7 Best Employer of Record Services for 2023
Charlette has over 10 years of experience in accounting and finance and 2 years of partnering with HR leaders on freelance projects. She uses this extensive experience to answer your questions about payroll.
This article is part of a larger series on Payroll Services.
Usually used for companies with international payroll, an effective employer of record (EOR) service can take a lot of stress and busywork off your plate so you can concentrate on expanding your business. We looked for the best EOR companies, compared them according to their pricing and offerings, and selected those that operate in multiple countries, offer special plans for contractors, and can handle payroll and hiring.
The seven best EOR services for small businesses are:
- Papaya Global: Best overall employer of record
- Rippling: Best EOR for tech-heavy industries needing software/IT onboarding
- Remote: Best EOR for protecting your intellectual property
- Multiplier: Best for hiring and paying international and domestic freelancers
- Velocity Global: Best employer of record for when you have employees who are moving out of country
- Globalization Partners: Best EOR for hiring internationally
- OysterHR: Best for nonprofits or budget-minded businesses hiring contractors
Best Employer of Record Companies Compared
Monthly pricing (per employee) | Setup fee | Reduced fees/plan for contract employees | Dedicated representative or team | # countries | |
|---|---|---|---|---|---|
 | $770 | None | $25 | ✓ | 160+ |
 | $599* (Call for Quote) | None | $20 (Call for Quote) | ✕ | 150 |
 | $699** | None | $29 | w/Enterprise Plan | 170+ |
 | $300 | None | $40 | ✕ | 150+ |
 | Call for Quote | Included in quote | Call for Quote | ✕ | 185+ |
 | Call for Quote | Added to price | $49 | ✕ | 187+ |
 | $399 | None | $29 | ✕ | 130+ |
*Pricing obtained via a quote from the provider
**Remote offers a discount of $100 if you pay annual expenses in one payment, upfront ($599 per employee).
Papaya Global: Best Overall Employer of Record
Overall Score:
4.68 / 5
Pros
- Transparent pricing
- Inexpensive contractor management plan
- Can pay employees in cryptocurrency
- Responsive local support
Cons
- Expensive
- Lacks 24/7 customer support
- Uses a partner network instead of its own local entities
Papaya Global Pricing
- Payroll Only: $20 per employee monthly
- Includes payroll, local tax filing assistance, and benefits management
- Global EOR: $770 per employee monthly
- Payroll + workers classification and compliance checks
- Contractor Management & IC Compliance: $25 per employee, per pay cycle
- Payroll + workers classification, compliance checks, and contractor management
Add-on solution
- Payroll Intelligence Suite: $250 per year, per location or $320 per quarter, per location
- Includes access to real-time employer costs and workforce spending data
Papaya Global’s extensive partner network provides EOR services in over 160 countries, with hiring, onboarding, management, and multicurrency payments and benefits management tools. With separate plans for pure global payroll and international contractor payroll, you can let it handle your payroll and basic HR duties for your entire company.
Papaya is one of the most expensive on our list, yet it topped the charts for nearly every HR and payroll feature we looked for. The biggest hit it took was for working through partner services rather than having its own entities. If this concerns you, look at the others on our list—except Rippling, which also has a partner network. Papaya earned 4.68 out of 5 on our rubric. Meanwhile, real-world users over multiple review sites rated it 4.79 on average, which is the highest score on our list, tied with Velocity Global and Rippling.
Papaya Global Pricing
Unlike most PEO companies, which require you to call the provider for a quote, Papaya Global’s pricing is fully transparent. It offers three plans: Payroll, Global EOR, and Contractor Management and Independent Contractor (IC) Compliance. You get payroll processing, local tax filing assistance, full benefits management and administration, and HR support in all plans. You can use the payroll program for domestic employees while taking advantage of the other programs for international workers.
