9 Best Outsourced Payroll Companies for 2025

What is a Payroll Outsourcing Service?

Payroll outsourcing means hiring an external company to handle payroll tasks such as consolidating payroll data, calculating wages, managing tax regulations, administering employee benefits, and ensuring timely payroll. 

Outsourcing payroll not only saves businesses time but also ensures compliance with legal requirements. Outsourcing to a payroll expert can help avoid issues that arise with in-house payroll, like staying up to date with changing tax laws or manually fixing payroll mistakes.

‍

How We Selected the Best Outsourced Payroll Companies

Features

We prioritized solutions with user-friendly interfaces, seamless integrations with human resources and accounting software, and scalability to meet the needs of businesses of all sizes. These features ensure complete payroll management, whether you're handling a few employees or an international workforce.

Security and Compliance

Each solution was evaluated for its ability to protect sensitive data and ensure compliance with ever-changing tax regulations and labor laws. Strong security measures and up-to-date compliance credentials are essential for minimizing risks and avoiding penalties.

Customer Support

We considered the availability of responsive customer support, training resources, and ongoing assistance to ensure businesses can rely on their chosen payroll provider. Comprehensive support helps prevent payroll errors and resolves issues swiftly when they arise.

Reputation 

To ensure reliability, we reviewed user feedback on platforms like G2, Trustpilot and Capterra, along with industry recognition and third-party audits, to confirm each tool’s performance and credibility. A solid reputation indicates a track record of delivering consistent, high-quality payroll services.

‍

9 Top Payroll Outsourcing Companies

Based on the evaluation of companies on these range of criteria, we have created the ultimate list for the best payroll services that can be outsourced in 2025. 

1. Playroll

Playroll provides a comprehensive solution for managing global payroll and employment, making it ideal for businesses of any size. The platform’s Employer of Record (EOR) services enable seamless payroll processing for both international employees and contractors in over 180 countries.

Playroll offers a Global Payroll Management solution that offers businesses full control and flexibility to integrate their preferred payroll vendors per region, with no need to rip and replace their current set-up at great time and cost. The services include GP Analytics, a powerful tool for tracking and visualizing payroll data from across the world. GP Manager consolidates global payroll processes along with advanced analytics features, to give you more oversight of global payroll processes.

As part of the VAT IT Group, Playroll draws on over 25 years of experience in global employment services, prioritizing in-house legal expertise. 

Key Features Overview

• Consolidating global payroll processes into one central hub while providing flexible integrations with existing vendors and in-house operations. 
• Map payroll data from any data source, featuring integrations with leading accounting software.
• Quick deployment of software and automated vendor onboarding.
• Simplifying payroll by automating currency management, standardizing workflows, and ensuring compliance across different regions.

Global Payroll Pricing

Starting at $3 per employee.

Pros

• Quick setup with low implementation costs, saving time and resources.
• No need to replace existing payroll operations or trusted local providers.
• Real-time currency management and conversion features for global payroll.
• Advanced automation for payroll tasks across over 180 countries.
• Built-in compliance features with digitized audit trails.
• Access to knowledgeable customer support for businesses of all sizes.
• Dedicated support available at no extra cost.

Cons

• Limited integration options with third-party HR tools, though more options are always being added.

‍

‍

Truly Flexible Global Payroll

Switch to Playroll for seamless payroll management tailored to your needs, with full integration with current payroll providers and systems.

Speak to an Expert

‍

2. Paylocity

Paylocity is known for its flexibility, offering a comprehensive outsourced payroll service ideal for mid-market businesses. It also provides a suite of HR and workforce management solutions, including benefits administration, time tracking, and talent management.

Key Features Overview:

• Payroll and HR management
• Employee self-service portal
• Advanced reporting and analytics
• Cloud-based payroll processing

Pricing:

Custom pricing based on the scope of the organization.

Pros: 

• Strong HR services integration, flexible platform
• Robust reporting and analytics
• Includes a mobile app

Cons:

• Some features require a learning curve
• Pricing can be higher than competitors
• Occasional system lag
• Limited international payroll capabilities
• Customization may require technical expertise.

‍

3. Gusto

Gusto is a simple and affordable payroll outsourcing service, especially suited for small businesses. Known for its transparent pricing and ease of use, it also offers benefits administration.

Key Features Overview:

• Automated tax filing and payments
• Employee benefits management
• Time tracking and PTO management
• HR services integration

Pricing:

Starts at $39/month + $6 per employee.

Pros:

• Affordable and easy to use.
• Offers health insurance, 401(k), and other perks.
• Handles federal, state, and local tax filings.

Cons: 

• Not ideal for businesses with a large, complex workforce.
• Only available for U.S.-based employees and contractors.
• Personalized support is only available at higher tiers.
• Limited flexibility for unique payroll structures.
• Slower processing times for new businesses compared to some competitors.

‍

4. ADP

ADP, founded in 1949, is a trusted global payroll solution particularly designed for large enterprises. It provides powerful multi-country payroll software, along with advanced analytics for in-depth insights into payroll data.

Key Features Overview:

• Global payroll solutions
• Tax regulations compliance tools
• HR services integration

Pricing:

Custom pricing based on the scope of the organization.

