The 6 Best Payroll Software Providers for Canadian Small Businesses in 2026, According to ADP Canada Co.

Whether you are new to payroll software or considering a switch, it is crucial to manage payroll accurately and on time, especially for small businesses. Small business owners in Canada can choose full-service Canadian payroll providers that offer expertise and resources for managing their payroll. However, with so many payroll software companies out there, finding the ideal fit for your business can be daunting.

That’s where we come in! We’ve created this guide to help you compare small business payroll providers against ADP Canada Co. (ADP Canada).1 Explore our detailed analysis and discover why ADP Canada could be the best Canadian payroll software for your small business.

ADP Canada review – Best overall small business payroll provider

ADP Inc.is a highly trusted payroll and HR provider, catering to more than 1 million small and large businesses worldwide. ADP Canada’s small business payroll platform, ADP Workforce Now On the Go®, offers a wide range of payroll and HR services, including automatic payroll processing, tax calculations and filings, compliance management and time and attendance tracking, making it highly adaptable to unique needs

ADP Canada also excels in scalability, supporting businesses as they grow and change with advanced HR tools and analytics, and offers a payroll app for your mobile devices so you can conveniently process payroll.

Key features

• Full-service, automated payroll processing
• Payroll autopilot for recurring payrolls
• Automated tax calculations, filings and payments
• Built-in compliance updates to support federal and provincial regulations
• Payroll and time integrated into a platform, enabling automatic data transfer
• Time and attendance add-ons, including a mobile app and kiosks
• Payroll and tax compliance support
• Fast and easy implementation
• Customer support – robust channels included (online chat, 1-800 number, self-service center and dedicated service team)
• One-on-one support from HR professionals
• Payroll app for mobile or tablet devices
• ADP Canada employs the highest number of National Payroll Institute (NPI) certified payroll practitioners among payroll providers in Canada.
• ADP Canada won the CanadianSME Business Magazine Small Business Champion Award 2024

The main takeaway? ADP Canada’s small business platform is a great choice for small businesses in Canada. It features automated payroll, accurate tax calculations, compliance with regulations and effective time tracking. In addition, it aids in business growth with advanced HR tools, personalized HR support and a payroll app. With over 45 years of experience in Canada, ADP Canada has established itself as a reliable partner for clients throughout Canada, currently serving more than 40,000 satisfied customers and helping them thrive.

QuickBooks Payroll review

QuickBooks is an accounting software with integrated payroll management. Users can run payroll and perform accounting functions under one unified login. QuickBooks streamlines payroll workflow with direct deposit. Automated tax forms are available for reporting payroll taxes right in QuickBooks. Customers EFILE and remit payroll taxes to the Canada Revenue Agency (CRA) or Revenu Québec. Similarly, QuickBooks calculates and fills out T4 and RL-1 forms, and they are ready to print and file when clients need to.

QuickBooks Payroll offers three subscription packages for payroll management, each featuring distinct functionalities and support levels. These packages are designated as Payroll Core, Payroll Premium and Payroll Elite.

Key features

• Auto payroll
• Tax forms run and payroll reports
• Record of Employment
• Workers’ compensation (available for clients in Quebec, Ontario and British Columbia)
• Self-service tools
• Free 60-minute guided setup and two-day direct deposit

Get these features with ADP Canada, but not with QuickBooks Payroll

Wagepoint review

Wagepoint is a Canadian company that sells online payroll software, time and HR solutions. Time by Wagepoint and People by Wagepoint (HR) run on separate platforms and can be purchased as standalone products or as add-ons to payroll.

Wagepoint entered the Canadian payroll market in 2012 and currently reports over 25,000 small business clients across Canada. The accountant and bookkeeper channel is their key target market.

Wagepoint leans heavily on a self-service model, where customers resolve issues via an online FAQ and user guide.