- Global EOR ($770 per employee monthly): Includes worker classification checks, full EOR legal responsibilities for compliances
- Contractor Management and IC Compliance ($25 per pay cycle): Less expensive because there are no tax responsibilities, it still includes worker classification and compliance checks
- Payroll ($20 per employee monthly): Lacks worker classification or compliance checks
- Payroll Intelligence Suite (add-on; $250 per location if billed annually, $320 per location if billed quarterly): Real-time insights into your employer and employee costs across business locations and time periods; integrates with third-party payroll systems and data converts for uploading to any financial and ERP software
Papaya offers country-specific information to complement its payroll and HR tools.
(Source: Papaya Global)
Papaya Global Features
- Family immigration help: While others on our list mention providing visa and work permit assistance for your expatriates and employees on international short-term assignments, Papaya takes it a step further with help for their spouses and family. This can definitely smooth the road for your employee or be used to attract better talent.
- Integrations: While Rippling is the best for integrations, Papaya is no slouch, integrating with HRIS, expense management, time and attendance, ERP, and financial software. Others on our list only work with other HRIS systems, while Multiplier and Velocity Global don’t mention integrations at all. Plus, if you already have a payroll processor, Papaya will integrate it for you.
- Payroll: Like all on our list, Papaya provides full payroll services, including tax benefits. It does this through its partner network, while others on our list have direct control. However, Papaya stands out in that it can pay employees through cryptocurrency, an increasingly popular choice in some nations. Payroll payments are, of course, in the local currency and language and through local bank transfers or direct deposits. With its acquisition of Azimo, a digital money transfer service, it can pay in hours instead of days to more than 150 countries.
- Benefits: Like all the employers of record on our list, Papaya Global analyzes your benefits plans by country to help you come up with attractive packages. However, it can also help you create incentives for executives or equity rewards for workers. We only saw this in a few of the EORs we considered.
- Dedicated representative: Papaya provides you with a dedicated customer success representative who is your first point of contact for questions or concerns. It was the only one on our list with a dedicated representative. Most offer access to their local experts, while Remote provides a team in its Enterprise plan.
Rippling: Best for Companies Needing Software/IT Onboarding
Overall Score:
4.61 / 5
Pros
- Excellent tools for onboarding software and hardware
- Excellent integration capabilities with over 500 options
- Can use for international and domestic payroll and HR
Cons
- Pricing isn’t all transparent
- Works through partners
- No dedicated support representative
Rippling Pricing* - Call for pricing
Global EOR services: $599 per employee monthly
Global Payroll: $20 per employee monthly
Global Contractor Payroll: $20 per employee monthly
*Pricing in this table was obtained via a quote from the provider
We inevitably recommend Rippling for companies whose employees need IT onboarding because of how easily it makes the process of assigning software licenses. It can even take over the process for you by formatting and sending company computers to your employee anywhere they are. Rippling often ranks as one of our top-recommended HR payroll software for small businesses. Users even praised its ease of use and robust integration options.
Rippling earned 4.61 out of 5 on our matrix. Its modular makes for an intuitive interface, and it blows the others away for integrations. Tasks like approving payroll take as little as 90 seconds. Like Papaya, it does work through partners (the others on our list don’t). Real-world users of Rippling services give it 4.79 out of 5 stars, the highest score on our list (Velocity Global and Papaya also have 4.79 out of 5 stars).
In the News:
As of January 2023, Rippling offers EOR services in 150 countries.
Rippling Pricing
Rippling, like Velocity Global and Globalization Partners, does not list its pricing online, so you need to call a sales representative. We were given a quote for EOR services at $599 per employee monthly (to get this price with Remote, you have to pay annual costs upfront), plus $20 per employee monthly for payroll. Contractors are $20 per employee monthly—the cheapest on our list—although Oyster has a free plan for your first two contractors and deductions for volume. Its plans run monthly, and it can do independent global payroll for contractors at a reduced price. Rippling is a modular program, so you may be able to mix and match the features you need to get the most for your budget.
