Dad’s short answer
A budget payroll plan can cost more than it saves once you add the extras and your own hours. Not always. Do the math with your numbers.
- The cheapest plan files nothing. Patriot Basic is $17/mo + $4 per worker, but tax filings and deposits are on the Full Service plan.1
- Late deposits get expensive fast. IRS penalties run 2% to 15%.3
- Patriot Full Service is still cheaper than Gusto on fees for most small teams. $67 vs. $85 a month for 6 people.12
- Your time is a line item. Plug in your hours below.
My story: the $41 payroll plan
Dad's storyYears ago I ran a little screen-printing shop. Six people, one state, lots of ink on my shirts.
I picked the cheapest payroll I could find: Patriot Basic. $17 a month plus $4 a person. $41 a month, all in.1
Gusto Simple would have been $85.2 I was saving $44 a month. I felt like a genius.
Then the quarter ended.
On Basic, the software does the math. I did the deposits and the forms. Every payday, every quarter, every January.
That was about three hours a month at the kitchen table. Call my time $50 an hour. That's $150 a month to save $44.
Then I sent one deposit eight days late. 5% penalty.3 On a $3,000 deposit, that's $150. Gone. For nothing.
Cheapest on the invoice. Most expensive at the kitchen table.
(Dad's story is illustrative: a made-up shop with real 2026 prices and real IRS penalty rates.)
Here's the part I want to be fair about. Patriot was friendly, the support people were real people, and nothing was hidden. My problem wasn't Patriot. It was me picking the plan that left the hardest job to me.
The costs that don't show up on the pricing badge
| Cost | Patriot | Gusto |
|---|---|---|
| Tax filing and deposits | Full Service only. On Basic, you do it.1 | Every plan files federal, state and local taxes, including W-2s and Form 941.4 |
| Time tracking | Add-on: $6/mo + $2 per employee.1 | Included on Plus ($80 + $12 per person), not Simple.2 |
| HR software | Add-on: $6/mo + $2 per employee.1 | Varies by plan. Check what you need on the pricing page. |
| A second state | $12/mo per extra state on Full Service.1 | Multi-state payroll is on Plus.2 |
| Contractors | Paid in payroll; unlimited 1099s to print. E-filing them has nominal fees on Basic.1 | Counted in the $6 or $12 per person.2 |
| Support | USA-based phone, email and chat, 9 a.m.–7 p.m. ET, Mon–Fri. Free setup help.1 | 24/7 help center, plus phone and chat during business hours.4 |
Support is a real point for Patriot. Free setup help and named hours, from people in the US. If that matters more to you than anything else on this list, weigh it.
Do the math with your numbers
Everything runs in your browser. Nothing is sent anywhere.
Fees plus your time
✓ Prices checked Oct 31, 2026List prices from each company’s pricing page12. Time & Attendance add-on $6/mo + $2 per employee; $12/mo per extra state on Patriot Full Service.1 Promos and taxes not included. The hours are your guess, not ours. Start with 3 and 1, then change them.
Who Patriot is still great for
- Small teams in one state who want the lowest full-service bill. Full Service at $37 + $5 per worker beats Gusto Simple's $49 + $6 at every size.12
- People who like a phone call with set hours. USA-based support and free setup help.1
- Bookkeepers and owners who actually enjoy filing. If deposits take you 20 minutes and you never miss one, Basic is a fine deal.
If that's you, stay. Seriously. Spend the savings on lunch.
If the math says switch
Pick a January first payday, so your old provider closes out 2026 and the new one starts clean.5 Then work down the list: the switching checklist remembers where you left off. Coming from Patriot? Here's the Patriot-to-Gusto guide.
Goes through our referral page first. We earn a reward if you sign up; your price doesn’t change.
FAQ
Is Patriot Software cheaper than Gusto?
On fees, usually yes. Patriot Full Service lists at $37/mo + $5 per worker paid, and Gusto Simple at $49/mo + $6 per person.12 For 6 people that's $67 vs. $85 a month. Patriot Basic is cheaper again, but you file and deposit the payroll taxes yourself.
What does Patriot Basic Payroll leave out?
Tax filing. Federal, state and local tax filings and deposits, and year-end filings, are listed under Full Service, not Basic.1 On Basic, the deposits and the forms are your job.
Does Patriot have hidden fees?
Patriot says it doesn't charge setup fees or hidden fees, and it lists the optional extras on its pricing page: Time & Attendance and HR Software at $6/month + $2 per employee each, $12/month per additional state on Full Service, and nominal 1099 e-filing fees for Basic customers.1 They're not hidden. They're just easy to forget when you're staring at $17.
What is the penalty for a late payroll tax deposit?
The IRS charges 2% if a deposit is 1–5 days late, 5% for 6–15 days, 10% after that, and 15% if it's still unpaid 10 days after the first notice.3
How do I put a dollar value on my time?
Use what you'd bill a customer for an hour, or what you'd pay someone else to do it. If neither fits, use what an hour of your own work earns the business. The calculator starts at $50 an hour. Change it.
Is this tax advice?
No. It's how payroll pricing and payroll mechanics work. Tax questions belong with a CPA or enrolled agent.
Sources, checked Oct 31, 2026
Every number on this page comes from one of these pages. Prices change; if a vendor updates its page, theirs wins.