5 Hospitality Payroll Software Platforms You Need to See

Running payroll shouldn’t feel like trying to balance a tray of drinks during a dinner rush. But for a lot of hospitality teams, it unfortunately does. Many operators rely on outdated methods or software that would feel more at home on a factory floor or an office building.

These general-purpose tools can’t keep up with industry specifics like penalty rates, wage tipping, and temporary seasonal hiring. And when errors occur, they don’t just cause delays—they risk penalties, tax issues, and a whole lot of frustrated employees. 

That’s why more restaurants, hotels, and resort groups are switching to payroll software made specifically for the industry. If you're aiming for accurate paydays and much smoother back-office operations, the right payroll software for hospitality takes a lot off your plate.  

What Is Hospitality Payroll Software and Why It Matters 

Hospitality payroll software is built to handle the unique challenges of paying staff in restaurants, hotels, catering, and resorts. In these businesses, you’ll commonly see elements such as tip pooling, fluctuating schedules, and seasonal hiring. Unlike general payroll tools, hospitality software is designed to calculate hourly wages, overtime, and service charges with little (if any) manual input. 

Automation is where it typically shines the most. Instead of tracking hours across endless spreadsheets or guessing deductions, these platforms automatically calculate earnings, taxes, and benefits. At the same time, they reduce the risk of costly errors and having managerial staff backtrack through endless timesheets.  

For businesses with venues in multiple locations or a high employee turnover, this automation is a huge benefit. Staying compliant with complex payroll tax regulations also becomes easier when your system handles these complexities out of the box.  

7 Key Features to Look for in Hospitality Payroll Software 

Choosing the right hospitality payroll software means understanding your business’s unique needs and operations. Once your needs have been established, you should look for features that actively support your day-to-day operations. In fast-moving environments such as restaurants and hotels, automation features, for example, aren’t an optional set of extras but more like survival tools.  

Here are the features that will make the biggest difference in keeping your payroll clean, compliant, and streamlined. 

1. Automated Wage and Tip Calculation

The best hospitality payroll software should automatically track hourly wages, overtime, and pooled or distributed tips. It’s built to support tip credit laws and service charges across different regions and states. When integrated with your POS systems, it improves cost reporting and compliance. This saves both time and avoids cost errors when it comes to payout. 

2. Time & Attendance Tracking Integration

Payroll accuracy depends on knowing exactly when your team members clock in and out. Integrating time-tracking tools helps eliminate timesheet errors. These tools are as simple as a punch-in-and-out system or as fancy as biometric scanners or a mobile app. When paired with payment systems integration, it means every hour worked turns into a correctly calculated paycheck.  

3. Tax Compliance & Reporting

Payroll software designed for hospitality automates tax withholdings, deductions, and year-end reporting. These features add up to happier bookkeepers when it comes time to handle W-2s, 1099s, and local filing requirements. Automation reduces errors while helping your business meet IRS deadlines that come around faster than the summertime tourists at happy hour. 

4. Direct Deposit & Flexible Payment Options

One constant when it comes to payroll (in any industry) is employees want fast and reliable pay. Payroll systems that offer direct deposit, pay cards, or even early access to wages keep workers happy. They also reduce reliance on paper checks and the issues they bring. This flexibility is what helps your business hold onto great team members and attract talent. 

5. Multi-Location & Seasonal Employee Management

For chains, resorts, or franchises, managing payroll across locations gets messy. Look for systems with centralized dashboards and tools that scale easily during peak seasons. These platforms also support multi-location accounting rules and make HR tasks more manageable. 

6. Employee Self-Service Portals

Self-service dashboards let your employees access their pay stubs, update banking details, and download their tax forms without burdening payroll and HR. This gives staff greater control over their own records and increases transparency while reducing back-and-forth. It also empowers teams to manage small changes themselves. 

7. Benefits & Deductions Management

Payroll software should also handle benefits like health insurance, retirement plans, and tip deductions. Built-in compliance with ACA and state laws protects your business from fines. It also helps you stay on top of comp program accounting without having to fork out for yet another separate system.  

4 of the Best Hospitality Payroll Software Platforms to Consider 

There’s no one-size-fits-all for payroll. The right platform depends on your unique business model and whether you’re running a single venue or a whole group of hotels. Below, we’ve hand-picked four industry-trusted options offering features that align with the needs of hospitality operators.  

1. Gusto: Best for All-in-One Payroll & HR Simplicity 

Gusto offers hospitality businesses a user-friendly platform, rolling payroll, HR, and time-tracking into one package. It’s best for restaurants and hotels that need simple onboarding, automated tax, and hourly staff management. Support includes a Time Clock Kiosk, self-service tools, and access to platform HR experts. 

