The Very Best Payroll Software for 1099 Employees in 2025

Homebase - Workforce Management with Built-in Payroll

Homebase brings together everything small businesses need to manage their workforce effectively. The platform combines scheduling, time tracking, team communication, and payroll in one simple interface that works for both managers and employees.

Business owners can quickly create schedules using the drag-and-drop system, while employees clock in and out through the mobile app. The platform handles everything from initial hiring to daily team management, making it particularly useful for retail shops, restaurants, and service businesses.

What makes Homebase stand out is how it connects all aspects of workforce management. Managers create schedules, employees receive them instantly on their phones, and all time data flows automatically into payroll systems. This integration reduces errors and saves time for everyone involved.

Internet Reviews

Users generally appreciate Homebase for its straightforward scheduling and team communication tools. Many praise the platform's user-friendly interface and how it simplifies shift management. The auto-scheduling feature gets particular attention from managers who need to organize hourly workers efficiently.

Some reviews mention limitations with system integrations and frustration with admin approval requirements. A few users also question the value of the early wage access feature, wondering if it might negatively impact employee financial habits. Overall, the feedback suggests Homebase delivers solid functionality while having room to improve certain aspects.

Features

• Comprehensive Workforce Scheduling: Easily create and manage employee schedules with drag-and-drop interface, auto-scheduling capabilities, and real-time shift swap notifications.
• Advanced Time and Attendance Tracking: Track employee hours precisely with geofenced time clocks, automatic timesheet generation, and integrated overtime monitoring.
• Seamless Payroll Processing: Streamline payroll with automatic time tracking, integration with major payroll providers, and convenient tip and wage management features.
• Integrated Team Communication: Connect your team through built-in messaging, employee databases, and HR compliance tools that simplify workforce management.
• Recruitment and Hiring Support: Post jobs across multiple platforms, manage applicants, and streamline the hiring process with integrated recruitment tools.
• Smart Labor Cost Management: Forecast labor expenses, receive overtime alerts, and optimize scheduling based on historical performance data.
• Mobile-First Workforce Management: Access all features through user-friendly mobile and desktop apps, enabling on-the-go team coordination and scheduling.

Simplified Pricing Information

• Basic Plan is free and covers 1 location with up to 20 employees, offering basic scheduling, time tracking, employee management, and POS integration with a payroll add-on option.
• Essentials Plan costs $24.95 per location monthly, providing unlimited employees, advanced scheduling, time tracking, team communication tools, and payroll add-on availability.
• Plus Plan is priced at $59.95 per location monthly, including Essentials features plus hiring tools, PTO controls, departments and permissions, and payroll add-on option.
• All-in-One Plan at $99.95 per location monthly offers comprehensive features including employee onboarding, labor cost management, HR and compliance tools, with a payroll add-on available.
• Payroll Add-On costs $39 base fee monthly plus $6 per active employee, providing unlimited payroll runs, tax payments, direct deposit, and employee self-onboarding.
• Additional savings include a 14-day free trial for the All-in-One plan and a 20% discount for annual subscriptions.

Overall Opinion

Homebase stands out as a practical solution for small businesses that need to manage hourly workers efficiently. The platform's strength lies in its integration of scheduling, time tracking, and payroll functions, which creates a smoother workflow for both managers and employees. The free basic plan offers genuine value for very small operations, while larger businesses can scale up for more advanced features.

For companies dealing with 1099 contractors, Homebase provides useful tools but might not be as specialized as platforms built specifically for independent contractor management. The pricing structure is reasonable compared to competitors, especially considering the free tier's functionality. Overall, Homebase delivers a solid, user-friendly system that simplifies day-to-day workforce management without unnecessary complications.

Square - All-in-One Payment Processing & Business Management

Square has become a familiar sight in coffee shops, boutiques, and restaurants across the country. This versatile platform goes beyond simple payment processing to offer a complete business management system that grows with your company.

What makes Square stand out for 1099 contractors is its simplicity. You can start accepting payments quickly with minimal setup, which is perfect when you need to invoice clients or take credit card payments without the complexity of traditional merchant services.

The platform connects your physical and online sales channels seamlessly, making it easier to track all your income in one place. This integrated approach helps independent contractors maintain clear financial records, which is crucial during tax season.

Internet Reviews

Square doesn't generate much online discussion specifically regarding its use for 1099 contractors. While users mention its payment processing capabilities and e-commerce solutions, detailed experiences are limited across public forums.

The lack of substantial conversation doesn't necessarily indicate problems, but it does suggest that potential users should explore the platform personally rather than relying on abundant user testimonials. Most discussions focus on its retail and restaurant applications rather than its benefits for independent contractors.

