HR Software Pricing and Software Cost Guide for 2025
HR Software Pricing and Software Cost Guide for 2025
Human resources is one of the most diverse software categories out there, and HR software pricing is just as varied. We’ve collected all of the information you need to know about this industry’s payment structures, pricing averages, and more for everyone from small business owners to enterprise HR departments. Keep reading to find the right HR tool for your budget and organization.
Publisher Note: As we get into the details of HR software pricing, it’s important to note prices and features can shift rapidly. The figures and pricing models presented here are the most up-to-date at the time of publication. For the most recent details, we’ve linked the pricing page of each software below.
Cost of HR Software
HR software prices vary based on their feature set and the level of customization needed. You can expect to pay anywhere from $2 to upwards of $100 per user month for an HR solution, depending on the size of your organization and suite of features. This wide range reflects the various capabilities, scalability, niches, and target markets of different HR management platforms.
Towards the entry-level end of the scale are basic HR tools with a few core features or niche-specific capabilities that are great for startups and small businesses. These can cost between $ 2 to $8 per user, per month. More comprehensive solutions that offer advanced functionalities and more integrations often fall between $8 and $30 per user, per month. When it comes to top-of-the-line enterprise HR systems, prices go even higher and often involve tailored pricing based on your needs and team size.
Understanding HR Software Pricing Models
HR systems come with several different types of payment structures, depending on the tool and your team’s needs:
- Free Plans: Typically the most basic products (or tiers), these tools are great for smaller teams and organizations with less complex needs.
- Per User, Per Month: This model is generally the most common one used by HR software, where the price is charged monthly by the number of users.
- Flat Monthly Fee: The other popular monthly structure is a static price that doesn’t scale with user count or number of accounts.
- Flat Price: Some software platforms only require a single charge at purchase and the buyer then owns the product indefinitely without ongoing payments.
- Freemium Structure: Similar to the free plans, this structure has a free tier at its foundation but also includes optional paid features if users want access.
- Pay-As-You-Go: This model charges for the services or scale used and is the most flexible option (although can be difficult to predict/plan for).
- Module-Based Pricing: Similarly, this allows users to select specific functionalities (payroll, recruitment, analytics, etc.) to pay for instead of an entire HR system.
- Custom Pricing: Common when it comes to enterprise-level software, these are fully customized pricing tailored to a business’s individual needs.
HR Software Pricing Plans At a Glance
| Company | Free Plan | Entry-Level Plan | Mid-Sized Plan | Enterprise Plan |
| Zoho People | N | $1.25/user/month | $4.50/user/month | $9/user/month |
| Gusto | N | $40/month + $6/user/month | $80/month + $12/user/month | Custom Quote Required |
| Paychex Flex | N | $59/month + $4/user/month | Custom Quote Required | Custom Quote Required |
| Rippling | N | $8/user/month | Custom Quote Required | Custom Quote Required |
| Workday HCM* | N | $100/user/year | N/A | N/A |
| SAP SuccessFactors* | N | $85/user/year | N/A | N/A |
| SageHR* | N | $6/user/month | N/A | N/A |
| Oracle Fusion Cloud HCM* | N | $15/user/month | N/A | N/A |
*These vendors do not offer multiple pricing tiers. Instead, these vendors offer a base package with add-ons such as talent/performance management, recruiting, expense management, etc. available at an additional cost.
HR Software Pricing: Factors to Consider
As you assess different HR software prices and features, keep these factors in mind:
- Number of Users: Because many options charge per user, the number of accounts will dramatically influence the total price of your software.
- Features and Functionality: The value of the price you pay is important to evaluate — not all cheap options have enough functionality to outweigh the lower price and not all expensive options are worth the features they offer.
- Customization: Every business is different (processes, tools, needs, etc.), so the ability to personalize the software to your team is a valuable selling point.
- Support and Training: Onboarding a new software without helpful support and training will hurt adoption rates and reduce the value you get from the purchase.
- Security and Compliance: Particularly relevant for larger companies or those that operate in regulated industries, strong security features that keep data safe can often be a must-have (although also come with higher price tags).
- Scalability: Your business isn’t frozen in time, so your software shouldn’t be either — look for options that are capable of scaling without extreme costs to grow with your team.
- Integrations: HR software that works with your existing tools and processes will save you money and headaches in the long run.
- Analysis Capabilities: To measure the ROI of your HR tool costs, it’s essential to have insightful data to base decisions on.
- Set-Up Costs: Some vendors require a one-time set-up or implementation fee. These fees vary widely, and are more common from enterprise vendors.
