Gusto Plans Explained (2026): Simple vs. Plus vs. Premium

Gusto sells four plans in 2026 — Simple ($49/mo + $6/employee), Plus ($80/mo + $12/employee), Premium ($180/mo + $22/employee), and Contractor Only ($35/mo + $6/contractor) — and most small businesses on a single state should start with Simple. Every plan is full-service payroll: Gusto calculates, files, and pays your federal, state, and local taxes, handles W-2s and 1099s, runs unlimited payrolls, and never locks you into a contract. The tiers differ on multi-state support, time tracking, HR depth, and the level of human help you get.

I’ve run my agency’s payroll on Gusto for about three years, mostly on Simple, with a stretch on Plus when we added a contractor in another state. Here’s how the plans actually differ and how to pick.

Gusto plans at a glance

Simple: the right start for most

Simple covers the core of what a small business needs: unlimited full-service payroll in a single state, employee self-onboarding, health benefits and 401(k) administration, and basic hiring and offer-letter tools. Direct deposit, pay stubs, and tax filing are all included — there’s no separate fee for any of them.

For a 10-person single-state company, Simple lands at a clear $49 + $60 = $109/month. That’s the plan I’ve stayed on for years. You’d outgrow it when you start paying people in a second state, or when you need built-in time tracking.

Plus: multi-state and time tracking

Plus is the upgrade most growing teams reach for. It adds multi-state payroll, time tracking and project tracking, next-day direct deposit, team-management tools like time-off requests and an org chart, and more advanced hiring and onboarding. At $80/mo + $12/employee, it costs more per head, but the multi-state support alone justifies it the moment you hire across a state line.

I moved to Plus the month we brought on a contractor in another state and wanted hourly time tracking in the same system. It removed two spreadsheets from my life.

Premium: dedicated support and compliance

Premium is built for larger or more complex teams. On top of everything in Plus, you get a dedicated support line, an HR resource center, compliance alerts, and priority help with setup and migrations. At $180/mo + $22/employee it’s the priciest tier, and it makes sense once you have enough employees that hands-on HR guidance and proactive compliance warnings save real time and risk.

Contractor Only: no W-2 employees

If you only pay 1099 contractors, the Contractor Only plan is $35/month + $6 per contractor — and Gusto waives the $35 base for the first 6 months. You still get tax-compliant 1099 filing, contractor self-onboarding, and direct deposit, without paying for employee payroll features you won’t use. If you later hire a W-2 employee, you move up to Simple or Plus. See my Gusto for startups post for more on the contractor-to-employee transition.

How to choose by team size and needs

• Single state, all W-2, want it simple: Simple.
• Hiring across state lines, or need time tracking and faster deposits: Plus.
• Larger team, want dedicated support and compliance help: Premium.
• Only paying contractors: Contractor Only.

A useful rule: pick the cheapest plan that includes the one feature you can’t live without. For most readers that’s Simple; for anyone multi-state, it’s Plus. Annual billing earns a discount on any tier, and some nonprofit fees are waived. For deeper dives, the blog index lists every guide, and the restaurant guide covers tip and multi-rate scenarios.

How to get Gusto’s best deal

Gusto doesn’t use a typed coupon code. The current offer is a referral link that pays a Visa gift card after your first paid payroll — $100 for businesses with fewer than 10 employees, $200 for 10 or more — plus 3 months free on your subscription. Click the referral link before you sign up, create your account, and run one paid payroll to qualify; the gift card arrives within 30 days of your first paid invoice. See the home page for the current offer. Choosing annual billing on top of this stacks an additional discount.

Frequently asked questions

What are the Gusto plans in 2026?

Gusto offers four plans: Simple ($49/mo + $6/employee), Plus ($80/mo + $12/employee), Premium ($180/mo + $22/employee), and Contractor Only ($35/mo + $6/contractor, with the base waived for the first 6 months). All are full-service payroll with no long-term contract.

Which Gusto plan is best for a small business?

For most single-state small businesses, Simple is the best fit — it includes unlimited full-service payroll, benefits administration, and tax filing. Step up to Plus if you pay employees in more than one state or need built-in time tracking.

What’s the difference between Gusto Plus and Premium?

Plus adds multi-state payroll, time tracking, and next-day direct deposit. Premium builds on Plus with dedicated support, an HR resource center, and proactive compliance alerts — aimed at larger teams that want hands-on HR guidance.

Can I switch Gusto plans later?

Yes. There’s no long-term contract, so you can move up or down between plans as your team changes — for example, from Contractor Only to Simple when you hire your first W-2 employee, or from Simple to Plus when you go multi-state.