About 16; min
BambooHR and Gusto both handle HR tasks for small and mid-size businesses. But they approach the problem differently: BambooHR is an HRIS (Human Resource Information System) that handles records, PTO, and performance. Gusto is a payroll-first platform that expanded into HR. The overlap is growing, but the pricing tells you where each tool’s heart is.
Quick Pricing Comparison
| Plan | BambooHR | Gusto |
|---|---|---|
| Core/Simple | ~$6.19/employee/mo | $40/mo + $6/employee |
| Pro/Plus | ~$8.25/employee/mo | $60/mo + $9/employee |
| Premium | Custom | $135/mo + $16.50/employee |
BambooHR charges per employee only. Gusto charges a base fee plus per employee. For very small teams (under 10 employees), Gusto’s base fee makes it more expensive per person. At larger team sizes, the per-employee math converges.
BambooHR Pricing Breakdown
BambooHR doesn’t publish exact pricing — you need to contact sales. Estimates based on user reports put Core at ~$6.19/employee and Pro at ~$8.25/employee. No base fee, just per-employee pricing.
BambooHR’s Strengths
- Employee experience: The self-service portal is polished. Employees update their own info, request PTO, and access documents without HR involvement
- Hiring/ATS: Built-in applicant tracking with job posting, candidate scoring, and offer letter management. Gusto’s hiring features are more basic
- Performance reviews: Pro plan includes 360 feedback, goal tracking, and employee satisfaction surveys. Gusto doesn’t offer performance management at all
- Onboarding: Customizable onboarding checklists, e-signatures, and new hire packets
What BambooHR Doesn’t Do Well
Payroll. BambooHR offers payroll as an add-on (~$4.25/employee extra), but it’s not their core product. Multi-state payroll, tax filing, and compliance handling are less mature than Gusto’s. If payroll is your primary pain point, BambooHR alone isn’t the answer.
Gusto Pricing Breakdown
Gusto’s base fee ($40–$135/month) plus per-employee charges create a minimum cost floor. A company with 5 employees on Simple pays $70/month ($14/employee effective). With 50 employees, the effective rate drops to $6.80/employee — closer to BambooHR.
Gusto’s Strengths
- Payroll: Gusto’s core product. Automatic tax calculations, multi-state filing, W-2/1099 generation, garnishment handling, and next-day direct deposit (Plus plan). This is where Gusto excels
- Benefits administration: Health, dental, vision, 401(k), HSA, FSA, commuter benefits — all managed through Gusto. BambooHR handles benefits enrollment but relies on third-party providers for administration
- Contractor payments: Pay contractors with 1099 filing included. BambooHR’s payroll add-on supports contractors but it’s less polished
- Ease of setup: Gusto’s onboarding wizard guides you through payroll setup, tax registration, and benefits enrollment in under an hour
Cost Comparison at Different Team Sizes
| Employees | BambooHR Core | BambooHR Pro | Gusto Simple | Gusto Plus |
|---|---|---|---|---|
| 10 | $62/mo | $83/mo | $100/mo | $150/mo |
| 25 | $155/mo | $206/mo | $190/mo | $285/mo |
| 50 | $310/mo | $413/mo | $340/mo | $510/mo |
| 100 | $619/mo | $825/mo | $640/mo | $960/mo |
BambooHR Core is cheaper at every team size. BambooHR Pro is cheaper than Gusto Plus up to about 75 employees, then they converge. But this comparison misses the key point: BambooHR Core doesn’t include payroll, and Gusto Simple doesn’t include performance management.
Apples-to-Apples: BambooHR + Payroll vs Gusto
| Employees | BambooHR Pro + Payroll (~$12.50/ee) | Gusto Plus ($60 + $9/ee) |
|---|---|---|
| 10 | $125/mo | $150/mo |
| 25 | $313/mo | $285/mo |
| 50 | $625/mo | $510/mo |
| 100 | $1,250/mo | $960/mo |
When you add payroll to BambooHR, Gusto becomes cheaper at 25+ employees. The crossover happens because Gusto’s base fee becomes negligible per employee at scale, while BambooHR’s per-employee rate stays constant.
Feature Comparison
| Feature | BambooHR | Gusto |
|---|---|---|
| Payroll | Add-on | Core product |
| Tax filing | Basic (add-on) | Full-service (automatic) |
| Benefits admin | Enrollment only | Full administration |
| ATS/Hiring | Built-in (good) | Basic |
| Onboarding | Excellent | Good |
| Performance reviews | Pro plan (360 feedback) | Premium only (basic) |
| Time tracking | Add-on | Plus plan |
| PTO management | All plans | Plus plan |
| Employee surveys | Pro plan | No |
| Contractor payments | Add-on | All plans |
| Mobile app | Good | Good |
| Integrations | 125+ | 200+ |
Who Should Pick What
Pick BambooHR If:
- HR management (records, hiring, performance) is your primary need, not payroll
- Performance reviews and employee satisfaction surveys matter to your organization
- You have an existing payroll provider you’re happy with
- Your team is under 25 employees (BambooHR is cheaper at small scale)
- You want the best applicant tracking system in this price range
Pick Gusto If:
- Payroll is your primary pain point — tax filing, direct deposit, and compliance
- You need benefits administration (health, 401k, HSA) managed in one platform
- You pay contractors and need 1099 filing handled automatically
- Your team is 25+ employees (Gusto’s per-employee cost becomes more competitive at scale)
- Multi-state payroll is a requirement
Best for HR-first teams: BambooHR Pro — performance management, hiring/ATS, and employee experience are genuinely better than Gusto. Worth it if people management is your priority.
Best for payroll-first teams: Gusto Plus — automatic tax filing, multi-state support, and benefits admin in one platform. The obvious choice if payroll is your biggest headache.
Best value under 25 employees: BambooHR Core — no base fee means lower total cost for small teams.
Best value over 25 employees: Gusto Plus — the base fee becomes negligible and you get payroll + HR in one tool.
Ideal combo: BambooHR for HR + Gusto for payroll. Some companies use both — BambooHR as the HRIS and Gusto purely for payroll processing. The integration between them works well.
FAQ
Does Gusto handle international payroll?
Gusto added international contractor payments but doesn’t support full international employee payroll. For global teams, you’ll need Deel, Remote, or Papaya Global alongside Gusto.
Can BambooHR replace a standalone ATS?
For small to mid-size companies (under 200 employees), yes. BambooHR’s ATS handles job postings, candidate tracking, interview scheduling, and offer letters. Enterprise companies with complex hiring workflows may still need Greenhouse or Lever.
Which is easier to set up?
Gusto. The payroll setup wizard walks you through everything in about 45 minutes. BambooHR requires more configuration for custom fields, workflows, and integrations — budget 2–3 hours for initial setup.
Do either offer a free trial?
BambooHR offers a 7-day free trial. Gusto offers a free trial (length varies, typically 1 month). Both let you explore the full product before committing.
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