Best Human Resource Software 2021

Human resource software is built to support various types of small businesses in managing their companies, as well and their individual employees. HR software systems can be highly targeted and focus on features like payroll or applicant tracking. More robust solutions offer a wider breadth of features.

These solutions typically offer features like job posting, onboarding automation, time tracking, performance management, team management, and custom reports. HR software provides value for a wide range of businesses. The best HR solution for your company will depend on whether you require a tool that assist with a very specific part of your business operations, or a solution that offers a more holistic set of features.

HR software is one of the foundational software systems that all small businesses should use along with document management software and accounting software.

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Junior Research Analyst

We use a rigorous software review process to create our unbiased, in-depth research.
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Highest Rated Human Resource Software

Human resource software is used by all types of businesses to manage their company. Human resource software is often used for job posting, payroll, performance management, and expense management.

Human Resource Software Prices

Human resource software prices range from $5 to $50 per month per user. Most small businesses will pay around $5 to $15 dollars per month per user for human resource software. Here are details that will help you compare prices for the most popular human resource software platforms.

Software VendorStarting Monthly PriceFree TrialPricing Details
Zenefits$10 per userYes
  • None
  • 15% off if your company has 25 to 99 employees
  • Additional $6 per month per user
Zoho PeopleFreeNo
  • None
  • $99 for up to 12 users
  • Additional $8.25 per month per user for base plan
Sage HR$5.50 per userYes
  • None
  • None
PeopleHR$3 per userNo
  • Price ranges from $3 to $7 depending on business needs
Breezy HRFreeNo
  • None
  • None
  • None
  • None
  • None

Human Resource Software FAQs

Human resource software allows small and medium sized businesses to create job postings, run payroll, and manage performance and expenses. Common features include recruiting, onboarding and offboarding automation, time tracking, and custom reports.

There are numerous benefits that human resource software offers. This includes:

  • Running payroll for your company
  • Posting jobs and tracking applicants
  • Tracking expenses for reimbursement
  • Creating custom reports for top-level analysis of your company

The cost of human resource software depends on how many team members you have. You can expect to spend about $50 to $500 per month per user depending on which software and plan you're purchasing.

The best human resource software for you depends on what your business needs. The best software for companies who simply want to run payroll for their small business is Gusto. Companies in need of more advanced solutions should consider BambooHR or Sage HR.

ADP is one of the most popular human resource software solutions on the market today. It serves over 860,000 customers.

The most common human resource software features are:

  • Recruiting
  • Onboarding and offboarding
  • Payroll
  • Time tracking
  • Compliance support
  • Benefits
  • Performance management
  • Expense management
  • Analytics and reporting

Human Resource Software Research & Advice

What is Human Resource Software?

By Yousef Fatehpour |

This ultimate guide to human resource software will help you learn the basics of human resource management, the benefits for your business...Read More >

Gusto Competitors & Alternatives

By Yousef Fatehpour |

Are you considering purchasing Gusto to manage your human resource management needs? Before making the purchase, it’s best to learn about...Read More >

Zenefits vs. ADP RUN

By Yousef Fatehpour |

Is Zenefits or ADP RUN the better solution for you? This in-depth, feature-by-feature breakdown will help you decide which human resource...Read More >

Justworks vs. ADP RUN

By Yousef Fatehpour |

Is Justworks or ADP RUN the better solution for you? This in-depth, feature-by-feature breakdown will help you decide which human resource...Read More >

Why You Should Trust Our Recommendations

The team at SoftwarePundit has been testing software since 2017. We’ve hand-tested over 250 software products in that time, including four in the human resource category. We applied the same rigorous process to each piece of human resource software that we analyzed. The specifics of our human resource category research process are outlined below.

Yousef led our analysis of human resource software. He has spent more than 250 hours evaluating leading human resource software solutions.

In addition, all research and content was overseen by Bruce Hogan, SoftwarePundit’s Co-founder & CEO. Bruce has more than a decade of experience researching, building, and reviewing the world’s best software products. His technology advice has been featured on a wide range of media sites such as AngelList, CMSWire, Dental Economics, iPhone Life, Reader’s Digest, Thrive Global, U.S. News, and the Zapier Blog.

How We Selected the Best Human Resource Software

We selected the best human resource software based upon a number of criteria. The most important criteria were each software tool’s features, usability, price, and customer support. The details of our analyses are captured in the in-depth reviews we publish about each software tool.

There are a handful of critical features that you should look for in human resource software. We prioritized the following features in our analysis:

  • Recruiting: Human resource tools allow you to recruit new employees by creating job postings and tracking applicants. Robust solutions allow you to edit your posting’s pipeline and scorecards.
  • Payroll: Payroll is one of the main reasons companies seek out human resource software. Solutions vary in how they handle payroll. For example, some solutions have specific limitations when it comes to contractors or part-time employees. Make sure to review each software’s payroll capabilities before making a purchase decision.
  • Performance Management: Many human resource tools offer a multitude of ways to track your company’s performance. Feature-rich solutions will assist you in conducting performance reviews with employees, as well as tracking performance over time through goals or analytics.
  • Expense Management: Expense management in human resource software includes adding and tracking any expenses your company has made. This can include tracking what purchase was made, when it was made, who it was made by, and with what payment method. This is an effective way to visualize and approve reimbursements for your employees.

How We Evaluated Human Resource Software

We used the same rigorous process to evaluate human resource software as all other software categories. For the human resource category, Yousef invested several weeks researching the market, testing out key human resource features, and publishing his insights about the tools.

Yousef signed up for free trials of each solution listed above to gain a deeper understanding of each human resource tool. This allowed him to authenticate the features offered by each solution. He used several numbers and spent hours testing each tools’ recruiting, payroll, onboarding, performance management, and expense management capabilities. He also downloaded the mobile app version of human resource solutions to understand the mobile experience for small businesses.

In addition to conducting conversations with the software companies and hand-testing every piece of software, Yousef also spent dozens of hours interviewing real customers of the software tools listed above. Human resource software customers that provided insights that were included in our analysis and reviews were:

  • Michael Cupps: Michael Cupps is vice president of marketing at ActiveOps. His company currently uses Justworks.
  • Karl Rinderknecht: Karl Rinderknecht is the COO of WhoCo. His company currently uses Gusto.
  • Jon Torres: Jon Torres is the founder of His company currently uses Gusto.