The Best Payroll Software for Contractors in 2025

QuickBooks - by Intuit

QuickBooks stands as a versatile financial management solution that serves businesses across all industries. With both desktop and cloud-based options, it offers contractors flexibility in how they manage their accounting needs. The platform shines in connecting financial activities, from basic bookkeeping to comprehensive financial oversight.

For contractors juggling multiple clients and projects, QuickBooks helps streamline operations by connecting directly with bank accounts and automatically importing transactions. This automation reduces the headache of manual data entry, giving you more time to focus on growing your business rather than managing paperwork.

Internet Reviews

Customer feedback on QuickBooks reveals a mix of praise and concerns. While many users appreciate the robust accounting features and wide integration options, there are recurring complaints about customer service quality. Some contractors report frustration with unexpected account issues and aggressive upselling tactics that can interrupt their workflow.

The software maintains popularity despite these challenges, but potential users should note the mixed experiences with payment processing services and account management. Many contractors still choose QuickBooks for its comprehensive tools, despite occasional service limitations.

Features

• Comprehensive Financial Management: Track your business finances with an all-in-one accounting solution that handles invoicing, expense tracking, and reporting for businesses of all sizes.
• Customizable Invoicing: Create professional invoices with your company logo, send them directly to customers, and set up recurring billing for convenience.
• Online Payment Processing: Enable secure digital payments that help you get paid faster and simplify your financial transactions.
• Automated Expense Tracking: Automatically categorize expenses, track bills, and manage payments across multiple vendors with minimal manual effort.
• Payroll Processing: Streamline employee payments with automated direct deposits, tax calculations, and comprehensive payroll management.
• Detailed Financial Reporting: Generate comprehensive financial statements, sales reports, and cash flow analyses to make informed business decisions.
• Tax Management Tools: Automatically categorize expenses for tax deductions, prepare 1099 forms, and support tax filing processes.
• Bank Account Integration: Connect your bank accounts to automatically import and match transactions, simplifying reconciliation.

Simplified Pricing Information

• QuickBooks Solopreneur: $20 per month - Ideal for freelance contractors with business banking, invoicing, and basic tracking features.
• QuickBooks Online: Ranges from $35/month (Simple Start) to $235/month (Advanced) with scaling features and user access from 1-25 users.
• QuickBooks Enterprise: From $1,703/year (Silver) to $5,364/year (Diamond) for larger contracting businesses with complex needs.
• Additional Payroll Services: Core ($50/month + $6 per employee), Premium ($85/month + $9 per employee), and Elite ($130/month + $11 per employee) options available.

Overall Opinion

QuickBooks offers contractors a solid foundation for financial management with extensive features that adapt to growing businesses. The platform's strength lies in its comprehensive accounting tools and wide integration options that can connect with many contractor-specific apps and services.

While the software provides robust functionality, potential users should consider the recurring complaints about customer service and account management. For contractors who prioritize reliable payroll processing and financial tracking over customer support, QuickBooks remains a practical choice that can scale with your business. Just be prepared to navigate occasional service complications that might arise along the way.

Gusto - Comprehensive Payroll and HR for Contractors

Gusto has evolved significantly since its 2012 launch, transforming from a simple payroll service into a full-featured platform for businesses working with contractors. This cloud-based system brings together payroll processing, benefits administration, and HR management in one user-friendly interface.

What makes Gusto particularly useful for contractor management is its ability to handle payments across all 50 states while automating tax compliance. The platform streamlines contractor onboarding with digital documentation and self-service portals that reduce administrative work for business owners.

Internet Reviews

Users consistently highlight Gusto's intuitive interface as a major advantage when managing contractor payments. Small business owners appreciate how the platform simplifies complex administrative tasks with its straightforward design and automation features.

The customer support team receives regular praise in online reviews, with users noting responsive help when navigating contractor payment regulations. Businesses that have switched from other platforms often mention how Gusto's automated compliance tools help them stay on top of changing tax requirements for contractors.

