The 7 best HR software
Do you want to go straight to the answer? The best HR software for most people is Gusto or BambooHR.
The best HR software provides employees with the tools they need to manage company policies, compliance, planning, etc.
When HR solutions were first launched, they were typically offered under license as on-site software. But today, thanks to cloud technology, companies have much greater ease in obtaining and using HR tools to streamline their processes.
Whether you are buying for the first time or looking to switch from your current HR solution, you are in the right place. I will help you find the best HR software for your business.
The 7 best HR software
After studying dozens of HR solutions on the current market, I have selected the seven main ones that you should consider
Gusto - The best human resources management software for payroll for small businesses.
BambooHR - The best human resources management systems
Sage Business Cloud People - The best for multinational organizations
Zenefits - The best all-in-one software for human resources
To know - The best HR software for medium-sized businesses
SAP SuccessFactors - The best supply chain management software suite
People HR - The best for candidate tracking and recruitment
Continue below to learn more about the features, benefits, prices, use cases, and potential drawbacks of each of them.
#1 - Gusto - The best HR software for payroll for small businesses
The trust of over 100,000 businesses
- Payroll and benefits
Manage compliance
- Monthly pricing
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Gusto is mainly known for its online payroll services. But the platform also has additional HR features, making it perfect for small and young businesses.
More than 100,000 small businesses trust Gusto for payroll and human resources management.
The platform is super easy to use. Business owners who manage payroll and HR themselves without a dedicated service can still navigate Gusto with ease.
Gusto automatically calculates and categorizes local, state, and federal taxes. It seamlessly integrates with tools such as Quickbooks, Xero, Clover, TSheets, and many more.
Gusto also allows you to manage health insurance. Over 3,500 medical, dental, and vision plans are available through Gusto's certified advisors. Among the other benefits offered by Gusto are 401(k) retirement, 529 savings, workers' compensation, COBRA, life and disability insurance, commuter benefits, etc.
Use Gusto to manage compliance with things like HIPAA, COBRA, the Department of Labor, IRS, ACA, and ERISA.
Here is a brief overview of Gusto's prices:
Core - $19 per month + $6 per person
Complete - $39 per month + $12 per person
Concierge - $149 per month + $12 per person
Gusto also offers a free plan for businesses that have not hired W-2 employees. You can use Gusto to pay 1099 contractors for only $6 per month per person.
All Gusto rates are monthly, so you can cancel at any time without long-term commitment. Start here.
#2 - BambooHR - Best Human Resources Management System (HRMS)
For small and medium-sized businesses
- More than 1.56 million active employees
- Superb mobile application
- 7 days of free trial
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For companies looking for a comprehensive human resources management solution, BambooHR is a wise choice. This software is used by over 17,000 companies and has more than 1.56 million active users.
As a human resource management system, BambooHR primarily focuses on the people in your company. The software specializes in hiring, onboarding, compensation, and company culture.
Designed for small and medium-sized businesses, the solution allows business owners and human resources departments to easily collect, maintain, and analyze data regarding their employees. This information will help you recruit new talents and create a culture that empowers your team.
Here are some of the main features offered by the BambooHR software:
Employee files
Service monitoring
Leave management
Company Calendar
Boarding and disembarking
Applicant Tracking System (ATS)
Training
Brand of the company
Advanced Reports on Human Resources
Custom workflows and approvals
BambooHR also offers an exceptional mobile application, ideal for employees and HR administrators. You can purchase add-on modules for performance management and time tracking.
The price of BambooHR is not available online. You must contact their sales team to get a quote.
Unfortunately, payroll is not available for this software. You will need to do your payroll elsewhere. Refer to our guide of the best online payroll services for advice in this area.
Try BambooHR for free for seven days.
#3 - Sage Business Cloud People - The best for multinational organizations
Designed for medium-sized businesses
Support for international employees
- Local and national compliance
Easy to scale
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Sage offers a wide range of products for businesses of all shapes, sizes, and industries. From accounting tools to management and more, this is probably an organization that you are familiar with.
That said, Sage Business Cloud People is a highly specific HR solution. It is designed for medium-sized companies with a global presence.
Managing human resources when you have employees in different locations around the world can be very challenging. But Sage makes it easier for you by helping you create a unique global policy for your entire organization while complying with all local and national regulations.
