Square Payroll vs Clearbooks
A head-to-head comparison to help you pick the right tool
Last updated: April 30, 2026
Square Payroll
Square Payroll is a simple and affordable payroll solution built for small businesses, especially those already using Square for payments. It handles full-service payroll, tax filings, and tip management automatically.
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.
Pros
- ✓Very easy to use
- ✓Affordable flat pricing
- ✓Seamless Square POS integration
- ✓Handles tips and hourly workers well
- ✓Full-service tax filing included
Cons
- ✗Limited features for complex payroll needs
- ✗Not suited for larger businesses
- ✗HR features are basic
- ✗Best value only for Square ecosystem users
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
Square Payroll vs Clearbooks: Side by Side
| Factor | Square Payroll | Clearbooks |
|---|---|---|
| User Rating | N/A | N/A |
| Category | Payroll Software | Accounting Software |
| Pricing Model | Paid | Paid |
| Starting Price | Contact for pricing | Contact for pricing |
| Best For | Small businesses and restaurants already using Square POS wanting a simple integrated payroll solution | UK small businesses and sole traders wanting simple affordable accounting with strong VAT and MTD compliance |
| Our Pick | — | — |
Square Payroll Features
- ✓Payroll processing
- ✓tax filing
- ✓benefits administration
- ✓direct deposit
- ✓employee self-service
- ✓reporting
Clearbooks Features
- ✓Invoicing
- ✓bank reconciliation
- ✓expense tracking
- ✓VAT returns
- ✓payroll
- ✓financial reporting
Pricing Comparison
Our Take
Choose Square Payroll if small businesses and restaurants already using square pos wanting a simple integrated payroll solution. Choose Clearbooks if uk small businesses and sole traders wanting simple affordable accounting with strong vat and mtd compliance.
Best For
Small businesses and restaurants already using Square POS wanting a simple integrated payroll solution
Best For
UK small businesses and sole traders wanting simple affordable accounting with strong VAT and MTD compliance
Also Consider
If neither Square Payroll nor Clearbooks is the right fit, Multiplier is worth evaluating.
Multiplier
Startups and SMBs hiring internationally on a budget
From $40/contractor/mo
Frequently Asked Questions
What is the difference between Square Payroll and Clearbooks?
Square Payroll is best for small businesses and restaurants already using square pos wanting a simple integrated payroll solution. Clearbooks is best for uk small businesses and sole traders wanting simple affordable accounting with strong vat and mtd compliance.
Which is better, Square Payroll or Clearbooks?
Choose Square Payroll if small businesses and restaurants already using square pos wanting a simple integrated payroll solution. Choose Clearbooks if uk small businesses and sole traders wanting simple affordable accounting with strong vat and mtd compliance.
How much does Square Payroll cost?
Visit Square Payroll website for current pricing.
How much does Clearbooks cost?
Visit Clearbooks website for current pricing.
Who should use Square Payroll?
Small businesses and restaurants already using Square POS wanting a simple integrated payroll solution
Who should use Clearbooks?
UK small businesses and sole traders wanting simple affordable accounting with strong VAT and MTD compliance