Gusto
by Gusto
by Gusto
Profile Information Last updated on: 1 July 2024
Profile Information Last updated on: 1 July 2024
We help make selecting a software for your business effortless, economical and efficient.
by Gusto
by Gusto
Profile Information Last updated on: 1 July 2024
Profile Information Last updated on: 1 July 2024
The typical implementation process for Gusto software involves several key steps, and the duration can vary depending on specific circumstances such as the chosen plan and the number of employees and contractors to be onboarded.
Implementation Process
1. Account Creation and Plan Selection: The first step is to create an account on the Gusto platform. Users can sign up for free and choose a plan that best fits their business needs. Gusto offers different plans with varying features, tailored to different business sizes and requirements.
2. Company and Employee Details: After selecting a plan, the next step involves entering company details, including tax information, benefits, bank account details, and integrating any third-party apps if necessary. Users also need to add employee or contractor details, which can include pay rates, direct deposit information, and withholdings.
3. Employee Onboarding: Gusto allows for employee self-onboarding, which can save time by letting employees enter their personal and tax information directly into the system.
4. Running the First Payroll: Once all necessary information is inputted and verified, businesses can run their first payroll. Gusto's platform is designed to make this process quick and straightforward, often requiring just a few clicks.
5. Integration and Optimization: For businesses that require integration with other financial or HR software, Gusto supports connections with popular platforms like QuickBooks, Xero, and others. This step is crucial for ensuring seamless data flow across systems.
Duration of Implementation
The time it takes to fully implement Gusto can vary:
Standard Implementation: On average, setting up Gusto and running the first payroll can take anywhere from a few days to two weeks. This timeframe includes account setup, data entry, and the initial payroll run.
Gusto Global Setup: For businesses using Gusto's EOR (Employer of Record) service to manage international employees, the setup process can take between five to ten business days on average.
1. Plan Selection: Gusto offers multiple plans with different levels of features, allowing businesses to choose the one that best fits their needs. The platform offers three customizable plans, and businesses can select add-ons and extras according to their requirements.
2. Third-Party Integrations: Gusto supports integrations with a wide range of third-party applications, including accounting, time tracking, and HR software, which allows businesses to connect Gusto with other tools they are already using. This includes popular platforms like QuickBooks, Xero, TSheets, and more.
3. API Access: For developers and businesses with specific integration needs, Gusto provides API access. This allows for the creation of custom in-app payroll solutions tailored to the unique needs of the business. The API can be used to build integrations that solve critical pain points and create a seamless user experience.
4. Custom Onboarding: Gusto's onboarding process can be customized with checklists, key document issuance, benefits enrollment, and software provisioning. This helps streamline the onboarding experience for new hires and can be tailored to the specific processes of a business.
5. Employee Self-Service: The platform includes a self-service employee portal, which can be personalized to allow employees to view their payroll information, benefits, and more. This feature can be adjusted to match the level of control and access a business wants to provide its employees.
6. Custom Payroll Features: Gusto allows for adjustments for multiple pay rates and supports various payment methods such as direct deposit, check, or pay card. It also provides payroll reports that can be used to track and make decisions for the future.
7. HR and Compliance Tools: For businesses that require HR and compliance support, Gusto offers tools like performance review templates, goal tracking, engagement surveys, and compliance alerts. These can be used to manage talent and ensure the business stays compliant with laws and regulations.
8. Customizable Alerts and Notifications: Gusto has an automated alert system that proactively notifies users of potential breaches of federal or state labor laws, which can be customized according to the business's compliance needs.
9. Gusto Wallet: An additional feature that can be utilized is the Gusto Wallet, which helps employees track, save, and access payments. This tool is free to use and adds an extra layer of financial management for employees.
10. Payroll Automation: Features like AutoPilotⓇ allow for the automation of payroll on selected days, which can be set up according to the business's payroll schedule.
Gusto's pricing structure is designed to be transparent and straightforward, with most essential features included in the monthly plan costs without additional setup fees, maintenance, or support charges.
1. Setup Fees: Gusto does not charge any setup fees. The platform is designed for easy setup, and users can start using the service without any initial costs beyond the plan's monthly rate.
2. Maintenance Fees: There are no maintenance fees charged by Gusto. The service includes ongoing updates and maintenance as part of the monthly subscription.