• Features: Full-service payroll, tip tracking, hiring tools, time tracking, HR compliance 
• Pricing: Starts at $49/month + $6/user; premium plans up to $135/month + $16.50/user 
• Integrations: QuickBooks, Clover, Homebase, Xero, Guideline, Salesforce, and more 

2. ADP: Best for Scalable Enterprise Hospitality Operations

ADP provides hotels, restaurants, and most food service businesses with customizable payroll and HR solutions built specifically to handle high turnover. It also supports multi-location time tracking and ensures compliance even under pressure. It’s a strong fit for hospitality groups demanding flexibility, the use of mobile tools, and industry-specific workforce insights.  

• Features: Talent acquisition, multi-location time tracking, ACA compliance, flexible pay, workforce training 
• Pricing: Custom pricing is based on business needs 
• Integrations: QuickBooks, Xero, Wave, ClockShark, AllGeo, ZayZoon, and more 

3. fourth: best for combining payroll software with optional hr outsourcing

Fourth offers payroll for high-volume hospitality plus the addition of cloud-based dashboards and outsourced HR in the form of PEO. It includes standard payroll features such as tax filing, direct deposit, and time tracking but also offers access to dedicated specialists and HR support. It’s suitable for large chains and multi-location venues. 

• Features: Payroll processing, tax admin, W-2s, time tracking, HR tools, earned wage access 
• Pricing: Custom based on business size and services needed 
• Integrations: NCR Aloha, Oracle Micros, Revel, Toast, Digital Dining, and other major POS platforms 

4. APS: Best for Managing Hospitality Staff Across Multiple Locations

APS offers a cloud-based payroll and HR software that’s tailored for hotels, restaurants, and resorts. It’s best suited for teams that are geographically dispersed and have to deal with seasonal hiring across multiple regions. It combines payroll and HR, time tracking, and ACA compliance tools for performance management and employee development.  

• Features: Payroll processing, employee self-service, ACA tracking, onboarding, multi-location reporting 
• Pricing: Tiered plans with custom quotes based on business size and feature 
• Integrations: Toast, Lightspeed, Oracle MICROS, Xero, Restaurant365, Sage Intacct, and more 

How to Choose the Right Payroll Software for Your Hospitality Business 

Choosing payroll software shouldn’t feel like a guessing game. It’s best to have some direction to help narrow down your decision by focusing on what actually matters to your business. This all starts with structure, integrations, and compliance.  

Identify your Business’s Payroll Needs 

Start with the basics. How many employees do you have? Do you operate in one state or across the entire country? Are most of your staff full-time, hourly, or seasonal? The answers will shape what you will need in a payroll system.  

For example, high-turnover restaurants are often in need of strong onboarding tools, while hotels tend to prioritize multi-department reporting. 

Compare Pricing and Scalability 

Some providers charge flat monthly fees, while others will bill you per employee. If you’re growing or operating across a few locations, look for hospitality payroll software that scales with you—and doesn’t surprise you with hidden costs. Some platforms offer employee incentives, such as free gift card programs that can be tied to performance or referrals.  

Evaluate Integration Capabilities  

Your payroll software should connect happily with the systems you already use. Systems such as POS platforms, accounting software, and HR tools. For hospitality businesses, comp card integrations are also worth considering. This is especially true if you’re running loyalty rewards programs that affect employee tips or bonuses.  

Look for Compliance and Security Features 

The best payroll software shouldn’t only calculate wages. It should help your business stay compliant with tip reporting, state labor laws, and ACA requirements. Prioritize platforms offering a built-in safeguard like encryption, audit trails, and automated tax filings to keep the IRS happy and reduce legal risks.  

Frequently Asked Questions About Hospitality Payroll Software 

Do you have questions about payroll for hospitality? Here are a few quick answers to the ones we hear about most often. 

Which payroll software is mostly used in hospitality? 

The payroll software most commonly used in hospitality includes platforms like Gusto, ADP, and Fourth as they are tailored specifically to the industry. ​These tools handle common challenges in hospitality like employee turnover and scheduling, which make them ideal for restaurants and hotels, for example.​ 

Which software is mostly used for payroll? 

ADP and Paychex are the most widely used payroll software platforms across many industries, including hospitality. These two platforms are the market leaders across multiple industries, including hospitality thanks to their scalability. 

What’s the best way to do payroll for a small business? 

The best way to do payroll for a small business is to choose a dedicated and automated solution that can handle things like tax filings, timesheets, and time-tracking. It should also offer a streamlined way to pay team members such as direct deposit.  

Choosing Your Payroll Software 

The right hospitality payroll software helps you stay compliant, reduce mistakes, and keep your team happy so your business runs smoother from the back office to the front of house. 

Just like your payroll system, Paytronix was built to support the way hospitality businesses work. From mobile payments to CRM and employee dining tools, our platform fits seamlessly into your operations. Book a demo to see how we can help round out your tech stack—and give your team one less thing to worry about.