Rippling’s modular interface makes it one of the easiest to work with for administrators and employees. (Source: Rippling Demo)
Rippling Features
- IT support: If your employees need special software to do their job, Rippling is the best for onboarding. In addition to the usual new hire tasks, it can assign computers and software licenses to employees, including providing computers with preloaded software, and helps with the return of hardware at termination (this service costs extra, but includes monitoring and offboarding).
- Integrations: Rippling blows away the competition when it comes to integrations with over 500 apps, including accounting, expense management, HR, sales, communication, and productivity tools. Most on our list integrate into HRIS software.
- Payroll: Like all EORs on our list, Rippling pays in local currency, handles local taxes wherever your employee lives and works, and bills you when the work is done. Just like with its regular services, it takes only 90 seconds to pay your international employees as well. Everything populates to your general ledger, and Rippling offers pre-built reports or lets you create custom ones. It even has a job costing tool that lets you apply employee time to a client, task, and job location for billing or analysis.
- Easy onboarding: From offers to IP agreements, Rippling makes it easy to onboard your employees. It can handle everything from background checks to assigning and shipping a company credit card. As noted above, Rippling is the only EOR on our list that can also handle sending your new employee a company computer or getting their own computer set up with access to the software they need to do the job.
Remote: Best Employer of Record for IP Protection
Overall Score:
4.54 / 5
Pros
- Information-rich website, plus educational resources
- Strong IP protection
- Free EOR for refugees
- Available in 179 countries
Cons
- Payroll and onboarding cutoff deadline of 11th each month
- Dedicated support with Enterprise plan only
- Email support only
Remote Pricing
- Contractor Management: $29 per contractor monthly
- Includes contractor payroll tools
- EOR: $699 per employee monthly ($599 per employee monthly if billed annually)
- Includes automated employee payments, hiring and legal compliance management, employee benefits, invention and IP rights protection, and access to local HR/legal experts
- Global payroll: Call for quote
- Includes payroll services, invention and IP rights protection, and legal compliance management
- Discounts for startups, social purpose organizations, and refugee-hiring
Remote is one of the top employers of record companies because of its excellent toolset and emphasis on protecting intellectual property and educating its clients on the challenges of managing employees internationally. As a bonus, it offers free services for any refugees you hire! We chose it as best for IP protection, but it’s a great choice even if you aren’t dealing with intellectual property.
We gave Remote a 4.54 out of 5 on our rubric. Like Papaya, it earned excellent scores throughout, with perfect scores for HR tools and reporting. It lost only a few points in support because its dedicated support requires an enterprise plan; otherwise, support is via email. However, real-world users gave it an average score of 4.56 out of 5—not as high as most on our list, but still outstanding.
Remote Pricing
Like Papaya, Remote is upfront about its pricing, with its EOR program at $699 per month ($599 if you sign up for an annual plan). In addition, it has a contractor management plan for only $29 per month. Remote’s plans work for both foreign and domestic employees.
If you want something simpler, like global payroll for those areas where you already have a local presence, you can call Remote for a custom quote. Remote Global Payroll consolidates payroll, ensures compliance, and provides country-specific reports. Finally, it offers a tailored Enterprise plan that includes a dedicated support team. Call for a quote as well.
Remote offers discounts for charities, nonprofits, and startups. It also provides its services free for refugees.
Remote’s site is feature-rich but easy to navigate.
(Source: Remote demo on YouTube)
Remote Features
- Free EOR services for refugees: While Papaya, Globalization Partners, and Oyster have special pricing for refugees, Remote will act as their EOR for free.
- Payroll: Pay your employees in local currency and even crypto (something only Papaya, Rippling, and Multiplier do). Remote supports over 100 currencies in 179 nations—and it does not charge interchange fees, which can save you money. It can handle bonus and incentive payments for international staff and even supports the Dutch 30% ruling, wherein qualified highly skilled migrants who moved to the Netherlands for specific jobs get tax-free allowances equal to a maximum of 30% of their gross salary. One caution with Remote: You need to get your payroll done by the 11th of each month for it to reflect, even if you are on a semimonthly payroll schedule.