Features

• Multi-Channel Payment Processing: Supports diverse payment methods including credit cards, mobile wallets, ACH bank payments, and Cash App Pay, allowing businesses to accept payments flexibly across multiple platforms.
• Integrated Point of Sale System: Offers customizable item management, real-time inventory tracking, and seamless hardware integration for efficient checkout experiences across smartphones, tablets, and dedicated terminals.
• Advanced Business Analytics: Provides comprehensive real-time dashboards with detailed sales insights, performance tracking, and actionable reports to help businesses make data-driven decisions.
• Unified E-commerce Solutions: Enables smooth online and offline sales integration, supporting consistent checkout experiences and connecting digital and physical sales channels.
• Robust Payment Security: Ensures PCI compliance, uses advanced encryption, and implements fraud protection tools to safeguard merchant and customer transaction data.
• Digital Business Management: Offers features like digital invoicing, recurring billing options, and multi-currency support to streamline business operations globally.

Simplified Pricing Information

• Square POS software is free to use with no setup or monthly fees, charging only per transaction.
• Transaction fees vary by payment method: 2.6% + $0.10 for in-person, 2.9% + $0.30 for online, 3.5% + $0.15 for manually entered, 3.3% + $0.30 for invoices, and 6% + $0.30 for Afterpay.
• Hardware costs range from free (first magstripe reader) to $799 for a fully integrated Square Register, with options like Square Stand at $149, Square Terminal at $299, and contactless reader at $59.
• Businesses processing over $250,000 annually can access custom pricing by contacting Square's sales team.
• Additional business tools have varied pricing: Payroll starts at $35/month + $6 per person, Online Store is free, Email Marketing from $15/month, Text Messaging from $10/month, and Loyalty Program from $45/month.

Overall Opinion

Square offers an excellent solution for 1099 contractors who need simple, flexible payment processing without long-term commitments. The pay-as-you-go pricing model means you only pay when you make money, which suits the variable income patterns of independent workers.

The platform shines in its versatility—you can start with basic invoicing and gradually add more sophisticated tools as your business grows. While the transaction fees are slightly higher than some dedicated payment processors, the convenience and integrated business tools provide good value for most contractors.

For 1099 workers looking for a straightforward way to accept payments and manage basic business operations, Square delivers a solid, reliable service that's easy to set up and use. Just be aware that specialized features like payroll come with additional costs that may not be necessary for solo operators.

Eddy - All-in-One HR for Local Businesses

Eddy delivers a complete HR solution built specifically for local businesses, with special attention to companies managing deskless workers. Founded in 2017 by former pro basketball player Travis Hansen, this platform brings together hiring, onboarding, people management, and payroll functions in one unified system.

What makes Eddy stand out is its focus on simplicity for small and medium-sized businesses that need straightforward HR tools without unnecessary complexity. The mobile-friendly interface allows workers to clock in and out easily, while HR teams can manage everything from applicant tracking to performance reviews in a central dashboard.

The platform integrates well with other business software and receives regular updates to improve functionality based on user feedback. For local businesses looking to streamline their HR processes, Eddy offers an accessible option that combines essential functions without overwhelming users.

Features

• Applicant Tracking System: Posts jobs to popular job boards and includes a customizable career page with an intuitive candidate pipeline for easier hiring.
• Paperless Onboarding: Creates smooth employee introductions with digital welcome messages and document signing capabilities.
• People Management: Maintains a comprehensive employee directory with detailed profiles and document storage options.
• Mobile Time Tracking: Lets employees clock in/out using mobile devices with biometric options for security.
• Full-Service Payroll: Handles various pay periods, prepares W-2 documents, and processes contractor payments for 1099 workers.
• Benefits Administration: Provides a user-friendly benefits dashboard with electronic carrier feeds and COBRA management.
• Performance Management: Supports 360-degree feedback, goal setting, and structured performance reviews.

Simplified Pricing Information

• Starter Plan: $4 per employee monthly plus $50 base fee - includes basic HR tools, employee information management, recruitment, and time tracking.
• Growth Plan: $8 per employee monthly plus $75 base fee - adds performance management, benefits administration, and full payroll processing.
• Premium Plan: Custom pricing for larger organizations with complex needs - includes enhanced reporting, advanced analytics, and personalized support.
• All plans require annual contracts, with custom quotes available for the Premium tier.

Internet Reviews

Users frequently praise Eddy for its intuitive interface and responsive customer service. Many small business owners mention how the platform has simplified their HR processes, particularly appreciating the streamlined onboarding and document management features. The mobile time tracking gets positive mentions from companies with field workers.

Some customers note that the monthly cost feels high compared to competitors, especially for very small teams. A few reviews mention occasional technical glitches, though most acknowledge that support resolves issues quickly. Several users have requested more customization options to better fit their specific business needs.

Overall Opinion

Eddy presents a solid option for small to medium local businesses looking to manage their 1099 contractors alongside regular employees. The platform shines in its user-friendly design and comprehensive feature set. While not the cheapest option available, it offers good value through its all-in-one approach that eliminates the need for multiple HR systems.

The combination of hiring tools, onboarding features, and payroll processing makes it particularly useful for businesses that need to manage both employees and contractors efficiently. Companies with frequent hiring needs or those transitioning from paper-based systems will likely find Eddy's straightforward approach appealing, despite some limitations in customization.

