Rippling and Gusto both have easy-to-use and affordable payroll solutions for small to large businesses. Although Rippling’s core product is HR while Gusto’s specialty is payroll, both offer full-service payroll with unlimited pay runs, direct deposits, and tax filing services. They also handle employee benefits and can help you manage paid time off (PTO) policies and requests.
- Gusto: Best for new and small businesses needing to automate their payroll processing
- Rippling: Best for growing companies that need help managing employee data, payroll, and HR and IT processes
Despite having similar features, there are some differences between Rippling vs Gusto that may lead you to choose one over the other. With Rippling, you get a wider solution suite with applicant tracking, employee data management, and even IT tools. Gusto, meanwhile, has solid small business payroll tools with multiple direct deposit options. It also has a robust selection of employee benefits that include 529 college savings, free access to Gusto Wallet (a financial management app), and Gusto Cashout for employees that need early access to earned wages.
Rippling vs Gusto Compared
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Pricing | Core Employee Management: $10 per employee monthly Payroll: $8 per employee monthly Employee benefits: $6 per employee monthly HSA/FSA and commuter benefits: $6 per employee monthly | $39–$149 per month plus $6–$12 per employee monthly |
Contractor-Only Plan | ✕ | $6 per contractor monthly |
Direct Deposit Processing Timelines | Two days | Two and four days; next-day with premium plans |
Payroll Tax Payment and Filing Services | ✔ | ✔ |
Employee Benefits | Health insurance, 401(k), commuter benefits, health savings account (HSA), flexible spending account (FSA), ACA and COBRA administration | Health insurance, 401(k), commuter benefits, HSA, FSA, life and disability insurance, 529 college savings, ACA and COBRA administration, Gusto Wallet and Gusto Cashout |
Health Insurance Coverage | Available in 50 US states and internationally | 39 states |
Workers’ Compensation | Can purchase and manage within all plans | Can purchase and manage within all plans |
HR Tools and Support | Self-onboarding, state new hire reporting, time tracking, applicant tracking, employee information management, and HR advisers* | Self-onboarding, state new hire reporting, time tracking, HR advisers, and direct line for phone support (available in highest tier) |
Software and Computer Provisioning and Deprovisioning | ✔* | Software provisioning only (included in premium plans) |
*Note that Rippling charges extra for most of these features.
When to Choose Rippling
If you’re a small business planning to grow your company significantly in the next few years, consider Rippling. It has a comprehensive solution suite that can handle your HR, payroll, and basic IT needs. It even offers flexible professional employer organization (PEO) services in case your business reaches a point where you need help managing day-to-day HR administrative tasks. Rippling also lets you manage people operations in just one integrated platform. And given that its solutions are modular, you can create a custom plan with features that you need and want—although its core employee management module is a must-purchase solution.
When to Choose Gusto
We recommend Gusto for small businesses that need to simplify and automate payroll processes. Aside from full-service payroll, it has multiple direct deposit processing timelines that include a next-day option. And if you employ mostly contractors, Gusto has a low-cost plan that comes with year-end tax reporting services. Plus, Gusto will only charge you for months that you processed contractor payroll. It is our top pick for best small business payroll software.
Most Affordable: Gusto
When comparing Rippling vs Gusto, the former may look more affordable given its modular solutions. However, if you have more than a handful of employees, Gusto is more budget-friendly than Rippling.
Let’s compute:
Gusto’s starter plan, Core, is priced at $39 plus $6 per employee per month; Rippling’s payroll, employee management, and benefits modules cost $30 per employee monthly. Note that both options come with full-service payroll, tax filing services, year-end reporting, and access to employee benefits—although Gusto’s health insurance is limited to 39 states.
For a small business with 20 employees, the monthly fees would be:
- Gusto: $159 per month; computed as $39 + ($6 x 20 employees)
- Rippling: $600 per month; calculated as $30 x 20 employees
In addition, Gusto has multiple plan options that all come with employee benefits options and benefits administration. With Rippling, you have to purchase its two benefits modules (each costs $6 per employee monthly) if you want access to similar features. In addition, you can’t purchase only its payroll or benefits modules; you have to get its employee management solution, too, as it is Rippling’s core platform.
