VS
Factorial vs Gusto — Which One Wins?
A detailed, side-by-side comparison of Factorial and Gusto to help you pick the right tool for your workflow.
TLDR
Quick Verdict
Gusto takes the lead with a 4.4 rating and is best for small businesses under 100 employees needing payroll. Factorial (4.0) is the better pick if you need european and latam smbs needing affordable hr.
Side-by-Side Comparison
| Criteria | Factorial | Gusto |
|---|---|---|
| Rating | ★★★★ 4.0(76) | ★★★★ 4.4(198) |
| Pricing Model | subscription | subscription |
| Starter Price | $4.50/employee/mo | $40/mo + $6/person |
| Free Tier | No | No |
| Platforms | Web, iOS, Android | Web, iOS, Android |
| Learning Curve | Easy | Easy |
| API Available | Yes | Yes |
| Best For | European and LatAm SMBs needing affordable HR | Small businesses under 100 employees needing payroll |
| Verdict | Best Value HR | Best Payroll for SMB |
Feature Checklist
| Feature | Factorial | Gusto |
|---|---|---|
| Time Tracking | ||
| Shift Planning | — | |
| Document Management | — | |
| PTO Management | — | |
| Expense Management | — | |
| Payroll | — | |
| Benefits Admin | — | |
| Tax Filing | — | |
| Onboarding | — |
Factorial
Pros
- ✓Very affordable pricing
- ✓Strong in EU/LatAm markets
- ✓Clean modern interface
Cons
- ✕Limited features vs BambooHR
- ✕Weaker in US market
- ✕Recruiting module is basic
Gusto
Pros
- ✓Painless automated payroll
- ✓Excellent tax compliance
- ✓Clean simple interface
Cons
- ✕US-only payroll
- ✕Gets expensive as you grow
- ✕HR features are basic compared to BambooHR
The Bottom Line
Both Factorial and Gusto are solid tools in the HR & Recruiting space. Gusto edges ahead with a stronger overall rating (4.4 vs 4.0) and is the better choice for small businesses under 100 employees needing payroll. However, if you prioritize european and latam smbs needing affordable hr, Factorial is worth serious consideration. We recommend trying the free tier or trial of each before committing.
Frequently Asked Questions
Is Factorial better than Gusto?▼
Gusto scores higher overall with a 4.4 rating vs 4.0. However, the best choice depends on your specific needs. Factorial is best for European and LatAm SMBs needing affordable HR, while Gusto is best for Small businesses under 100 employees needing payroll.
Can I switch from Factorial to Gusto?▼
Yes, most users can migrate between the two. Gusto offers trial options to help you evaluate the switch.
Which is more affordable, Factorial or Gusto?▼
Factorial starts at $4.50/employee/mo, while Gusto starts at $40/mo + $6/person.