BND Hamburger Icon

MENU

Close
BND Logo
Search Icon
Advertising Disclosure
Close
Advertising Disclosure

Business News Daily provides resources, advice and product reviews to drive business growth. Our mission is to equip business owners with the knowledge and confidence to make informed decisions. As part of that, we recommend products and services for their success.

We collaborate with business-to-business vendors, connecting them with potential buyers. In some cases, we earn commissions when sales are made through our referrals. These financial relationships support our content but do not dictate our recommendations. Our editorial team independently evaluates products based on thousands of hours of research. We are committed to providing trustworthy advice for businesses. Learn more about our full process and see who our partners are here.

Updated Jun 18, 2024

Bambee vs. Gusto Comparison: Comparing Two of Our Top HRO Service Picks

Bambee and Gusto are high-level HR solutions for businesses. See how they compare.

author image
Written By: Eduardo VasconcellosBusiness Strategy Insider and Senior Writer
Verified Check With BorderEditor Reviewed:
Verified Check With Border
Editor Reviewed
Close
This guide was reviewed by a Business News Daily editor to ensure it provides comprehensive and accurate information to aid your buying decision.
Adam Uzialko
Business Strategy Insider and Senior Editor
Business News Daily earns compensation from some listed companies. Editorial Guidelines.
Gusto company logo
Editor's Rating9.7/10
Bambee company logo
Editor's Rating9.2/10
Table Of Contents Icon

Table of Contents

Open row

Businesses must consider many factors when outsourcing their human resources functions. They need policies that keep them compliant with government and regulatory agencies while ensuring their teams receive the services they need. 

Bambee and Gusto are well-respected human resources outsourcing (HRO) services that help with payroll processing, employee benefits, HR support, HR policies and more. However, depending on your business, one or the other might offer better support. We’ll compare each vendor’s services and pricing to help business owners choose the best HRO company for their needs.

Bambee vs. Gusto

Bambee vs. Gusto

Criteria

Bambee

Gusto

Pricing

Charges a flat monthly rate based on business size:

  • From $99 (0 employees) to $3,699 (150-249 employees)
  • Setup fees range from free to $3,500
  • Larger businesses can contact Bambee for a custom quote

Charges a monthly rate plus a per-user cost: 

  • From $40 plus $6 per user per month (Simple level) to $80 plus $12 per user per month (Plus level) 
  • Custom pricing available
  • Contractor plan is $35 per month plus $6 per contractor

Free trial 

No

First six months are free for individual subscribers with the contractor-level plan. 

Payroll processing

  • Two-day direct deposit
  • Employee withholdings for federal, state and local taxes
  • Payroll guidance for employee classification, scheduling and compensation laws
  • Two-day direct deposit
  • Employee withholdings for federal, state and local taxes
  • Automatic employer payroll tax calculations and filings
  • Employee time and break management

Employee benefits

  • Tools to build benefits policies.
  • Regulatory compliance knowledge base 
  • Over 3,500 small-group health insurance options 
  • Hundreds of carrier and support options to fit your budget
  • Optional plans for vision, dental, retirement, HSAs and FSAs
  • Commuter benefits programs
  • Workers’ compensation 

HR guidance

  • Dedicated HR representative
  • Risk management services
  • Guidance through complex compliance issues
  • Assistance from certified HR professionals
  • HR managers with an average of 10 years’ experience
  • Support for HR best practices and employment law compliance 

Custom HR policies

  • Automated tools and live support services to build HR policies 
  • A dedicated HR manager creates a first draft of a custom policy to save time

None

Who Do We Recommend Bambee For?

We recommend Bambee for startups and newer organizations that need compliance guidance. It provides dedicated HR support to help businesses navigate tricky issues and offers detailed analysis and guidance on the latest compliance regulations to ensure correct processes. 

Bambee provides an intuitive user experience with a personal touch via browser-based software or an app. Its multiple, versatile automation tools can help businesses save time and optimize risk management efforts. For example, its unique AutoPilot tool helps businesses automatically stay current with the latest requirements no matter where they are. Bambee also regularly verifies that all policies are current and affirmed by each employee. Our in-depth Bambee review provides additional details about Bambee’s options and services. 

  • Bambee is ideal for smaller businesses that need tools to optimize policies and risk management efforts.
  • Bambee provides support for custom HR policies to meet the needs of any business. 
  • Bambee offers dedicated HR support for every customer.
Did You Know?Did you know
Bambee provides clients with an HR rep who can help with everything from writing job descriptions to crafting HR policies.

Who Do We Recommend Gusto For?

Gusto is an excellent option for businesses seeking an affordable, comprehensive and easy-to-use HR solution. Its seamless onboarding process and interface provide a stellar user experience. If you have an in-house HR team, Gusto’s policy services and HR support will perfectly complement it.  

Gusto’s standout features include comprehensive employee benefits options that help employers provide health, dental and vision coverage as well as commuter and wellness benefits. Its automated payroll features will save small businesses time and keep them compliant. Our complete Gusto review provides more information on how this platform simplifies even the most complicated HR tasks, like employee classifications and terminations. 

