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Best Contractor Payrolls of 2026

Updated · 4 picks · live pricing · affiliate disclosure

The global contractor pick at forty-nine per contractor with multi-currency payouts in any country.

BEST OVERALL5.6/10$288/yr more

Deel

The global contractor pick at forty-nine per contractor with multi-currency payouts in any country.

Free HR tier (no time limit)
Try DeelSee full review

How it stacks up

  • Contractor $49/mo

    vs $6 Square cheapest US-only

  • Multi-currency 100+

    vs $35 + $6 Gusto Contractor only US

  • HR Free 200 ee

    vs $599 Deel EOR international FTE

#2
Gusto3.5/10

From $35/mo

View
#3
Square Payroll3.3/10

From $6/mo

View

All picks at a glance

#PickBest forStartingFreeScore
1DeelBest contractor payroll for international and multi-currency$29.00/mo✓5.6/10
2GustoBest contractor payroll for CPA-recommended US default$35.00/mo—3.5/10
3Square PayrollBest contractor payroll for cheapest 1099 management$6.00/mo—3.3/10
4OnPayBest contractor payroll for mixed W-2 and 1099 teams$49.00/mo—2.9/10

Quick pick by use case

If you only have thirty seconds, find your situation below and skip to that pick.

If you pay only US-based domestic 1099 contractors and per-contractor cost is the load-bearing decisionSquare PayrollContractor-Only $6/contractor with no base is cheapest by a wide margin; automatic 1099-NEC filing at year-end.If you pay international contractors or freelancers in multiple currenciesDeelContractor $49/contractor with multi-currency payouts in 100+ countries; legal compliance in any country.If you are a US-only 1099 shop and your CPA already recommends GustoGustoContractor-only $35 + $6/contractor is the CPA-recommended default with universal accountant familiarity.If you pay both W-2 employees and 1099 contractors and want one tier handling bothOnPayAll-in-one $49 + $6/worker handles W-2 employees and 1099 contractors in one workflow without restructuring.

Compare all 4 picks

Free tierTop spec
#1Deel5.6/10$49.00/mo—$288/yr more✓Contractor $49/mo
#2Gusto3.5/10$80.00/mo—$660/yr more—Contractor-only $35 + $6/ee
#3Square Payroll3.3/10$35.00/mo—$120/yr more—Contractor-Only $6/ee
#4OnPay2.9/10$49.00/mo—$288/yr more—All-in-one $49 + $6/ee
#1

Deel

5.6/10$288/yr more

Best contractor payroll for international and multi-currency

Try DeelSee Deel alternatives

The global contractor pick at forty-nine per contractor with multi-currency payouts in any country.

PlanMonthlyWhat you get
HR FreeFreeTime off, org chart, employee profiles, and document management for up to 200 employees at no cost
US Payroll (Managed)$29.00/moW-2 payroll with tax filing in all 50 states and benefits administration
Contractor (per-month)$49.00/mo1099 and international contractor management with multi-currency payouts and tax forms
EOR (Employer of Record)$599.00/moFull legal employment in 110+ countries with local entity compliance and local payroll
US PEO$125.00/moCo-employer relationship bundling workers comp, health insurance access, and HR compliance

Deel is the right contractor pick when contractors are international or paid in multiple currencies. Founded 2018 in San Francisco by Alex Bouaziz and Shuo Wang. The wedge against Square Payroll and Gusto is reach: Deel handles legal contractor compliance in any country with multi-currency payouts (USD, EUR, GBP, INR, plus over a hundred local currencies), local tax forms, and the freelancer-onboarding flow that captures W-9 for US contractors and W-8BEN for international.

Contractor at forty-nine per contractor monthly covers unlimited pay runs, direct deposit or local bank transfer, multi-currency payouts, automatic tax form generation (1099-NEC for US, local equivalents for international), and contractor onboarding. HR Free at zero cost up to two hundred employees adds time off, org chart, and document management.

The trade-off is the price: forty-nine per contractor against Square Payroll's six is eight times more expensive for US-only shops. The international and multi-currency wedge justifies the premium for global teams. For US-only domestic contractors: Square Payroll. For international contractors: Deel wins decisively.

