ADP vs Paychex (2024): Payroll Software Comparison

Both ADP and Paychex target established and growing companies with advanced needs. However, the two payroll software titles have nuanced differences.

Paychex sides more with small businesses. The company offers fewer solutions than ADP. But it offers a more user-friendly platform with simplified processes.

ADP, on the other hand, allows companies to achieve global domination. Almost all administrative needs are met. But this complexity is more geared toward organizations with hundreds or even thousands of employees around the world. However, there is an option aimed at small businesses called Roll by ADP.

Let's dive in and explore which payroll software is right for you.

ADP vs Paychex: Comparison Table

ADP vs. Paychex: Prices

ADP

ADP pricing is not publicly disclosed for most plans. Aside from its Roll by ADP small business product, which starts at $39 per month plus $5 per employee per month, the company opts for customized packages. That is why it is difficult to compare it with the competition.

But when we look at Roll by ADP, we can compare it to its competitors and compare it:

• Enthusiasm: $40 per month plus $6 per employee per month.
• Patriot Software: $37 per month plus $4 per employee per month (for a full-service tax filing plan).
• QuickBooks Payroll: $45 per month plus $6 per employee per month.

The bottom line is that if you are a larger company, you will need a flexible budget for custom company packages. And if you're a smaller organization, $37 to $45 per month and $4 to $6 per employee per month is a fair price range for more modest software, including Roll by ADP.

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Paychex also hides most of its prices. Its small business product, Paychex Flex, starts at $39 plus $5 per worker each month for the Essentials plan, but it's missing many crucial features, like talent management. And unfortunately, higher tiers require custom pricing.

Also read: How to choose payroll software

ADP vs Paychex: Features Comparison

Best legal compliance: ADP

ADP stands out for its strong focus on legal compliance. To start, SmartCompliance is their service that proactively monitors changes in tax laws, among other protective measures.

But the legal safeguard goes beyond taxes. ADP also provides standardized training to employees on various topics, such as sexual harassment and disability accommodations; You won't have to provide your own materials. And if you operate abroad, the company offers local labor and tax compliance worldwide.

The title has many other proactive enforcement measures, from wage garnishments to the Affordable Care Act. Simply put, ADP is like having an in-house lawyer watching your back 24/7.

Easiest to use: Paychex

Let's face it: ADP is a beast. This is a great feature for larger, fully staffed organizations with growing needs. But because of that, it can be complicated or require a dedicated team to manage.

Paychex is best for most businesses that want to balance power with ease of use. The title focuses more on the classics, like payroll and time tracking. But you can still take advantage of advanced benefits like deep analytics and HR advice. And it's all delivered through an attractive user interface and a beautiful mobile app that anyone can understand.

Best for Hourly Employees: Paychex

Paychex has clearly invested a lot in its time tracking features. The company provides its own watch hardware, such as key cards and iris readers. Or you can keep it simple and issue personal identification numbers. Either way, the combination of software and hardware makes the platform very convenient if you supervise many hourly employees.

Conveniently for you, all data is automatically synchronized with the main payroll platform. So you won't have to copy the information when payday arrives.

Best Analysis: ADP

Data junkies rejoice in ADP's gigantic intelligence capabilities. People Analytics is the platform's knowledge base for everything that happens in your organization. It will automatically crunch the numbers to reveal turnover rates, budget predictions, demographic analysis, opportunities to eliminate overhead, and more. Charts, charts, and raw data are displayed beautifully – no more boring slideshows.

And if you need context, you're in luck. DataCloud offers broader industry-wide insights collected from the millions of employees who manage ADP clients. This way you get a bird's eye view of your competitors. These valuable insights are hard to beat, which is why the platform takes the analytics prize.

Best Mobile App: Paychex

The Paychex Flex mobile app is a comprehensive and highly rated set of features for both employers and staff. It offers a simpler point-and-click interface than ADP.

The mobile solution includes payroll management, human resources services, time tracking and more. For administrators, the application allows you to enter, review and submit payrolls, as well as access employee data and reports.

Simply put, the Paychex mobile app is the better of the two thanks to its greater ease of use and optimized power.

Pros and cons of ADP

Advantages of ADP

• Comprehensive payroll and HR solutions.
• Proactive compliance alerts, live HR advice, and access to a team of experts to help with compliance questions.
• It integrates with around 1000 third-party apps and services.

Disadvantages of ADP

• Unclear pricing for most plans.
• It may be too complex for smaller businesses.

Pros and cons of Paychex

Advantages of Paychex

• Range of payroll and human resources services designed to fit your business.
• 24/7 customer support.
• Onboarding, benefits administration and time and attendance systems.

Paychex Cons

• There is no internal international support.
• Unclear prices for higher plans.

Should your organization use ADP or Paychex?

Choose ADP if…

• You're looking for a robust compliance and payroll solution that can address almost any need at any stage of growth.
• You operate internationally.
• You love rich analytics and data science.
• You have a generous budget.

Choose Paychex if…

• It operates primarily in the United States.
• Prefer a simpler and more direct platform that is complete.
• You value a solid mobile app.
• You have many hourly workers.

If you still need help deciding which software is right for your business, try our payroll services comparison tool.

Methodology

We carefully review each platform's pricing, features, strengths and weaknesses, and its suitability for different business needs and stages of growth. We also consider factors such as cost transparency, compliance support, feature richness, scalability, and customer service. Finally, we evaluate user feedback to understand how real customers feel about the software.

For more information on how we rate payroll software, see our methodology page.