3. Support Charges: Gusto provides customer support as part of its service without additional charges. This includes access to customer support via phone, email, or chat depending on the plan selected. The level of support may vary by plan, with more comprehensive support available in higher-tier plans.
4. Add-On Costs: While the basic functionalities are included in the monthly plan rates, Gusto offers several add-ons that can incur additional costs:
Health Insurance: Costs are based on premiums without additional administration fees.
Workers' Compensation: Pay only for premiums, no administration fees.
401(k) Retirement Savings: Starts at $49 per month plus $8 per participant per month.
International Contractor Payments: Administration fee of 1.5% to 2%.
State Tax Registration: Pricing varies by state.
R&D Tax Credits: Charged at 20% of tax credits used plus fees.
5. Contractor Payments: For businesses using the Contractor Only plan, there is a charge of $6 per contractor per month. This plan includes unlimited contractor payments across all 50 states.
Gusto software offers comprehensive training and support to new users through various channels and resources, ensuring a smooth onboarding and usage experience:
1. Customer Support: Gusto provides multiple ways for users to reach customer support, including by phone, email, or web chat. Premium plan subscribers receive assistance from a dedicated support team and have access to a direct phone line for support inquiries. Premium accounts also benefit from access to certified HR professionals who can offer help and advice on a range of HR and payroll issues.
2. Self-Service Resources: Gusto's Help Center is a valuable resource for users, featuring a wide range of articles and guides on setting up accounts, running payroll, managing benefits, and more. This allows users to find answers to common questions and troubleshoot issues independently.
3. Video Tutorials and Demos: Gusto offers video tutorials that cover various aspects of the platform, from basic setup and payroll processing to more advanced features. These tutorials are designed to help new users familiarize themselves with the software's functionalities.
4. Gusto Learning: Gusto provides learning resources for both employers and their employees or contractors. These resources are designed to help users understand how to use the platform effectively, covering topics such as payroll, benefits administration, and compliance.
5. Integration with Training Platforms: Gusto has partnered with Trainual, a modern training manual software, to automate employee onboarding and training. This integration allows businesses to automatically set up new employees in Gusto with the specific training they need to succeed in their roles, streamlining the onboarding process.
6. Community and Events: Gusto engages with its user community through events like the Gusto Next user conference, where new features and resources like Gusto Academy are introduced. These events provide an opportunity for users to learn directly from Gusto experts and connect with other users.
7. Gusto Academy: Gusto Academy offers detailed guides and multimedia series on using Gusto effectively. It serves as an educational initiative to help users maximize the benefits of the Gusto platform.
Gusto employs a variety of security measures to protect sensitive data, ensuring robust protection against unauthorized access and data breaches.
1. Encryption: Gusto uses industry-standard encryption to secure data both at rest and in transit. This includes encrypting sensitive data at the column level within databases and employing strong encryption protocols for data communication.
2. Dedicated Security Systems and Teams: Gusto has a dedicated security team that enforces secure practices and quickly responds to any security incidents. This team is responsible for regular testing of the software to prevent problems and service outages, scanning for vulnerabilities, and managing a bug bounty program to identify and fix potential security flaws.
3. HAPII System: Gusto has developed a specialized system called HAPII (Hardened PII store) for storing the most sensitive personal identifiable information like Social Security numbers and bank account details. This system acts as an isolated, secure vault for critical data, providing enhanced security measures and detailed audit logs of data usage.
4. Multi-Factor Authentication and Strong Password Policies: To prevent unauthorized access, Gusto requires users to set up strong, configurable passwords and offers multi-factor authentication and single sign-on options. These measures add an extra layer of security to user accounts and help safeguard against potential breaches.
5. Fraud Detection and Alerts: Gusto proactively monitors accounts for unusual activity and alerts users to any suspicious actions, such as new logins from unknown locations. This early detection helps prevent potential fraud and unauthorized access.
6. Email Security Enhancements: Gusto has implemented Material’s Identity Protection to add an extra layer of security to email accounts. This feature requires users to pass a challenge using an additional factor before accessing sensitive emails, significantly reducing the risk of account takeovers and sensitive data leakage.
7. Phishing Protection: Gusto uses advanced phishing protection tools that allow employees to report suspicious emails. These reports automatically protect the entire company from similar threats, reducing the time required to triage phishing incidents and enhancing overall email security.
