BambooHR
HR software for small and medium businesses with employee management and reporti...
Gusto
All-in-one HR platform with payroll, benefits, and team management for small bus...
BambooHR vs Gusto: Which Is Better in 2026?
Comprehensive comparison of BambooHR and Gusto covering features, pricing, pros & cons, and our expert verdict to help you make the right choice for your business.
Quick Overview
BambooHR
- Best for: SMBs, Growing companies
- Starting price: $6/mo
- Category: hr software
- Founded: 2008
Gusto
- Best for: Small businesses, Startups
- Starting price: $40/mo
- Category: hr software
- Founded: 2011
Feature Comparison
Side-by-side feature comparison to help you understand the key differences between BambooHR and Gusto.
| Feature | B BambooHR | G Gusto |
|---|---|---|
| Employee Database | ||
| Time-off Management | ||
| Onboarding | ||
| Performance Management | ||
| Reporting | ||
| Mobile App | ||
| Integrations | ||
| ATS | ||
| Payroll |
Our Verdict
After extensive testing and analysis, BambooHR edges out as the winner in this comparison. While both tools excel in their respective areas, BambooHR offers better overall user satisfaction. Gusto remains a strong alternative, especially for users who prioritize small businesses.
Pros & Cons
BambooHR Pros & Cons
Pros
- Easy to use
- Great employee experience
- Strong reporting
- Good mobile app
- Excellent support
Cons
- Limited payroll
- Pricing not transparent
- Limited customization
- Add-ons cost extra
Gusto Pros & Cons
Pros
- Easy payroll
- Benefits administration
- Great onboarding
- Excellent UI
- Automatic tax filing
Cons
- Gets expensive
- US only
- Limited customization
- Add-on costs
Pricing Comparison
Compare the pricing plans and see which tool offers better value for your budget.
BambooHR
subscription- Employee records
- Time-off tracking
- Reporting
- Onboarding
- Offboarding
- Training tracking
Gusto
subscription- Full-service payroll
- Employee profiles
- Basic hiring
- Time tracking
- PTO policies
- Next-day direct deposit
- Performance reviews
- Surveys
- Dedicated support
Which Tool Is Best For You?
Choose BambooHR if you need:
- SMBs
- Growing companies
- HR teams
- Remote teams
- Easy to use
- Great employee experience
Choose Gusto if you need:
- Small businesses
- Startups
- First-time employers
- US companies
- Easy payroll
- Benefits administration
BambooHR vs Gusto FAQ
What are the main differences between BambooHR and Gusto?
BambooHR focuses on smbs with easy to use, while Gusto excels at small businesses with easy payroll. Key differences include pricing structure, feature depth, and target user base.
Is BambooHR or Gusto better for small businesses?
Both tools have paid plans. For small businesses with limited budgets, consider starting with the tool that offers BambooHR's lower starting price of $6/month.
What is the pricing difference between BambooHR and Gusto?
BambooHR starts at $6/month, while Gusto starts at $40/month. Both offer multiple pricing tiers with different feature sets.
Can BambooHR integrate with Gusto?
While direct integration may vary, both BambooHR and Gusto support third-party integrations through platforms like Zapier. BambooHR integrates with Slack, Google Workspace, Microsoft 365, while Gusto works with QuickBooks, Xero, FreshBooks.
Which tool is easier to use, BambooHR or Gusto?
Based on user reviews, BambooHR generally receives higher marks for ease of use with a 4.6 rating. However, ease of use can depend on your specific needs and technical background. BambooHR is known for great employee experience.
Does BambooHR or Gusto offer better customer support?
Both BambooHR and Gusto provide customer support, with options varying by plan tier. BambooHR offers support through standard support channels. Check each tool's specific plan for support details.
What are the pros of BambooHR compared to Gusto?
BambooHR's main advantages include: Easy to use, Great employee experience, Strong reporting. Compared to Gusto, it's particularly strong for smbs.
What are the cons of BambooHR compared to Gusto?
BambooHR's potential drawbacks include: Limited payroll, Pricing not transparent. Gusto may be a better choice if these limitations affect your use case.
Should I switch from BambooHR to Gusto or vice versa?
Consider switching if your current tool doesn't meet your needs. Key factors include: current pain points, migration complexity, team training, and total cost of ownership. Use our ROI calculator to estimate the potential impact of switching.
Which tool is best for hr software in 2026?
In 2026, BambooHR leads in this comparison with a 4.6 rating. However, the best choice depends on your specific requirements. BambooHR excels for smbs, while Gusto is ideal for small businesses.