# Gusto vs. Justworks — 2026 Payroll Comparison

> Source: https://gustodiscountcode.com/gusto-vs/justworks
> Independent Gusto referral site. Pricing as of 2026 from each provider's public pricing pages — confirm current rates before purchasing.

Justworks is a PEO — it pools your team into a larger group to unlock big-company benefits and takes on HR compliance liability. That's valuable for funded startups, but per-employee pricing runs well above Gusto's, and small teams rarely need the PEO overhead. Gusto delivers payroll and solid benefits at a fraction of the per-head cost.

## Feature comparison

| Feature | Gusto | Justworks |
|---|---|---|
| Base price | $40/mo | From $59/employee/mo |
| Per employee | $6/employee/mo | $59 (Basic) / $99 (Plus) |
| Contractor payroll | $35/mo + $6/contractor | $0 base for contractors on some plans |
| Payroll tax filing | Automatic, all 50 states — included | Included (PEO model) |
| Benefits administration | Health, dental, vision, 401(k), HRA | Large-group PEO benefits |
| Time tracking | Built in (Plus & Premium) | Add-on |
| Intro offer | First month free + $300 offer | Demo-based |
| Support | Phone, email, chat | 24/7 support |
| Best for | Small businesses that want payroll + HR + benefits in one place | Startups wanting PEO-level benefits and compliance |

## Where Gusto wins

- Dramatically lower per-employee cost for small teams
- No PEO co-employment complexity
- Flat platform fee instead of per-head pricing

## Where Justworks wins

- Access to large-group (PEO) benefit rates
- Offloads HR compliance liability

## The bottom line

Justworks makes sense for a funded startup that wants big-group benefit rates and to offload HR compliance through a PEO. For a small team watching cost, Gusto delivers payroll and solid benefits at a fraction of the per-employee price, without co-employment overhead.

New customers can earn a $300 Visa card (up to $600 for teams of 10+) for running their first payroll with Gusto: https://dub.sh/yDuTchj. Choose Justworks if startups wanting peo-level benefits and compliance.

## Gusto vs. Justworks — FAQs

### Is Gusto cheaper than Justworks?

Significantly, for small teams. Justworks starts around $59/employee/mo; Gusto is a $40/mo platform fee plus $6/employee. A five-person team pays a fraction of the Justworks cost on Gusto.

### What's the difference between Gusto and Justworks?

Justworks is a PEO that co-employs your team to unlock large-group benefits and take on HR liability. Gusto is a payroll and HR platform you run yourself, with its own benefits marketplace and a much lower per-head cost.

### Is Gusto or Justworks better for a startup?

It depends on priorities: choose Justworks for PEO-level benefits and compliance offload, Gusto for lower cost and control. Many startups start on Gusto and consider a PEO only when benefits scale demands it.

## Compare Gusto to other providers

- [Gusto vs. ADP](https://gustodiscountcode.com/gusto-vs/adp)
- [Gusto vs. QuickBooks Payroll](https://gustodiscountcode.com/gusto-vs/quickbooks)
- [Gusto vs. Rippling](https://gustodiscountcode.com/gusto-vs/rippling)
- [Gusto vs. Paychex](https://gustodiscountcode.com/gusto-vs/paychex)
- [Gusto vs. OnPay](https://gustodiscountcode.com/gusto-vs/onpay)
- [Gusto vs. BambooHR](https://gustodiscountcode.com/gusto-vs/bamboohr)
- [Full payroll comparison chart](https://gustodiscountcode.com/gusto-vs)

**Get $300 for trying Gusto:** https://dub.sh/yDuTchj