Independent buying guide. Not affiliated with any HR vendor. Verify pricing with each provider before purchase.
BestHR.com
Budget guide · 2026

Free HR software for small business 2026 - the honest guide

There is some genuinely free HR software, and there are a lot of fake free promises. Here is the truth: which platforms have permanent free tiers, what those tiers actually include, and which paid platforms have free trials worth running. No fluff, no affiliate-padding.

Verified 25 April 2026

Permanent free tiers

Homebase Basic (Free)

$0/mo for 1 location
What you get

Scheduling, time clock, basic onboarding, team messaging, basic reports.

What you give up

One location only. No payroll. Higher tiers ($24.95-$99.95/loc) add benefits and HR features.

Best fit

Restaurants, retail, single-location hourly teams under 20 employees.

WebHR Free

$0/mo under 5 employees
What you get

Employee records, time-off requests, basic document storage, attendance tracking.

What you give up

Hard cap at 5 employees. No payroll, no advanced workflows, dated UI.

Best fit

Very small teams (1-5 employees) that need basic record-keeping.

TalentHR Free

$0/mo for very small teams
What you get

HRIS basics, time-off tracking, document management, simple reporting.

What you give up

Limited to small teams; advanced features (performance, ATS) require paid plan.

Best fit

Bootstrapped startups under 10 employees needing more than a spreadsheet.

Zoho People Free

$0/mo for 5 users
What you get

Employee database, time-off management, attendance, basic Zoho ecosystem integration.

What you give up

Capped at 5 users on free plan; useful primarily if you already use Zoho.

Best fit

Existing Zoho users wanting to extend into HR records.

Free trials on paid platforms

PlatformTrial lengthFull access?Notes
Gusto30 daysYes - Simple planLongest trial in the category. Run a full pay cycle.
OnPay30 daysYes - full planFirst month free; the full feature set is available.
Rippling14 daysLimited - HR Core onlyModules require paid commitment to evaluate.
BambooHR7 daysYes - Core or ProShort but full-feature. Plan a focused 1-week evaluation.
Homebase14 daysYes - Plus tierTrial of paid features beyond the always-free Basic tier.
GoCoDemo onlyNo self-service trial. Sales-led demo with sandbox access.
JustworksDemo onlyPEO co-employment requires contract; no trial period.
ADP RunDemo onlyQuote-based with sales-led onboarding; no trial.
Paychex FlexDemo onlyQuote-based; you can request a recorded demo or live walkthrough.
DeelFree Deel HR tier alwaysDeel HR (basic employee data) is permanently free; payroll is paid.
When free is genuinely fine

Stay on free if all of these are true

  • You have under 10 employees and don't expect to grow significantly in the next 12 months.
  • You operate in a single state, single location.
  • You can use a separate, free or cheap payroll tool (Square Payroll under 5 employees, Wave Payroll in some states).
  • You don't offer benefits beyond statutory requirements (no health insurance, no 401(k)).
  • You can manually handle PTO tracking and onboarding paperwork.

If two or more of these stop being true, the free tier is costing you in time and risk. The cheapest paid plan (OnPay $40 + $6/emp, Gusto Simple $49 + $6/emp) is usually the right move.

Cheapest paid HR software with payroll

If free doesn't fit your needs, here's the cheapest path to compliant US payroll plus basic HR:

1

OnPay

$40 + $6/emp

Single flat plan with full payroll, basic HR, benefits brokerage, and onboarding. $100/month at 10 employees. Cheapest fully-featured option in 2026.

2

Gusto Simple

$49 + $6/emp

$109/month at 10 employees. Modern UX, best-in-category transparent pricing, free 30-day trial. $9 more per month than OnPay buys a more polished experience.

3

Homebase Plus + Payroll

$24.95 + $39 base + $6/emp

For hourly teams at one location: $123.95 base + employee fees. Strong scheduling and time clock features Gusto and OnPay don't match. ~$184/month at 10 employees.

Frequently asked questions

Is there genuinely free HR software for small business?
Yes, but with real limits. Homebase free tier covers scheduling, time clock, and basic HR for hourly teams at one location. WebHR is free for under 5 employees. TalentHR has a permanent free plan for very small teams. None of these include payroll for free - if you need payroll, expect to pay $40-$100 per month for the cheapest fully-featured option (OnPay, Gusto Simple).
What does Gusto's free trial cover?
Gusto offers 30 days free with full access to the Simple plan: payroll, basic onboarding, PTO, benefits enrolment. After 30 days you must pay $49 base + $6 per employee per month or stop using the service. The trial is the longest in the category and the most useful - you can run a full pay cycle to verify fit before committing.
Is BambooHR's free trial worth it?
It's short - just 7 days. That's enough to evaluate the UI, set up a fake employee, and walk through onboarding workflows. Not enough to run a full payroll cycle. Use it to verify BambooHR's feel matches what your team needs, then expect to commit to a paid plan to validate the full experience.
Are free HR tools missing features I'll need?
Yes. Free tiers typically lack: full-service payroll, benefits brokerage, performance reviews, advanced reporting, multi-state compliance, integrations beyond a few basics. They're great for teams under 10 employees that want PTO tracking and basic onboarding. Once you cross 10 employees, paid plans almost always pay for themselves.
Should I rely on free HR software long-term?
Only if your needs genuinely fit the free tier's scope. Hourly-only teams at a single location can run on Homebase free for years. Most growing businesses outgrow free tiers within 6-12 months. The transition cost (data migration, parallel running, retraining) makes it cheaper to start on the platform you'll be on at 25 employees rather than switching twice.
What about open-source HR software?
Open-source options exist (OrangeHRM, Sentrifugo, IceHrm) but require self-hosting, technical setup, and ongoing maintenance. For most small businesses the total cost of ownership (server, security, support, your engineering time) exceeds paid HR software. Only consider open-source if you have specific data sovereignty requirements or strong in-house engineering capacity.

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