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HR & Hiring3 alternatives·~$46/mo to replace

3 Best Gusto Alternatives for Small Teams (2026)

Gusto averages $46/user/month. Below are 3 hand-picked alternatives (1 of them free or open-source) with verified pricing and honest pros and cons. Ranked by potential savings.

Quick pick

If you’re short on time, the best free pick is Payroll4Free (Free) — Free payroll processing for companies with up to 25 employees. Handles tax calculations and direct deposits.

For a deeper read, scroll the full list below. Each entry covers price, what type of alternative it is, and the official website.

All 3 alternatives, ranked by savings

  1. #1

    Payroll4Free

    FreeFree · saves 100% vs Gusto

    Free payroll processing for companies with up to 25 employees. Handles tax calculations and direct deposits.

    payroll4free.com ↗
  2. #2

    Humi

    Cheaper$5/mo · saves 89% vs Gusto

    Canadian HR platform with free core HR and affordable payroll add-on. Great for small teams needing basic payroll.

    humi.ca ↗
  3. #3

    Wave Payroll

    Cheaper$20/mo · saves 57% vs Gusto

    Affordable payroll processing with direct deposit, tax filings, and year-end tax forms at a fraction of Gusto's cost.

    waveapps.com/payroll ↗

How to actually pick one

Three-question filter:

  1. Can you self-host? If yes, the open-source picks usually win on cost and data ownership.
  2. Will the alternative cover ≥80% of your current use case? Don’t switch for a 50% feature match — the hidden cost of workflow re-learning outweighs the savings.
  3. What does the renewal math say? Calculate 12 months of cost on the alternative vs. Gusto, then subtract switching cost (estimated at ~1 work week).

See also