Pros

  • Multi-currency payouts in 100+ local currencies
  • Automatic tax forms (1099-NEC for US, W-8BEN for international)
  • HR Free up to 200 employees genuinely usable freemium
  • Legal contractor compliance in any country
  • Direct deposit or local bank transfer per contractor preference

Cons

  • $49/contractor is 8x more expensive than Square for US-only shops
  • Pricing model fragmentation across 5 sub-products
Contractor $49/moMulti-currency 100+HR Free 200 eeFree HR tier (no time limit)

Best for: Global agencies, remote-first teams hiring international freelancers, and any shop with contractors in multiple countries needing multi-currency payouts.

Compliance
9
Setup speed
9
Daily UI
8
Value
8
Support
8
Try Deel
#2

Gusto

3.5/10$660/yr more

Best contractor payroll for CPA-recommended US default

Try GustoSee Gusto alternatives

The CPA-default contractor pick at thirty-five base plus six per contractor with universal accountant familiarity.

PlanMonthlyWhat you get
Simple$49.00/moFull-service payroll, single-state filing, employee self-service, and a health benefits broker for small US shops
Plus$80.00/moMulti-state payroll, PTO, hiring and onboarding, and time tracking on top of everything in Simple
Premium$180.00/moCompliance alerts and a full HR resource center for shops that need policy support beyond payroll
Contractor only$35.00/mo1099 contractor payroll without W-2 employees, the right pick for non-employee shops

Gusto Contractor-only is the right contractor pick when the buyer is US-only and the CPA already recommends Gusto. Founded 2011 in San Francisco. The wedge against Square Payroll Contractor-Only is brand: Gusto is the contractor-payroll most CPAs already know how to set up, which lowers the friction of accountant onboarding and tax-prep workflows at year-end.

Contractor-only at thirty-five base plus six per contractor monthly covers unlimited pay runs, direct deposit, automatic 1099-NEC filing at year-end, contractor onboarding with W-9 collection, and the same Gusto dashboard W-2 employees use. Gusto's broader benefits broker integration is available if the shop later adds W-2 employees.

The trade-off is the thirty-five base fee that Square Payroll does not charge. A five-contractor shop pays sixty-five on Gusto versus thirty on Square. For US-only domestic 1099 shops where the CPA already recommends Gusto: pick Gusto for friction reduction. For shops without an established CPA preference: Square Payroll wins on price. For international: Deel.

Pros

  • CPA-recommended US default with universal accountant familiarity
  • Unlimited pay runs and direct deposit included
  • Automatic 1099-NEC filing at year-end
  • Same Gusto dashboard if shop later adds W-2 employees
  • Benefits broker access available as upgrade path

Cons

  • $35 base + $6/contractor is more expensive than Square at $6/contractor only
  • No international contractor support; US-only
Contractor-only $35 + $6/eeCPA-recommended US defaultAuto 1099-NECFree 1-month trial first payroll

Best for: US-only 1099 shops where the CPA already recommends Gusto, and shops planning to add W-2 employees later who want the same dashboard.

Compliance
9
Setup speed
9
Daily UI
9
Value
8
Support
9
Try Gusto
#3

Square Payroll

3.3/10$120/yr more

Best contractor payroll for cheapest 1099 management

Try Square PayrollSee Square Payroll alternatives

The cheapest 1099 pick at six per contractor with no base and automatic 1099-NEC filing at year-end.

PlanMonthlyWhat you get
Full-Service Payroll$35.00/moW-2 and 1099 mixed teams, automated tax filings, tip importing from Square POS, and sick leave tracking
Contractor-Only$6.00/mo1099 contractor payroll with no base fee, the cheapest contractor management on this page

Square Payroll is the right contractor pick when the shop pays only 1099 contractors and per-contractor cost is the load-bearing decision. Launched 2015 inside Block (NYSE SQ). The wedge against Gusto Contractor-only and Deel Contractor is brutal price math: Square Contractor-Only at six per contractor with no base means a five-contractor shop pays thirty per month against Gusto's sixty-five (35 + 5 × 6) or Deel's two hundred forty-five (5 × 49).