Deel - Global Payroll & Contractor Management

Deel simplifies how companies manage their global workforce, offering solutions for businesses hiring contractors and employees across 150+ countries. Founded in 2019, this platform has quickly become a go-to solution for international hiring challenges.

What makes Deel stand out is its all-in-one approach to global employment. Companies can hire full-time employees through Deel's Employer of Record model without setting up local entities, or manage contractors while staying compliant with various labor laws worldwide.

The platform centralizes everything from contracts and payments to compliance in a single dashboard, making it particularly valuable for growing companies expanding their remote teams internationally.

Internet Reviews

Deel gets generally positive feedback from users online, particularly for its payment processing capabilities and global hiring features. Many users highlight how the platform simplifies what would otherwise be complex international employment processes.

The customer support receives mixed reviews - some users praise their responsive team, while others mention inconsistencies in service quality. Several reviews note that while the platform is comprehensive, there can be a learning curve for new users navigating all its features.

Features

• Global hiring capabilities across 150+ countries without establishing local entities
• Automated international payroll with multiple currency support
• AI-powered compliance management and worker classification tools
• Comprehensive global salary data and benefits administration
• Digital contract creation with templates and electronic signatures
• Integration with popular accounting and HR software
• Automated tax form collection and management

Simplified Pricing Information

• Free basic HRIS platform for managing global teams
• Contractor management starts at $49 per contractor monthly
• Employer of Record services begin at $599 per employee monthly
• Global Payroll services from $29 per employee monthly
• US-specific payroll from $19 per employee monthly
• 50% discount available for startups in their first year
• 3% foreign exchange markup applies to international transactions

Overall Opinion

Deel offers a robust solution for companies looking to build and manage international teams without the traditional headaches of global employment. The platform shines in its ability to simplify contractor payments and full-time employment across borders, though at a premium price point.

For businesses already managing remote international workers or planning global expansion, Deel's comprehensive platform likely justifies the cost through time savings and reduced compliance risks. Small businesses with simpler needs might find the pricing steep, but the platform scales well for growing organizations.

What makes Deel valuable is how it transforms complex international hiring processes into manageable workflows, backed by compliance expertise that would be difficult and expensive for most companies to develop internally.

Paycor - Streamlined HCM for Small to Mid-Sized Businesses

Since 1990, Paycor has grown into a trusted name in Human Capital Management, now supporting over 40,000 organizations across the United States. The platform brings together essential HR functions with robust payroll processing in one integrated system.

What sets Paycor apart is its focus on simplifying complex HR tasks while offering scalable solutions for growing businesses. Their platform handles everything from recruitment and onboarding to time tracking and tax compliance, making it particularly valuable for businesses looking to streamline their HR operations.

Small businesses can choose from several plan options, while larger organizations receive custom solutions tailored to their specific needs. With regular updates and dedicated support, Paycor aims to help companies adapt to changing workforce requirements.

Internet Reviews

Online reviews of Paycor highlight its user-friendly interface as a major strength. Many users appreciate how the platform simplifies previously complex HR tasks and delivers reliable payroll processing. The recent acquisition of Verb has improved employee engagement tools, adding value to the overall package.

However, customer discussions reveal some common complaints. Support response times can be slow according to multiple reports, and several users mention frustration with the lack of transparent pricing. Reddit threads show mixed experiences, with some praising the intuitive design while others note limitations for larger enterprises needing extensive customization.

Features

• Comprehensive HR Management: Streamline recruitment, onboarding, and employee self-service with intuitive tools that simplify workforce administration.
• Automated Payroll Solutions: Process payroll with direct deposit, tax compliance, and automated filing across federal, state, and local jurisdictions.
• Benefits Administration Platform: Manage health insurance, retirement plans, and employee benefits through a user-friendly system.
• Advanced Time Tracking: Monitor employee work hours, manage schedules, and integrate seamlessly with payroll processing.
• Performance Management: Track employee performance, set goals, and support career development with structured tools.
• Reporting and Insights: Generate custom reports and gain data-driven insights to inform business decisions.
• Regulatory Compliance Support: Stay current with labor laws and tax regulations through integrated compliance tools.

Simplified Pricing Information

• Three-month free trial available for businesses of all sizes
• Small Business Plans (under 50 employees): Basic ($99/month + $5 per employee), Essential ($149/month + $7 per employee), Core ($199/month + $8 per employee), Complete ($199/month + $14 per employee)
• Medium-sized Businesses (50-1,000+ employees): Custom quotes required
• Monthly and annual payment plans available with no setup fees

Overall Opinion

Paycor delivers a solid HCM solution that works particularly well for small to medium-sized businesses. Its strength lies in combining essential HR functions with reliable payroll processing in an intuitive interface that doesn't require extensive training to use effectively.

The tiered pricing structure allows growing companies to scale their services as needed, though the requirement for custom quotes for larger organizations might cause some planning challenges. While some users report support issues, the comprehensive feature set and regular platform updates make Paycor worth considering, especially for businesses looking to simplify their HR operations without investing in enterprise-level systems.