In today’s fast-paced business landscape, choosing the right HR software is an important decision for businesses to enhance efficiency and streamline operations. With 80% of U.S. businesses now using HR tools, these systems have become essential for managing payroll, employee benefits, and performance tracking.
Among the many solutions available, Gusto and Patriot are two top contenders. Gusto is well-known for its intuitive interface and versatile features designed for small to mid-sized businesses. At the same time, Patriot focuses on affordability and simplicity, catering to businesses seeking reliable payroll and HR functionalities without the complexities.
This blog will provide an in-depth comparison of Gusto and Patriot software – two HR software for startups and small businesses – to help you determine which HR software aligns best with your organization’s goals and operations.
Gusto Vs. Patriot – At A Glance
Feature
Gusto
Patriot
Payroll
Offers various tools, including automated calculations, direct deposits, tax filings, and multi-state support
Includes essential features like direct deposit, tax filing, and employee portals
Time And Attendance
Integrated time tracking tools to monitor employee hours, overtime, and PTO seamlessly
Offers several time-tracking solutions, including employee timecards along with its history report and customizable employee overtime rules
Reporting And Analytics
Automates compilation of customizable reports to enhance data-driven decision-making process
Provides various types of reports, including time and attendance, HR, accounting, and payroll software reports
Document Management
Includes customizable documents for its Plus and/or Premium plan users, along with tools like drag and drop to map fields and more
Enables users to upload company handbooks, individual documents like performance reviews, and forms in one unified platform
Integrations
Seamlessly integrate with 100+ third-party applications, including Box, BreezyHR, Engagedly, and Asana software
Integrates with third-party applications, mainly focusing on payroll and accounting software like QuickBooks
What Is Gusto?
Gusto HR Software is a cloud-based human resource software that initially focused on payroll solutions only but later introduced its Human Resources Information System (HRIS) services, too. The platform offers a plethora of features to simplify business operations, enabling companies to support their employees efficiently while ensuring a smooth hiring process.
Unique Features Of Gusto
Onboarding Checklist: Streamlines the process of issuing key documents, enrolling employees in benefits, and provisioning software, reducing administrative workload
Payroll Taxes: Automatically calculates, files, and pays federal, state, and local payroll taxes, ensuring compliance and reducing the risk of errors
Workers’ Compensation: Offers a pay-as-you-go workers' compensation policy that integrates with payroll, ensuring accurate and timely payments without lump sums
Financial Benefits: Provides access to financial wellness tools, including retirement plans and health savings accounts, helping employees manage their finances
Who Are The Main Users Of Gusto?
The following industries use Gusto:
Healthcare
Dentists
Hospitality
Retail
Manufacturing
Construction
Real estate
Pros And Cons Of Gusto
Pros
Automates the entire HR operations
Centralized view of all benefits
Easy time-tracking for employees and managers
Cons
Updates to payment schedules are slow
Report generation may be time-consuming
What Is Patriot?
Patriot is a cloud-based HR software that caters to the evolving needs of small to medium-sized businesses across various industries. It offers several solutions for payroll management, employee benefits, time and attendance tracking, and HR management. Patriot Payroll simplifies routine tasks, addressing challenges like payroll processing, tax compliance, and benefits administration.
Unique Features Of Patriot
Employee Portal: Allows employees to access payroll information, view pay stubs, and manage personal details
HR Assessments: Evaluates HR practices and identifies compliance risks to ensure regulatory adherence
Benefit Documents Creator: Enables users to create necessary benefits documents like Premium Only Plan (POP) for IRS compliance and Wrap Summary Plan Description (SPD) for ERISA disclosure
Reports: Generates various reports, including payroll and HR compliance reports, offering insights for informed decision-making and avoiding penalities
Who Are The Main Users Of Patriot?
The following industries use Patriot software:
Event management
Information technology
Accounting
Recruitment
Construction
Real Estate
Food and beverages
Pros And Cons Of Patriot
Pros
Payroll runs faster as compared to other systems
Transparent tax remittance details
Direct deposit for paying contractors
Cons
Reporting features are limited
No option for recurring or multi-week payrolls
Gusto Vs. Patriot – Key Feature Comparison
Payroll
Gusto offers an accurate and effortless payroll with a simple onboarding process that allows you to pay your team in just a few clicks. It supports unlimited payrolls
without extra charges and automatically files payroll taxes. It also provides compliance, accuracy, and peace of mind with organized employee I-9s, W-2s, and contractor 1099s.