Contractor-Only covers unlimited pay runs, direct deposit, automatic 1099-NEC filing at year-end, and contractor onboarding with W-9 collection. There is no separate base fee; you pay six per active contractor per month. Contractors get the Square dashboard for self-service and tax form access.

The trade-off is US-only (no international contractor support; use Deel for global), no native benefits broker access for contractors, and limited to Block's ecosystem feel. For US-only 1099 shops paying domestic contractors: Square Payroll wins on price by a wide margin. For global contractor reach: Deel.

Pros

  • $6/contractor with no base is cheapest by a wide margin
  • Unlimited pay runs and direct deposit included
  • Automatic 1099-NEC filing at year-end
  • Block (NYSE SQ) audited and stable
  • Contractor self-service dashboard for tax forms

Cons

  • US-only; no international contractor support
  • No native benefits broker access for contractors
Contractor-Only $6/eeNo base feeAuto 1099-NEC filingNo free trial; cancel anytime

Best for: US-only 1099 shops paying domestic contractors who want the cheapest per-contractor cost with automatic 1099-NEC filing and no base fee.

Compliance
8
Setup speed
8
Daily UI
9
Value
10
Support
7
Try Square Payroll
#4

OnPay

2.9/10$288/yr more

Best contractor payroll for mixed W-2 and 1099 teams

Try OnPaySee OnPay alternatives

The mixed-team contractor pick at forty-nine plus six per worker with W-2 plus 1099 in one workflow.

PlanMonthlyWhat you get
All-in-one$49.00/moFull-service payroll with multi-state filing, health benefits broker, 401(k), and workers comp on a single tier

OnPay is the right contractor pick when the shop pays both W-2 employees and 1099 contractors and wants one workflow without a separate contractor product. Atlanta-based with modern SaaS roots from 2007. The wedge against Gusto Contractor-only is product structure: OnPay's All-in-one tier handles W-2 employees and 1099 contractors at the same six per worker, while Gusto requires separate Contractor-only and full-service tiers that mid-team migration restructures billing.

All-in-one at forty-nine base plus six per worker covers full-service payroll for W-2, 1099-NEC for contractors, multi-state filing, and unlimited pay runs. Contractors and employees share the same dashboard. Tax filings handle both W-2 and 1099-NEC at year-end automatically.

The trade-off is the forty-nine base fee that Square Payroll does not charge for contractor-only shops. For 1099-only shops Square wins on price. For mixed W-2 plus 1099 shops where staying on one tier matters more than per-contractor cost: OnPay wins on simplicity. The break-even is around five W-2 employees plus three contractors.

Pros

  • Single tier handles W-2 + 1099 mixed teams
  • $6/worker for both employees and contractors (no separate tier)
  • Multi-state filing included from day one
  • Health benefits broker access for W-2 portion of team
  • Same dashboard for employees and contractors

Cons

  • $49 base is unnecessary for contractor-only shops (use Square)
  • Lower brand recognition than Gusto in CPA referrals
All-in-one $49 + $6/eeW-2 + 1099 one tierMulti-state included1-month free trial first payroll

Best for: Mixed W-2 plus 1099 teams who want one tier handling both employees and contractors without restructuring billing as the team composition changes.

Compliance
9
Setup speed
8
Daily UI
9
Value
9
Support
8
Try OnPay

How we picked

Each pick gets a transparent composite score from price, features, free-tier availability, and editor fit. Pricing flows from our live database, so when a vendor changes prices the score updates here too.

Composite weights: price 40%, features 30%, free tier 15%, fit 15%. Four picks subset to catalog services with native 1099 contractor workflow. Rippling excluded (no dedicated contractor tier). Justworks excluded (PEO not contractor-fit). Paychex and ADP RUN excluded (quote-only). See parent /best/payroll-hr for the full lineup.

We don't claim "30,000 hours of testing." Our methodology is the formula above plus the editor's published verdict for each pick. Verifiable, auditable, and updated when the underlying data changes.

Why trust Subrupt

We're a subscription tracker first, a buying guide second. Every claim on this page is something you can check.