- Benefits: As with any good EOR, Remote has a full spread of enterprise-level medical and health benefits. However, it can also help with stipends, allowances, stock options, and even one-time benefits like a moving bonus. Not every EOR on our list works beyond the required minimum for compliance. Remote offers a free 30-minute equity incentive planning consultation to learn more.
- IP protection: While some employers of record, like Rippling, include IP agreements in their contracts, Remote goes out of its way to emphasize the protection of any patents your foreign employees may come up with. It offers a three-stage approach to ownership protection and employs experienced counsel in top-tier law firms to ensure that your rights are protected each step of the way.
- Information-rich website: Remote impressed us with the amount of information it provides companies on the topic of hiring and managing international employees. While many, like Papaya and Globalization Partners, offer country guides and a blog, Remote has these, plus customizable templates for things like contracts, a misclassification risk tool, webinars, and speakers. It also has a community where you can share experiences, learn from experts in the field, and more.
Multiplier: Best for Hiring & Paying International & Domestic Freelancers
Overall Score:
4.51 / 5
Pros
- Hires in 150+ countries, pays in 120 currencies
- Can handle assignment of laptops and software
- Pays in cryptocurrency if desired
- Can manage employee stock option plans (ESOP)
Cons
- Does not integrate with outside software
- Support not as robust/fewer online sources
- Some problems adding specific clauses to contracts
Multiplier Pricing - prices may vary by country
EOR Plans
- Hire Employees: starts at $300 per employee monthly
- Includes contracts, payroll, benefits, expense and leave management, 24/7 support from local experts
- Pay Freelancers: $40 per contractor monthly
- Includes hiring, payments benefits, 24/7 support
Additional Plans
- Run Global Payroll: starting at $20 per employee monthly
- Includes payroll, benefits, expense management, 24/7 support from local experts
- Provide Employee Insurance: Starting at $20 per employee monthly
- Includes curated plans, plans for dependents, zero co-payments, benefits administration
Multiplier’s freelancer plans are somewhat pricier than others on our list, but we believe it is best for hiring contractors internationally because of all the features of its plan. For example, you can include benefits (something most contractor plans don’t include) and process expenses. It works in 150 countries and pays in 120 currencies. Multiplier is also the only EOR aside from Rippling that can supply company laptops to your employees.
Multiplier earned 4.51 out of 5 on our rubric. It got perfect scores for pricing (and is the cheapest EOR for employees), and perfect scores for HR tools and payment features. We didn’t see a lot in terms of report customizations, which brought down the score some, as did the lack of integration capability. However, real-world users rate it 4.72 out of 5 stars, the second-highest user score on this list.
Multiplier Pricing
Like most of the employers of record on our list, Multiplier has two plans. The Employee plan starts at $300 per employee monthly and covers hiring, management, and payroll. The freelancer plan starts at $40 per month. In addition, if you have a local presence somewhere and just want payroll and benefits, these plans start at $20 per employee monthly, each. This is reasonable, even for domestic payroll services, and keeps everyone on the same software, making your job easier.
Onboarding takes minutes or less with Multiplier. (Source: Multiplier on YouTube)
Multiplier Features
- Freelance administration tools: Multiplier has the best freelance hiring tools. It starts with an assessment tool to ensure you are properly classifying them as a contractor. Then you can generate locally compliant contracts (something Velocity Global lacks). Of course, Multiplier onboards your freelancer. Invoicing is easy for your contractor, and you can pay immediately or pay all your freelancers at once. Freelancers can also claim expenses via Multiplier’s platform. Where Multiplier stands out, however, is that its plan includes benefits administration, which can be a big plus if you have full-time, dedicated contract workers.