The platform is ideal for companies with 200 to 5,000 employees. Small businesses should look elsewhere for their human resources needs.
Sage is robust enough to adapt to the growth of your medium-sized business. It has everything you need to attract, retain, and manage your workforce globally.
Compared to other human resources services on the market today, setting up Sage Business Cloud People is a bit complex. The company advertises that it offers a "quick implementation", but if you read the fine print, you will see that you can be up and running in just 90 days.
Three months is a long time to settle in. So if your human resource needs are time-sensitive, this platform is probably not for you.
The rates for Sage Business Cloud People are not available online. Contact their sales team to book a free demonstration.
#4 - Zenefits - The best all-in-one software for human resources
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An all-in-one HR solution
Starting from $8 per month
- Free salary for one year
- 14 days free trial
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Zenefits is our top overall recommendation for the best all-in-one human resources software. Over 11,000 companies trust it and over 400,000 employees use it.
As an all-in-one HR solution, Zenefits offers features for compensation packages, employee onboarding, PTO and request management, employee management, and more.
Zenefits has built-in compliance and security features to help you avoid accidental errors. The software automates the majority of compliance tasks and document filings with authorities.
With Zenefits, you can increase employee productivity throughout your organization. Your staff can use Zenefits for things like self onboarding, benefit selection, and document signing.
Here is a brief overview of Zenefits' plans and pricing:
As you can see, these rates are very affordable. Depending on the size of your organization and the needs of your human resources department, there is a plan for everyone.
The payroll is not included in any of the basic plans, but you can add it for $6 per employee.
For a limited time, Zenefits is offering one year of free payroll to help small and medium-sized businesses during the COVID-19 pandemic. There are certain restrictions; for example, you must sign up for an annual human resources subscription plan.
Try Zenefits for free for 14 days.
#N°5 - To know - The best HR software for medium-sized businesses
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Designed for medium-sized businesses
- Easy to scale
Integrated Salary Processing
Many integrations
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This is a comprehensive HR solution for medium-sized organizations.
More than 1,400 companies trust it, which means it is not as popular as some other options on our list. But don't be fooled by this number. In fact, the HR solution has everything you need to manage a medium-sized HR department.
With Namely, you will benefit from basic features such as:
Employee management
Boarding
Talent management
Benefits administration
Payroll
HR Compliance
Analytics
Recruitment
Time and presence
Comparative analysis
The software processes over $10 billion in salaries each year, which is why it's great to have this integrated feature.
You will have access to live HR advisors, a learning management system, a living manual, and OSHA logs to manage your HR compliance. The Agency has also enhanced its services with benefits consulting, for example...
The software is easy to use, and employees love it. Just a few clicks to access pay stubs and request time off, from the web portal or mobile application.
On average, human resources services save 11 hours per week by switching to Namely. Imagine how much more productive you could be with an extra 572 hours per year at your disposal.
It integrates with third-party tools for candidate tracking, electronic signatures, time and attendance management systems, background checks, international payroll, etc. If you are already using a tool and can't find it on the list of pre-established integrations, you can create your own using the secure Namely API.
The pricing for Namely HR is not available online. You must request a demonstration and a free quote.
#6 - SAP SuccessFactors - Best HCM Software Suite
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Ideal for small and medium-sized enterprises
- All-in-one product range
- HR analysis
Personnel management tools
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SAP SuccessFactors specializes in HR software for Human Capital Management (HCM). The SAP SuccessFactors HXM suite brings a unique touch to Human Capital Management and Human Resources management system.
If you are not familiar with the acronym HXM, it is probably because it is not an industrial term. SAP coined the term "Human Experience Management" for this suite of products.
This cloud-based human resources software is segmented into four product categories:
Employee Experience Management
Basic human resources and salaries
Talent management
Analysis of human resources and workforce management
As you can see, the product range covers everything your human resources department may need.
The platform is robust and rich in features, but it is likely excessive for most small businesses. I recommend SAP SuccessFactors to large enterprises and SMEs. A small and medium-sized business would benefit more from some of the advanced features offered in this product suite, especially in terms of analytics and workforce management.
The price of SAP SuccessFactors is not available online. You will need to contact the customer service team by phone, email, or live chat to get more information.
