BambooHR vs Gusto: Complete 2026 Comparison
Compare two of the most popular HR platforms for small and mid-size businesses. Find the best solution for HRIS, payroll, benefits administration, and employee management.
Platform Comparison at a Glance
We've evaluated both platforms across key criteria including features, pricing, usability, and target market. Here's a quick overview to help you make an informed decision:
| Platform | Rating | Pricing | Countries | Best For |
|---|---|---|---|---|
All-in-one HRIS with employee records, onboarding, time-off tracking, performance management, and applicant tracking | 8.9/10 (2800 reviews) | $$ Custom pricing; estimated $6-$12/employee/month with Core and Pro tiers | Available globally, primarily US, UK, Canada, and Australia | Small to mid-market (25-1500 employees) |
Payroll-first platform with built-in benefits administration, HR tools, and compliance support | 8.8/10 (1700 reviews) | $$ $40/month base + $6/employee/month (Simple); $80/month + $12/employee/month (Plus) | US-focused with international contractor payments in 120+ countries | Small businesses and startups (1-200 employees) |
Detailed Platform Analysis
In-depth review of each platform's features, pricing, strengths, and limitations to help you choose the right HRIS and payroll solution for your business.
BambooHR
Key Features
- •Comprehensive employee database and records management
- •Built-in applicant tracking system (ATS)
- •Performance management with reviews and goals
- •Onboarding and offboarding workflows
- •Time-off tracking and PTO management
- •Employee satisfaction surveys (eNPS)
Limitations
- •Payroll is US-only and an add-on
- •Custom pricing requires contacting sales
- •Reporting can be basic compared to enterprise HRIS
- •Limited international payroll support
Best For:
Small to mid-size companies that need a comprehensive, easy-to-use HRIS with built-in ATS, onboarding, and performance management.
Gusto
Key Features
- •Full-service payroll with automatic tax filing and W-2/1099 generation
- •Built-in benefits administration (health, dental, vision, 401k)
- •Compliance alerts and HR resource center
- •Employee self-service portal with pay stubs and tax documents
- •Time tracking and PTO management
- •Hiring and onboarding tools with offer letters
Limitations
- •US-only payroll (no international employee payroll)
- •No built-in ATS or performance management
- •Limited HR reporting capabilities
- •Benefits administration only available in US
Best For:
US-based small businesses and startups that want best-in-class payroll with integrated benefits and compliance in an easy-to-use platform.
Comprehensive Feature Comparison
Side-by-side comparison of key features to help you understand what each platform offers for your HRIS, payroll, and benefits administration needs.
HR & People Management
Payroll & Compliance
| Feature Category | BambooHR | Gusto |
|---|---|---|
HRIS Capabilities | Excellent Comprehensive HR platform Full employee lifecycle management from hiring to offboarding | Good Growing HR features Solid basics but primarily a payroll platform with HR add-ons |
Payroll | Good US payroll add-on Capable but not the core product; requires additional cost | Excellent Best-in-class US payroll Automatic tax filing, W-2/1099, multi-state — the core product |
Benefits Administration | Good Broker integration model Connects with benefits brokers but doesn't administer directly | Excellent Full benefits administration Health, dental, vision, life, 401(k), HSA, FSA built-in |
Recruiting & ATS | Excellent Built-in ATS Job postings, applicant tracking, offer letters, and hiring workflows | Limited Basic hiring tools Offer letters and onboarding checklists, no full ATS |
Reporting & Analytics | Excellent Custom HR reports Turnover, headcount, time-off, and performance analytics | Good Payroll-focused reports Strong payroll and tax reporting, limited HR analytics |
Frequently Asked Questions
Common questions about choosing between BambooHR and Gusto for your HR and payroll needs.
Which is better for payroll?
Gusto is the clear winner for payroll. It was built as a payroll-first platform with automatic tax filing, multi-state payroll, W-2/1099 generation, and built-in benefits. BambooHR offers payroll as an add-on, but it's not the core product and only covers US payroll.
Which has better HR features?
BambooHR is the stronger HRIS. It offers a comprehensive employee database, built-in ATS, performance reviews, onboarding workflows, and eNPS surveys — all areas where Gusto is either limited or doesn't offer features at all.
Which is more affordable?
They're similarly priced for basic tiers. Gusto's Simple plan starts at $40/month + $6/employee. BambooHR uses custom pricing (typically $6-$12/employee). For a 50-person company, both cost roughly $300-$600/month. However, BambooHR's payroll is an additional cost.
Can I use Gusto for performance reviews?
No, Gusto does not include performance management tools. If you need performance reviews, you'll either need BambooHR (which has them built-in) or a separate tool like Lattice or 15Five alongside Gusto.
Which is better for benefits administration?
Gusto excels at benefits. It directly administers health insurance, dental, vision, life, 401(k), HSA, and FSA plans. BambooHR connects with benefits brokers but doesn't handle benefits administration directly.
Which should I choose?
Choose Gusto if payroll and benefits are your top priority and you're a US-based small business. Choose BambooHR if you want a complete HRIS with recruiting, performance reviews, and employee management — and payroll is secondary.