- Laptop and software assignment: Like Rippling, Multiplier can also handle IT onboarding by providing your international employee with a company laptop loaded with the software they need. This is a relatively new service for Multiplier, while Rippling has been doing this for years.
- Payment in cryptocurrency: According to a study by SoFi, 36% of employees would like to be paid in cryptocurrency. You can make direct crypto payments or let Multiplier handle the conversion into the desired cryptocurrency. Remote and Papaya have this capability as well.
- Benefits: Multiplier offers locally compliant insurance and benefits, which you can customize to ensure your workforce is getting similar compensation wherever they are. In addition, it offers Employee Stock Ownership Plan (ESOP) administration so your employees can be invested in your company’s success.
- 24/7 support: Multiplier boasts 24/7 local support for questions of compliance. However, it does not mention a dedicated support specialist, like you get with Oyster and Papaya.
Velocity Global: Best for Employees Moving Out-of-Country
Overall Score:
4.29 / 5
Pros
- 185+ countries
- Praised for its people-first approach
- Excellent support for immigrants, business travelers
- International document handling
Cons
- Freelance plan does not include compliance support
- Must call for a quote
- Does not have services for Alaska
Velocity Global Pricing - Quote based
- Call for a quote
Velocity Global is an excellent EOR for working with international employees. However, where it really stands out from the others on our list is how it helps employees who are moving from your home country to somewhere you don’t have a legal entity. It goes beyond visas and payroll to provide transition support not only for expats but also for your business travelers. This service is pricier than most but offers a more personalized approach that real-world users praise.
Velocity Global earned 4.29 out of 5 in our evaluation. Pricing took a hit because it requires a custom quote. We also did not like that its freelancer plan does not include compliance checking in the contract. The representative we spoke with said it checks that they qualify as a contractor under the law and handles payroll only. It does not actually recruit for you like others on our list. Nonetheless, it got excellent scores across the board and received 4.79 out of 5 stars from real-world users. That was the top user score, which Papaya and Rippling also received.
Velocity Global Pricing
Velocity Global does not list prices online, nor were we able to secure a quote or find any third-party sources that list prices. However, some sources mentioned setup fees, and even real-world users agreed that it was pricey compared to similar services.
Velocity Global’s interface is easy to use and works with mobile too.
(Source: Velocity Global on YouTube)
Velocity Global Features
- Global onboarding: Like Papaya, Velocity Global can handle work visas and other paperwork that your new hire may need to work in their country. This is great if you have an established employee that’s moving out of your country. Papaya goes further with family visas as well; however, Velocity global can also give your employee on-the-ground support to help them transition to their new country of residence.
- International document handling: While others on our list assist you with creating compliant contracts and onboarding documents, Velocity Global can go a step further by handling all vital documents—not just collecting them, but also translating them if needed. Naturally, it checks for legalities. The exception to this is if you use its freelance program. It does not check contracts for compliance issues. We suggest Multiplier for handling freelancers.
- Payroll: Velocity Global can pay employees in over 185 countries in local currencies, although it does not have cryptocurrency payment capabilities. For that, consider Multiplier, Remote, or Papaya. It provides a consolidated payment for employees and contractors, so you don’t have to pay separately by country or pay date.
- Benefits: Velocity Global can provide more than the minimum benefits required. In addition to health, it can provide pensions, life insurance, and more. It works with you to determine the best rewards for your employees as well as to get you competitive rates.
- Personal support: A common theme in the reviews we read, both from our competitors and from real-world users, was that Velocity Global provides personalized support. The people take time to educate you in your particular situation. You do get a dedicated account representative in case you have issues.