- Vendor Reputation: If the vendor sells other software, browse reviews for those as well to get an idea of customer support quality, hidden fees, etc. — this is why we don’t allow vendors to pay for fake or biased reviews on TrustRadius.
HR Software Software Cost for Small Businesses:
Monthly costs and pricing structures are particularly top-of-mind for smaller businesses that need to maximize every dollar. In general, HR software for small businesses ranges from $2 to $8 per user, per month. These tiers typically come with core functionalities like employee database management, time tracking, payroll capabilities, and PTO/leave management.
Key HR software considerations for small businesses include:
- Ease of Use: Look for intuitive interfaces that require minimal training and can be integrated quickly for immediate impact.
- Scalability: You need a product that can grow with you, without requiring major overhauls or extreme pricing escalation.
- Customer Support: Small businesses typically have fewer resources for roles like IT, so finding a tool that comes with high-quality customer support to answer questions and help troubleshoot can be invaluable.
HR Software Pricing for Small Businesses
Reviews from our verified users across different business sizes and industries help us identify the top choices for HR software when it comes to small businesses. Our selection criteria include factors like core features, cost-effectiveness, user-friendliness, and more:
- Gusto: Gusto is a payroll product with several HR features that are ideal for small teams on a budget. Gusto includes onboarding, time tracking, and benefits administration capabilities.
- Zoho People: Zoho offers a full suite of affordable software solutions. Zoho People may be a good fit for small businesses looking for a one-stop shop for HR, sales, marketing, and more. Starting at $1.25 per user per month for their most basic plan, Zoho People is the most affordable option on this list.
- PayChex Flex: Paychex Flex provides HR and payroll services built to scale. In addition to services that may appeal to larger enterprises (such as workforce management), Paychex Flex also offers payroll and tax support to sole proprietors and small businesses.
What TrustRadius Reviewers Have to Say About Small Business HR Software Pricing
According to Stephanie, Gusto offers the same payroll capabilities as other software, but is more affordable for small businesses.
“Gusto seems to offer everything that [other payroll offerings] do, but at a much more affordable cost. Gusto’s prices are much more reasonable for very small businesses and startup businesses.”
Read Stephanie’s full review here.
Jeff feels Paychex Flex is an affordable solution for organizations of all sizes.
“[Other products] could not match the price we pay for the same service. It is a good value for the small business as well as large organizations. If you want to put minimal time and effort into payroll then, Paychex Flex is the way to go.”
Read Jeff’s full review here.
Cost of HR Software for Mid-Sized Businesses
As businesses move into the mid-sized category, more comprehensive systems are increasingly important for day-to-day operations. Larger teams, more data, and evolving benefits are just some of the reasons why more functionality is often required. These features often include enhanced time tracking, data reporting, job posting support, document management, and more. With the more sophisticated tools come higher prices, usually between $8 and $30 per user, per month.
Key HR system features and focus areas for medium-sized businesses include:
- Advanced Analytics: As your company grows, it’s important to understand where your HR investment is going and how employees are feeling, which reduces turnover and saves you money.
- Customization and Integrations: More team members means more tools and a wider variety of preferences, so the adaptability of your systems can make or break their success and long-term ROI.
- Cross-Department Functionality: Larger teams may start to silo themselves, but it’s important that your HR software can apply equally to all (and be used by those outside of your HR department).
HR Software Pricing for Medium-Sized Businesses
We’ve collected pros and cons from mid-sized businesses to find the best options for your HR software. These tools balance cost with impressive adaptability and insightful reporting for you to get the most value out of their features:
- Rippling: Rippling offers a combination of HR, IT, payroll and spend management tools in a single platform. The product offers time saving automation, and can help users to reduce complexity by consolidating their tech stack.
- SageHR: SageHR offers a modular approach to HR management software that is likely a good fit for growing businesses. Users can add and remove modules, such as timesheets or performance management, as needed. Sage offers a variety of additional software, including ERP and Accounting tools. Sage HR may be a good fit for businesses that already use Sage in their finance tech stack.
- SAP SuccessFactors: SAP SuccessFactors provides strong performance and talent management capabilities in addition to robust HR capabilities. SAP SuccessFactors could be a good fit for mid-sized businesses looking to improve their performance management processes. However, SAP requires a paid implementation process that may make the product unaffordable for some businesses.
What TrustRadius Reviewers Have to Say About Mid-Size Business HR Software Pricing
This Human Resource Generalist says that Rippling provides better functionality, support and affordability than the competition.