Key features

• Direct deposit
• Tax remittances
• Year-end reporting
• Record of Employment
• Employee self-onboarding

Get these features with ADP Canada, but not with Wagepoint

Payworks review

Founded in 2000, Payworks is a private Canadian company that provides cloud-based workforce management (WFM) solutions, including payroll, HR and time, to approximately 40,000 clients across Canada in all sectors and industries. While Payworks sells payroll solutions to businesses of all sizes, they primarily target small and midsized Canadian businesses with limited complexities.

The same solution is offered universally, regardless of business size (that is, there is one solution to serve all markets).

Key features

• Simple interface
• Unlimited payroll previews
• Direct deposit
• Auto filing (tax remittances, ROEs)
• Journal entry integration (QBO, Xero)
• Integrate with HR and Time

Find out where ADP Canada beats Payworks*

Powerpay by Dayforce review

Dayforce is a global human capital management (HCM) software company that sells software and managed HCM solutions to companies of all sizes, from one employee to thousands of employees. In Canada, Dayforce offers two solutions: Dayforce (for companies with more than 100 employees) and Powerpay by Dayforce (for companies with 1-99 employees or more).

Powerpay by Dayforce — sold exclusively in Canada — is small business payroll and HR software targeted to Canadian small businesses with fewer than 100 employees. It helps businesses pay and manage employees quickly, and accurately.

Key features

• Automated payroll processes, including automatic payroll calculations and remittances to the CRA and Revenu Québec
• Manage and organize employee records, tax filings and T4s
• Withholding, remitting and tax-form filing
• Payroll reporting
• Connect time tracking

Get these tools with ADP Canada, but not with Powerpay

Desjardins review

Desjardins provides a variety of financial solutions and services to both businesses and individuals. Via a strategic partnership, Desjardins sells payroll and employee management solutions (HR management, time and attendance management) to Canadian businesses of all sizes under the brand name Employer D.

Desjardins’ Employer D solution has been particularly successful in Québec but has a limited footprint in other provinces of Canada.

Key features

• Gross-to-net payroll processing at the chosen pay frequency
• Direct deposit into employees’ accounts at any financial institution or payment by cheque
• Remittance management
• Government slips (federal and provincial)
• Payroll simulator
• Customized screens
• Assistance with mass modifications

Find out where ADP Canada beats Desjardins*

What is payroll software?

Payroll software allows you to handle your employees' payroll, helping you comply with federal and provincial payroll regulations. Typically, a payroll system will enable direct deposits to your employees' bank accounts from a linked account, while also producing T4 slips for tax season and computing income tax, Canada Pension Plan (CPP) deductions, Employment Insurance (EI) remittances and other deductions that you may be responsible for remitting to the government.

The top payroll software for small businesses in Canada also incorporates HR functionalities, such as recruitment, onboarding, the ability for employees to request time off and other features that may be beneficial to small business owners without dedicated HR personnel.

Does payroll software help small companies?

Tax penalties and fines due to payroll mistakes can be costly. Using payroll software can help reduce or prevent these errors, potentially saving you money. Additionally, this software automates the payroll process, which can lower the labour costs involved in managing payroll.

What are the benefits of using payroll software?

Many business owners use payroll management software, which frees up their time and affords them other key benefits, such as:

• Calculations: Helps calculate wage calculations, payroll deductions and tax payments.
• Compliance: Some payroll software providers notify employers about changes in employment or tax regulations that might affect their business.
• Access to tax forms: Employers may easily access important tax documents — Form T4, Form T4A, Form R1, Form R2 and others — through their payroll software.
• Flexible payments: In addition to traditional pay cheques, payroll software can usually accommodate direct deposit.
• Easy recordkeeping: Many digital payroll systems create employee profiles with various payroll records that can be aggregated and downloaded.
• Reduced data entry: Payroll software that integrates with time tracking and HR programs reduces repetitive data entry.
• Employee self-service: Employees may be able to view pay statements and year-end forms through a mobile app or computer. Some software also allows employees to update their information, like addresses or bank account details.