{"question": "best payroll software for nonprofits", "category": "payroll-software", "category_name": "payroll software", "audience": "nonprofits", "audience_name": "nonprofits", "engine": "Claude (Anthropic) with web search", "model": "claude-opus-5", "asked_at": "2026-10-13T23:23:39Z", "permalink": "https://bikoosh.com/answers/s/payroll-software-nonprofits-2026-10-13", "question_page": "https://bikoosh.com/answers/q/payroll-software/nonprofits", "brands_named": [{"position": 1, "brand": "Gusto", "label": "recommended"}, {"position": 2, "brand": "OnPay", "label": "mentioned"}, {"position": 3, "brand": "QuickBooks", "label": "mentioned"}, {"position": 4, "brand": "QuickBooks Online", "label": "mentioned"}, {"position": 5, "brand": "TechSoup", "label": "mentioned"}, {"position": 6, "brand": "Rippling", "label": "mentioned"}, {"position": 7, "brand": "Paycor", "label": "mentioned"}, {"position": 8, "brand": "Paychex", "label": "mentioned"}, {"position": 9, "brand": "SurePayroll", "label": "mentioned"}, {"position": 10, "brand": "Sage Intacct", "label": "mentioned"}, {"position": 11, "brand": "Paylocity", "label": "mentioned"}, {"position": 12, "brand": "Netchex", "label": "mentioned"}, {"position": 13, "brand": "G2", "label": "recommended"}], "sources_cited": [{"url": "https://gusto.com/resources/guides/best-payroll-solutions-for-non-profits", "domain": "gusto.com", "source_type": "vendor"}, {"url": "https://www.techrepublic.com/article/non-profit-payroll-software/", "domain": "techrepublic.com", "source_type": "other"}, {"url": "https://onpay.com/payroll-software/nonprofit-payroll/", "domain": "onpay.com", "source_type": "vendor"}, {"url": "https://www.paycor.com/resource-center/articles/best-nonprofit-payroll-software-companies/", "domain": "paycor.com", "source_type": "vendor"}, {"url": "https://sparkrock.com/knowledge-base/blog/payroll-software-for-nonprofits-simplify-fund-accounting-and-reduce-overhead/", "domain": "sparkrock.com", "source_type": "other"}, {"url": "https://hcm.sage.com/white-papers/nonprofit-grant-gl-allocation", "domain": "hcm.sage.com", "source_type": "other"}, {"url": "https://www.paylocity.com/why-paylocity/compare/lists/payroll-software-for-nonprofits/", "domain": "paylocity.com", "source_type": "vendor"}, {"url": "https://netchex.com/blog/5-best-payroll-hr-software-for-nonprofit-organizations/", "domain": "netchex.com", "source_type": "vendor"}, {"url": "https://www.patriotsoftware.com/blog/payroll/do-nonprofits-pay-payroll-taxes/", "domain": "patriotsoftware.com", "source_type": "other"}], "answer_text": "Short version: for most nonprofits under ~50 employees this is a small-business payroll decision with two extra requirements - **FUTA exemption** for 501(c)(3)s and **splitting labor costs across grants/programs** for funder reporting. Those two things, not \"nonprofit\" branding, should drive the pick.\n\n**1. Gusto** - My default recommendation for small nonprofits (roughly 5-50 staff). Easiest to run if you don't have a dedicated payroll person, handles the 501(c)(3) FUTA exemption, and the Plus tier ($80 + $12/employee) adds project/department cost tracking you'll need for grant reports. Simple tier is $49 + $6/employee. ([Gusto](https://gusto.com/resources/guides/best-payroll-solutions-for-non-profits), [TechRepublic](https://www.techrepublic.com/article/non-profit-payroll-software/))\n\n**2. OnPay** - The best value, and the one I'd name first if budget is tight. One flat plan at $49/mo + $6/person with everything included - multi-state, unlimited pay runs, benefits admin in all 50 states, W-2 and 1099. It also explicitly supports nonprofit and clergy payroll (FUTA exemption, housing allowance, 403(b)). A 20-person team runs ~$169/mo vs ~$289 on Gusto Plus for comparable features. ", "answer_truncated": true, "measurement": "One answer from one engine on one date. Not a ranking and not a claim about the world; brands the engine did not name are not recorded.", "limitation": "Coverage: Claude (Anthropic) with web search. Other engines not included.", "alerts": {"name": "Answer Watch Pro", "price_usd": 79, "period": "month", "gets": "daily change alerts for up to 5 brands in what one AI answer engine says, history, CSV export. Coverage: Claude (Anthropic) with web search. Other engines not included", "url": "https://bikoosh.com/answers"}}