“Overall better functionality and better support and pricing [than the alternatives]. We utilize Ripping as our all-in-one human resource, accounting, and compliance tool. We have streamlined our operations and improved our efficiencies across multiple departments.”
Read Amy’s full review here.
Daniela says that SAP SuccessFactors HCM is affordable, and allowed them to cut HR operational costs.
“The affordability of the platform has enabled us to save at least 40% on HR operational costs annually. The pricing of the product is favorable.”
Read Daniela’s full review here.
Top-Tier HR Software Costs for Enterprise Businesses
At the upper end of HR software options, enterprise tools have the most advanced features but come with even higher price tags (generally above 30 per user, per month — but multiplied across larger teams than SMBs). On top of more powerful versions of previously discussed features, the price of enterprise HR software may come with additional functionalities like applicant tracking, payroll capabilities, advanced analytics, compliance and security features, and more.
Key enterprise HR solution aspects include:
- Advanced Security: Larger companies are often at higher risk of costly cyberattacks like ransomware, so the need for more rigorous security practices and features becomes more and more important.
- Global Scalability: For those enterprises looking to expand outside of their home country, look for options that enable multi-national features like translation, compliance with foreign regulations, etc.
- Predictive Analytics: Big companies always need to be aware of what’s around the corner, so having this forward-looking data is a huge benefit for predicting turnover or the financial impact of new benefits.
- Current Tech Stack: Vendors for enterprise HR products are often enterprise software companies that have a wide variety of offerings. Implementation and integration of your HR software might be easier if you select a vendor with whom your company already has a relationship.
HR Software Pricing for Enterprise Businesses
Based on data from real users at enterprise organizations, we’ve selected some of the best options for top-tier HR software. These platforms offer unmatched support, scalability, and data-driven insights for large teams:
- WorkdayHCM: Workday has a variety of software offerings aimed at enterprise businesses, including corporate performance management, ERP, and HR Management software. Workday HCM aims to provide HR professionals with tools to automate day to day tasks, and data/insights to improve employee experience.
- SAP SuccessFactors HCM: Like the other enterprise products on the list, SAP offers a vast enterprise software infrastructure. SAP SuccessFactors is investing heavily in AI capabilities, making it a good fit for organizations that want to integrate AI automations and insights into their tech stack.
- Oracle Fusion Cloud HCM: Oracle Fusion Cloud HCM requires a minimum of 500 users and offers several, specialized multinational payroll options. Due to this, it’s likely to be a good fit for large enterprises that already utilize Oracle products.
What TrustRadius Reviewers Have to Say About Enterprise HR Software Pricing
Oracle Fusion Cloud HCM improved HR processes, and reduced costs for this user.
“Oracle Fusion Cloud HCM was implemented to streamline the end-to-end processes and [enhance] user experience, while [reducing] IT and maintenance cost.”
Read Ghzanfar’s full review here.
HR Software Frequently Asked Questions
What is HR Software?
HR software helps human resources teams manage employees, benefits, payroll, talent and performance management, recruitment, and more. These systems often serve as a central hub for documentation, forms, and organizational information, and may offer automation aimed at streamlining day-to-day HR processes.
What’s the difference between HRIS and HR software?
HRISs (Human Resource Information Systems) are a subset of HR software that focus on capturing, storing, organizing, and managing employee data. This could include benefits, contact information, salaries, etc.
What Does HR Software Do?
The goal of HR software is to streamline the employee management processes and enhance the effectiveness of HR departments. These tools act as a central database for employee information, bolster compliance, improve the productivity of HR teams, support recruitment, and more. HR software also includes payroll capabilities, and allows all HR data and processes to live in the same system.
Why Use HR Software?
HR software dramatically enhances a variety of areas within human resources, saving organizations time and money, and improving the overall experience for employees. Its ability to facilitate feedback, speed up the approval process, and more all create a better employee experience and make your HR team’s lives easier.
The Bottom Line on HR Software Pricing
With so many HR tools available (and all of the niche verticals within this category), it can be overwhelming to find the right fit at the right price for your business. While cost is a critical piece of the decision-making process, keep in mind that the cheapest products aren’t always the best value — especially in the long run as your team grows. Consider your unique needs, preferences, and goals when selecting the right pricing tier or option for HR tools, as well as the potential ROI of those costs.
Ready to start comparing platforms? Browse other HR-related software categories below to read verified reviews, compare pricing options, evaluate pros and cons, and find the perfect tool for your team:
