Paymo vs Gusto
A head-to-head comparison to help you pick the right tool
Last updated: April 30, 2026
Paymo
Paymo is a project management and time tracking tool built for freelancers and small agencies. It combines task management, time tracking, invoicing, and resource scheduling in one platform.
Gusto
Gusto is a full-service payroll platform built for small businesses in the US. 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 payroll for the first time.
Pros
- ✓Built-in time tracking and invoicing
- ✓Good resource scheduling
- ✓Ideal for client-facing work
- ✓Affordable pricing
- ✓Clean interface
Cons
- ✗Not suited for large enterprise teams
- ✗Limited automation
- ✗Smaller integration ecosystem
- ✗Reporting less robust than competitors
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 and e-signatures
- ✓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
Paymo vs Gusto: Side by Side
| Factor | Paymo | Gusto |
|---|---|---|
| User Rating | N/A | N/A |
| Category | Project Management | Payroll Software |
| Pricing Model | Freemium | Paid |
| Starting Price | Contact for pricing | $40/mo + $6/person |
| Best For | Freelancers and small agencies needing project management combined with time tracking and client invoicing | Small businesses under 100 employees wanting full-service payroll with benefits |
| Our Pick | — | — |
Paymo Features
- ✓Project management
- ✓time tracking
- ✓invoicing
- ✓expense tracking
- ✓team collaboration
- ✓client portal
Gusto Features
- ✓Full-service payroll
- ✓automatic tax filing
- ✓direct deposit
- ✓employee benefits
- ✓onboarding
- ✓PTO tracking
- ✓time tracking
- ✓contractor payments
Pricing Comparison
Our Take
Choose Paymo if freelancers and small agencies needing project management combined with time tracking and client invoicing. Choose Gusto if small businesses under 100 employees wanting full-service payroll with benefits.
Best For
Freelancers and small agencies needing project management combined with time tracking and client invoicing
Best For
Small businesses under 100 employees wanting full-service payroll with benefits
Also Consider
If neither Paymo nor Gusto is the right fit, Wrike is worth evaluating.
Wrike
Marketing and creative teams needing enterprise project management with approvals and proofing
From Free
Frequently Asked Questions
What is the difference between Paymo and Gusto?
Paymo is best for freelancers and small agencies needing project management combined with time tracking and client invoicing. Gusto is best for small businesses under 100 employees wanting full-service payroll with benefits.
Which is better, Paymo or Gusto?
Choose Paymo if freelancers and small agencies needing project management combined with time tracking and client invoicing. Choose Gusto if small businesses under 100 employees wanting full-service payroll with benefits.
How much does Paymo cost?
Visit Paymo website for current pricing.
How much does Gusto cost?
Gusto starts at $40/mo + $6/person. Pricing model: Paid.
Who should use Paymo?
Freelancers and small agencies needing project management combined with time tracking and client invoicing
Who should use Gusto?
Small businesses under 100 employees wanting full-service payroll with benefits