Compare payroll software for construction businesses, subcontractor-heavy teams, and companies managing both W-2 employees and 1099 workers.
Construction companies need payroll that handles W-2 field and office staff plus 1099 subcontractors, ties labor cost to jobs and job sites, and keeps tax forms and compliance straightforward. Our picks below work for small and growing construction operations—from those running books in QuickBooks to teams that want an all-in-one platform or full-service support. For more options by crew type, see our best payroll for contractors and our main payroll roundup.
Our top payroll picks for construction.
Best overall for small construction businesses4.8From $49/moAll-in-one payroll with strong 1099 support for subs, contractor self-service, and automatic tax forms. Handles W-2 and 1099 in one system—no sales cycle. Good for construction offices running payroll in-house.
Best for construction companies using QuickBooks4.6From $30/moPayroll inside QuickBooks so labor cost flows straight into job costing and jobs. Ideal when you already run estimates, invoicing, and books in QuickBooks. Pay crews and subs in the same system.
Best value for straightforward payroll4.5From $40/moFlat pricing and one plan. Pay W-2 employees and 1099 subcontractors with tax forms included. Simple for office managers and small operations teams—works with any accounting software.
Best for growing construction teams4.4From Custom pricingEnterprise payroll and HR that scale to more employees and job sites. Custom pricing and optional dedicated support. Good when you're growing and want a full-service partner for compliance and multi-state.
Side-by-side at a glance.
| Software | Best for | Starting price | Payroll types | Standout feature | Review |
|---|---|---|---|---|---|
| Gusto | Best overall for small construction | $49/mo | W-2, 1099 | 1099 subs; contractor portal; all-in-one | Read review |
| QuickBooks Payroll | Construction using QuickBooks | $30/mo | W-2, 1099 | Labor cost in jobs; job costing | Read review |
| OnPay | Best value; straightforward payroll | $40/mo | W-2, 1099 | Flat pricing; 1099 included | Read review |
| ADP | Growing construction teams | Custom pricing | W-2, 1099, multi-state | Scale; optional dedicated support | Read review |
What to look for when you're choosing payroll as construction.
Construction companies often have both W-2 field and office employees and 1099 subcontractors. Your payroll system should handle both in one place—correct withholding for W-2, no withholding for 1099, and the right tax forms (W-2 vs 1099-NEC) at year-end. Contractor self-service portals let subs view pay stubs and documents without extra admin work.
If you do public or prevailing-wage work, you may need certified payroll reporting (e.g. WH-347). Many general-purpose payroll tools don't build this in; you may use a dedicated certified payroll add-on or service. For typical commercial or residential work without prevailing-wage requirements, the picks on this page cover payroll and job costing well.
When labor works across multiple jobs or job sites, you need to allocate hours and cost by job for accurate job costing and reporting. QuickBooks Payroll does this natively—hours and labor cost post to the jobs you assign. Gusto and OnPay sync to QuickBooks but don't push cost to jobs the same way; they're still strong for running payroll and tracking who worked where if you use time tracking or manual allocation.
Construction accounting relies on labor cost by job. If you run your books in QuickBooks, payroll that posts labor to jobs (QuickBooks Payroll) keeps job costing accurate without re-entry. If you use another accounting system, choose payroll that exports or syncs in a way you can map to jobs or cost codes.
Field time can be captured with time clocks, mobile apps, or manual entry. The best setup syncs hours into payroll so you're not re-entering data. Gusto has built-in time tracking; QuickBooks Payroll integrates with QuickBooks Time for time-by-job. Accurate hours also support job costing and overtime compliance.
1099 subcontractors need 1099-NEC at year-end. Confirm your payroll provider includes 1099 runs and e-file without per-form fees. Running contractor payments through the same system as W-2 payroll keeps one record of all payments and simplifies reporting.
Construction offices often have one person or a small team running payroll. Choose software that's straightforward to set up and run—published pricing, no long sales cycle, and support when you need it. Gusto and OnPay are built for self-serve; QuickBooks Payroll fits if you already live in QuickBooks; ADP offers dedicated support when you're ready for it.
How each pick fits construction: what to validate in a trial, with links to our full reviews and official sites.
Gusto is capable payroll software for construction companies that juggle W-2 crews and 1099 subcontractors without wanting a drawn-out enterprise sale. Contractor portals, automated filings, and optional time tools keep field pay from living in side spreadsheets. During your first payrolls, verify certified or prevailing-wage style pay types if you use them, confirm tax deposits and lien-sensitive wage registers look right, and separate employee labor from subcontractor draws in reports. Run a sample week with multi-rate craft workers plus a sub invoice payment to test 1099 readiness and union or fringe deductions if applicable. If you track cost codes, make sure exports still match how your PM software expects labor dollars. Growth into more jobs or benefits layers on without swapping payroll cores.
QuickBooks Payroll is natural payroll software for construction firms that already cost jobs inside QuickBooks and need payroll labor to post straight to those jobs. Estimates, draws, and actuals stay in one ecosystem, which protects margin on fixed-price work. On initial runs, tie payroll detail to at least two active jobs and confirm burden, workers’ comp class codes, or other mapped items land correctly. Pair the test with QuickBooks Time so field hours, travel, and overtime hit payroll without manual splits. Watch multi-state crews for unemployment and local withholding when sites cross lines. When those reconciliations clear, your job cost reports stay defensible to owners and sureties.
OnPay is straightforward payroll software for construction back offices that want flat, understandable pricing while still paying subs and employees from one login. Support answers the phone when a foreman’s hours arrive late on Thursday night. Use early payrolls to validate tax deposits, new-hire reporting, and clean 1099 workflows for regular specialty subs. Import or key a crew mix with straight time, overtime, and job notes to ensure costing dimensions survive export to QuickBooks or another GL. If you operate a small equipment yard as a second department, confirm those splits before you trust month-end burden. Predictable fees matter when job cash flow swings week to week.
ADP is payroll software to quote for construction enterprises that need deep multi-state compliance, union or certified payroll support, and optional dedicated service as bondable work scales. Implementation teams can align complex earning codes with how your jobs report to owners and agencies. After go-live, audit deposits and filings for every state where you have transient crews, not just headquarters. Run parallel checks on job or cost-center allocations if finance closes by division or JV. If Davis-Bacon or similar rules apply, walk sample certified payroll registers with your ADP contact before the first agency review. Benchmark total serviced cost once those controls prove out.
Head-to-head comparisons to narrow your choice.
Gusto and QuickBooks Payroll both handle W-2 and 1099 payroll with automatic tax filing, but they target different workflows. Gusto is a sta…
Compare →Gusto and OnPay both serve small businesses with payroll, tax filing, and benefits, but they take different approaches. Gusto offers more HR…
Compare →Gusto and ADP both offer payroll, tax filing, and HR, but they serve different scales. Gusto is built for small businesses with transparent…
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ADP and Paychex are two of the largest full-service payroll and HR providers. Both use custom pricing and serve small business through enter…
Compare →For more options across all use cases, see our best payroll software roundup. To compare platforms side-by-side, see our payroll software comparisons.
Quick answers for this use case.
