Companies increasingly rely on software to process employee payrolls instead of doing it by hand. Not only does payroll software automate and speed up the whole process of paying workers, but it also streamlines these tasks, especially if you have a large number of employees living across several states.
However, each payroll program comes with its own limitations. Payroll software can be aimed at businesses that have either full-time employees or independent contractors. Some software even calculates tax deductions. In order to help you navigate this niche and choose the best payroll software for your business, we’ve compiled a list of the top nine free payroll software options.
We looked at several metrics when assessing these programs, as you’ll see in our methodology subsection below. These reviews focus exclusively on completely free software; we decided not to include providers that only offer free trials for a limited amount of time. Still, being free, the payroll apps we’ve reviewed do have some limitations. Check out our free payroll software reviews below.
Praised for its user-friendliness and fast operations, Remote is one of the best solutions for managing employees' benefits and payroll. The software enables businesses fast and free onboarding in over 170 countries worldwide, helping them find and offer benefits and perks to their workers. In addition, the free version of the software includes features that help businesses stay compliant with state-specific laws and regulations. Remote is a good option if you want software that’s entirely free and comes with basic features for onboarding and managing payroll. Read Review
- ⦿Available in over 170 states
- ⦿Automated payments
- ⦿Hire international workers in accordance with local labor laws
Skuad’s free version allows you to find, onboard, and manage contractors from anywhere in the world. You won’t need to open a subsidiary to manage your payroll - just focus on your business growth. However, the free version of the software will not be enough for you if you want to hire full-time employees, create documents in accordance with local laws, and do taxes. Unfortunately, Squad's paid version starts at $199 per month, which is expensive compared to other software products. Read Review
- ⦿Manage payroll in over 160 countries
- ⦿Fast onboarding
- ⦿Live chat support
Trusted by more than 920,000 clients, with more than 70 years of service, ADP is a modern all-in-one solution for employers that need payroll and HR services. ADP covers businesses of all sizes and various industries, making it one of the most popular human capital management tools providers. The company is known for its excellent customer service and has an A+ rating with the Better Business Bureau (BBB). The company offers numerous features, including payroll processing, direct deposit, time and attendance tracking, and employee benefits administration. ADP also has a mobile app that allows you to access your account from anywhere. If you’re looking for a comprehensive payroll and HR solution, ADP is a great option. Read Review
- ⦿Time tracking services
- ⦿Available in 140 countries
- ⦿Employee benefits administration
SPECIAL OFFER Three months FREE payroll when you sign up.
Payroll4Free is a fantastic payroll software for smaller businesses and startups. It offers a completely free and comprehensive payroll service for businesses that have fewer than 25 employees. If you go over that number, the service will cost you $35 for each payroll run. Taxes are calculated for free, but the service to actually pay them carries an additional cost. For businesses that have fewer than 25 employees and are happy to pay their own taxes, Payroll4Free is a great all-in-one free payroll check printing software with payroll processing and tax calculation included. For larger companies, there are better options out there. Read Review
- ⦿Available in all 50 states
- ⦿Tax calculations included
- ⦿Multiple payment options available
HR.my is an app best suited to companies that work with freelancers and independent contractors from countries around the world. Besides payroll processing, HR.my offers leave and attendance management, as well as intercompany communication channels. Unlike Payroll4Free, it places no limits on employee numbers, nor does it set any geographical boundaries. Unfortunately, this means that, like many other options for free payroll software online, it doesn’t offer US-specific tax tables, so you’ll have to input tax variables, bank accounts, and earnings manually. On the plus side, HR.my supports paying employees via cash, direct deposits, or checks. Read Review
- ⦿No limits on employee numbers
- ⦿Can be used globally
- ⦿Additional communication channels
ExcelPayroll is a fantastic tool for people who like calculating payroll in Microsoft Excel. It’s essentially an Excel spreadsheet with added payroll processing features. If you’re looking for payroll software for your small business that’s free and easy to use, Excel Payroll may be just the ticket. Just bear in mind that free calculations only apply if you have up to 50 employees. The software can also print employee checks and create tax compliance reports, but you’ll need to add federal tax information by yourself. Excel Payroll is a simple and effective solution, but one limited in scope and not very user-friendly for people unfamiliar with Microsoft Excel. Read Review