Gusto Pricing
- Core plan: $39 per month plus $6 per employee monthly
- Complete tier: $39 per month plus $12 per employee monthly
- Concierge package: $149 per month plus $12 per employee monthly
- Contractor-only option: $6 per contractor monthly
Rippling Pricing
- Core employee management: $10 per employee, per month
- Payroll: $8 per employee, per month
- Employee benefits: $6 per employee, per month
- Flex HSA and FSA benefits: $6 per employee, per month
- HR help desk: $100 a month
- App management: $8 per employee, per month
- Device management: $8 per employee, per month
Best Payroll Features: Gusto
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Full-Service Payroll | ✔ | ✔ |
Unlimited Pay Runs | ✔ | ✔ |
Payroll Tax Payment and Filing Services | ✔ | ✔ |
Year-End Reporting (W-2s/1099s) | ✔ | ✔ |
Wage Garnishments | ✔ | ✔ |
Direct Deposit Processing Timelines | Two days | Two and four days; next-day with premium plans |
Manual Paychecks | ✔ | ✔ |
Paycard and Pay-on-Demand Options | ✕ | ✔ |
Global Payroll Capability | ✔ | ✕ |
Early Access to Earned Wages | ✕ | via Gusto Cashout |
In the battle between Rippling vs Gusto, although both have similar features when it comes to payroll processing, Gusto has the upper hand in this area. While both offer automatic and unlimited payroll, tax filing services, and year-end tax reporting, and can handle wage processing for employees and contractors, Gusto has more to offer in terms of payment options and direct deposit timelines.
With Gusto, you can pay employees and contractors through paychecks, pay cards, pay-on-demand, and direct deposits. Its processing timelines for direct deposits are four and two days, but if you sign up for its higher tiers, you get a next-day option. Plus, if your employees need early access to their earned wages during emergencies, they can use the Cashout feature of the Gusto Wallet app.
When to Consider Rippling for Payroll
Rippling may not have Gusto’s multiple payment and direct deposit options, but if you have international staff, Rippling can help you manage global payroll processes. Rated as one of our top international payroll software, Rippling payroll lets you pay both employees and contractors, wherever they are working, either from your corporate headquarters in the US or a satellite office anywhere in the world. It even has a robust solution suite to help you handle all facets of the employee life cycle, including managing computers and business apps that employees can use.
If you’re primarily looking for help with payroll and want to consider providers other than Gusto, check out the other top payroll services we recommend.
Best for HR & Employee Benefits: Rippling
Both Rippling and Gusto offer onboarding tools, electronic offer letters, document management, benefits options, state new hire reporting, and self-service portals that employees can use to view pay stubs, tax forms, and benefits online. The two also provide time tracking and PTO monitoring tools, as well as access to HR advisers—although Rippling offers these as two separate modules, while Gusto includes these in its premium plans.
However, despite having a lot of similar HR functionalities, Rippling scored better than Gusto for this criteria. Here’s why:
- Given that Rippling’s core product is employee management, it offers additional HR features such as task management, workflow and approval automation, and a unified employee database. Plus, it has other HR solutions that companies may need as they grow. For instance, you can pay extra for its applicant tracking and learning management solutions, and even outsource payroll to Rippling through its PEO option—Gusto doesn’t have these features.
- While Gusto has more benefits offerings than Rippling, its health insurance coverage is limited in 39 states. With Rippling, you can offer your employees health benefits that are available across the US.
- Rippling’s onboarding and offboarding tools extend to more than just HR. Its app and device management tools (available as paid modules) can help automate software and computer provisioning/deprovisioning processes for new hires and resigning employees. It can store your unused computer units in its warehouse, and you can view your inventory online. For resigning employees, you can remotely lock and wipe the data from company-provided computers at the end of their last working day with your company. Gusto, on the other hand, only offers software provisioning for new employees.
When to Consider Gusto for HR & Employee Benefits
If you need health insurance and you’re not in one of the states Gusto hasn’t yet expanded to (Montana, Wyoming, North Dakota, South Dakota, Nebraska, Louisiana, Alabama, Mississippi, West Virginia, Alaska, and Hawaii), signing up for benefits plans will be easy for you and your employees.
Aside from giving you access to online offer letters, new hire onboarding, and time tracking tools, Gusto’s self-service portal allows lifetime access for your employees. So even if your staff leave your company, they can still access their Gusto account to view past pay slips and tax forms.
Best for Ease of Use, Customer Support & Integrations: Gusto
Rippling and Gusto both have easy-to-use and intuitive platforms. For new users, the two providers have setup wizards to help them get the software up and running in no time. Helpful how-to guides are available, including access to HR advisers—although Rippling charges extra for it, while Gusto offers it in its highest tier.
