Clearbooks vs Paylocity
A head-to-head comparison to help you pick the right tool
Last updated: April 30, 2026
Clearbooks
Clearbooks is a UK-focused cloud accounting software designed for small businesses and sole traders. It covers invoicing, expenses, payroll, and VAT returns in a simple and affordable package.
Paylocity
Paylocity is a modern HR and payroll platform designed for mid-market businesses. It combines payroll processing with employee engagement tools, learning management, and workforce analytics. Paylocity stands out for its strong mobile experience and focus on building connected, engaged workplaces.
Pros
- ✓Built specifically for UK accounting and VAT
- ✓Simple and easy to use
- ✓Affordable pricing
- ✓Good invoicing features
- ✓Solid MTD (Making Tax Digital) compliance
Cons
- ✗Limited outside UK market
- ✗Fewer integrations than QuickBooks or Xero
- ✗Less suitable for larger businesses
- ✗Support can be slow
Pros
- ✓Strong employee engagement and communication tools
- ✓Excellent mobile app for both managers and employees
- ✓Modern UI with good user adoption rates
- ✓Robust payroll with strong compliance features
Cons
- ✗Pricing requires a sales call and is not published online
- ✗Implementation can be complex for larger organizations
- ✗Some advanced features require additional modules at extra cost
Clearbooks vs Paylocity: Side by Side
| Factor | Clearbooks | Paylocity |
|---|---|---|
| User Rating | N/A | N/A |
| Category | Accounting Software | HR Software |
| Pricing Model | Paid | Paid |
| Starting Price | Contact for pricing | Custom pricing |
| Best For | UK small businesses and sole traders wanting simple affordable accounting with strong VAT and MTD compliance | Mid-market businesses with 20-1000 employees |
| Our Pick | — | — |
Clearbooks Features
- ✓Invoicing
- ✓bank reconciliation
- ✓expense tracking
- ✓VAT returns
- ✓payroll
- ✓financial reporting
Paylocity Features
- ✓Payroll
- ✓benefits
- ✓talent management
- ✓workforce management
- ✓analytics
- ✓employee self-service
Pricing Comparison
Our Take
Choose Clearbooks if uk small businesses and sole traders wanting simple affordable accounting with strong vat and mtd compliance. Choose Paylocity if mid-market businesses with 20-1000 employees.
Best For
UK small businesses and sole traders wanting simple affordable accounting with strong VAT and MTD compliance
Best For
Mid-market businesses with 20-1000 employees
Also Consider
If neither Clearbooks nor Paylocity is the right fit, Dext is worth evaluating.
Dext
Bookkeepers, accountants, and businesses with high receipt volumes wanting to eliminate manual data entry
From $15/mo
Frequently Asked Questions
What is the difference between Clearbooks and Paylocity?
Clearbooks is best for uk small businesses and sole traders wanting simple affordable accounting with strong vat and mtd compliance. Paylocity is best for mid-market businesses with 20-1000 employees.
Which is better, Clearbooks or Paylocity?
Choose Clearbooks if uk small businesses and sole traders wanting simple affordable accounting with strong vat and mtd compliance. Choose Paylocity if mid-market businesses with 20-1000 employees.
How much does Clearbooks cost?
Visit Clearbooks website for current pricing.
How much does Paylocity cost?
Paylocity starts at Custom pricing. Pricing model: Paid.
Who should use Clearbooks?
UK small businesses and sole traders wanting simple affordable accounting with strong VAT and MTD compliance
Who should use Paylocity?
Mid-market businesses with 20-1000 employees