8. Regular Backups and Data Recovery: Gusto ensures that all production systems and data are regularly backed up and encrypted. This practice helps in quick recovery in case of data loss or corruption.
9. Compliance with Regulatory Standards: Gusto maintains compliance with various regulatory standards such as ACA, COBRA, HIPAA, and ERISA, which require stringent data protection measures to be in place.
These security measures collectively form a comprehensive defense strategy, safeguarding customer data against a wide range of security threats and ensuring compliance with industry standards.
Gusto software manages and releases updates with a focus on enhancing user experience, compliance, and integration capabilities. The frequency and management of these updates are designed to ensure that users benefit from the latest features and improvements without disrupting their payroll and HR processes.
1. Frequency of Updates: Gusto does not specify a fixed schedule for its updates. However, the nature of the updates suggests that Gusto is committed to regular enhancements throughout the year. For instance, the 2023 feature updates article indicates a continuous effort to improve and expand the platform's capabilities, including the introduction of new payroll Flows, compliance-focused additions, and API enhancements. This suggests that Gusto actively works on updates and releases them as they become ready, rather than adhering to a strict periodic schedule.
2. Management of Updates: Gusto's approach to managing updates is multifaceted, focusing on security, compliance, and user experience:
Security and Compliance: Gusto prides itself on its security features and compliance with regulatory standards. Regular testing of the software by Gusto’s tech teams and an on-site security team ready to take action in case any issues arise are part of its update management strategy. This ensures that updates do not compromise the security or compliance posture of the platform.
User Experience and Feedback: Gusto incorporates user feedback into its update process, indicating a user-centric approach to managing updates. The platform's commitment to improving based on partner feedback, especially in the context of embedded payroll features, shows that Gusto values and integrates user insights into its development process.
3. Communication and Support: While specific details on how updates are communicated to users were not available, Gusto's comprehensive support resources, including a help center and video tutorials, suggest that the platform likely uses these channels to inform users about new features and changes. The availability of detailed guides and multimedia resources indicates that Gusto ensures users are well-supported through any updates to the platform.
Gusto's policy on data ownership and portability emphasizes that the employer retains ownership of the data they input into the platform. According to the Members' Terms of Service, employers grant Gusto a limited license to access, use, process, copy, distribute, perform, export, and display the employer data, but only as necessary to provide and maintain the services offered by Gusto. This includes addressing service, security, support, or technical issues, complying with legal requirements, or as explicitly authorized by the employer.
Furthermore, Gusto's policy supports data portability, which is particularly relevant under regulations like the EU GDPR. Data portability allows employers to receive their data in a format that facilitates easy transfer to another entity, provided that doing so does not adversely affect the rights and freedoms of others. This is part of Gusto's commitment to comply with privacy laws and regulations, ensuring that users can manage their data effectively.
These policies ensure that while Gusto can use the data for operational purposes, the ownership remains with the employer, and the data can be transferred easily if required, aligning with legal standards and user convenience.
Gusto's platform is designed with scalability in mind, accommodating businesses as they grow or need to adjust their services.
Scaling Up
1. Flexible Plans: Gusto offers a range of plans (Simple, Plus, and Premium) that cater to different business sizes and needs. Businesses can easily upgrade their plan at any time to access more advanced features or support as their organization grows.
2. Add-On Features: For businesses needing additional services beyond the standard plan offerings, Gusto provides various add-ons such as health insurance, 401(k) retirement savings, and workers’ compensation. These can be added to any plan to customize the service to the business's specific needs.
3. Integration Capabilities: As businesses grow, their software ecosystem often becomes more complex. Gusto supports integration with a wide range of third-party applications, including accounting, time tracking, and HR software, facilitating seamless data flow across systems as the business scales.
4. Embedded Payroll: For businesses looking to offer payroll services directly within their app or service, Gusto's embedded payroll feature allows for this capability, supporting growth into new markets or service areas.
Scaling Down
1. Plan Downgrades: Businesses can downgrade their Gusto plan at any time if they find they are not utilizing the more advanced features of their current plan. This flexibility ensures that businesses only pay for what they need.
2. Canceling Add-Ons: If a business no longer requires certain add-on features, these can be canceled to reduce costs. However, it's important to note that some add-ons, like health benefits, may have specific cancellation policies or require notice.