Features

• Automated Payroll Processing: Simplifies payroll tasks with automated tax filing, multiple pay schedules, and direct deposit options across all 50 states, making employee compensation management effortless.
• Comprehensive Benefits Management: Offers robust insurance options including medical, dental, vision, and optional retirement plans like 401(k), helping businesses provide comprehensive employee benefits packages.
• Advanced HR Management: Provides digital onboarding tools, self-service employee portals, time-off tracking, and performance review capabilities to streamline human resource processes.
• Detailed Reporting Capabilities: Generates customizable payroll, time-off, and workforce cost reports to help businesses track and analyze critical financial and employee data.
• Seamless Software Integrations: Connects easily with popular accounting, time tracking, and expense management platforms to create a unified business management ecosystem.
• Employee Financial Tools: Includes a mobile app with spending accounts, early direct deposit, and personal finance tracking to enhance employee financial wellness.
• Flexible Pricing Plans: Offers scalable pricing options from Simple to Premium plans, allowing businesses to choose features that match their specific organizational needs and budget.

Simplified Pricing Information

• Simple Plan starts at $40 base price plus $6 per employee monthly, offering full-service payroll, employee self-service, and basic hiring tools for small businesses in one state.
• Plus Plan costs $80 base price with $12 per employee monthly, including multi-state payroll, next-day direct deposit, advanced onboarding tools, and time tracking features.
• Premium Plan offers custom pricing with a dedicated customer success manager, HR resource center, compliance alerts, and access to certified HR experts.
• Contractor Plan provides unlimited contractor payments at $35 base price plus $6 per contractor monthly, supporting payments in all 50 states with four-day direct deposit.
• Optional add-ons like time tracking, next-day direct deposit, and health insurance integration may incur additional costs, with transparent pricing and no hidden fees.

Overall Opinion

For businesses managing contractors in 2025, Gusto stands out as a reliable solution that balances functionality with user-friendliness. The platform's dedicated Contractor Plan specifically addresses the needs of businesses that primarily work with independent professionals, offering a streamlined way to handle payments and tax compliance.

While the pricing structure puts it in the mid-range category, the time saved through automation and reduced administrative headaches provides solid value. The platform's growth from a basic payroll service to a complete HR ecosystem shows its commitment to evolving with business needs. For companies looking to simplify contractor management without sacrificing thoroughness, Gusto delivers a practical and efficient solution.

ADP - Workforce Management Pioneer

ADP stands as one of the most established names in payroll processing, with roots dating back to 1949. Their cloud-based solutions have evolved to serve businesses across 140 countries, making them a global leader in workforce management technology. For contractors specifically, ADP offers scalable options through platforms like RUN Powered by ADP for smaller operations and ADP Workforce Now for growing teams.

The company has built its reputation on reliability and compliance expertise, which proves particularly valuable for contractors navigating complex tax situations across different jurisdictions. Their mobile accessibility allows business owners and workers to handle essential tasks from anywhere, whether checking pay statements or updating personal information.

Internet Reviews

ADP generally receives positive feedback for its comprehensive feature set and reliability. Users frequently praise the platform's accuracy in tax calculations and appreciate the regular updates that keep the system current with changing regulations. The mobile app earns particular recognition for its user-friendly design and convenient access to important documents.

Common criticisms focus on the platform's learning curve, with some users finding the interface less intuitive than newer competitors. Customer service experiences vary widely, with some contractors reporting excellent support while others mention long wait times during peak periods. Pricing transparency also remains a point of contention among smaller businesses.

Features

• Contractor-Specific Payroll Tools: Specialized features for managing 1099 contractors alongside W-2 employees, with appropriate tax handling for each classification.
• Multi-State Tax Compliance: Automated tax calculations and filings across different jurisdictions, ideal for contractors working across state lines.
• Mobile Access: Comprehensive mobile apps that allow on-the-go management of payroll, time tracking, and employee information.
• Time and Attendance Tracking: Integrated systems for tracking hours, managing schedules, and calculating accurate payments for hourly contractors.
• HR Resources: Access to HR tools including document management, onboarding assistance, and compliance guidance.
• Reporting Capabilities: Customizable reports that help track labor costs, project expenses, and other financial metrics critical for contractor businesses.
• Integration Options: Connects with popular accounting software and business management tools to streamline workflows.

