Gusto vs. OnPay (2026): Which Simple Payroll Service Wins?

OnPay is the cheaper, simpler choice for very small businesses that just need flat-rate payroll, while Gusto offers more depth in benefits, contractor support, and integrations. Both are full-service: they auto-calculate, file, and pay federal, state, and local payroll taxes, plus year-end W-2s and 1099s, and neither locks you into a contract. OnPay’s pitch is one flat plan with everything included; Gusto’s is a tiered platform with more built-in benefits and tooling as you grow.

After about three years running my agency on Gusto, I can say OnPay is a genuinely good, underrated competitor — especially for the smallest and most budget-sensitive teams.

Gusto vs. OnPay at a glance

Pricing: tiered vs. one flat plan

Both publish their pricing, which I appreciate.

Gusto is tiered:

• Simple — $49/month + $6 per employee
• Plus — $80/month + $12 per employee
• Premium — $180/month + $22 per employee
• Contractor Only — $35/month (free for the first 6 months) + $6 per contractor

Direct deposit, pay stubs, and tax filing are included.

OnPay keeps it dead simple: $40/month + $6 per employee, one plan, with every feature included — multiple pay schedules, unlimited runs, tax filing, and even specialized support for agriculture (Form 943) and nonprofits. For a small team, OnPay’s flat $40 base undercuts Gusto’s $49, and you never have to think about which tier you’re on. For a 10-person business, OnPay is about $40 + $60 = $100/month versus Gusto’s $109/month on Simple.

Features: where each one pulls ahead

OnPay leads on:

• A single flat plan with all features included — no tier decisions
• Slightly lower base price for the smallest teams
• Strong fit for agriculture (Form 943) and nonprofits
• Straightforward, no-frills interface

Gusto leads on:

• Built-in health, 401(k) via Guideline, workers’ comp, HSA/FSA
• 188+ integrations including QuickBooks and Xero
• A contractor-only plan and polished contractor workflows
• Hiring/onboarding tools and a richer employee self-service portal
• More HR depth as you scale via Plus and Premium

Where OnPay genuinely wins

OnPay deserves credit. Its flat pricing is honest and easy to budget, it handles niche cases like farm payroll and nonprofit needs better than most, and its all-features-included approach means a tiny business never pays for a tier upgrade to unlock a basic feature. If you run a 3-person shop, a farm, or a small nonprofit and want the least fuss for the lowest predictable cost, OnPay is a smart pick.

Where Gusto pulls ahead

Gusto’s advantage grows with your needs. Built-in benefits administration, a contractor-only plan with six free months, a much larger integration library, and stronger onboarding/HR tooling make it the better long-term home for a growing team. If you expect to add health insurance, a 401(k), or more employees, Gusto’s depth pays off. See my Gusto pricing breakdown and Gusto reviews for detail.

Which should you choose?

Choose OnPay if you:

• Run a very small team and want the lowest flat base price
• Operate a farm (Form 943) or nonprofit
• Prefer one plan with everything included
• Don’t need built-in benefits or many integrations

Choose Gusto if you:

• Want built-in health, 401(k), and workers’ comp
• Pay contractors or want a contractor-only plan
• Rely on QuickBooks, Xero, or other integrations
• Expect to grow and want HR depth on tap

Both are honest, transparent, contract-free payroll tools — a refreshing change from the quote-based giants in my Gusto vs. ADP comparison. Browse the full blog index for more.

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. The current offer is on the home page.

Frequently asked questions

Is OnPay cheaper than Gusto?

Slightly, for small teams. OnPay is a flat $40/month + $6 per employee versus Gusto’s $49/month + $6 per employee on the Simple plan. The gap is small, and Gusto includes more built-in benefits and integrations, so weigh features alongside the base price.

Does OnPay have the same features as Gusto?

For core payroll, yes — both file federal, state, and local taxes and handle W-2s and 1099s. Gusto adds more built-in benefits, a contractor-only plan, and 188+ integrations, while OnPay focuses on a simple all-included flat plan with strong agriculture and nonprofit support.

Which is better for a nonprofit or farm?

OnPay has a particular strength here, with built-in support for Form 943 agriculture payroll and nonprofit needs at its flat rate. Gusto can handle these too, but OnPay’s focus and pricing make it a natural fit for the smallest specialized employers.

Do both file payroll taxes automatically?

Yes. Gusto and OnPay are both full-service providers that automatically calculate, file, and pay federal, state, and local payroll taxes, including year-end W-2s and 1099s, with no long-term contract.