- ⦿Great for Excel users
- ⦿Free up to 50 workers
- ⦿Straightforward interface
If you’re looking for both accounting software and free payroll check writing software in one place, Wave might just be the ticket. This company provides free accounting and payroll processing services for independent contractors (1099s), with optional full-time employee payroll processing for a fee of $20, plus $4 per employee. Wave integrates with a huge number of other business apps and allows you to create standard tax and payroll reports. You can even take advantage of its US tax filing services in certain states. Wave is hard to beat as an all-in-one free payroll and accounting software. Just remember that with full-time employees, you’ll need to switch to a paid package or use some other software. Read Review
- ⦿Perfect for independent contractors
- ⦿Business app integrations
- ⦿Tax-filing service
TimeTrex is a community-run, open-source payroll and time-tracking tool. In addition to payroll calculation services, the free version of the software provides attendance tracking, records how many hours employees work, and allows you to create work schedules. With payroll, free software is often limited, and here the missing features are compliance services and customer support. You’ll have to handle tax calculation by yourself, but payroll deductions will be calculated for you automatically during payroll processing. Volunteers run TimeTrex, so it doesn’t have a dedicated support team, and you’ll have to rely on the community forums for troubleshooting. Read Review
- ⦿Every feature is completely free
- ⦿Ability to create work schedules
- ⦿Payroll deductions are calculated for you
Paycheck Manager offers payroll calculations for free, but not much more than that. It’s ideal if you need payroll software for free to perform simple payroll calculations for a small number of employees. The free package gives you access to a payroll calculator, but you’ll need to manually input employee data and choose the appropriate state and tax year. Paycheck Manager also comes with federal tax compliance, but you’ll need to add local taxes yourself and factor in local labor laws. The option to create reports is offered as a premium feature. Read Review
- ⦿Good for small companies
- ⦿Very simple features
- ⦿Flexible pay rates
ESmart Paycheck is similar to Paycheck Manager in that its payroll check software has a free package that only gives access to a payroll calculator. This calculator is compliant with US federal tax laws but requires you to factor in unemployment rates, local tax, and labor laws yourself. ESmart Paycheck only offers two payment options: cash or check, with no scope for direct deposits. As with Paycheck Manager, the free package doesn’t allow you to create any reports, and you have to fill out tax information yourself. Consider it an alternative to Paycheck Manager and a practical but basic tool for handling payroll. Read Review
- ⦿Free payroll calculation
- ⦿Completely secure
- ⦿Several payment options
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Do You Need Payroll Software?
Before you start seriously considering which payroll software to go for, you’ve probably asked yourself, “Do I even need payroll software?” This, of course, depends on the size of your workforce and the needs of your business.
If you have a smaller workforce and you only require simple payroll calculations, you could probably stick to processing your payroll manually. Still, we always recommend using payroll software, as it can only make things easier. Furthermore, when you can get payroll software for free, there’s no harm in at least trying it out.
So, how can payroll software help you and your business? First of all, it improves your efficiency by greatly streamlining, automating, and speeding up the whole payroll process. You don’t have to manually calculate things like hours worked for each employee, bonuses, and away days. Every minute you save on tasks such as these is a minute you can reallocate to other important duties in your company.
Secondly, this software reduces the risk of error. Some payroll software also performs tax calculations, such as tax deductions, sick leave, or overtime. Another very important advantage of payroll software is data protection. Employee payroll data is very sensitive, so it’s crucial that it’s secure and protected from intrusion. Having all payroll data gathered in one place also helps you keep track of everything more easily.
As you can see, there are many advantages to using this kind of software. Now it’s time to read our reviews of small business payroll software that’s free and find the right one for your business.
Review Methodology
Cost
When making this list, we chose only those options that are truly free. A lot of providers offer month-long free trials, but we’ve omitted free-trial payroll software from this particular list, as we wanted to focus on payroll software that you can use for free indefinitely.