Simplified Pricing Information

• RUN Powered by ADP: Entry-level package starts at $79 monthly plus $4 per employee, suitable for small contractor businesses.
• Enhanced Services: Additional features like HR support, benefits administration, and time tracking increase monthly costs.
• ADP Workforce Now: Mid-tier solution priced around $150 monthly base fee for small teams, with custom quotes for larger operations.
• Fee Structure: All plans include a base monthly fee plus per-employee charges that vary by service level.

Overall Opinion

ADP delivers a solid, reliable payroll solution that particularly shines for contractors dealing with complex tax situations or managing teams across multiple states. While not the most budget-friendly option for very small operations, the platform's compliance expertise and comprehensive feature set provide valuable peace of mind for growing contractor businesses.

The learning curve might seem steep initially, but the investment in mastering ADP's systems typically pays off through reduced administrative workload and fewer compliance headaches. For contractors planning for growth, ADP offers scalable solutions that can expand alongside your business without requiring a platform change when you add more team members.

Consider ADP if you prioritize reliability, compliance, and comprehensive features over having the newest interface or lowest price point. The platform represents a practical choice for established contractors who need robust payroll capabilities rather than just basic processing.

eBacon - Construction Payroll Simplified

eBacon delivers a specialized payroll solution built specifically for construction companies facing complex compliance requirements. The cloud-based platform combines essential functions like time tracking, certified payroll processing, and fringe benefit management into one unified system.

Construction firms will appreciate how eBacon handles wage calculations and union reporting requirements while ensuring compliance with federal, state, and local labor regulations. The mobile app allows workers to clock in directly from job sites, with geo-fencing to verify location accuracy. Project managers can track crews in real-time and monitor progress through the platform.

The system goes beyond basic payroll by providing job costing tools that track labor expenses, manage reimbursements, and supply minute-by-minute project financial data. For construction companies juggling multiple job sites with varying pay requirements, eBacon aims to bring everything together in one place.

Internet Reviews

eBacon maintains a surprisingly low profile online, with minimal user discussions or community engagement in recent months. This lack of public feedback makes it difficult to gauge the platform's performance in real-world settings.

The absence of substantial user reviews or active conversations suggests either a new market entrant or a niche solution with a limited customer base. Potential users should approach with curiosity and seek direct information from the company to properly evaluate its capabilities.

Features

• Comprehensive Payroll Management: Streamlines certified payroll processing for construction companies, automating complex calculations and ensuring compliance with government regulations.
• Mobile Time Tracking: Enables workers to clock in/out from anywhere using smartphones, with offline functionality and geo-fencing to track accurate job site locations.
• Advanced Job Costing: Provides real-time insights into project finances, tracking labor costs, expenses, and comprehensive employee-related expenses for precise bidding and financial planning.
• Fringe Benefit Tracking: Efficiently manages union shifts, pay differentials, 401(k) plans, and complex compensation requirements for construction workforce.
• Compliance Reporting: Generates detailed reports ensuring adherence to federal, state, and local labor laws, with specialized prevailing wage compliance features.
• Seamless System Integration: Connects smoothly with existing accounting and HR systems, reducing manual data entry and potential errors.
• Employee Self-Service Portal: Allows workers to access payroll information, update personal details, and submit expense reimbursements directly through the platform.

Simplified Pricing Information

• Pricing starts at $1,000 per month for comprehensive construction payroll and compliance management software.
• No free trial available, with pricing based on specific business needs and features required.
• Recommended to contact eBacon directly for a customized quote tailored to individual business requirements.
• Value for money rating of 4.3, indicating effectiveness but potentially higher pricing compared to alternatives.

