SoftwareDuel

Gusto vs EngageBay

A head-to-head comparison to help you pick the right tool

Last updated: September 14, 2026

🏆 Our Pick: Gusto

Gusto is our recommended pick for most teams — small businesses under 100 employees.

Try GustoRead our full Gusto review →

Gusto

★★★★★4.6/5

Gusto is a full-service HR and payroll platform built for small businesses. It handles payroll taxes automatically, offers employee benefits administration, and includes onboarding tools that make it easy to bring on new hires. Gusto is known for its clean interface and transparent pricing, making it a top choice for founders managing HR for the first time.

PaidFrom $40/mo + $6/employee
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EngageBay

★★★★4.3/5

EngageBay is an all-in-one marketing, sales, and customer support platform designed for small and mid-size businesses. It offers a free plan that includes CRM, email marketing, live chat, and helpdesk tools — making it one of the most generous free plans in the market. EngageBay is positioned as an affordable alternative to HubSpot.

FreemiumFree to start
Get Pricing →

Pros

  • Automatic federal, state, and local tax filing saves hours each month
  • Transparent flat-rate pricing with no hidden fees
  • Excellent onboarding flow with offer letters, e-signatures, and self-onboarding
  • Strong benefits administration including health, dental, and 401k

Cons

  • International payroll is limited and requires third-party tools
  • Can get expensive as headcount grows beyond 50 employees
  • Reporting and analytics are basic compared to enterprise tools

Pros

  • One of the most generous free plans available — includes CRM, marketing, and support tools
  • Affordable paid plans compared to HubSpot
  • All-in-one platform reduces the need for multiple subscriptions
  • Good automation features

Cons

  • Less brand recognition and fewer integrations than HubSpot
  • Interface can feel cluttered with so many features
  • Customer support response times can vary

Gusto vs EngageBay: Side by Side

FactorGustoEngageBay
User Rating4.6/5 ★4.3/5 ★
CategoryHR SoftwareCRM Software
Pricing ModelPaidFreemium
Starting Price$40/mo + $6/employeeFree
Best ForSmall businesses under 100 employeesBudget-conscious SMBs wanting a HubSpot alternative with a strong free plan
Our Pick🏆 Recommended

Gusto Features

  • Payroll automation
  • benefits administration
  • onboarding
  • time tracking
  • compliance

EngageBay Features

  • CRM
  • email marketing
  • marketing automation
  • live chat
  • helpdesk
  • landing pages
  • appointment scheduling
  • reporting

Pricing Comparison

Gusto

Paid

Starts at $40/mo + $6/employee

Simple: $40/mo + $6/employee · Plus: $80/mo + $12/employee · Premium: $180/mo + $22/employee

See full pricing →

EngageBay

Freemium

Free to start

Free: $0 · Basic: $12/mo · Growth: $24.99/mo · Pro: $49.99/mo

See full pricing →

Best Use Cases

Gusto

  • US small businesses running payroll for the first time
  • Startups wanting automated tax filing
  • Companies needing combined payroll and benefits administration

EngageBay

  • Small businesses wanting all-in-one CRM and marketing
  • Startups replacing multiple tools with one platform
  • Companies migrating away from expensive HubSpot plans

Who Should NOT Use These Tools

Gusto is NOT ideal for:

  • Companies with international employees
  • Large enterprises needing complex payroll rules
  • Businesses outside the United States

EngageBay is NOT ideal for:

  • Large enterprises needing advanced customization
  • Teams requiring sophisticated marketing attribution
  • Businesses needing dedicated enterprise support

Integrations

Gusto

QuickBooks, Xero, FreshBooks, Clover, When I Work, Deputy, BambooHR, Greenhouse

EngageBay

Zapier, Gmail, Outlook, Stripe, SendGrid, Mailgun, Twilio, Xero

Our Take

Choose Gusto if small businesses under 100 employees. Choose EngageBay if budget-conscious smbs wanting a hubspot alternative with a strong free plan.

Best For

Small businesses under 100 employees

Best For

Budget-conscious SMBs wanting a HubSpot alternative with a strong free plan

Also Consider

If neither Gusto nor EngageBay is the right fit, Justworks is worth evaluating.

Justworks

Small businesses wanting Fortune 500 benefits

From $59/employee/mo

Frequently Asked Questions

What is the difference between Gusto and EngageBay?

Gusto is best for small businesses under 100 employees. EngageBay is best for budget-conscious smbs wanting a hubspot alternative with a strong free plan.

Which is better, Gusto or EngageBay?

Choose Gusto if small businesses under 100 employees. Choose EngageBay if budget-conscious smbs wanting a hubspot alternative with a strong free plan.

How much does Gusto cost?

Gusto starts at $40/mo + $6/employee. Pricing model: Paid.

How much does EngageBay cost?

EngageBay starts at Free. Pricing model: Freemium.

Who should use Gusto?

Small businesses under 100 employees

Who should use EngageBay?

Budget-conscious SMBs wanting a HubSpot alternative with a strong free plan