Globalization Partners: Best for Hiring Internationally
Overall Score:
4.27 / 5
Pros
- Partnered with ADP
- Local compliance and tax support
- Payroll processing in 187 countries
- Visa sponsorship in 31 countries
Cons
- Even plan with listed price suggests there may be additional fees
- Requires two-month advance payroll deposit
- For international employees only; does not handle domestic
Globalization Partners Pricing - Call for Quote
- G-P Contractor: Starts at $49 per contractor monthly
- Includes tools for hiring, managing, and paying international contractors
- G-P Recruit: Custom-priced
- This solution grants you access to recruiting specialists to help you find qualified candidates in key locations globally
- G-P Employee: Custom-priced
- Includes full access to its Global Employment Platform to help you manage HR and payroll processes
Globalization Partners (G-P) is an international EOR that can handle your foreign employees in over 187 countries. It can recruit and hire for you, or if you have an employee, provide contracts that adhere to local laws, onboard, manage, and pay your employee for you. It will not handle your domestic workforce, but it does partner with ADP TotalSource, a top-rated PEO service. We recommend it for its international hiring capabilities.
G-P earned a solid 4.27 out of 5 on our list. The pricing was where it took a big hit; others on our list are more transparent and have more options for service add-ons. However, it earned excellent scores on all the features and ease of use. In addition, real-world users rated it 4.68 out of 5 stars, averaged over four review sites.
Globalization Partners Pricing
Globalization Partners has two plans for full-time employees: G-P Recruit, which is for hiring global employees, and G-P Employee, which hires, onboards, pays, and manages your international employees—both require custom quotes after a 45-minute meeting and demo.
G-P contractor, its third plan, is devoted solely to contractors but includes hiring, managing, and paying them. It’s $49 per contractor monthly. This is more expensive than most on our list, but others only cover contractor payroll (G-P says there may also be “additional fees,” so ask when you sign up).
G-P’s talent dashboard includes live chat if you have questions.
(Source Globalization Partners on YouTube)
Globalization Partners Features
- Partners with ADP: ADP is one of our top-rated payroll, HR, and PEO services. If you already work with the company and want to expand your services beyond the domestic market, working with Globalization Partners makes the process easy.
- Recruit and hire international employees: G-P can recruit and hire someone for you in any of its 187 countries (the most of any on our list). It can sponsor visas itself in 31 of those countries, taking a lot of paperwork off your hands. Plus, it automatically generates global employment contracts that comply with local labor laws and will recommend a country-specific compensation package. If you choose to recruit yourself, it can give you country-specific offer templates to start you out.
- Easy global payroll services: G-P’s payroll is similar to those on our list, paying employees in local currencies and taking care of your taxes according to each country’s schedule. Once Globalization Partners issues the payroll, it sends you the bill with all employee expenses included (others send a monthly bill, and some bill by country). Globalization Partners lets you fund your payroll either through bank transfer, Venmo, and cryptocurrency, but only pays employees by traditional direct deposits or manual checks. Multiplier, by contrast, can also pay employees in cryptocurrency.
- International benefits: Like other EORs, Globalization Partners provides enterprise-level benefits packages for employees at competitive prices that meet the country’s requirements. It then manages the programs, both in payroll and execution. While it does not list the services online, since they vary by country, it does provide an online “Globalpedia” that explains the required and voluntary benefits expected in a country—from maternity leave to stock options—as well as how much you should add to salaries to cover these benefits. When you call for a quote, your rep will help you determine what’s commonly offered so that you remain competitive.
