Gusto has become the go-to payroll platform for small businesses that want something simpler than ADP or Paychex. It handles payroll, benefits, and HR in one place, and the interface actually makes sense to non-HR people.

But Gusto’s pricing has changed recently. The base price went up in early 2026, and the per-employee fees add up fast if you’re not paying attention. Here’s what Gusto actually costs in 2026.

Gusto Pricing Plans (2026)

Plan	Base Price	Per Employee/Month	Best For
Simple	$49/mo	$6/person	Basic payroll, single state
Plus	$80/mo	$12/person	Multi-state, time tracking, HR
Premium	Custom	Custom	Full-service HR, compliance

Gusto raised the Simple plan base price from $40 to $49 in March 2026. All plans include automated tax filings and unlimited pay runs.

Simple Plan: $49/month + $6/employee

The basic payroll plan. It handles payroll processing and tax filings, but that’s about it.

What’s included:

• Full-service payroll (automated tax filings in all 50 states)
• Unlimited pay runs
• Direct deposit (4-day speed standard)
• W-2 and 1099 processing
• Employee self-service portal
• Lifetime access for employees (even after they leave)
• New hire reporting
• Basic hiring and onboarding
• Gusto-brokered health insurance (payroll deductions only)

What’s limited:

• Single-state payroll only (multi-state costs extra)
• No time tracking
• No PTO management
• No next-day or same-day direct deposit
• No custom onboarding checklists
• No employee offer letters
• No HR resource center
• No performance reviews
• No org charts

Best for: Small businesses with W-2 employees in a single state. If everyone works in one state and you just need to run payroll, Simple does the job.

Plus Plan: $80/month + $12/employee

The mid-tier plan that most growing businesses need. Multi-state payroll and time tracking are the big differentiators.

Everything in Simple, plus:

• Multi-state payroll
• Next-day direct deposit
• Time tracking and project tracking
• PTO management and tracking
• Custom onboarding checklists
• Employee offer letters
• HR resource center and templates
• Performance reviews
• Org charts
• Employee surveys
• Full hiring and onboarding workflows

What’s still extra:

• Benefits administration fees (separate from plan cost)
• Workers comp integration
• State tax registration in new states
• Priority support (Premium only)

Best for: Businesses with employees in multiple states, companies that need time tracking integrated with payroll, and teams that want proper PTO management. Also good if you’re hiring regularly and need onboarding workflows.

Premium Plan: Custom Pricing

The full-service plan for businesses that want Gusto to handle compliance and HR strategy. Pricing is custom and depends on headcount and needs.

Everything in Plus, plus:

• Dedicated customer success manager
• HR resource center with compliance alerts
• Priority support
• Compliance tracking and alerts
• HR compliance training
• Health insurance broker integration
• R&D tax credit tracking
• Full platform configuration assistance

Best for: Larger small businesses (50+ employees) that need compliance support, dedicated HR help, and priority service. If you don’t have an in-house HR person and want Gusto to fill that role, Premium is worth exploring.

The Real Cost: A Worked Example

Let’s say you have 15 employees, all in one state, on the Simple plan.

Simple plan cost:

• Base: $49/month
• 15 employees x $6 = $90/month
• Total: $139/month

Now the same 15 employees on the Plus plan:

Plus plan cost:

• Base: $80/month
• 15 employees x $12 = $180/month
• Total: $260/month

The Plus plan costs $121 more per month, but you get multi-state payroll, time tracking, PTO management, and proper onboarding. For most businesses with 15+ employees, that’s worth it.

Hidden Costs to Watch

Benefits administration: Gusto charges separate fees for administering health insurance, 401(k), and other benefits. These aren’t included in the plan prices above.

State tax registration: If you hire employees in a new state, Gusto charges extra to register your business for state payroll taxes in that state.

Workers compensation: Gusto integrates with workers comp providers, but the actual workers comp premiums are separate.

Year-end filings: W-2 and 1099 processing is included, but there may be fees for corrections or amended filings.

Contractor payments: Paying 1099 contractors through Gusto costs $6/contractor/month on the Simple plan, or is included in Plus and Premium.

How Gusto Compares

For a full payroll comparison, check our QuickBooks pricing guide which covers QuickBooks Payroll as an alternative. Gusto generally wins on ease of use and employee experience, while QuickBooks wins if you’re already in the QuickBooks ecosystem.

If you’re looking at broader HR platforms, see our Rippling pricing breakdown for a more enterprise-focused alternative.

For accountants who manage payroll for clients, Gusto’s accountant portal works well alongside accounting practice management tools. If you’re also evaluating other business software, our guides on FreshBooks and Xero cover accounting platforms that integrate with Gusto. For HR and hiring, BambooHR pricing is another option to compare.

For accountants, Gusto’s accountant portal lets you manage multiple client payrolls from one dashboard. This is especially useful if you offer payroll as a service to your clients.

Which Plan Should You Pick?

Choose Simple ($49 + $6/employee) if:

• All employees are in one state
• You just need basic payroll and tax filings
• You don’t need time tracking or PTO management

Choose Plus ($80 + $12/employee) if:

• You have employees in multiple states
• You need time tracking integrated with payroll
• You want proper PTO and onboarding workflows

Choose Premium (custom) if:

• You have 50+ employees
• You need dedicated HR support and compliance tracking
• You want a customer success manager

Start with Simple if you’re small and single-state. Most businesses outgrow it within a year as they add employees or expand to new states.

FAQ

Does Gusto offer a free trial? Gusto doesn’t offer a traditional free trial, but you can create a free account to explore the platform. You only start paying when you run your first payroll.

Can I pay contractors through Gusto? Yes. Contractor-only plans are available, and contractor payments cost $6/contractor/month on the Simple plan. Plus and Premium include contractor payments at no extra per-person cost.

Is Gusto available in all 50 states? Yes. Gusto handles payroll tax filings in all 50 states. Multi-state payroll (paying employees in different states) requires the Plus plan or higher.

How does Gusto handle benefits? Gusto offers health insurance, 401(k), and other benefits through their platform. They act as a broker for health insurance, and benefits administration fees apply separately from the payroll plan cost.

Can I switch plans mid-month? Yes. You can upgrade or downgrade your Gusto plan at any time. Changes take effect immediately for upgrades, and at the end of the billing cycle for downgrades.

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