Best Payroll Software for Australian Businesses

When you’re running a business that employs multiple people, payroll software is an essential investment. The right platform will help to reduce manual tasks, saving you time while keeping everything accurate and tax compliant. However, with so many options to choose from, it can be tricky to decide which payroll software is most suitable.

This guide will explore the best payroll software in Australia​ so you can find the perfect fit. We’ll highlight the features you should look out for—from automated tax tracking to cloud-based capabilities and more. Keep reading to discover how to keep your payroll streamlined and under control.

Why is using payroll software important?

Processing payroll manually can be time consuming and frustrating. It can be particularly difficult to keep up with government regulations, and as your business grows, so too does your workload. In order to save time and make sure your payroll is compliant with Australian Tax Office (ATO) regulations, it’s worth investing in a payroll platform such as Intuit QuickBooks.

Key benefits of using payroll software include:

• Accurate and timely payroll processing: Automates wage calculations, deductions, and leave entitlements, reducing mistakes and ensuring staff are paid correctly every time.
• ATO compliance made simpler: Helps businesses meet requirements like Single Touch Payroll (STP) reporting, superannuation obligations, and tax withholding.
• Time and cost savings: Streamlines repetitive tasks and minimises the need for manual data entry, freeing up valuable time for business owners and bookkeepers.
• Improved record-keeping: Stores payroll information securely and keeps employee data centralised, making audits and reporting far easier.
• Better employee experience: Ensures consistent, reliable pay cycles and often includes employee self-service options for accessing payslips and updating details.
• Scalability as your business grows: Many payroll systems adapt easily to expanding teams or more complex pay structures.

The best payroll software programs for businesses

Not sure which platform is right for your business? In this section, we’ll highlight the best software for payroll​ in Australia, so you can make an informed choice.  

Intuit QuickBooks 

Intuit QuickBooks is a leading accounting software solution designed to simplify financial management for Australian businesses. It combines bookkeeping, reporting, and compliance features with QuickBooks Payroll powered by Employment Hero.

With the addition of Intuit’s AI across the QuickBooks platform, businesses can automate routine accounting tasks, gain deeper insights through intelligent recommendations, and generate reports with ease. These capabilities support businesses looking to manage payroll and finances within one connected platform.

Features of QuickBooks Payroll 

QuickBooks Payroll provides payroll functionality designed to support Australian businesses. Its payroll features integrate seamlessly with the wider QuickBooks platform, giving your business a complete view of its finances.

Key QuickBooks payroll features include:

• STP-enabled payroll: Fully compliant with Single Touch Payroll (Phase 2) reporting requirements, helping businesses stay aligned with ATO standards.
• Award interpretation: Automatically applies modern award rates, penalty rates, overtime rules, and allowances to ensure accurate, compliant employee pay.
• Automated superannuation: Calculates super contributions and allows for easy submission and processing via integrated clearing options.
• Employee self-service: The self-service capability allows staff to view payslips, update personal details, and access leave balances through an easy online portal.
• Timesheets and leave management: Track hours worked, manage leave requests, and sync approvals directly to payroll for accurate processing.
• Seamless integrations: Works smoothly with QuickBooks’ bookkeeping, invoicing, expenses, and reporting tools, giving businesses connected financial insights.
• Cloud-based accessibility: Run payroll securely from anywhere, with automatic updates to keep the system compliant and up to date.

QuickBooks Payroll is available as an optional add-on to QuickBooks Online, with pricing across the Standard and Advanced tiers structured per employee, per month. This flexible model allows you to scale your payroll costs as your team grows, without paying for unnecessary extras.

MYOB 

MYOB is a business management platform offering accounting, payroll, and compliance tools. Known for its long-standing presence in the market, MYOB provides both cloud-based and desktop solutions, appealing to businesses that prefer flexible deployment options.¹ Its payroll functionality is designed to support everyday compliance and streamline employee payment processes.