Patriot provides unlimited payrolls and free direct deposit for qualifying customers. It supports multiple pay rates, customizable hours, and deductions. The software is 100% mobile-friendly, allowing you to run payroll directly from
your smartphone or tablet. It also offers a free employee portal for secure access to pay stubs, pay history, and electronic W-2s. Additionally, Patriot handles payroll taxes, offers comprehensive payroll reports, and integrates with QuickBooks
and other accounting software.
Winner: It is a draw as both Gusto and Patriot offer extensive payroll solutions with unlimited payrolls and automatic tax filing. Gusto stands out for its seamless integration with various benefits and compliance features,
while Patriot excels with its mobile-friendly platform and comprehensive employee portals.
Time And Attendance
Gusto offers various time and attendance tools that include accurate time tracking, scheduling, and PTO management. Employees can clock in and out via the Gusto Wallet app or any web browser and use the time kiosk for easy time logging.
Furthermore, the geofencing capabilities support flexible work arrangements, while project tracking allows employees to tag time spent on specific projects for better productivity insights.
Patriot provides efficient time and attendance features, such as employee time tracking, customizable overtime rules, and seamless integration with payroll. Managers can approve timecards quickly and send work hours directly to payroll.
Additionally, features like the nudge tool and timecard daily notes enhance communication and ensure timely submissions
Winner: Gusto stands out with its advanced geofencing, project tracking, and comprehensive scheduling tools, making it a superior choice for businesses needing flexible and detailed time management capabilities.
Reporting And Analytics
Gusto offers customizable reports, anonymous team surveys, automatic compliance alerts, and project tracking. These features provide detailed insights into workforce costs, employee satisfaction, and tax credits, helping businesses
make informed decisions and save time.
Patriot provides a variety of accounting reports, including balance sheets, general ledgers, and accounts receivable aging reports. These reports help businesses track financial health, manage payroll, and stay on top of invoices and
taxes.
Winner: Gusto's customizable reporting features, along with its focus on employee insights and compliance, make it the better choice for businesses looking to gain deeper insights and save time.
Document Management
Gusto offers customizable document management with features like custom onboarding checklists, e-signatures, and document storage. It supports PDF
uploads and allows employees to easily complete mapping fields.
Patriot provides secure document storage and individual document sharing. It supports various file formats and offers granular access control, allowing admins to share documents with specific employees.
Winner: Gusto takes the lead by a slight margin due to its customizable onboarding checklists and e-signatures, providing businesses with a flexible document management system.
Pricing
Gusto offers three pricing plans tailored to business needs:
Simple – $40/month + $6/month/person, ideal for small businesses needing basic payroll.
Plus – $80/month + $12/month/person, designed for growing teams with advanced payroll, HR, and time tracking.
Premium – $180/month + $22/month/person, suited for larger businesses requiring extensive payroll, HR, benefits, and dedicated support.
On the other hand, Patriot provides two plans each for accounting and payroll software:
Accounting Basic – $20/month.
Accounting Premium – $30/month, with optional bookkeeping add-ons starting at $100/month and a one-time onboarding fee.
Basic Payroll – $17/month + $4/worker, with add-ons for time tracking and HR software at $6/month + $2/employee each.
Full-Service Payroll – $37/month + $4/worker, with add-ons for time tracking and HR software at $6/month + $2/employee each.
Winner: Patriot's cost-effective pricing and flexible add-ons make it a more attractive option for small businesses looking for affordable payroll and HR solutions.
Choosing The Best HR Software: Gusto Or Patriot?
Gusto and Patriot both offer valuable HR solutions tailored to the needs of small to medium-sized businesses. Gusto excels in its automation capabilities, comprehensive benefits integration, and intuitive platform, making it ideal for companies seeking an all-in-one HR solution.
On the other hand, Patriot stands out with its cost-effective pricing, customizable payroll options, and flexible add-ons, making it a great choice for small businesses prioritizing affordability and simplicity.
When selecting the right HR software, it's essential to assess your business's specific needs, budget, and desired features. Understanding how each software will integrate into your daily operations can help ensure that it enhances efficiency without adding complexity. By choosing the right HR software, you can simplify your processes, support your team effectively, and drive your business towards success.
