses. QuickBooks Payroll, with its seamless integration with QuickBooks Online and advanced financial management tools, offers excellent value for larger businesses with more complex needs.

In conclusion, both Gusto and QuickBooks Payroll offer robust payroll solutions tailored to different business needs. By considering your business size, needs, and budget, you can choose the platform that best fits your retail business.