Pros:

• Reliable, well-known software used widely across Australia.
• Offers both cloud and desktop solutions to suit different business preferences.¹ 
• STP Phase 2–compliant payroll and ATO reporting.²
• Integrated superannuation processing.³ 
• Built-in timesheets and leave management.⁴
• Employee self-service functionality.⁵

Cons:

• Desktop-based solutions require software installation and local management.¹ 
• Certain payroll features can only be accessed through higher subscription tiers.⁶

MYOB payroll features

Key MYOB payroll features include:

• STP-compliant payroll for meeting ATO reporting obligations.²
• Built-in superannuation calculations to help manage employer contributions.³
• Employee self-service options for accessing payslips and updating details.⁵
• Timesheet and leave tracking integrated into payroll workflows.⁴
• Integration with MYOB’s accounting tools, offering a connected financial experience.⁷

Unlimited payroll features are included in the MYOB AccountRight Plus plan.⁶ By comparison, QuickBooks Payroll offers Standard or Advanced payroll options across all QuickBooks Online plans, including Simple Start, Essentials, Plus, and Advanced.

Xero 

Xero is a popular cloud-based accounting platform widely used by small and medium-sized businesses across Australia. Known for its clean interface, Xero offers payroll tools designed to support everyday compliance and employee management.⁸ This platform offers built-in payroll tools alongside a broad third-party app marketplace, with additional functionality available through integrations.⁹

Pros:

• User-friendly interface with strong app integrations.⁹
• Fully cloud-based with mobile accessibility.¹⁰
• STP Phase 2–compliant payroll.¹¹
• Integrated timesheets and rostering.¹²
• Employee self-service tools.¹³
• Strong integration with accounting and reporting.¹⁴

Cons:

• Payroll functionality is designed to support standard payroll needs, with additional capabilities available via third-party add-ons.¹⁵
• Some advanced functions require third-party add-ons.¹⁶

Xero payroll features

Xero’s payroll features include:

• STP Phase 2–compliant payroll, ensuring ATO reporting requirements are met.¹¹
• Automated wage and leave calculations to support accurate pay runs.¹⁷
• Employee self-service for payslips and updating personal details.¹³
• Timesheet and rostering functionality, suitable for simple scheduling needs.¹⁸
• Integration with Xero’s accounting tools for streamlined bookkeeping and reporting.⁹

Xero Payroll is available as an optional add-on to Xero plans, with pricing charged per organisation plus additional fees for payroll usage.¹⁹ Complexity or team size may increase reliance on paid add-ons, depending on business needs.²⁰

SAP 

SAP is a global enterprise software provider known for its robust business management systems, including advanced HR and payroll solutions.²¹ Designed primarily for medium to large organisations, SAP offers deep functionality and extensive customisation.²² This platform performs particularly well for medium to large organisations.²³

Pros:

• Highly scalable with advanced features for complex workforce structures.²⁴
• Strong compliance, reporting, and governance tools.²⁵
• Comprehensive payroll and workforce management within a single ecosystem.²⁶
• Advanced reporting and analytics.²⁷
• Global payroll capability for multi-region organisations.²⁸

Cons:

• Can be complex to implement and manage for small businesses.³⁰
• Pricing reflects enterprise-level functionality and is typically customised based on organisational requirements.²⁹

SAP payroll features

Standout SAP payroll features include:

• Comprehensive payroll processing with automated calculations and deductions.²¹ 
• Award and enterprise agreement interpretation for managing complex pay rules.³¹ 
• Integrated HR and workforce management tools within the broader SAP ecosystem.³²
• Advanced reporting and analytics for compliance and workforce insights.²⁷
• Global payroll support for organisations operating across multiple regions.²⁸

SAP payroll pricing is typically customised based on business size, configuration needs, and the number of employees.³³ Costs can include implementation fees, licensing, and ongoing support.

FreshBooks 

FreshBooks is a cloud-based accounting software platform originally designed for freelancers, contractors, and small businesses.³⁴ It offers invoicing, expense tracking, time-tracking, and basic bookkeeping.³⁵ For users needing payroll, FreshBooks provides a payroll add-on (via its partnership with Gusto), which makes it a convenient one-stop solution.³⁶ 

Pros:

• User-friendly and ideal for sole traders or small teams.³⁷
• Seamless integration with FreshBooks’ accounting tools.³⁸
• Payroll add-on integrated with FreshBooks accounting.³⁶
• Automated wage calculations and direct deposit.³⁹
• Time-tracking integration.⁴⁰

Cons:

• Payroll features may not suit large or complex businesses.
• Some functions rely heavily on third-party add-ons.³⁸

FreshBooks payroll features

Some key features of FreshBooks payroll include:

• Simple payroll processing with automated wage and deduction calculations.⁴¹
• Direct deposit payments for employees and contractors.⁴²
• Basic tax calculation and reporting tools to support compliance.⁴³
• Syncing with FreshBooks accounting for unified financial records.³⁸
• Time-tracking integration to streamline billing and payroll.⁴⁰

FreshBooks pricing varies depending on team size and usage.⁴⁴ This platform is generally positioned as a versatile, affordable option for very small businesses.

