Best Payroll Software in Canada for Small Business
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Choosing payroll software in Canada comes down to two numbers most vendors bury: the monthly base fee and the per-employee charge. Those two figures decide whether a platform costs $840 or $12,000 a year for the same team. This guide compares five providers that publish their rates, then prices each one at 5, 25, and 75 employees.
All prices below come from each provider’s own pricing page, consulted in July 2026, in Canadian dollars unless noted. For the rest of your back office, see our comparison of business bank accounts in Canada and the full business finance section.
How to Choose Payroll Software
Five factors move the total more than any feature list. Check each one before you book a demo.
- Pay frequency: some vendors bill per pay run, so a weekly cycle costs twice a bi-weekly one for identical work.
- Quebec: a Quebec employer files an RL-1 with Revenu Québec on top of the federal T4, and remits QPP instead of CPP.
- Payroll only or full HR: paying people is one job; tracking time off, documents, and reviews is another.
- Base fee versus per-employee price: a base fee hurts a five-person shop, while a high per-employee rate hurts at 75.
- Implementation fee: some providers charge a one-time setup cost that never appears in the monthly comparison.
Payroll Software Prices Compared
The table below covers the providers that publish rates. A quote-only vendor cannot be compared honestly, so those appear further down.
| Provider | Built for | Published price | Payroll model | Quebec |
|---|---|---|---|---|
| Wagepoint | Small employers, payroll first | Solo $20/month plus $4 per employee; Unlimited $40/month plus $6 per employee | Payroll is the product; T4s and T4As included | Handles QPP and QPIP; confirm RL-1 filing |
| Knit | Canadian SMBs | Lite $40 base plus $6 per employee; Complete $50 base plus $8 per employee | Payroll included, HR features by plan | Not published |
| Rise People | Canadian SMBs | Start plan $8 per employee per month, plus a base fee | Payroll included in every plan | Not published |
| Folks | Canadian SMBs, HR first | Core HR $6 per employee per month; implementation from $500 | Payroll is an add-on at $3.50 per employee per pay run | RL-1, Revenu Québec, and QPP listed |
| Employment Hero | Canada and 180+ countries | Payroll $7 per employee per month, $70 monthly minimum; HR plans by quote | Separate payroll plan; managed payroll at $50 per employee per month | Not published |
BambooHR sits outside this table on purpose. Its plans start at US$10 per employee per month, but the company sells its payroll add-on for US employees only. Consequently, it cannot issue a T4, which rules it out as a Canadian payroll system even for employers who like the HR side.
Annual Cost at 5, 25, and 75 Employees
Starting prices mislead until you run them against a headcount. The figures below assume a bi-weekly payroll, which means 26 pay runs a year.
| Provider and plan | 5 employees | 25 employees | 75 employees |
|---|---|---|---|
| Wagepoint Unlimited | $840 | $2,280 | $5,880 |
| Knit (Lite at 5, Complete above) | $840 | $3,000 | $7,800 |
| Rise People Start | $480 plus base fee | $2,400 plus base fee | $7,200 plus base fee |
| Employment Hero, payroll only | $840 at the minimum | $2,100 | $6,300 |
| Folks, Core HR plus payroll | $815 plus $500 setup | $4,075 plus $500 setup | $12,225 plus $500 setup |
Two patterns show up right away. At five employees, almost everything lands near $840 a year, because base fees dominate at that size. At 75 employees, however, the pricing models separate sharply: Wagepoint charges $72 per employee per year plus a $480 base, while Folks bills $91 per employee per year for payroll alone before its HR module.
Per-pay-run pricing explains the gap. Since Folks charges $3.50 each time an employee appears on a pay run, its cost climbs with both headcount and pay frequency. Folks does state that the final price varies with employee count, modules, and plan, so a 75-person employer should negotiate rather than accept the published rate.
Payroll Only or Full HR Platform
Payroll software calculates deductions, pays your team, and files with the government. An HR platform adds employee records, time-off approvals, onboarding, documents, and performance reviews. The two overlap, yet the buying decision differs.
Pick payroll only
- Under about 15 employees: a spreadsheet still tracks vacation adequately.
- Stable team: you hire once or twice a year, so an applicant tracker sits idle.
- Tight budget: Wagepoint at $840 a year for five people beats most HR bundles.
