Voucher / 12-month total
Payroll service annual cost in 2026
Monthly fees hide the real total. Once you fold in W-2 processing and common add-ons, the cheapest annual provider is often not the cheapest monthly provider.
Quick Answer
At 10 employees, the lowest published true annual cost is Square Payroll and Homebase at roughly $1,140 to $1,190, both with W-2s included. Paychex's published rate computes a touch lower, but Paychex rarely holds its sticker once add-ons and year-end fees are quoted, so treat it as a floor. Patriot Full Service lands near $1,294 once W-2 fees are added. OnPay and Gusto Simple sit around $1,308 after raising prices to $49 + $6 in 2026. ADP usually quotes $1,500 or more for the same headcount.
Schedule A
True annual cost at 5 employees
| Provider | Monthly | 12-mo subtotal | W-2 fees | True annual |
|---|---|---|---|---|
| Square Payroll | $65 | $780 | $0 | $780 |
| SurePayroll | $64 | $768 | $25 | $793 |
| Paychex Flex Essentials | $64 | $768 | $35 | $803 |
| Homebase Payroll | $69 | $828 | $0 | $828 |
| Patriot Full Service | $62 | $744 | $125 | $869 |
| Wave Payroll | $70 | $840 | $30 | $870 |
| Patriot Basic | $67 | $804 | $125 | $929 |
| OnPay | $79 | $948 | $0 | $948 |
| Gusto Simple | $79 | $948 | $0 | $948 |
| QuickBooks Payroll Core | $83 | $990 | $0 | $990 |
| ADP Run Essential | $99 | $1188 | $30 | $1218 |
Schedule B
True annual cost at 10 employees
| Provider | Monthly | 12-mo subtotal | W-2 fees | True annual |
|---|---|---|---|---|
| Paychex Flex Essentials | $89 | $1068 | $70 | $1138 |
| Square Payroll | $95 | $1140 | $0 | $1140 |
| Homebase Payroll | $99 | $1188 | $0 | $1188 |
| SurePayroll | $99 | $1188 | $50 | $1238 |
| Wave Payroll | $100 | $1200 | $60 | $1260 |
| Patriot Basic | $87 | $1044 | $250 | $1294 |
| Patriot Full Service | $87 | $1044 | $250 | $1294 |
| OnPay | $109 | $1308 | $0 | $1308 |
| Gusto Simple | $109 | $1308 | $0 | $1308 |
| QuickBooks Payroll Core | $115 | $1380 | $0 | $1380 |
| ADP Run Essential | $119 | $1428 | $60 | $1488 |
Schedule C
True annual cost at 25 employees
| Provider | Monthly | 12-mo subtotal | W-2 fees | True annual |
|---|---|---|---|---|
| Paychex Flex Essentials | $164 | $1968 | $175 | $2143 |
| Square Payroll | $185 | $2220 | $0 | $2220 |
| Homebase Payroll | $189 | $2268 | $0 | $2268 |
| ADP Run Essential | $179 | $2148 | $150 | $2298 |
| OnPay | $199 | $2388 | $0 | $2388 |
| Gusto Simple | $199 | $2388 | $0 | $2388 |
| Patriot Basic | $147 | $1764 | $625 | $2389 |
| Wave Payroll | $190 | $2280 | $150 | $2430 |
| QuickBooks Payroll Core | $213 | $2550 | $0 | $2550 |
| Patriot Full Service | $162 | $1944 | $625 | $2569 |
| SurePayroll | $204 | $2448 | $125 | $2573 |
Year-end
What hits your bill in January
Year-end is the budget surprise nobody prepares for. Three categories typically land in January:
- W-2$5 to $25 per W-2 at Patriot, Paychex, and ADP. Not charged at OnPay, Gusto, Square, Homebase, QuickBooks.
- 1099$0 to $15 per 1099-NEC. QuickBooks charges $15.99 per e-file. Most others include or charge under $5.
- FUTAAnnual 940 reconciliation. Included in tax filing service. DIY users file a paper or e-file 940 by January 31.
Three years out
Multi-year cost projection at 10 employees
Most payroll SaaS raises prices 5 to 10 percent per year. This table assumes 7 percent annual escalation, which matches typical Gusto and OnPay rate-card history.
| Provider | Year 1 | Year 2 | Year 3 | 3-yr total |
|---|---|---|---|---|
| Patriot Full Service | $1294 | $1385 | $1482 | $4160 |
| QuickBooks Payroll Core | $1380 | $1477 | $1580 | $4437 |
| OnPay | $1308 | $1400 | $1498 | $4205 |
| Gusto Simple | $1308 | $1400 | $1498 | $4205 |
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