Reckon 

Reckon is an Australian accounting and payroll provider aimed at small to medium-sized businesses, offering tools for pay runs, superannuation, and compliance.⁴⁵ It’s known for its affordability, straightforward interface, and payroll features.

Pros:

• Affordable and easy to use.⁴⁶
• Designed specifically for Australian payroll requirements.⁴⁷
• STP-compliant payroll aligned with Australian requirements.⁴⁸
• Integrated timesheet and entitlement tracking.⁵⁰
• Mobile access for payroll processing.⁵¹

Cons:

• Payroll features are designed for small to medium-sized businesses with straightforward payroll requirements.⁵¹
• Advanced HR and complex reporting capabilities are more limited compared to enterprise-focused payroll and HR platforms.⁵²

Reckon payroll features

Key Reckon payroll features include:

• STP-compliant pay runs, including wages, PAYG, leave, and super.⁴⁸
• Cloud and mobile access for running payroll on the go.⁵¹
• Employee payslips and basic self-service functions.⁵³
• Leave and entitlement tracking built into payroll.⁵³
• Integration with Reckon’s accounting tools for connected bookkeeping.⁵⁴
• Reckon offers low-cost payroll plans with tiered pricing based on the number of employees, making it a budget-friendly option for smaller businesses.⁵⁵

How to pick the best software for payroll

Choosing the right payroll software means finding a solution that fits your business size and workforce needs. Your chosen platform should simplify compliance, reduce admin time, and ensure employees are paid accurately and on time. 

The best global payroll software for small businesses should offer the following features:

• Single Touch Payroll (STP) features: Ensures your payroll data is automatically reported to the ATO each pay run, keeping you compliant with Single Touch Payroll Phase 2 requirements.
• Tax/ATO compliance: Handles PAYG withholding, tax updates, and regulatory changes.
• Super payments: Automates calculations and allows easy submission of super contributions to meet employer obligations.
• Leave management: Tracks leave balances, accruals, and requests to ensure entitlements are calculated correctly.
• Timesheets & rostering: Helps manage staff availability, schedule shifts, and push approved hours directly into payroll.
• Time tracking: Records hours worked for accurate pay runs, ideal for hourly staff or project-based teams.
• Award management: Applies the correct award rates, overtime rules, and allowances to streamline compliance with Australian workplace laws.
• Automations: When your payroll software has inbuilt automation, it reduces manual admin through automated calculations, reminders, pay runs, and updates.
• Fees & add ons: Review base pricing, per-employee fees, and optional extras to ensure the software suits your budget and needs.

Payroll and super changes employers should know

Australian employers will need to be aware of major upcoming changes to superannuation compliance. From 1 July 2026, the introduction of Payday Super will significantly alter how and when businesses must process super payments. These changes include:

• Super guarantee (SG) to be paid with wages: Employers must pay super guarantee contributions at the same time as salary and wages, no later than 7 business days after payday.
• Quarterly payments removed: The long-standing quarterly super payment buffer will end, in the aim of helping employees receive their super faster.
• ATO (SBSCH) retiring: The ATO’s Small Business Superannuation Clearing House (SBSCH) will be closed, requiring businesses to adopt alternative payment solutions.
• Stricter penalties: Late or missed payments may trigger the updated Superannuation Guarantee Charge (SGC), including daily compounding interest.

By choosing payroll software aligned with Payday Super changes, businesses can reduce compliance risk, ease administrative tasks and minimise manual processing.

Simplify how your business does payroll with QuickBooks

Effective payroll management is extremely important for any business. Not only does it mean your staff get paid correctly and on time, it also keeps your business running efficiently while ensuring it stays compliant with ATO regulations. 

QuickBooks Payroll is a payroll solution available to Australian businesses through QuickBooks Online. It provides superior payroll management capabilities for small to mid-sized businesses. Try QuickBooks free for 30 days and experience how streamlined financial management can transform the way you work. 

* All features and details listed are accurate as of February 2026.