Gusto is one of the most common choices for a business paying its first employees, and its prices are published. That makes it easy to work out what you'd actually pay. This post lays out the plans and the add-ons from Gusto's own page, totals them for one, two and three employees, and compares the cheaper options a very small employer has. Prices change, so the date we read each page is on every table.
Gusto's plans and what's in them
| Simple | Plus | Premium | |
|---|---|---|---|
| Monthly base price | $49 | $80 | $180 |
| Per person each month | $6 | $12 | $22 |
| Unlimited payrolls, tax filings and payments | Yes | Yes | Yes |
| States | Payroll in one state | Multi-state payroll | Multi-state payroll |
| Next-day pay | Add-on: $15 a month + $3 per person | Included | Included |
| Time tracking and scheduling | Add-on: Time & Attendance Plus, $6 per person | Included | Included |
| Same-day and instant pay | Add-on: $90 / $100 per payroll | Add-on: $90 / $100 per payroll | Included |
| State tax registration | Add-on, priced by state | Add-on, priced by state | Add-on, priced by state |
Checked October 4, 2026. From gusto.com/product/pricing. Gusto says there are no contracts and setup is free. A separate Solo plan for owners paying themselves through an S corporation lists $49 a month plus $6 per person.
Every plan includes the core payroll job: unlimited pay runs, direct deposit or printable checks, tax filings and payments, the employee app and domestic contractor payments. Plus and Premium add multi-state payroll, time tools, contractor invoicing and, on Premium, a named advisor, HR guidance and Gusto Business Compliance.
What Gusto costs for one to three employees
| Plan | 1 person | 2 people | 3 people | 1 person, per year |
|---|---|---|---|---|
| Gusto Simple | $55 | $61 | $67 | $660 |
| Gusto Plus | $92 | $104 | $116 | $1,104 |
| Gusto Premium | $202 | $224 | $246 | $2,424 |
At this size the base fee is most of the bill. Going from one employee to three adds $12 a month on Simple, while the base stays at $49. So the question for a one-person payroll is less about Gusto's per-person rate and more about whether a $49 floor is worth it for the work it saves.
Add-ons that change the total
| Add-on | Price | Notes |
|---|---|---|
| Next-day pay | $15 a month + $3 per person | Included in Plus and Premium |
| Same-day pay | $90 per payroll | Included in Premium; subject to eligibility |
| Instant pay | $100 per payroll | Included in Premium; subject to eligibility |
| State tax registration | Varies by state | Paperwork when you start payroll in a new state |
| Time & Attendance Plus | $6 per person a month after a free trial | For Simple; included in Plus and Premium |
| Remote I-9 | $20 per submission | Included in Premium |
| Priority support | $30 a month + $3 per person | For Simple and Plus |
| Workers' compensation | From $14 a month | Pay-as-you-go policies through a partner |
| Health insurance broker integration | $6 per eligible employee a month | Bringing your existing broker into Gusto |
For a small employer the add-on that bites most often is state tax registration, because a first employee usually means registering for state withholding and unemployment insurance. You can do the state registrations yourself on the state's own website; the add-on pays Gusto to handle the paperwork.
Cheaper options for one to three employees
| Gusto Simple | Square Payroll | QuickBooks Workforce Payroll | Payroll yourself + PayDocs | |
|---|---|---|---|---|
| List price | $49 + $6 per person | $35 + $6 per person paid | $50 + $7 per employee | No monthly fee |
| One employee, per month | $55 | $41 | $57 ($32 for the first 3 months) | Biweekly: 26 pay stubs a year at $4.99 each once checkout opens |
| Files and pays payroll taxes | Yes | Yes | Yes | No, you or your accountant do |
| Pays the employee | Yes | Yes | Yes | No, you pay by transfer or check |
| Pay stubs and W-2s | Yes | Yes | Yes | Pay stubs and W-2 employee copies from your figures |
Checked October 4, 2026. Square: squareup.com/us/en/payroll/pricing. QuickBooks: quickbooks.intuit.com/payroll/pricing/bundle (first-three-months price is a promotion). PayDocs: 26 pay stubs a year at the $4.99 PDF price once checkout opens; packs of 4 and 12 cost less per stub.
Square Payroll is the cheapest full-service option we found with a published price, at $14 a month less than Gusto Simple for one employee. Square also has a contractor-only plan at $6 a month per person paid. QuickBooks Workforce Payroll costs about the same as Gusto Simple once its promotion ends, and makes most sense if your books are already in QuickBooks.
Doing payroll yourself is cheapest in cash and most expensive in time. You take on the federal deposits, quarterly Form 941, annual Form 940, the state returns and the W-2 filing, which full-service plans include. It works best for one regular employee with an accountant already filing for the business, or for household employers who report employment taxes on Schedule H with their own Form 1040.
Who Gusto suits, and who might pay less elsewhere
- Gusto Simple suits a business in one state that wants filings, payments and direct deposit handled, and expects to grow past a couple of employees.
- Gusto Plus earns its higher fee when you pay in more than one state or need time tracking tied to payroll.
- A business that already runs on Square might pay less on Square Payroll.
- An S corporation owner paying only themselves can look at Gusto Solo or at running a simple payroll themselves.
- One household employee or one steady employee, with someone already filing: a pay stub tool plus your own filings costs a fraction of any monthly plan.
Where PayDocs fits
PayDocs is not payroll software and isn't a Gusto replacement for anyone who wants filings done for them. It makes pay stubs, W-2 employee copies and 1099 recipient copies from your figures. PayDocs works out federal income tax, Social Security, Medicare and supported state taxes for 2026 pay dates (see what we calculate), and every line stays editable.
Previewing is free. The PDF price is $4.99 per pay stub once checkout opens, less in packs of 4 or 12, with no monthly fee and pack credits that never expire. It doesn't pay employees, deposit taxes or file any return.
Questions
How much does Gusto cost per month for one employee?
On Gusto's pricing page on 4 October 2026, Simple was $49 a month plus $6 per person: $55 a month for one employee, before add-ons such as next-day pay or state tax registration.
Does Gusto charge a setup fee or require a contract?
Gusto's pricing page says there are no contracts, account setup is free, and you can switch or cancel any time. State tax registration is a separate add-on priced by state.
Is there a cheaper alternative to Gusto?
Square Payroll listed $35 a month plus $6 per person paid on 4 October 2026, $14 less than Gusto Simple for one employee. Doing payroll yourself with a pay stub tool costs less again, but you file and pay the payroll taxes yourself.
What does Gusto Solo cost?
Gusto listed its Solo plan, for owners paying themselves through an S corporation, at $49 a month plus $6 per person on 4 October 2026.
Sources
- Gusto: Pricing, plans and fees
- Square: Payroll pricing
- QuickBooks: Add payroll, pricing
- IRS: Publication 15 (2026), Employer's Tax Guide
Sources checked October 4, 2026. This article explains how pay documents work; it is not tax or legal advice.