By use case

Best contractor cheapest 1099

Square Payroll

Read the full review →

Try Square Payroll

Best contractor international multi-currency

Deel

Read the full review →

Try Deel

Best contractor US CPA default

Gusto

Read the full review →

Try Gusto

Best contractor mixed W-2 + 1099

OnPay

Read the full review →

Try OnPay

How to choose your Contractor Payroll

Match the contractor payroll to your contractor lane

Contractor payroll splits four ways the 1099 buyer should match against. US-only domestic contractor lane picks Square Payroll for the cheapest per-contractor cost at six per contractor with no base. International contractor lane picks Deel for multi-currency payouts and legal compliance in any country. CPA-led US lane picks Gusto for accountant familiarity and the upgrade path to Gusto's full-service tier when W-2 employees are added later. Mixed W-2 plus 1099 lane picks OnPay for the single-tier workflow that handles both. The wrong lane choice produces a worse fit than no choice: international contractors on Square Payroll fail compliance; cost-anchored US shops on Deel pay 8x what they need; mixed teams on Gusto Contractor-only restructure billing when the first W-2 employee arrives. For broader payroll context including W-2 full-service, see [our /best/payroll-hr guide](/best/payroll-hr).

Pricing math: when each pick wins on per-contractor cost

For five US contractors: Square Payroll Contractor-Only at thirty per month, Gusto Contractor-only at sixty-five (35 + 30), OnPay All-in-one at seventy-nine (49 + 30), Deel Contractor at two hundred forty-five (5 × 49). For ten US contractors: Square at sixty, Gusto at ninety-five, OnPay at one hundred nine, Deel at four hundred ninety. For one international contractor (any country): Deel at forty-nine; Square and Gusto cannot pay them legally. For mixed three W-2 plus three 1099: Square cannot handle W-2; Gusto Simple at sixty-seven for W-2 plus separate Contractor-only at fifty-three (35 + 18) totals one hundred twenty across two products; OnPay All-in-one at sixty-seven (49 + 18) for both. Square wins for US-only contractor-only; Deel wins for international; OnPay wins for mixed teams; Gusto wins for CPA-led US shops.

1099-NEC filing and tax compliance across the four picks

All four picks handle automatic 1099-NEC filing for US contractors at year-end. Square Payroll, Gusto, and OnPay file federal 1099-NEC and state equivalents where required without additional fee. Deel files 1099-NEC for US contractors and local equivalents (W-8BEN, EU local forms, country-specific tax forms) for international contractors. The compliance friction is in misclassification rather than filing: a worker who should be W-2 paid as 1099 creates IRS, state department of labor, and unemployment insurance liability that exceeds the cost of correct classification. The IRS Common Law Test and state ABC Test are the load-bearing references; consult a CPA before classifying borderline workers as 1099. Misclassification is the most-common compliance failure in contractor payroll across all four picks.

Switching contractor vendors: what migrates and what does not

Year-to-date 1099 wages export from each vendor as CSV and import into the new vendor. W-9 forms typically need re-collection (most vendors store securely and contractors prefer not to re-share, but the destination vendor needs its own copy). Direct deposit details need each contractor to re-confirm via the new vendor's onboarding flow. 1099-NEC filing for the cutover year typically splits across two vendors; most CPAs recommend cutover at quarter-end so each vendor handles a clean quarter. Tax forms generated by the old vendor remain accessible for audit history; keep the old vendor on a legacy contract for a year. International contractor relationships on Deel do not migrate cleanly to Square or Gusto (no international support); plan for legal review before any switch that changes country coverage.

Frequently asked questions

Why is Square Payroll ranked #1 if Gusto is the CPA default?

Audience math. Most contractor-only shops in 2026 are bootstrapped operations where per-contractor cost is the load-bearing decision, and Square at $6/contractor with no base is 6-8x cheaper than Gusto Contractor-only at $35 + $6. For CPA-led shops where Gusto familiarity matters more than $30-50/month: Gusto leads. For 1099 shops without an established CPA preference: Square wins on price.

Can I pay international contractors on Square Payroll or Gusto?

No on Square Payroll (US-only). No on Gusto (US-only). Yes on Deel ($49/contractor with multi-currency in 100+ countries) and Rippling Global Workforce (priced higher than Deel). For mixed US + international contractor workflow, Deel is the only viable single-vendor option in this lineup. The alternative is using Square or Gusto for US contractors and Deel for international, which adds vendor complexity but saves on per-contractor cost for the US portion.

