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owen zhang
owen zhang

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The Gusto-to-Rippling-to-OnPay Journey: Lessons in Payroll Software Decisions

Growing companies often switch payroll software at every headcount milestone. By 50 employees, many have migrated three times and lost institutional knowledge each time.

Here is a case study of one company's unnecessary journey and the audit that would have prevented two of those migrations.

Start: Gusto at 8 Employees

Gusto was the obvious choice. Clean interface, fair pricing, handles direct deposit and basic benefits. No complaints.

First Migration: Rippling at 22 Employees

The VP of Operations heard Rippling could handle HR and IT in one platform. They migrated at 22 employees to get ahead of growth. Reality check: they had one HR coordinator and no IT team. IT automation sat unused. Rippling cost 3x what Gusto had cost for zero additional value used.

Second Migration: OnPay at 31 Employees

After two years of Rippling, the HR coordinator ran a cost audit. OnPay offered identical payroll functionality, better built-in HR tools for what they were actually doing, and cut annual spend by $8,400.

A Gusto payroll review alongside current alternatives would have surfaced OnPay as the right choice from the beginning. OnPay's pricing model and feature set consistently fits sub-100 employee companies better than platforms that command more marketing attention.

The Audit Before You Migrate

Four questions before switching payroll software:

  1. Which features are you paying for but not actually using?
  2. What is your per-employee cost at projected headcount in two years?
  3. What does a real migration cost in staff time, not just licensing?
  4. What is the onboarding burden on your HR team?

Most companies that answer these honestly find they do not need to migrate. The grass looks greener because the demos are good, not because the software actually fits better.

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