Overall Opinion

eBacon offers a promising solution for construction companies struggling with complex payroll and compliance challenges. The platform's focus on industry-specific needs like certified payroll, prevailing wage compliance, and job site time tracking addresses real pain points for contractors.

The starting price of $1,000 monthly positions this as a solution for established construction firms rather than small contractors. While the feature set appears comprehensive, the lack of online reviews makes it harder to verify real-world performance. Companies should request a detailed demonstration before committing to ensure the system meets their specific requirements.

For mid-sized to large construction businesses with multiple projects and complex compliance needs, eBacon could provide significant value by streamlining administrative burdens and reducing compliance risks. Smaller contractors might find more cost-effective alternatives elsewhere.

Payroll4Construction - Specialized Payroll Solutions for Contractors

Payroll4Construction stands out as one of the few payroll services built exclusively for construction companies. This industry-specific focus allows them to handle the unique challenges contractors face daily, such as prevailing wage calculations, certified payroll reporting, and multi-state work.

The platform combines deep construction knowledge with modern technology to streamline payroll processes that often trip up general payroll services. Their system manages union fringe benefits, complex job costing, and jurisdiction-based tax requirements without breaking a sweat.

For contractors juggling multiple job sites across various locations, the software offers both web-based access and mobile capabilities, allowing teams to submit time from anywhere and managers to approve hours on the go.

Internet Reviews

Payroll4Construction offers a specialized service that construction businesses seem to appreciate. Users highlight its exceptional customer support, with staff being notably responsive and helpful. The platform stands out for its ability to handle complex payroll tasks like union tracking and multi-state compliance, making it a solid choice for construction industry professionals.

While detailed negative feedback is scarce, the available information suggests a generally positive user experience. The software's ease of use, particularly its simple payroll entry and comprehensive reporting features, appears to be a significant draw for companies looking to streamline their workforce management and job costing processes.

Features

• Construction-Specific Payroll Reporting: Generate certified payroll reports in print and electronic formats compatible with systems like DiR, LCPTracker, and eMARS, ensuring accurate documentation for construction projects.
• Multi-Jurisdiction Payroll Management: Handle payroll across multiple states, cities, and jurisdictions with advanced tracking for complex construction workforce requirements.
• Automated Wage and Fringe Calculations: Automatically calculate pay rates, union fringes, and prevailing wages based on employee, job, location, and trade specifications.
• Mobile Timecard GPS Tracking: Enable field workers to log hours with GPS-stamped clock-ins and clock-outs, providing real-time workforce location and time tracking.
• Comprehensive Compliance Reporting: Generate EEO, minority compliance, workers' compensation, and job labor reports to meet industry regulatory requirements.
• Flexible Software Integrations: Seamlessly connect with accounting platforms like QuickBooks, FOUNDATION, and Sage for streamlined job costing and payroll processing.
• Unlimited Expert Support: Access experienced construction payroll professionals for comprehensive guidance and assistance with complex payroll challenges.

Simplified Pricing Information

• Basic Pricing: Available upon request, requiring direct contact with Payroll4Construction for a custom quote.
• Custom Pricing Structure: Tailored to specific construction business needs, considering factors like number of employees, payroll complexity, and required features.
• Comprehensive Service Inclusion: Pricing encompasses construction-specific payroll services, including certified payroll reporting, multi-state calculations, union tracking, mobile timekeeping, and software integrations.
• No Free Version or Trial: Currently does not offer a free tier or trial period for potential customers.

Overall Opinion

Payroll4Construction fills an important gap in the market by tackling the specific challenges contractors face with payroll. The software shines in its handling of certified payroll, prevailing wages, and multi-state compliance - areas where general payroll systems often fall short.

The integration capabilities with popular construction accounting software add significant value, reducing duplicate data entry and improving job costing accuracy. While the lack of a free trial might deter some potential users, the specialized nature of the service and positive user feedback suggest it's worth requesting a quote if your construction business struggles with complex payroll requirements.