  • Gusto offers unlimited monthly payroll for every service level.
  • Gusto provides automatic employer and employee payroll tax withholdings.
  • Gusto’s time-management tools help businesses comply with labor laws and regulations.
Gusto dashboard

Gusto’s clean, simple dashboard gives users an elegant user experience that helps them navigate the entire ecosystem. Source: Gusto

Bambee vs. Gusto

Pricing

Bambee

Bambee’s monthly pricing model is based on company size. It includes eight categories:  

  • No employees: $99, no setup fee; includes Bambee HR software and support, four core and two custom HR policies, two job descriptions, and chat and email support
  • 1-4 employees: $299 per month, $500 setup fee; includes everything in the previous plan, plus a dedicated HR manager and phone support
  • 5-19 employees: $399 per month, $500 setup fee; includes everything in previous plans, plus additional custom HR policies and job descriptions
  • 20-49 employees: $699 per month, $1,500 setup fee; includes everything in previous plans, plus additional custom HR policies
  • 50-99 employees: $1,299 per month, $2,000 setup fee; support for up to 99 employees 
  • 100-149 employees: $2,499 per month, $2,500 setup fee; support for up to 149 employees
  • 150-249 employees: $3,699 per month, $3,500 setup fee; support for up to 249 employees
  • Over 250 employees: Custom pricing

Bambee’s higher-tier plans include increased capacity for features like custom HR policies and job descriptions. However, the features are identical once you reach the 50-99-employee level. The only difference is how many employees you must support. 

Gusto

Gusto’s pricing options and service tiers are straightforward and based on a monthly flat rate and per-user costs: 

  • Contractor Only: $35 plus $6 per contractor per month; at the time of publication, Gusto was waiving the service charge for the first six months; provides unlimited contractor payments (within the 50 states), four-day direct deposit processing and new-hire reporting to comply with government regulations
  • Simple: $40 plus $6 per user per month; includes single-state payroll, HR support, employee profiles, employee self-service options, hiring and onboarding, basic benefits administration, reports, integrations, and more 
  • Plus: $80 plus $12 per user per month; includes everything in the Simple plan, plus multistate payroll, next-day direct deposit, more advanced hiring and onboarding assistance, PTO and team management tools, time tracking, project tracking, employee reviews, and more
  • Premium: Custom pricing; optional extra services include a dedicated customer success manager, HR experts, compliance alerts, priority support and health insurance broker integration. 

We really like that Gusto’s pricing is affordable and scalable. Adding new users incurs an additional monthly cost that ranges from $6 to $12. Every service level offers robust HR features that will appeal to various business types and sizes. As you move up the service levels, you’ll gain access to more comprehensive capabilities, like onboarding and PTO tools. 

Gusto asset library

Gusto’s company asset library stores crucial forms for different processes, like onboarding, employee classification and worker termination. Source: Gusto

Best for Pricing
Gusto
Gusto wins the pricing round. It provides a versatile HR platform with straightforward service plans, transparent pricing and comprehensive functionality. 

Payroll Processing

Bambee

Bambee delivers solid payroll processing features, including payroll deductions, tax withholding preparations and two-day direct deposit. 

We were impressed that Bambee’s payroll processing services include robust business guidance. Bambee helps customers avoid regulatory nightmares by providing in-depth insights. Bambee’s payroll guidance covers multiple regulations and procedures, including employee classification, scheduling and compensation laws, just to name a few. 

Gusto

Gusto offers all the standard payroll processing services you’d expect, including essential tools like two-day direct deposit and employee tax withholdings. However, Gusto takes its payroll processing service to the next level with features that help businesses comply with federal tax guidelines. For example, Gusto’s payroll automation feature, AutoPilot, will automate your payroll processing and, more importantly, automate your payroll tax filing as an employer. 

Gusto also offers time and break management tools for employees to help businesses comply with the latest labor laws and regulations. 

Best for Payroll Processing
Gusto
Gusto edges out Bambee in payroll processing. Gusto takes an extra step to help employers stay ahead of payroll processes through automation tools and functionality. It can help you stay compliant by accurately calculating employee withholdings and filing employer payroll taxes. 
Did You Know?Did you know
Your HRO service should be on top of payroll trends, including tools that help businesses adapt to the gig economy, cloud-based software, AI-based payroll tools and payroll-HR integration.

Employee Benefits

Bambee

Bambee offers basic employee benefits functionality, but that’s about it. Tools to build benefits policies and a regulatory compliance knowledge base are available to help guide businesses. However, the vendor doesn’t provide actual policies or the tools to enable benefits. 

Gusto

Gusto’s employee benefits offerings impressed us. It provides multiple options that can fit any budget.  

Beyond the basics, Gusto can help your business create unique benefits policies. It also provides an amazing array of options, including over 3,500 small-group health insurance choices, with hundreds of carrier and support options. Vision, dental and retirement plans as well as HSAs and FSAs are available to meet the specific needs of employees and their families. 