Pick a full platform
- Above roughly 25 employees: time-off requests and documents stop fitting in email.
- Regular hiring: job postings, resumes, and interviews need one place.
- Audit and compliance needs: signed policies and training records live in one file per employee.
Quebec Means Two Sets of Filings
Quebec runs its own tax administration, so an employer there deals with two governments. You remit QPP rather than CPP, you register a payroll account with Revenu Québec, and you file an RL-1 in addition to the federal T4. Several platforms built for the rest of Canada cover the deductions but leave the RL-1 to you or to your accountant.
Among the providers here, Folks lists RL-1 filing and Revenu Québec remittances directly on its payroll page, and it runs in French as well as English. Wagepoint handles QPP and QPIP deductions, though you should confirm RL-1 filing before you commit. The others do not publish their Quebec coverage, which makes it the first question to ask.
Providers That Quote Privately
Two established Canadian names keep their rates off the web, so budget extra time for sales calls.
- Payworks: the site offers an instant quote form and publishes no prices.
- Nethris: a calculator gives a price per pay period once you enter headcount and pay frequency, and the site notes that implementation fees apply.
Neither approach is a red flag on its own, since payroll bureaus often price by service level. Still, ask for the quote in writing, with the base fee, the per-employee rate, the number of pay runs included, and any year-end charges itemized.
Bottom Line
For a small team that needs payroll and nothing more, Wagepoint’s Unlimited plan at $40 a month plus $6 per employee is the clearest price in the Canadian market. Knit and Rise People make more sense once you want HR features bundled with payroll. Folks fits an HR-first buyer, especially a Quebec employer that wants RL-1 filing and a French interface, though its per-pay-run payroll pricing gets expensive above 50 employees.
Whatever you shortlist, price it at your own headcount and pay frequency, then add the setup fee before you compare. While you are reviewing tools, see our guides to bookkeeping software for the self-employed and QuickBooks for small business accounting. For new comparisons as we publish them, subscribe to our newsletter.
Frequently Asked Questions about Payroll Software in Canada
Here are the questions Canadian employers ask most often when they shop for payroll software.
How much does payroll software cost in Canada?
Expect roughly $840 a year for five employees and $2,000 to $3,000 for 25 with a published-price provider. Most platforms combine a monthly base fee with a per-employee charge, so headcount drives the total. Setup fees, where they apply, start around $500.
What is the cheapest payroll software for a small business?
Among providers that publish rates, Wagepoint’s Solo plan at $20 a month plus $4 per employee is the lowest entry point, though it covers one payroll run a month. The Unlimited plan at $40 plus $6 per employee suits bi-weekly cycles. Rise People starts at $8 per employee per month, but it adds an unpublished base fee.
Does payroll software file my T4s?
Most Canadian platforms include T4 and T4A preparation in the subscription. Wagepoint states that year-end forms cost nothing extra, and Folks lists T4 and RL-1 filing with the tax authorities. Confirm whether the provider files the slips or only prepares them.
Which payroll software works in Quebec?
Folks publishes Quebec coverage, including QPP, Revenu Québec remittances, and RL-1 slips, and Nethris has served the Quebec market for decades. Wagepoint handles QPP and QPIP deductions. Because coverage varies, ask specifically about the RL-1 before you sign.
Can I use BambooHR for Canadian payroll?
No. BambooHR sells its payroll add-on for US employees only, so it cannot produce a T4 or remit to the Canada Revenue Agency. You could run its HR modules alongside a Canadian payroll provider, but that means two subscriptions and two systems to reconcile.
Is Humi still available in Canada?
Humi now trades as Employment Hero in Canada. Its payroll plan lists $7 per employee per month with a $70 monthly minimum, while the HR plans require a quote and a 10-user minimum. A managed payroll option runs $50 per employee per month.
How often should I run payroll?
Bi-weekly is the most common cycle in Canada, at 26 pay runs a year. Weekly pay suits hourly teams but doubles any fee charged per pay run. Provincial employment standards set the minimum frequency, so check your province before you change your schedule.
Should I outsource payroll instead?
Outsourcing makes sense when nobody on staff owns payroll. Folks offers a managed service with its partner Komplice, and Employment Hero prices managed payroll at $50 per employee per month. Compare that against the cost of the hours you currently spend, plus the risk of a late remittance.
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