When comparing the integration options of Rippling vs Gusto, both connect with various types of business software (like accounting and collaboration tools). However, Rippling has a bigger network of third-party software partners as it can connect with more than 400 apps.
Despite both having user-friendly platforms and Ripping’s robust software integrations, Gusto still won in this category, primarily because of its customer support. All of Gusto’s plans come with unlimited phone, chat, and email support; Rippling only offers live chat and email—users do rate it as having high-quality customer service however.
Rippling vs Gusto: What Users Think
- Rippling: Users who left Rippling reviews on third-party sites, like G2 and Capterra, gave it an average score of 4.77 out of 5. They find its interface intuitive and user-friendly with HR, payroll, and tax compliance tools that help streamline processes. Others appreciate Rippling’s scalable platform and feature-rich solution suite. However, some users complained about having experienced occasional system glitches, login issues, and software lags.
- Gusto: On both G2 and Capterra, Gusto earned an average rating of 4.5 out of 5. Many reviewers mentioned that its ease of use, intuitive interface, and efficient pay processing tools are its top features. They also said that it is reasonably priced given Gusto’s payroll, benefits options, and HR tools. On the other hand, several users said that its support team is sometimes unresponsive and that hold times can be quite long.
How We Evaluated Rippling vs Gusto
In our evaluation of Rippling vs Gusto, we used a five-star scale designed to assess payroll solutions and services for small businesses. We compared both providers’ features—from pay processing and tax filings services to HR tools and employee benefits options. We also looked into other key criteria like ease of use, pricing, and customer support, including whether users have access to expert professionals who can provide HR and payroll advice.
Click through the tabs below for a more detailed breakdown of our evaluation criteria.
25% of Overall Score
Preference was given to providers with transparent pricing, multiple plan options, and unlimited pay runs. We also checked if they charge setup fees and offer a plan that costs less than $50 per employee. Gusto won in this criterion given its multiple full-service payroll plans and transparent pricing. Rippling only has one option for its payroll solution, plus not all of its pricing is available on its website.
25% of Overall Score
Automatic payroll runs, automated tax filing services, year-end tax report prep, and two-day direct deposits are just some of the features that we consider essential payroll services. Providers also get points if they offer both employee and contractor payroll services, including a tax penalty-free guarantee. Compared to Rippling, Gusto scored higher here given its multiple employee payment options.
25% of Overall Score
We looked for user-friendly, intuitive, and customizable platforms, including those that integrate with common small business software like QuickBooks, Homebase, and When I Work. Points were also given to providers with how-to guide options and live phone support. Gusto received higher marks here, mainly because of its unlimited phone, chat, and email support—Rippling only has live chat and email.
10% of Overall Score
Having access to a professional who can provide expert advice on compliance issues is one of the top criteria, including new hire state reporting, online onboarding, and a self-service portal. We also favored providers who offer multiple benefits options, health insurance available in all US states, and a time tracking solution. Rippling won in this criterion—Gusto would have scored higher here if not for the limited coverage of its health insurance plans (only 39 states).
10% of Overall Score
We took the average review ratings from G2 and Capterra, which are also based on a five-star scale; any option with an average of 4+ stars is ideal. Also, any software with 1,000+ reviews on any third-party site is preferred. While both Rippling and Gusto are highly rated, Gusto earned perfect scores here since it has more than 1,000 reviews online.
5% of Overall Score
Aside from offering basic payroll reports, we considered whether these are customizable and if you could create new reports to fit your specific needs. Rippling and Gusto both earned perfect marks in this criterion.
Bottom Line
Choosing between Rippling vs Gusto may not be as easy as it seems because both have outstanding features that your company can utilize to make your payroll more efficient. However, in finding the right payroll solution, you should first consider the types of features your business currently needs and what it’ll need in the near future.
Start by assessing the level of HR and IT support you need. If you’re actively hiring, require an applicant tracking system, want help purchasing and setting up new computer devices, or have international employees, consider Rippling. It’s also a great choice if offering health insurance that’s available in all US states is a priority—Gusto’s is limited to 39 states.
However, if your company is a small business that wants a robust set of payroll features with basic HR tools and multiple employee benefits choices, consider Gusto. It offers reasonably-priced plans, including a low-cost contractor-only tier, and also has the most affordable option between the two payroll software providers.
