Square Payroll vs. OnPay: 2023 Payroll Software Comparison

Square Payroll and OnPay are two popular payroll software solutions designed to streamline payroll processing and improve efficiency for businesses. Square Payroll is known for its user-friendly interface and seamless integration with other Square products, which primarily cater to small businesses. OnPay, on the other hand, offers a comprehensive payroll and human resources solution suitable for a wide range of businesses, with a strong focus on compliance and flexibility.

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Square Payroll vs Onpay: Comparison Table

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Square Payroll and OnPay Pricing

Square Payroll pricing is straightforward and designed to cater to small businesses. It charges a $35 base fee per month plus an additional $5 per employee per month. This pricing structure is simple and easy to understand, allowing businesses to budget and plan their payroll expenses efficiently.

See: Looking for an alternative to OnPay? here is the comparison Top OnPay Competitors and Alternatives,

On the other hand, Onpay is priced a bit higher. It charges a $40 base fee per month and $6 per month per employee. This structure is still transparent and affordable for many businesses. Nonetheless, it is necessary to assess whether there are additional costs for additional features such as benefits administration, HR tools or integration with third-party software.

Businesses should also keep a close eye on potential hidden costs such as implementation fees. However, both the products promise to include everything you might need in these plans without any hidden charges or hidden charges.

For an analysis of each product’s pricing structure and features in more detail, see our Square Payroll and OnPay product reviews.

Feature Comparison: Square Payroll vs OnPay

payroll processing

Both Square Payroll and OnPay offer efficient payroll processing capabilities to ensure accurate and timely payments for employees. They offer features like multiple payment options, automatic tax calculation, and direct deposit. While both solutions excel at payroll processing, Square Payroll is recognized for its user-friendly interface (Figure A), making it especially suitable for small businesses. In contrast, OnPay offers a more comprehensive solution that can meet the needs of businesses of various sizes.

Figure A

Tax Filing and Payment

Square Payroll and OnPay handle tax filing (Figure B) and payments for your business, simplifying the process and helping you comply with tax regulations. They automatically calculate, withhold and remit federal and state payroll taxes, reducing the risk of errors and penalties. OnPay stands out for its tax filing guarantee, which offers to cover any penalties or fines incurred due to mistakes made by its software.

Figure B

Employee Self Service

Square Payroll and OnPay both offer employee self-service portals (Figure C), enables employees to access pay stubs, update personal information, and manage their withholding. These portals help reduce the workload of HR staff by empowering employees to manage their own information, which leads to more accurate records and a smoother payroll process.

Figure C

HR Features

OnPay HR offers a wider range of features than Square Payroll. Onpay’s HR suite includes onboarding, performance management, PTO tracking, and document storage. Square Payroll, on the other hand, offers limited HR functionality, focusing primarily on payroll processing. Businesses that require comprehensive HR management capabilities may find OnPay more suitable, while those looking for a simpler payroll solution may consider Square Payroll.

See: Discover Best alternative to Square Payroll for 2023.

benefits administration

OnPay provides robust benefits administration features, allowing businesses to manage health insurance, retirement plans, and other employee benefits. Square Payroll doesn’t offer built-in benefits administration, which can be a drawback for businesses that need this functionality. Companies that need comprehensive benefits management options should consider OnPay, while those focused only on payroll processing may find Square Payroll sufficient.

time care

Both Square Payroll and OnPay include time tracking features, so businesses can accurately track employees’ hours and ensure accurate payroll calculations. Square Payroll integrates with Square’s point-of-sale system and time tracking apps, while Onpay offers a built-in time clock and supports integration with popular time tracking tools. However, OnPay doesn’t have any built-in time tracking features. Both solutions help improve productivity and reduce payroll errors by maintaining accurate timekeeping records.

Square Payroll Pros and Cons

Pros of Square Payroll

• The user-friendly interface simplifies payroll processing, making it especially suitable for small businesses and first-time users.
• Seamless integration with Square’s point-of-sale systems and time tracking apps ensures a consistent workflow across a variety of functions.
• The transparent pricing structure, with a flat monthly fee and per employee cost, allows businesses to easily understand and plan their expenses.

Cons of Square Payroll

• The limited HR features within the core offering may not fully meet businesses with more comprehensive HR management needs.
• The lack of built-in benefits administration can be a drawback for businesses that need to manage employee benefits as part of their payroll solution.

OnPay Pros and Cons

Onpay Pros

• Comprehensive payroll and HR features accommodate a wide range of business needs, providing an all-in-one solution for managing your workforce.
• Strong benefits administration capabilities allow businesses to customize their offerings to attract and retain top talent.
• The Tax Filing Guarantee offers to cover any penalties or fines incurred due to mistakes made by Onpay’s software, ensuring peace of mind for businesses.

Cons of Onepay

• The more complex interface and feature set may require a higher learning curve than simpler payroll solutions like Square Payroll.
• The pricing structure, with a base fee and cost per employee, can become more expensive as your business grows, especially when compared to flat-fee pricing models.

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To provide a reliable comparison, we analyzed the features, pricing, pros and cons of Square Payroll and OnPay by reviewing customer feedback and product specifications from official documentation.

Should Your Organization Use Square Payroll or OnPay?

The decision between Square Payroll and OnPay depends on your organization’s specific needs, priorities, and the level of comprehensiveness you expect in a payroll solution. Square Payroll is ideal for small businesses seeking simplicity and seamless integration with Square’s point-of-sale systems. OnPay is suitable for businesses that require a comprehensive payroll and HR solution with robust benefits administration.

When choosing the right payroll software for your organization, carefully consider factors such as breadth of features, integration capabilities, pricing structure and overall ease of use.