About 17; min
HR platforms handle the employee lifecycle from hiring to offboarding. BambooHR and Gusto serve the small and mid-size business market where dedicated HR software replaces spreadsheets and manual processes. BambooHR focuses on core HR — employee records, time off, onboarding, and performance management. Gusto started as a payroll platform and expanded into full HR with benefits administration and compliance tools built in.
Both tools simplify HR operations, but their origins shape their strengths. BambooHR is the HR-first platform. Gusto is payroll-first with HR features growing around it.
Quick Pricing Overview
| Plan | BambooHR | Gusto |
|---|---|---|
| Free | No free tier (free trial) | No free tier (free demo) |
| Core | ~$6.19/employee/mo (Core) | $40/mo + $6/person (Simple) |
| Pro | ~$8.25/employee/mo (Pro) | $60/mo + $9/person (Plus) |
| Enterprise | Custom | $135/mo + $16.50/person (Premium) |
BambooHR Pricing Breakdown
BambooHR no longer publishes exact pricing on its website — quotes are customized based on employee count and features. Based on reported pricing, the Core plan runs approximately $6.19 per employee per month and includes employee records, time-off management, document storage, standard reporting, and an employee directory. The Pro plan at approximately $8.25 per employee per month adds performance management, employee satisfaction surveys (eNPS), custom workflows, and advanced reporting. Both plans include the mobile app, onboarding and offboarding tools, and standard integrations. Payroll is available as an add-on and currently covers US-based employees only. BambooHR also offers an applicant tracking system (ATS) on both tiers.
Gusto Pricing Breakdown
Gusto Simple at $40 per month base plus $6 per person per month includes full-service payroll, employee self-service, health insurance administration, and basic hiring tools. The Plus plan at $60 per month plus $9 per person adds PTO management, time tracking, next-day direct deposit, workforce costing reports, and multi-state payroll. Premium at $135 per month plus $16.50 per person includes a dedicated HR resource, compliance alerts, job description creation, and performance reviews. All Gusto plans include automated tax filing (federal, state, and local), W-2 and 1099 preparation, new hire reporting, and direct deposit. Benefits administration (health, dental, vision, 401k) is available on all plans with guided setup.
Feature Comparison
| Feature | BambooHR | Gusto |
|---|---|---|
| Payroll | Add-on (US only) | Built-in (all plans, multi-state) |
| Tax Filing | Payroll add-on | Automated (federal, state, local) |
| Benefits Admin | Add-on | Built-in (health, dental, 401k) |
| Employee Records | Core feature | All plans |
| Time-Off Management | Core and above | Plus and above |
| Time Tracking | Add-on | Plus and above |
| Onboarding | All plans | All plans |
| ATS / Hiring | All plans | Basic (Simple), full (Plus+) |
| Performance Reviews | Pro plan | Premium plan |
| eNPS Surveys | Pro plan | Premium plan |
| Reporting | Standard (Core), advanced (Pro) | Standard (all), workforce costing (Plus+) |
| Employee Self-Service | All plans | All plans |
| Mobile App | iOS and Android | iOS and Android |
| Integrations | 100+ (ADP, Slack, etc.) | 200+ (QuickBooks, Xero, etc.) |
| Contractor Payments | Via payroll add-on | $6/person or standalone ($35/mo + $6) |
Cost Scenarios
Small business (15 employees)
BambooHR Core at approximately $6.19 per employee costs about $93 per month for HR features. Adding payroll is extra. Gusto Simple at $40 base plus $6 per person costs $130 per month and includes full payroll, tax filing, and basic benefits administration. If you need payroll (and most companies do), Gusto’s all-in-one price is competitive despite the higher base. BambooHR: ~$93/mo (no payroll). Gusto: $130/mo (includes payroll).
Growing company (50 employees, full HR needed)
BambooHR Pro at approximately $8.25 per employee costs about $413 per month with performance management and advanced reporting. Adding payroll could push the total to $500-600 per month. Gusto Plus at $60 base plus $9 per person costs $510 per month with payroll, PTO management, time tracking, and multi-state support included. BambooHR: ~$500-600/mo (with payroll). Gusto: $510/mo (all included).
Mid-size company (150 employees)
BambooHR at this scale moves to custom pricing with volume discounts — expect $5-7 per employee per month for Pro features. Total: $750-1,050 per month plus payroll. Gusto Plus at 150 employees costs $1,410 per month ($60 + $9 × 150). BambooHR’s per-employee pricing becomes more competitive at higher headcounts. BambooHR: ~$750-1,050/mo + payroll. Gusto: $1,410/mo (all included).
HR-First vs Payroll-First
BambooHR’s strength is the employee experience side of HR. The employee directory, org chart, and company culture tools create a digital workplace that employees actually enjoy using. The ATS handles job postings, application tracking, and offer letters natively. Performance management includes goal tracking, peer feedback, and scheduled review cycles. If your HR team’s primary pain points are managing employee data, tracking PTO, and running performance reviews, BambooHR was built for exactly these workflows.
Gusto’s foundation is payroll, and it shows. Automated tax calculations, quarterly and annual filings, W-2 generation, and multi-state compliance are handled automatically. Benefits administration walks you through health insurance selection, 401k setup, and HSA management with guided enrollment. For small businesses where the owner or office manager handles HR alongside other responsibilities, Gusto’s step-by-step guidance through complex compliance tasks is invaluable. The platform handles the parts of HR that are legally required first, then adds the employee experience features on higher tiers.
Who Should Pick What
Pick BambooHR if:
- Core HR management (records, PTO, onboarding) is your primary need
- Performance management and employee engagement surveys matter to your culture
- The built-in ATS supports your hiring workflow without a separate tool
- You already have a payroll provider and want dedicated HR software
Pick Gusto if:
- Payroll and tax compliance are your top priorities
- Benefits administration (health, dental, 401k) should be handled in one platform
- You want a single system for payroll, HR, and benefits without managing add-ons
- Contractor payments alongside employee payroll simplifies your accounting
Gusto wins for most small and mid-size businesses because payroll is the one HR function you cannot skip. Having payroll, tax filing, benefits, and core HR in a single platform simplifies operations and reduces the risk of compliance mistakes. BambooHR wins for companies that already have payroll covered and want a superior employee experience platform with better ATS, performance management, and engagement tools. For businesses building their HR stack from scratch, Gusto’s all-in-one approach covers more ground from day one.
FAQ
Does BambooHR include payroll?
Payroll is an add-on, not included in the base HR plans. BambooHR payroll currently supports US-based employees only and adds additional per-employee costs on top of the HR subscription.
Can Gusto handle international employees?
Gusto supports contractor payments internationally but does not handle international employee payroll directly. For global payroll, you’d need a separate provider like Deel or Remote alongside Gusto.
Which is better for companies with under 10 employees?
Gusto is the better fit for very small companies. Its guided payroll setup, benefits enrollment, and compliance tools are designed for businesses without a dedicated HR person. BambooHR’s HR features become more valuable as you grow past 20-30 employees.
Can I use both together?
Yes. BambooHR integrates with Gusto, allowing you to use BambooHR for HR management and Gusto for payroll processing. This combination gives you the best of both platforms but adds cost.