Of course, the providers behind the software also need to earn money. They do so in several ways. The first and least restrictive way is through in-software ads. While this doesn’t affect your business in any way, the ads can become irritating.
The second way in which these providers earn revenue is by placing limitations on their free software packages. This is most commonly done by limiting the number of employees for which the software will process payrolls free of charge. For each employee over the limit, you have to pay a fee or switch to a paid package.
Another limitation of free payroll processing software is the range of services they offer. Some providers only offer payroll calculations for free. In these cases, they charge for other services, such as tax deductions.
In each of our reviews, we describe the exact pricing plan for each piece of payroll software. Assessing the needs and size of your business is crucial when looking at pricing or choosing which software to go for. If, for example, you have a smaller number of employees, you need not worry about employee caps when choosing your free payroll app. However, if you need to take care of taxes and follow state-specific laws, you can expect to pay extra for those services or to choose software that might limit you in some other areas instead.
While your instinct might be to go for the free or cheapest option, we strongly suggest you take other metrics into account. Continue reading to see which other important factors we look at in our reviews.
Payment Methods
There are several ways you can pay your workers. It’s possible that each free web-based payroll software only supports one or two of these payment methods, which are: payroll checks, cash, direct deposits, and payroll cards.
Payroll checks are the simplest, as they don’t require employees to have bank accounts. However, checks can be misplaced or lost.
Paying your employees in cash is another straightforward option. However, it’s harder to keep track of cash payments, you have to be extra careful with keeping records, and it might cause tax problems.
Direct deposit, where you deposit money straight to your employees’ bank accounts, is the most common way of processing payments.
Finally, payroll cards are a newer payment method; they allow you to deposit wages directly to a worker’s prepaid card.
While writing our reviews of the best free payroll software, we looked at which payment methods are supported by the reviewed payroll software. This should be a make-or-break factor for you when choosing payroll software. Unless you’re planning on changing the way you pay your employees (which might not be such a bad idea if you’re relying on cash payments), you should choose software that supports your current method of paying wages. By reading our reviews, you can decide which free payroll software for small businesses will best suit your needs.
Security
Employee payroll and bank account information is extremely sensitive data, and you’re obliged to keep it safe. Therefore, one of the metrics we looked at when writing these reviews was how secure each program’s online systems and databases are. Things to watch out for when checking out payroll software security are the levels of encryption the program uses and where it stores its data. Of course, you should also ensure security is tight on your end by restricting access to payroll information only to trusted people who actually work in that field. If you plan on using online and/or cloud free payroll processing software, make sure security is a high priority.
Tax Compliance
The importance of tax compliance when running a business cannot be stressed enough. Making sure all tax deductions and state-specific requirements, such as overtime and sick days, are properly calculated, recorded, and paid for is not only important, but mandatory. There are important differences in the tax compliance services each of the payroll software options offer.
Some software does not offer any tax services at all, meaning you have to calculate it all on your own or by paying for another service. Even the best payroll software available for free might only perform tax calculations for you but won’t actually create statements or pay taxes for you. Among those programs that do offer tax services, some might only provide tax forms for either full-time employees or independent contractors. You should keep an eye out for this specifically, as these two employer-employee relations require different tax forms: 1099s and W-2s.
1099s and W-2s are tax forms that represent two types of workers. Independent contractors get 1099 forms, while employees get W-2s. In most cases, payroll taxes are automatically deducted from employee paychecks. Contractors, on the other hand, are usually responsible for calculating their own taxes and submitting them to the government.
When reading our reviews of the best payroll services you can use for free, make sure you check out the tax-compliance segment. This information will help you choose a program that offers the right tax service for your business. At the very least, it’ll let you know if the software you’ve chosen doesn’t offer tax services.
Accessibility and Ease of Use
Accessibility and ease of use might not seem like crucial metrics, especially compared to cost or tax compliance. In a sense, this is true. However, that doesn’t mean usability isn’t important. A streamlined, user-friendly, and intuitive UI can positively affect efficiency, while overcomplicated and convoluted interfaces can take up a lot of your time.