3. Contractor-Only Plan: For businesses that shift towards working primarily with contractors rather than full-time employees, Gusto offers a Contractor-Only plan. This plan has no monthly base fee and charges only per contractor, providing a cost-effective solution for businesses with changing workforce needs.
Important Considerations
Data Portability: Gusto supports data portability, allowing businesses to export their data if they decide to change providers or need to access their data for reporting and analysis purposes.
Customer Support: Regardless of whether a business is scaling up or down, Gusto provides support to guide them through the process. This includes assistance with plan changes, add-on management, and integration adjustments.
The terms and conditions for contract renewal and cancellation for Gusto software are outlined primarily in the Employer Terms of Service and are designed to provide clarity and flexibility to users while ensuring compliance and operational continuity for the service provider.
Contract Renewal
1. Automatic Renewal: Gusto's services are typically subject to automatic renewal. This means that unless the employer or user actively cancels the service, it will automatically renew for the same term as initially agreed upon.
2. Notification of Changes: Any changes to the terms of service, including those affecting renewal conditions, are communicated to users via email or by posting on the platform. This ensures that users are aware of any changes before they come into effect.
Cancellation
1. Cancellation Policy: Users can cancel their Gusto service at any time. However, it is important to note that Gusto does not prorate service fees for cancellations that occur in the middle of a billing cycle. This means if an employer cancels their service mid-month, they are still responsible for the fees for the entire month.
2. Outstanding Payments: If there are any outstanding payments at the time of cancellation, Gusto reserves the right to terminate or suspend the employer's account and access to the platform. Additionally, the employer remains liable for any outstanding amounts due, which may include processing fees, bank fees, charges for return items, interest, attorneys’ fees, and other costs of collection as permitted by law.
3. Joint and Several Liability: If an employer authorizes an accountant administrator to pay service fees on their behalf, both the employer and the accountant administrator are jointly and severally liable for any unpaid service fees and associated costs.
4. Effect of Cancellation: Cancellation of the service does not relieve the employer of any outstanding obligations or fees owed to Gusto at the time of cancellation.
General Terms
1. Non-Proration of Fees: As mentioned, Gusto does not prorate fees for partial service periods. If a service is canceled mid-term, the full term's fees are still applicable.
2. Data Handling Post-Cancellation: While specific details on data handling post-cancellation are not detailed in the provided sources, typically, platforms like Gusto would allow users to access their data for a limited time post-cancellation but would eventually delete the data in accordance with privacy laws and company policies.
3. Dispute Resolution and Law: The agreement is governed by the laws of the State of California, and any disputes or interpretations of the agreement will be subject to the jurisdiction of California's legal system.
These terms ensure that both Gusto and its users have a clear understanding of the expectations and obligations related to the renewal and cancellation of services, providing a structured framework that supports both service continuity and user flexibility.
Gusto software meets a range of compliance standards to ensure that businesses adhere to various state and federal regulations. The compliance assistance provided by Gusto covers multiple areas, including payroll laws, tax filings, HR resources, and benefits compliance.
1. Payroll Laws and Tax Filings: Gusto helps businesses comply with payroll laws and regulations by automatically filing payroll taxes and generating year-end tax documents. This service is designed to keep businesses up-to-date with constantly changing employment regulations and ensure compliance with state and local laws.
2. HR Compliance: Gusto offers access to a team of compliance experts who can advise businesses on wage and hour laws, employment discrimination, harassment prevention, and employee leave management. The platform also provides online tools and resources, such as interactive compliance training modules and downloadable HR forms, to assist businesses in meeting their HR compliance obligations.
3. Benefits Compliance: Through its benefits administration feature, Gusto ensures compliance with health insurance regulations and other benefits-related laws. The platform simplifies the management of employee benefits and partners with leading insurance carriers to provide a wide range of options, enabling businesses to customize their benefits offerings to meet the unique needs of their workforce.
4. State Compliance: Gusto is continuously updated to reflect changes in labor laws, tax codes, and health insurance regulations across different states. This proactive approach to compliance ensures that businesses are always aligned with the latest state regulations, providing peace of mind to employers.
5. Data Security and Privacy: Gusto's commitment to data security and privacy is an integral part of its compliance strategy. The platform uses industry-standard encryption to secure data and has a dedicated security team that actively tests the software to prevent issues. Gusto also offers a bug bounty program to encourage the identification and resolution of security vulnerabilities, further enhancing the platform's security posture.
By Gusto