Additionally, you can add commuter benefits programs to incentivize your team as well as provide various workers’ compensation options. Gusto takes a 360-degree approach to help ensure your team members get what they need. 

Best Employee Benefits
Gusto
Gusto is the clear winner in this category. It offers a wealth of features and functions to enable and administer employee benefits packages.
FYIDid you know
Offering excellent employee benefits isn't enough; you also need a seamless benefits administration process to ensure proper benefits management and employee satisfaction.

HR Support

Bambee

We really like that Bambee assigns an HR representative to each customer; this unique service helps guide businesses through straightforward human capital management processes, like onboarding, as well as more complex HR situations. For example, Bambee’s dedicated guidance can help with nuanced situations with impactful regulatory implications, like correctly classifying employees and following specific protocols when terminating employees.  

Bambee dedicated HR manager

Bambee provides a dedicated HR manager; you can easily access your rep via a service roadmap dashboard. Source: Bambee

Gusto

We were pleased to see that Gusto provides customers with a team of certified HR professionals to provide high-level HR insights. This invaluable concierge service can help guide a growing team toward achieving completely HR-compliant practices. 

Every Gusto HR expert has over 10 years of experience helping businesses conduct all HR processes, including creating employee handbooks and advising employees about the best benefits for their needs. 

Best HR Support
Gusto
While this category was close, Gusto gets the win here. Both services provide HR guidance. However, Gusto's services are next-level, with easily accessible hands-on support and access to expert-built templates that can save time and frustration. 
Did You Know?Did you know
Personalized HR advice can help your business handle a constantly changing HR landscape and maintain compliance.

Custom HR Policies

Bambee

Bambee’s risk management tools are impressive. The vendor stands out with its suite of custom HR policy tools and in-depth implementation services. An expert HR manager from Bambee will help you draft an initial set of custom HR policies, taking this burden off your plate so you can focus on growing the business.

Bambee gives your HR team the necessary tools to create clear, consistent policy guidelines to support your organization and avoid HR compliance and regulatory issues down the road. 

Bambee HR policy dashboard

Bambee’s HR policy dashboard shows the progress of compliance procedures for the entire team. Source: Bambee

Gusto

Gusto doesn’t provide custom HR policy services. 

Best Custom HR Policies
Bambee
Bambee is the clear winner in this category. It helps businesses develop consistent HR policies that minimize regulatory risks and keep your team aligned.

Bambee vs. Gusto Recap

Choose Bambee if: 

  • You’re a startup or small business without an HR person.
  • You need help understanding the complex world of HR compliance.
  • You want expert help creating essential HR guidelines, policies and employee resources. 

Choose Gusto if: 

  • You’re looking for an affordable, intuitive and versatile HR platform.
  • You’re a new or small business without an HR team (or with a small HR team) and want the assistance of a dedicated HR manager. 
  • You want to consolidate services and save money when onboarding, paying, and insuring full-time employees or independent contractors. 

FAQ

Allan Jones is the founder and CEO of Bambee. Along with founding Bambee in 2016, Jones also serves as an advisor to Comparably, is an official member of the Forbes Business Council and was previously the chief marketing officer for ZipRecruiter.
Lainie Cooney is the chief people officer (CPO) at Bambee. Cooney previously acted as CPO for FanDuel and Blue Apron. Cooney holds a master's degree in clinical psychology.
Gusto can process payments up to two days before the check's date. When an early deposit occurs, funds are usually deposited into an account early in the day.
Yes. Gusto lets you cancel any standard service anytime by signing in to your account and submitting a cancellation request with customer support.
When using the next-day deposit feature, Gusto deposits funds into employee accounts by 5 p.m. the next business day.
Yes. Gusto provides self-service tools through the app or web browser for employees to request time off from work.
Did you find this content helpful?
Verified CheckThank you for your feedback!
author image
Written By: Eduardo VasconcellosBusiness Strategy Insider and Senior Writer
Eduardo Vasconcellos is a subject matter expert when it comes to technology at large, but particularly the tech small business owners use to run their companies. His understanding of IT concepts and the science beyond various software tools stems from the years he spent serving as a software quality assurance engineer. At Business News Daily, Vasconcellos covers essential business technology, such as business phone systems, credit card processors, remote PC access, data centers, BaaS and more. Vasconcellos has also become adept at other key aspects of business operations — especially marketing and digital marketing initiatives targeting B2B and B2C audiences. His sharply honed efforts include creating email campaigns, developing promotional assets for new product launches and executing other strategies related to demand generation. Over the years, he has provided consultative services for local businesses while also working on co-branded projects with the likes of Apple, Marvel and the Cartoon Network.
Back to top
Desktop background imageMobile background image
In partnership with BDCBND presents the b. newsletter:

Building Better Businesses

Insights on business strategy and culture, right to your inbox.
Part of the business.com network.