Since all the small business payroll programs we’ve reviewed are free, you shouldn’t expect their interfaces to be very slick or advanced. Of course, this experience may differ from software to software, but in general, you can expect bare-bones layouts and plenty of ads. That said, most of the selected software on our list is not hard to master. Besides the UI and the software itself, we looked into software integration possibilities and whether you can use each program to create tax and payroll reports.
The 5 Best Free Payroll Software Programs
- Remote
- Skuad
- ADP
- Payroll4Free
- HR.my

Payroll Software for Small Business Reviews
Remote Review
GOOD
EXCELLENT
GOOD
GOOD
NONE
- ⦿ Remote IP Guard
- ⦿ Pay workers in their local currency
- ⦿ Generate 1099s forms automatically
Skuad Review
GOOD
ADVANCED
GOOD
GOOD
NONE
- ⦿ Pay workers in over 100 currencies
- ⦿ Country-specific benefits
- ⦿ GDPR compliance
ADP Review
ADVANCED
ADVANCED
GOOD
GOOD
YES
- ⦿ Employment benefits
- ⦿ Multi-jurisdiction payroll
- ⦿ W-2s and 1099s
Payroll4Free
ADVANCED
GOOD
FAIR
SIMPLE
NONE
- ⦿ Manage worker's time off
- ⦿ Unlimited customer support
- ⦿ Tax-compliance functions integrated
HR.my
BASIC
GOOD
NONE
BASIC
- ⦿ Mobile app included
- ⦿ SSL protection
- ⦿ Several payment methods
Excel Payroll
BASIC
POOR
FAIR
SIMPLE
NONE
- ⦿ Completely Excel-based
- ⦿ Customer support available through email
- ⦿ Easy to use
Wave
BASIC
GREAT
BASIC
FAIR
YES
- ⦿ Mobile app included
- ⦿ SSL encryption
- ⦿ Tax filing allowed for certain states
TimeTrex
BASIC
GREAT
NONE
FAIR
YES
- ⦿ Automatic payroll deductions
- ⦿ Time-tracking features
- ⦿ Mobile app included
Paycheck Manager
BASIC
GOOD
FAIR
FAIR
YES
- ⦿ Mobile app included
- ⦿ Unlimited payroll calculations
- ⦿ Free calculator included
eSmart Paycheck
BASIC
GOOD
GREAT
GREAT
NONE
- ⦿ Simple payroll calculations
- ⦿ Intuitive user interface
- ⦿ Free trial for the paid version of the software
When choosing the best free payroll software for your business, you should keep an eye out for several things. Ask yourself these questions: How many employees do you have, are they independent contractors or employees, and are your workers US-based or not? If you only need to perform payroll calculations from time to time and for independent contractors, you should choose Wave, Paycheck Manager, or eSmart Paycheck. On the other hand, if you need regular payroll calculations for US-based workers, you should go for one of the US-tax-compliant options on our list, like Payroll4Free, HR.my, or Excel Payroll.
Yes, all of the software we’ve reviewed here is free. However, these programs usually have some limits or lack some advanced features. They might have ads that pop up in the software, limit the number of employees you can do payroll for, or only allow you to perform calculations one at a time.
All the software on our list is free, but the software that offers the most without paying is probably Payroll4Free.
Deciding which software is best for you comes down to the specific needs of your business. Many payroll programs for small business are free, so you’ll have plenty of choices. Check out our methodology and reviews to get a better sense of what to look out for when choosing the appropriate software.
Although we’ve reviewed only completely free software here, the prices for paid packages usually depend on the number of employees and whether you need tax filing services. The average cost is around $10 per employee per month, plus tax-filing fees.
Yes, but manual calculations, especially for a larger workforce, would take an absurd amount of time. It’s much better to use some of the free payroll software from our list, as it’ll cost you nothing and save you a lot of time.
By using any of the reviewed programs from our list, all of which come with free payroll calculations (although some are only for independent contractors). Enter the data, then let the software perform calculations and allow you to print out checks.