Best Employee Management Software for Small Businesses

We talk about client management software all the time. But what about the internal stuff—the grizzly HR we need to deal with, like payroll, benefits packages, time tracking, training, and project management?

Small business owners need affordable, multifunctional tools that can do it all, and you might be surprised at how helpful the latest software options can be. Today, we’re breaking down the best-of-the-best human resource management systems. Let’s take a look at the top options and how they can help you in your business processes.

🌟 KEY TAKEAWAYS

The best software for your business is the one that meets your unique needs.

Small businesses don't always have the resources for enterprise software, so what can they use to do as much as possible without breaking the bank?

FreshBooks offers intuitive time-tracking solutions and excellent app integration.

12 best HR software options for small businesses

You can’t do everything on your own, but with the right software, you can make life a whole lot easier. Streamline your employee management processes, save time, and reduce the stress of running your company with these helpful software options. 

1. Best software for time tracking: FreshBooks

Price: included with all main plans (visit the FreshBooks pricing page for details).

Integrates with: Gusto, Wagepoint, and more.

FreshBooks isn’t a dedicated HR solution. However, as intuitive accounting software, FreshBooks also offers robust time-tracking features with unlimited time tracking included in all monthly plans. 

Time tracking between teams allows you to see your employees’ performance. Automated workflows make it easy to invoice clients for the work your team has spent on specific projects. 

A FreshBooks subscription also provides access to accounting and small business growth tools all in one platform, making it a comprehensive solution for small businesses. FreshBooks also partners with leading payroll providers, like Gusto (in U.S.) or Wagepoint (in Canada), to make managing employees a breeze. 

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best suited for small businesses with 20 or fewer employees

2. Best HR software for payroll management: Gusto

Price: from $40 USD per month.

Integrates with: FreshBooks, QuickBooks, Xero, Shopify, Hubstaff, and many more.

Gusto is one of the top payroll and employee management systems for small businesses. It’s certified by HR experts to be a complete hiring solution. You can handle new hire onboarding, wages, time tracking, and benefits all at once. You can even manage 401(k) plans and pay wages directly into employee bank accounts. 

Because of its rapid growth in the market, Gusto connects to many accounting and small-business software that keep your business running, like FreshBooks.

Gusto has flexible and affordable pricing, making it a good fit for small businesses of all sizes. 

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3. Best HR software for communicating between teams: Connecteam

Price: from $47 USD per month.

Integrates with: QuickBooks. 

Connecteam is powerful employment software for mobile workforces. Which, let’s be honest, is most of us nowadays! 

Connecteam’s well-built interface can help you streamline your processes.

Features include onboarding, training, chat groups, time-tracking tools, and employee engagement tools like surveys, newsletters, and virtual suggestion boxes for team and culture building.

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4. Best HR software for fast-growing companies: Darwinbox

Price: custom pricing available after a free 30-minute demo.

Integrates with: most software (Darwinbox has open APIs that can integrate with most existing systems in your organization).

Darwinbox is an end-to-end talent management suite, designed to map skills and competencies with job descriptions, identify high-potential talent, and help you meet your organizational goals. This easy-to-use software automates HR tasks like payroll, recruitment, and employee engagement.

It’s an excellent solution for growing companies that use work-from-home, staggered office entry, or full office working styles, managing employees from hiring to retirement.

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5. Best HR software for employee performance management: 15Five

Price: from $4 USD per month.

Integrates with: Slack, Workday, Microsoft Teams, and more.

15Five is a continuous performance management software. With a complete suite of products, you can keep your employees engaged with your business. 15Five is built around nurturing company culture and incentivizing productivity. 

The platform is inexpensive and takes a multi-faceted approach to employee management. 

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6. Best HR software for productivity: HubStaff

Price: from $4.99 USD per user per month.

Integrates with: Zapier, Gusto, FreshBooks, PayPal, and many more.

HubStaff is a time tracking and productivity tool with payroll software and timesheets that accurately calculate employee wages. It will host your team's task lists and measure performance over time. 

As a project management tool, HubStaff is intuitive, reducing redundant tasks. Automated productivity reporting keeps you in the know of your team’s output. 

As a cherry on top, HubStaff integrates with FreshBooks so you can sync your accounting and team productivity in one go.

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7. Best HR software for workforce management: Rippling

Price: from $35 USD per month, plus $8 USD per employee per month.

Integrates with: Slack, QuickBooks, Guideline, Carta, Salesforce, and Hubspot.

Rippling is the best HR software for small businesses that need to unify their employee management system. 

With Rippling’s staff management software, you can track attendance, simplify your company’s benefits administration and hiring process, ensure tax law compliance, and more. 

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8. Best HR software for international business: Deel

Price: features starting from $5 USD per month.

Integrates with: Workday, Bamboo HR, NetSuite, QuickBooks, Xero, Slack, and Google Workspace.

Deel is a global HR software. It helps companies manage performance from anywhere, with a straightforward interface that anyone can master.

With Deel Engage, you can keep your employees on track, helping them focus on their development with simple training solutions and easy engagement with managers, HR, and colleagues.

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9. Best HR software for full-service human capital management: Paycor

Price: custom pricing available upon request.

Integrates with: LinkedIn, Oracle, WEX, Human Interest, Sterling, and Clearstar.

Paycor is an excellent payroll system software that integrates employee tracking software capabilities, making it a great HR solution for small businesses. Payroll is its main feature, but its tools help with tax compliance, onboarding, managing expenses, and more. 

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10. Best HR software for employee satisfaction: Bamboo HR

Price: starting at $10 USD per month per employee.

Integrates with: ADP, Xero, Greenhouse, Jazz HR, Slack, Teams, 15Five, Google Workspace, and Lattice.

Bamboo HR is a user-friendly HR app with plenty of built-in workflows and customizable templates to help you streamline your everyday HR tasks from PTO tracking and time off requests to document management.

Dedicated HR features streamline your employee onboarding process and compensation management. Employee surveys and regular check-ins are designed for empowering employees and tracking employee well-being.

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11. Best HR software for employee engagement: ADP

Price: custom pricing available upon request.

Integrates with: Oracle, SAP, QuickBooks Online, Sage Intacct, and point-of-sale (POS) systems.

ADP is a customizable, scalable, all-in-one HR platform with automated payroll and tax compliance features, reporting, onboarding, and termination. 

This excellent employee management software gives an enhanced employee experience while making it easier for managers to track employee data and development. 

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12. Best HR software for on-demand employee pay: Paylocity

Price: custom pricing available upon request.

Integrates with: Sage Intacct, QuickBooks, NetSuite, Microsoft Dynamics, Greenhouse, and JazzHR.

Paylocity is a popular HR tool for payroll, time tracking, and new employee screening, all in a single platform. 

Human resources departments can generate reports, monitor employees’ work attendance, manage their performance and development, and more, while employees can access their pay on demand, before payday.

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At-a-glance comparison of top employee management tools

With integrations, you can link up multiple platforms to create a more seamless experience. 

The best employee management software for your small business depends on your needs. For everything from time tracking to accounting, payroll, organization, and more, FreshBooks offers a comprehensive solution for growing businesses. Enjoy easy tax compliance, invoicing options, mobile solutions, and excellent customer support, all at an affordable price. 
Try FreshBooks for free today to see for yourself how software can make life easier and give you more time to focus on growing your business.

Frequently Asked Questions

What are the most commonly used small-business HR software solutions?

Does FreshBooks integrate with other small-business apps?