Read our Globalization Partners Review
Oyster: Best EOR for Nonprofits or Budget-minded Businesses Hiring Contractors
Overall Score:
4.06 / 5
Pros
- Free DIY plan for contractors
- Discounts for nonprofits and refugees
- Dedicated customer support
- Includes IP protection
Cons
- Health benefits are an add-on
- Does not pay in cryptocurrency
- Minimal report generation
Oyster Pricing - may vary by country
- Free Self-service contractor plan
- Lite ($29 per contractor monthly)
- Includes hiring in 180 countries, pay, invoice and expense management, HR tools
- Business ($399 per employee monthly)
- Includes full-time employee hiring in 130 countries, global payroll, compliance, IP protection, knowledge centers, time-off management
- Enterprise (call for quote)
- Business plan plus custom global compliance support and a dedicated hiring success team
- Health benefits are an add-on
- Discounts for nonprofits and refugees, and for over five employees
Oyster is a global payroll and EOR that works in over 120 countries, plus another 60 for contractors. Its services are pretty much what you’d expect from an employer of record. However, it impressed us with its many discounts, plus its excellent customer support. It has a free DIY plan and an inexpensive plan for contractors—and like Remote, offers hefty discounts for nonprofits. Thus, we consider it a good choice for budget-minded businesses.
Oyster earned a 4.06 out of 5 on our rubric. It did very well for pricing and HR tools, as well as payment functions. However, Oyster was the only one to lose major points under reporting. It only offers four reports: payroll, team member, invoice, and expense. It also has the lowest user-review score of those on our list—4.06 out of 5, which is still pretty good.
Oyster Pricing
Oyster’s pricing is simple but can vary slightly depending on the country (many on our list are like this). Its Business Plan runs $399 per employee monthly, which is the cheapest on our list after Multiplier. Further, it offers a contractor plan at only $29 per contractor monthly, which is the same as Remote.
Nonprofits get their first employee free for 12 months and get 30% off the Oyster platform for up to 10 full-time hires.
However, Oyster also offers discounts once you get over five team members. Plus, there are discounts for hiring refugees and even a free plan for your first two contractors. If you meet the criteria, you could get a quality EOR and a greatly reduced price as compared to the others on our list.
Oyster offers many resources to help you navigate international employment, like its hiring tool that checks for compliances. (Source: Oyster)
Oyster Features
- Free DIY tools for international contractors: If you are just starting out internationally, and are only looking to hire a contractor, Oyster provides free tools. You can onboard and pay two contractors at no charge. The plan provides tools to draft compliant contracts, some IP protection, and payroll based on the currency you choose; also, in the US, it issues 1099 forms. It includes access to Oyster Academy and HR tools such as cost calculator, legal starter pack, and more. It’s the only plan on our list that makes it free to give international hiring a try.
- Discounts for nonprofits: Like Remote, Oyster has special discounts for certified nonprofits or B-Corporations. This includes your first employee free for 12 months, 30% off for up to 10 full-time hires, free enrollment in Oyster Academy, and free tickets to their annual conference, plus exclusive meetups with other Oyster users and experts.
- Free hiring of refugees: Oyster does not charge you for using its services to hire up to 10 refugees. However, in cases where Oyster does not have a direct local entity, you can hire through its Niya platform—but it charges you 18% of the employee’s gross salary. Remote offers free EOR for refugee talent. If you find a refugee without a permit or banking, Oyster may be able to help.
- Excellent customer support: Despite the user score being lower than others on our list (4.06 is still a strong score!), Oyster users generally had great praise for customer support’s responsiveness and helpfulness. Oyster is one of the few on our list that gives you a dedicated team. It also has a guided hiring process in-app, hiring guides, reports on global employment and employee expectations, a podcast, and the Oyster Academy with courses for HR professionals.
- Payroll & benefits: Oyster does fully compliant payroll that can pay out to 120 countries (180 for contractors). The platform can handle bonuses and expense reimbursements as well as salaries. Oyster integrates with ERP systems for your payroll data. You’ll pay a lump sum each month, and Oyster distributes it accordingly. One place Oyster falls short, however, is that its health benefits must be purchased as an add-on. This could hike up the price.
How We Evaluated
We looked at over two dozen EOR services, narrowing them down to those that served small and midsize businesses and were priced reasonably (where we could get quotes). Then we dove deep to evaluate them for features and ease of use. Finally, we added feedback from real-world users to come up with the top seven.
Papaya scored nearly perfectly in all categories. Its price point and the fact that it works with partners rather than direct local entities were the only big things keeping it from a higher score.