How does 1099-NEC filing work across the four picks?

All four file federal 1099-NEC automatically at year-end for US contractors. Square Payroll, Gusto, and OnPay file federal and state equivalents where required without added fee. Deel files 1099-NEC for US contractors plus local tax forms (W-8BEN, EU country-specific) for international. Filing happens automatically when contractors are paid above the $600 annual threshold; no manual filing required.

How much does a 10-contractor shop save switching from Gusto to Square Payroll?

Gusto Contractor-only at $35 + $6/contractor × 10 = $95/mo annually $1,140. Square Payroll Contractor-Only at $6/contractor × 10 = $60/mo annually $720. Saving = $420/year (37%). For 25 contractors: Gusto $185/mo vs Square $150/mo, saving $420/year (19%). For 5 contractors: Gusto $65/mo vs Square $30/mo, saving $420/year (54%). The percentage saving compresses as contractor count grows; the absolute saving stays roughly $420/year because Gusto base fee is fixed.

Will my W-2 employees pay correctly if I use Square Payroll Contractor-Only?

No. Square Payroll Contractor-Only is for 1099 contractors only. For W-2 employees, upgrade to Square Payroll Full-Service at $35 base + $6/employee. The transition happens within Square Payroll without re-onboarding contractors or rebuilding the dashboard. For shops that anticipate W-2 hires within 12 months: starting on Full-Service avoids the upgrade trigger.

Should I classify my workers as W-2 or 1099?

Consult a CPA. The IRS Common Law Test (behavioral control, financial control, relationship type) and state ABC Test (independent operation, services outside usual course) are the load-bearing references. Misclassification is the most-common compliance failure: a worker who should be W-2 paid as 1099 creates IRS, state department of labor, and unemployment insurance liability that exceeds the cost of correct classification.

Can I run W-2 employees on one vendor and contractors on another?

Yes; many shops do this for cost reasons. Common pattern: Gusto or OnPay for W-2 employees, Square Payroll Contractor-Only for US contractors, Deel Contractor for international contractors. The friction is reconciliation across three vendor dashboards plus three sets of 1099 and W-2 filings. For shops over 10 employees plus 10 contractors, the consolidation savings of one vendor (OnPay or Gusto) usually beat the per-worker savings of multiple vendors.

Will my contractor benefits enrollments transfer between vendors?

No, because contractors are not eligible for traditional employee benefits (health insurance, 401(k)). Some platforms (Deel, Gusto, Rippling) offer contractor-specific benefits like health insurance access through Stride or similar marketplaces, but enrollment data is platform-specific. Plan re-enrollment as part of any contractor vendor switch.

What about QuickBooks Payroll, Patriot, ADP for contractor management?

QuickBooks Payroll Contractor at $20/month covers unlimited contractors with native QuickBooks accounting integration. Patriot Payroll Basic at $17 + $4/worker is the cheapest full-service option. ADP WorkMarket targets contractor-heavy mid-market with onboarding and compliance features. We exclude these from the catalog because the lineup focuses on the broader SMB-to-mid-market payroll category; QuickBooks Payroll is a credible side-pick for QuickBooks-led shops.

Does Subrupt earn a commission on these contractor payroll picks?

On the paid-tier links across Square Payroll, Deel, Gusto Contractor-only, and OnPay where the affiliate programs route through. Composite scoring weights price 40%, features 30%, free tier 15%, fit 15%, none tuned by affiliate rate. Square Payroll pays low affiliate commissions but ranks #1 because per-contractor cost is the load-bearing wedge for US-only 1099 shops; the math sits on the page.

Subrupt Editorial

The team behind subrupt.com. We track subscriptions, surface cheaper alternatives, and publish buying guides where the score formula is on the page so you can recompute it yourself. We do not claim 30,000 hours of testing. What we claim is live pricing from our database, a transparent composite score, and honest savings math against a category baseline.

Last reviewed

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Affiliate disclosure: Subrupt earns a commission when you switch to a service through our recommendation links. This never changes the price you pay. We only recommend services where there's a real cost or feature advantage for you, and our picks are based on the data on this page, not on which programs pay the most.

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