Paylocity vs. ADP 2021 Comparison Review

Both Paylocity and ADP are cloud-based payroll systems, meaning you can access your account anywhere you have an internet connection. Whereas ADP offers several different plans based on the number of employees and features you’re looking for, Paylocity doesn’t have plans per se; rather you can choose from a variety of features and work with the Paylocity team to create a custom plan for your business. Here’s what to know.

Do It Yourself, Run, Workforce Now


Payday preview, payroll adjustments, new hire templates

Tax filing, new hire onboarding, employee discounts, HR assistance


300+ across 20 product categories

Paylocity features and pricing

Paylocity doesn’t have different plans like ADP does; rather they offer a variety of services that you can choose from. They also don’t offer upfront pricing for their services. While this makes it more difficult to compare to other services, you can expect to build a custom plan with Paylocity based on the number of employees you have and the features your business needs. In this way, you can ensure you’re not paying for any tools you won’t actually use, which can often be the case when you have to choose a premade plan.

However, as far as pricing for payroll and HR services go, you can probably expect to pay a monthly base price plus an additional monthly cost per employee. With that said, let’s explore some of the features you can utilize with Paylocity.

ADP Payroll plans and pricing

Like Paylocity, ADP is also a cloud-based payroll and HR management software platform with quote-based pricing.

ADP does, however, offer separate plans based on the number of employees you have and the features you need. While this can make it easier to compare your options, you can also likely work with ADP to add or remove features to customize your plan. Let’s take a closer look at ADP’s solutions for small and midsize businesses: Do It Yourself, Run and Workforce Now, as well as the plans within each of these.

As you dive into the higher-level ADP plans, you go from a simple payroll solution to an all-encompassing HR management tool to cover everything from hiring and onboarding new employees to administering payroll and benefits company-wide.

Any product has its pros and cons, most of which will depend on your individual business and what you’re hoping to get out of this software. That said, here are some highlights and lowlights of Paylocity to consider.

Paylocity pros

  • Integrations: Paylocity offers over 300 integrations across 20 product categories, including applicant tracking, insurance, time and attendance and more. This means you’ll likely be able to link any other business management systems you use to share data between platforms and reduce the need to manually import anything. This also allows you to further customize your software to get the most out of it.

  • Streamlined processes: Beyond their standard offerings and integrations, Paylocity also has a push notification feature known as webhooks, so you can create a custom notification system triggered by certain events, including new hires, termination, time-off approvals or other changes. This means less manual work for your team, as well as less of a chance that something falls through the cracks.

Paylocity cons

  • Pricing: This is actually a con for both Paylocity and ADP as neither provides upfront pricing on their websites. While it’s wise to be wary of quote-based pricing since there’s no way to know whether you’re getting the same price as a similar-sized business with the same HR needs, it may be to your business’s benefit to work directly with the provider to create a custom solution. However, we recommend getting quotes from several sources before you decide on one to ensure that you are getting a competitive price.

  • Customer support: Even users who rave about the Paylocity product say their customer service can be lacking. Users note that it can take a significant amount of time for a customer service representative to get back to you. And as any business owner can tell you, if an issue causes your payroll to not go out on schedule, you’ll definitely want a quick solution.

Now, let’s explore the pros and cons of using ADP.

ADP pros

  • Scalability: For businesses with fewer than 10 employees all the way to enterprise-level companies, ADP will definitely be able to scale with your company. Their products are designed with business growth in mind and can easily grow with your business, making them a potential lifelong partner.

  • Customer support: Unlike Paylocity, ADP has fairly well-received comprehensive customer support. They offer support 24/7 to both employers and employees by phone or email.

ADP cons

  • Pricing: Once again, the lack of transparent pricing available from ADP is a drawback — unless you’re interested in their DIY plan, which does have upfront pricing.  Again, we recommend getting quotes from several products to fully compare your options.

A version of this article was first published on Fundera, a subsidiary of allstocksnews.com.

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