#N°7 - People HR - The best for tracking and recruiting candidates
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Applicant tracking system
Starting from $5 per month
- Securing top talent
- Essential characteristics of HR
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The People HR software is best known for its candidate tracking and talent recruitment functions. But it also offers a wide range of essential human resources resources that you can benefit from. This British company provides human resources services to companies around the world.
Regarding the essential elements of HR, People HR provides features for:
Automation of repetitive HR tasks
Centralized information platform for employees
Vacation planning and absence management
Time sheets and time tracking
Expense reports and approvals
Payroll is not integrated into People HR, but the software integrates with ADP, Sage Payroll, Ceridian, and Activpayroll.
The ATS (Applicant Tracking System) is the feature that truly makes People HR shine. It allows you to easily attract, identify, and secure top talent. Post open positions, search for talent, manage your list of pre-selected candidates, and send an offer directly through the platform.
Here is a quick overview of People HR's plans and pricing:
Team - $5 per employee per month
Professional - $6 per employee per month
Company - $8 per employee per month
Elite - $10 per employee per month
As you can see, the rates are extremely affordable, even for small organizations. However, it should be noted that the recruitment and candidate tracking functions are not available in the Team or Professional plans. You will need to upgrade to the Enterprise or Elite plan to access these functions.
Try it for free; no credit card required.
What is HR software?
Human resources software helps businesses of all sizes manage various aspects of HR processes. From employee onboarding to payroll, benefits, and training, human resources software makes it easier for your staff and employees by providing you with the tools you need.
Without HR software, organizations face a bottleneck in the HR department. The only way for employees to access information is by calling the HR service, sending an email, or physically going to the HR office.
These scenarios are not realistic for the modern workforce, especially with so many people working remotely or in the field.
How to find the best HR software for your company
With the number of HR solutions available on the market, finding the best option for your business may seem like a daunting task.
Fortunately, I will explain to you what factors and elements to consider in order to evaluate possible solutions. This is the methodology we used to choose the winners on our list.
Company size
The first way to narrow down your options is to consider the number of employees you have. Start-ups and small businesses with 20 employees will not have the same needs as a company with 200 or 2,000 employees.
Start-ups and small businesses should turn to solutions like Zenefits or Gusto. Namely and SAP SuccessFactors are more suitable for medium-sized companies.
It is important to ensure that your HR software can evolve with you as your company grows.
Human Resources Needs
Why exactly do you need HR software?
My needs may not be the same as yours. Not all software provides all HR capabilities. Therefore, you should identify the main reason why you are looking for HR software.
For example, you will not find payroll in the list of features of the majority of software on our list. In most cases, you will have to pay an additional fee to get payroll on the few platforms that offer it.
Other solutions cater to specific needs, such as Human Capital Management (HCM), Applicant Tracking Systems (ATS), and Human Resource Management Systems (HRMS). Some providers cater to ultra-specific needs, such as HR software for managing international employees.
Additional features
In addition to your basic needs, you should consider the other additional features offered by the software you are evaluating.
Mobile applications and self-service tools for employees are pleasant to use. Time tracking, leave management, integration tools, and dozens of other features may not necessarily be part of the "basic HR features" list. But they remain very useful if you want to optimize your human resources service.
Do not let a long list of additional features distract you from your primary human resource needs.
Price
Most HR software is billed on a monthly basis per employee. These rates can start from $5 per employee per month.
Some platforms charge a base rate for your basic plan, then charge a rate per employee in addition to this. Other software applies different rates per employee depending on the features available in the plan you have chosen.
Not all human resources solutions have transparent pricing available online. In some cases, you will need to contact the sales team to request a quote and a demonstration. Before committing long-term, always try the software by testing it for free when available.
Conclusion
What is the best HR software on the market today? In general, there is no one-size-fits-all solution.
If your priority is small business payroll, choose Gusto. For a complete HRIS, try BambooHR or Zenefits. Medium-sized businesses should learn to use solutions like Namely. People HR is our top recommendation for candidate tracking and recruitment.
Check out SAP SuccessFactors for a suite of HCM products. For medium-sized organizations with international employees, we recommend Sage Business Cloud People.
No matter the size of your company, your industry, or your human resources needs, you can find what you are looking for using this guide.