Intuit Online Payroll is our choice as the top provider of online payroll service for small businesses. It’s extremely adaptable to the many unique variations that any business puts on its payroll system. Perhaps most importantly, it would be hard to envision a system that is easier to use.

When this review was originally created, we reported that Intuit, the renowned maker of Quicken and QuickBooks as well as other account software, had made a definitive agreement to purchase PayCycle, Inc. The transformation has been completed and this product is the one that was originally reviewed under the PayCycle name.

Standout Features

Unlimited payroll runs included in monthly fee

All inclusive monthly charge based on three simple variables

Exceptionally simple and intuitive to set up and use

Pricing:

Intuit Online Payroll offers two monthly small business payroll plans. The most comprehensive is called Payroll Plus. It costs $42.99 per month for up to five employees. We want to emphasize that that is the monthly cost, not per payroll. Most companies base their price quotations on a per payroll basis so if your company pays on a bi-weekly or semi-monthly basis, you have to double the quoted price to arrive at the monthly cost. Each additional employee costs $1.50 per month extra. Also, if the business has employees in more than one state, there is an additional $12 per month charge for each extra state. Those are the only factors needed to determine what the Intuit Online Payroll service costs. The service is so comprehensive that everything else is included.

The company’s other plan is called Payroll Basic. The only difference in this offering and the Plus plan is that processing of state tax filings and deposits is not included.

Intuit Online Payroll also offers a plan that is specifically aimed at those who employ nannies or other household workers. For $19.99 monthly, you can not only insure that such employees are paid properly and promptly, but you can also see to it that all tax compliance issues are addressed correctly. A number of prominent public officials could have avoided embarrassment and career setbacks had they used such a service.

Ease of Use:

It’s hard to imagine a system that’s much easier to use than that offered by Intuit Online Payroll. Any payroll system will, of course, require initial entry of some fundamental information like the business name and address. Intuit Online Payroll then walks the user through an extremely logical and easy to use system for entering more detailed information such as how much sick leave employees earn annually and insurance and retirement plan data, where applicable. It also couldn’t be easier to enter those pesky details like state unemployment and worker’s compensation and the schedule on which required filings and payments must be made.

Creating a listing of employees is equally simple and intuitive. Required entries such as name and Social Security Number are obvious but you can also enter the employees pay rate and type of compensation such as hourly or salary. In fact, there are twenty-one different types of pay that can be entered including sick and vacation pay, bonuses, overtime and just about any other possibility that can be imagined. Just ignore any category that isn’t applicable. Adding a new employee in a manner that is fully compliant with the Welfare Reform Act is just a matter of a mouse click.

Once the above parameters are set up, processing payroll is simply a matter of entering hours for each employee and clicking approve.

Features:

There’s more to payroll than just getting pay to employees in a timely manner. There’s also the matter of tracking vacation and sick time which Intuit Online Payroll does completely automatically based on parameters that have been established for each employee. It goes without saying that the system calculates pay as well as federal, state and local tax withholding automatically but it goes further by making optional deductions such as those for insurance and retirement plans as well. The system also calculates any employer contributions that may be made to such benefit options.

Intuit Online Payroll helps keep the employer on track by presenting a "to do" list at each log on as well as by sending email reminders when events such as paydays or tax deposits are approaching.

Pay Options:

Employers and employees have the option of either paper checks or direct deposit with Intuit Online Payroll. If a paper check is desired it can be printed immediately on the business computer. Paystubs can also be printed in this way and employees have the ability to see their stubs online, as well.

Tax Compliance Features:

For any business, taking care of the myriad federal, state and local payroll tax obligations is as essential a task as making sure that employees get paid properly. Meeting these tax requirements is often more complicated than making payroll itself but Intuit Online Payroll makes total compliance easy. Quarterly filings for all taxing agencies are done automatically and there is an option to file electronically or to print signature ready forms to be mailed. There’s also an option to make payments electronically or to print vouchers that can be mailed with a check, if preferred. The system also reminds employers of upcoming requirements through the to-do list and via email. All of these functions are included in the monthly payroll fee with the exception of filings to more than one state.

When it comes time for annual production of Forms W-2, employee copies of the documents can be printed locally and there’s an option to file the federal, state and local copies electronically or with printed forms. This cost is also included in the monthly payroll charge.

Help & Support:

Intuit Online Payroll’s service offers unlimited customer support by both telephone and email. The quality of that customer support has earned numerous accolades in the form of PC Magazine Editors’ Choice Awards and American Business Awards, among others. Our experience with the company further validated that excellence. Their website also offers excellent demonstrations, webinars and informative FAQs.

Software Integration:

Intuit Online Payroll not only completes payroll processing with a minimum of effort on the users part but also can share its transactions with widely used accounting software including Quicken, QuickBooks, QuickBooks Online, Microsoft Money, Peachtree, CCH ProSystems fx Write-up and all ATX products. This feature eliminates the need for manual entry of payroll data into other accounting software programs. With a single click, Intuit Online Payroll data can also be transferred to Excel spreadsheets.

Summary:

Online payroll services offer a simple alternative to labor intensive manual payroll production as well as to the more traditional payroll outsourcing options which can be expensive, especially for small businesses. There are very slight differences between our top ranked competitors but all in all, Intuit Online Payroll is awfully hard to beat.