Pros: 

• Offers 24/7 customer service with payroll experts.
• Automates tax filings, payroll calculations, and ensures compliance with regulations.
• Connects with various accounting software and HR tools.

Cons: 

• Pricing can be high compared to competitors with simpler payroll needs.
• Additional charges for tax filings, year-end reports, and certain features.
• Initial setup can be time-consuming and may require extensive training.
• While support is available 24/7, response times and quality may vary.

‍

5. Paychex

Paychex is a popular choice for small to medium-sized businesses, offering a range of payroll and HR services. Its intuitive platform ensures easy management.

Key Features Overview:

• Automated payroll processing
• Employee benefits administration
• Time and attendance tracking
• HR services for compliance

Pricing:

Custom pricing based on the scope of the organization.

Pros: 

• User-friendly customer service
• Strong compliance support for tax and labor laws
• Mobile app for easy payroll management on the go

Cons: 

• Pricing can be higher compared to some competitors
• Some advanced features come at an additional cost
• Reports and customization options can be limited
• Occasional delays in customer support response times

6. Square

Square’s payroll services are ideal for small businesses, especially those already using Square for payments, offering easy integrations, automated tax filings, and direct deposit options.

Key Features Overview:

• Simple payroll management
• Direct deposit and tax filing
• PTO and time-off tracking
• Integration with Square POS

Pricing:

$35/month + $5 per employee.

Pros: 

• Seamless integration with Square POS
• Competitive pricing, especially for small businesses with hourly employees.
• Simple and intuitive design

Cons: 

• Lacks advanced HR tools and benefits administration that larger enterprises may need.
• Best suited for retail, restaurants, and small service-based businesses, but may not be ideal for highly complex payroll needs.
• Payroll reporting features are more basic compared to competitors.
• Only available for businesses operating within the U.S.

‍

7. UKG Ready

UKG Ready is a comprehensive payroll outsourcing solution that combines payroll with advanced HR services, perfect for mid-market businesses.

Key Features:

• Payroll and HR services
• Workforce scheduling and time tracking
• Employee self-service options
• Compliance with tax regulations

Pricing:

Custom pricing based on the scope of the organization.

Pros: 

• Can integrate with HR, workforce management, and accounting software.
• Comprehensive compliance features for tax regulations, wage laws, and reporting requirements.
• Provides detailed analytics into payroll trends, labor costs, and compliance risks.

Cons: 

• Can be too complex for small businesses with a steep learning curve.
• Might be more expensive than some simpler payroll solutions, particularly for small businesses with tight budgets.
• Some businesses may find certain features require IT support or additional customization efforts.
• Some users report inconsistencies in customer service response times and issue resolution.

‍

8. Justworks

Justworks offers payroll outsourcing along with robust HR services, making it an ideal choice for small businesses with hourly and salaried non-exempt employees. 

Key Features Overview:

• Payroll processing and tax filing
• Employee benefits and insurance
• 401(k) management
• HR services and worker’s compensation

Pricing:

Starts at $49/month per employee.

Pros:

• Simplifies payroll processing and tax filings.
• Intuitive and easy-to-use dashboard for employees and administrators.
• Combines payroll, benefits, compliance, and HR tools in one platform.

Cons: 

• More cost-effective for mid-sized businesses than small teams.
• Less flexibility in payroll and HR tools compared to some standalone solutions.
• Requires companies to co-employ workers, which may not suit all business structures.
• Primarily focused on U.S.-based companies.

‍

9. Paycom

Paycom is an efficient payroll outsourcing platform that provides powerful payroll solutions and HR services to businesses of all sizes.

Key Features Overview:

• Automated payroll processing
• Tax regulations compliance
• HR services for workforce management
• Employee self-service features

Pricing:

Custom pricing based on the scope of the organization.

Pros:

• Employees can manage their own payroll, benefits, and tax documents.
• Offers comprehensive features to protect sensitive employee data.
• Advanced analytics provide valuable insights into workforce costs, turnover, and efficiency.

Cons: 

• Compared to other payroll solutions, Paycom can be expensive, especially for small or midsize businesses.
• New users may require significant training to fully utilize the platform.
• Some users report that workflow customization and reporting options have constraints.
• While customer service is available, some users experience slow response times or difficulty resolving complex issues.
• Compared to competitors, Paycom has fewer integrations with other business software, requiring more reliance on its internal ecosystem.

‍

How to Choose the Right Payroll Service for Your Business

With so many outsourced payroll solutions available, how do you choose? As a first step, it’s critical to take your business’s size and needs into consideration. Small businesses may prefer a simpler, cost-effective solution, while larger businesses require more comprehensive services. 

Ensure the provider integrates smoothly with your existing HR services, accounting tools and internal workflows to minimize disruptions. A solution that takes months to adopt can significantly impact your business – look for providers that offer quick and simple onboarding.

At Playroll, we understand the challenges at hand. Above all, we are dedicated to providing personalized customer service, for businesses of all sizes. Our platform combines automated, easy-to-implement global payroll management software with hands-on support. All in the name of making global payroll and expansion truly simple.

Book a chat with our team to learn more about consolidating your payroll operations, no matter where your team is located.