Justworks vs Gusto (2026): PEO or Payroll at 10-50 Staff

Justworks PEO costs $79-$124 per employee a month and adds large-group health plans; Gusto is $49 plus $6 per person. With Gusto you keep your own benefits. At 25 people that is $1,975+ against $199-$380. The gap only pays off if benefits access matters.

Rajat·Editorial Lead, Software Evaluation·Reviewed June 12, 2026·Updated October 17, 2026·Prices checked September 25, 2026

Justworks vs Gusto: which is better for PEO teams?

Pick Justworks PEO when you want large-group health plans and someone else carrying [HR compliance](/glossary/hr-compliance): $79 per employee on Basic, $109 to $124 on Plus, premiums extra. Pick Gusto when [payroll](/categories/payroll-software) and basic HR are the job: $199 a month at 25 people on Simple.

Don't join a PEO only on a savings promise. Justworks itself says it negotiates overall rate increases, not your company's rate, and that premiums are only known from a quote. Get the medical quote for your census and compare it with a broker's small-group quote run through Gusto.

If you only need payroll, compare like with like: Justworks Payroll is $50 plus $8 per employee ($250 at 25), against Gusto Simple at $199.

Justworks vs Gusto: what each tool does

Justworks is a professional employer organization that packages payroll processing, compliance support, HR tools, and access to large-group benefits into a single monthly per-employee fee.

Starting price
$50/mo + $8 per employee (Payroll)
Deployment
Cloud
Free trial
Available

Gusto is the payroll platform that most small businesses encounter first when they realize they need more than a spreadsheet and a quarterly trip to the accountant.

Starting price
$49/mo + $6 per person
Deployment
Cloud
Free trial
No standard free trial; promotional offers vary

Justworks vs Gusto: side by side

Rows are grouped by the decision they belong to, and a row is marked where the two products answer differently. Rows they answer the same way stay visible: that is an answer too.

Justworks vs Gusto pricing compared
PricingJustworksGusto
Starting price$50/mo + $8 per employee (Payroll)$49/mo + $6 per person
Typical cost$79 per employee/mo on PEO Basic$80/mo + $12 per person on Plus ($680/mo at 50 staff)
Billing unitper employee per monthper month + per person
Free trialNot stated by vendorNo standard free trial; promotional offers vary
Price transparencyPrices published by vendorPrices published by vendor

Prices verified Sep 2026. Sources: Justworks pricing page (blocked to direct fetch; figures from search-result text), Justworks: CASRAI Justworks pricing (updated Aug 27, 2026), Justworks: South: What does Justworks cost in 2026, Justworks: PayrollDetective: Gusto vs Justworks, Justworks: RemotePeople Justworks pricing, Justworks: WhichPayroll Justworks pricing (verified Apr 2026), Justworks Help Center: EOR billing FAQs, Gusto pricing page, Gusto Help Center: Understanding Gusto plans, Gusto: CASRAI Gusto pricing guide (updated Aug 27, 2026).

Full plan tables: Justworks pricing, Gusto pricing.

CriteriaJustworksGusto
Commercials
Starting priceDiffers$50/mo + $8 per employee (Payroll)$49/mo + $6 per person
Pricing modelPer-employee pricingPer-employee pricing
Free trialDiffersAvailableNo standard free trial; promotional offers vary
Typical costDiffers$79 per employee/mo on PEO Basic$80/mo + $12 per person on Plus ($680/mo at 50 staff)
Who it fits
Best forDiffersStartups under 50 staff wanting Aetna or UnitedHealthcare plansUS small businesses wanting published payroll pricing and 50-state tax filing
Rollout & platform
DeploymentCloudCloud
Supported platformsWeb, iOS, AndroidWeb, iOS, Android

Justworks vs Gusto: key differences

Co-employment or your own payroll: the real choice

In a PEO, Justworks becomes co-employer and your staff join its benefit plans. With Gusto you stay the only employer and buy benefits yourself.

  • 12-person startup, wants competitive health plans to hire engineers: Justworks PEO Plus. Large-group plans are the reason to pay $109-$124 per head. See PEO software.
  • 25-person shop, health benefits through a local broker already: Gusto Plus ($380 a month). A PEO fee buys little you do not have.
  • Owner wants HR help for terminations and policies: Justworks PEO Basic includes HR consulting; Gusto Premium ($730 at 25) adds an HR resource center and a dedicated contact.
  • Payroll only, no PEO: Justworks Payroll ($50 + $8) or Gusto Simple ($49 + $6). Pick on integrations and support hours.

