Wave Payroll vs Paylocity
A head-to-head comparison to help you pick the right tool
Last updated: April 30, 2026
Wave Payroll
Wave Payroll is a simple payroll solution built into the Wave accounting ecosystem. It is designed for very small businesses that already use Wave for accounting and want an integrated payroll solution. Wave Payroll handles direct deposit, tax payments, and W-2s, making it a natural choice for businesses already in the Wave ecosystem.
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
- ✓Seamlessly integrates with Wave accounting — no manual data transfer needed
- ✓Very affordable pricing for micro-businesses
- ✓Simple interface with minimal setup required
- ✓Free Wave accounting included with subscription
Cons
- ✗Limited features compared to dedicated payroll platforms
- ✗Tax filing is only automatic in select states — manual filing required in others
- ✗No mobile payroll app
- ✗Not suitable for businesses with complex payroll needs
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
Wave Payroll vs Paylocity: Side by Side
| Factor | Wave Payroll | Paylocity |
|---|---|---|
| User Rating | N/A | N/A |
| Category | Payroll Software | HR Software |
| Pricing Model | Paid | Paid |
| Starting Price | $20/mo + $6/person | Custom pricing |
| Best For | Micro-businesses already using Wave accounting that want simple integrated payroll | Mid-market businesses with 20-1000 employees |
| Our Pick | — | — |
Wave Payroll Features
- ✓Payroll processing
- ✓direct deposit
- ✓tax payments and filings
- ✓W-2 and 1099 preparation
- ✓Wave accounting integration
- ✓employee self-service
Paylocity Features
- ✓Payroll
- ✓benefits
- ✓talent management
- ✓workforce management
- ✓analytics
- ✓employee self-service
Pricing Comparison
Our Take
Choose Wave Payroll if micro-businesses already using wave accounting that want simple integrated payroll. Choose Paylocity if mid-market businesses with 20-1000 employees.
Best For
Micro-businesses already using Wave accounting that want simple integrated payroll
Best For
Mid-market businesses with 20-1000 employees
Also Consider
If neither Wave Payroll nor Paylocity 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 Wave Payroll and Paylocity?
Wave Payroll is best for micro-businesses already using wave accounting that want simple integrated payroll. Paylocity is best for mid-market businesses with 20-1000 employees.
Which is better, Wave Payroll or Paylocity?
Choose Wave Payroll if micro-businesses already using wave accounting that want simple integrated payroll. Choose Paylocity if mid-market businesses with 20-1000 employees.
How much does Wave Payroll cost?
Wave Payroll starts at $20/mo + $6/person. Pricing model: Paid.
How much does Paylocity cost?
Paylocity starts at Custom pricing. Pricing model: Paid.
Who should use Wave Payroll?
Micro-businesses already using Wave accounting that want simple integrated payroll
Who should use Paylocity?
Mid-market businesses with 20-1000 employees