Click through to see the scoring criteria:
20%
Pricing
20%
HR Features
10%
Reporting
20%
Payroll Features
15%
Expert Score
15%
Ease of Use
20% of Overall Score
We looked for transparency—can you find the pricing on a website or with a phone call, or do you need an in-depth assessment of your business? We also considered setup fees, separate (cheaper) plans for your contractors, and whether they have add-ons for additional tools. Papaya and Multiplier earned a perfect 5 out of 5 here.
20% of Overall Score
Your EOR should handle your employees from hiring to termination, including paperwork, benefits, and compliances. We also looked for any indication that they protect your intellectual property, like patents created by your employees. All providers got a perfect rating for this criteria apart from Globalization Partners and Oyster.
10% of Overall Score
We not only considered what reports are available but also how customizable they are, and if they can be separated by country. Nearly all the services got 5 out of 5, but Oyster earned only a 1.25 because it has just a few reports that are not especially customizable. Multiplier’s options were more limited, so it earned 3.75 out of 5.
20% of Overall Score
In addition to the basics, like time clock tools, we concentrated on global features like paying in local currency and having local entities as opposed to third-party partners. Multiplier took the lead with a perfect score.
15% of Overall Score
Here, we considered appropriateness for SMBs, how good the software was, and what real-world users thought of the service. Papaya and Rippling had the highest scores here.
15% of Overall Score
Ease of Use included setup, customer support, how-to guides, and the ability to move data to other programs. Papaya earned a perfect 5 out of 5 here.
*Percentages of overall score
Employer of Record Frequently Asked Questions (FAQs)
What are employer of record services?
Employers of record (EORs) take on administrative responsibility and liability for your employees. They are listed as your worker’s legal employer; however, you have complete control over tasking, training, and other non-administrative or payroll functions.
What can an EOR do for me?
EORs handle a variety of tasks, including:
- Hiring and terminating employees
- Onboarding
- Paying your international employees
- Complying with country-specific employment and payroll regulations
- Providing enterprise-level benefits
- Employee expense reimbursement
- Intellectual property (IP) protection
Should I use an employer of record?
This, of course, is an individual choice. An EOR can get pricey, but also takes a lot of work off your company’s hands. Rather than hiring staff to handle HR and payroll and track legal and tax compliances across all the countries you have employees in—not to mention establishing a local entity in the country—you can have an EOR handle that for you. Since EORs have employees from many companies, they can qualify for less expensive, higher-end benefits packages that bigger companies can offer.
In return, however, you are giving up a level of control. Since they generally hire and onboard, you may see a shift in company culture. Also, if you have an existing HR department, you’ll need to make sure they adapt to the changes in responsibilities.
When should I use an employer of record?
An EOR is most effective when
- You are moving to a global workforce
- You are hiring in a new country and don’t have a local legal entity there
- Your HR department is small or you don’t want to invest in a large HR department
- You prefer to let someone else handle the legal and tax issues involved in hiring employees
What’s the difference between an EOR and a PEO?
An EOR shows up as your employee’s official employer. A PEO simply replaces your HR department—responsibilities and liabilities are still on you. When dealing with global employment, if you want to use a PEO, you need to have a local entity in the country or region where you are hiring; you don’t need this with an EOR. PEOs, however, are generally more affordable than EORs while doing much the same work.
Bottom Line
An employer of record can take a lot of stress off a business, especially when hiring international employees. It takes the liability and administrative responsibility for hiring, paying, and terminating your employees so you can concentrate on training and tasking. As the official on-paper employer, it assumes liabilities for tax and workplace compliances.
Overall, Papaya took the clear lead as the best EOR service. It works in over 160 countries for payroll and HR services; has a separate, cheaper plan for international contractors; and helps with work permits and visas not only for your employees but also their families. Check out Papaya and get started on broadening your international reach.