Justworks vs Gusto monthly fees at 10, 25 and 50 employees

Plan10 employees25 employees50 employees
Justworks Payroll ($50 + $8)$130$250$450
Justworks PEO Basic ($79 each)$790$1,975$3,950
Justworks PEO Plus ($109-$124 each)$1,090-$1,240$2,725-$3,100$5,450-$6,200
Gusto Simple ($49 + $6)$109$199$349
Gusto Plus ($80 + $12)$200$380$680

What the Justworks PEO fee buys over Gusto

FeatureJustworksGusto
Employer statusCo-employer under a PEO agreementYou remain the sole employer
Health plansAccess to Justworks' large-group plans (PEO Plus); not sold without the PEOYour own plans through Gusto's brokerage or your broker
Workers' compAdministered in the PEOBought separately through a partner
401(k)Empower multiple-employer plan, PEO customers onlyGusto 401(k) powered by Guideline
HR helpHR consulting in PEO BasicHR resource center and dedicated contact on Premium
Support hoursPEO: 24/7 phone, email and chat; Payroll plan: weekdays 9am-6pm ETChat 5am-5pm PT weekdays; phone by callback
Accounting syncQuickBooks, Xero; NetSuite and Sage Intacct on PEO onlyQuickBooks Online, QuickBooks Desktop, Xero
Accountant accessAdvisor Dashboard for firmsGusto Pro for firms
InternationalEOR $599/employee; contractors $39 eachContractors in 120+ countries; EOR through a partner

Joining or leaving a PEO mid-year

  1. Joining Justworks: send a year-to-date payroll report from January 1 (Gusto calls it the Payroll Journal) with Social Security, Medicare and unemployment wages per employee.
  2. Time the start with your health plan renewal so employees do not reset deductibles mid-year. Ask Justworks how deductibles already met will be credited.
  3. Ask how state unemployment wages will be reported after the move and whether any employer tax overpayment can be recovered.
  4. Leaving Justworks: employees keep coverage to the end of the month after separation, then COBRA applies. Start new plans the next day.
  5. Download records during the wind-down window; former employees keep access to pay stubs and W-2s.

Leaving Justworks Payroll (not the PEO) is simpler: payroll runs under your own EIN, and you choose whether Justworks or your new provider files the quarter and issues W-2s.

Justworks and Gusto complaints worth checking

Themes from Trustpilot, G2, Capterra and GetApp, checked October 2026. Justworks has few Trustpilot reviews, so weigh its themes accordingly.

  • Justworks, health renewal increases and limited plan choice (G2; GetApp).
  • Justworks, slow support and phone support that is hard to find, with requests pushed to chat (Trustpilot, 2.1/5 from 37 reviews; Capterra).
  • Justworks, payroll or tax errors and fund holds (Trustpilot).
  • Gusto, slow support and unreturned callbacks (Trustpilot, 1.9/5 from 2,530 reviews).
  • Gusto, tax filing errors that led to agency notices (Trustpilot; G2).
  • Gusto, mistakes during onboarding, such as duplicate deductions or cancelled benefits (Trustpilot; Capterra).

Related: Justworks vs TriNet, Justworks vs Rippling, PEO vs payroll provider, and what is a PEO.

Frequently asked questions

Is Justworks more expensive than Gusto?

Yes, unless you compare the payroll-only plans. Justworks PEO Basic is $79 per employee per month, or $1,975 at 25 people, before health premiums. Gusto Simple is $49 plus $6 per person, or $199 at 25. Justworks Payroll, its non-PEO plan, is $50 plus $8 per employee, or $250 at 25, which is close to Gusto.

Does Justworks lower health insurance costs?

It can, but no source we found supports a fixed percentage. Justworks gives small companies access to large-group plans on its master policies; it says it negotiates overall rate increases, not individual company rates, that premiums are only known from a quote, and that renewals see some increase. Compare its quote with a small-group quote for the same employees.

Is Gusto a PEO?

Not for most customers. Gusto is payroll and HR software: you remain the sole employer and choose your own benefits. In 2026 Gusto began testing a PEO for a limited group of existing payroll customers in Texas, California and Florida. Justworks has run a PEO for years and also sells a payroll-only plan.

What do I need to switch from Gusto to Justworks mid-year?

Justworks asks for a year-to-date payroll report from January 1 to your start date, with Social Security, Medicare and unemployment wages per employee and work states. From Gusto that report is the Payroll Journal. Without it you cannot recover employer taxes overpaid when wage bases restart under the new arrangement.

What happens to employee benefits if we leave Justworks?

Coverage under Justworks' plans ends because those plans belong to Justworks. Employees who leave keep coverage to the end of the month after separation and can elect COBRA. If the whole company leaves, line up replacement plans to start the day after Justworks coverage ends, and confirm in writing which provider issues each employee's W-2 for the year.

Does Justworks support international employees?

Yes. Justworks offers employer of record service at $599 per international employee per month and pays international contractors for $39 each per month. Gusto pays contractors in 120+ countries and offers EOR through a partner. For a company with only a few people abroad, either works; compare per-country coverage first.

Go deeper on Justworks and Gusto