RTC SCORE
7.1
#4 of 22 with enough data
OnPay Payroll
Payroll with one plan at $49 a month plus $6 per worker paid that month, with tax filings, multi-state payroll and year-end forms included, and documented restaurant features such as tip credit make-up and Form 8846.
RTC SCORE
7.4
#2 of 22 with enough data
Square Payroll
Square's payroll, billed monthly plus a fee per person paid. It files federal, state and supported local taxes, pays its own filing errors, and imports tips from Square's POS.
Key differences
| Data point | OnPay Payroll | Square Payroll |
|---|---|---|
| Base fee | $49/mo | $35/mo |
| Notice to avoid renewal | 30 days | 0 days |
| Live support hours a week | 55 | 60 |
| Dedicated specialist | No | Yes |
Side by side
| Feature | OnPay PayrollRTC Score: 7.1 out of 10 | Square PayrollRTC Score: 7.4 out of 10 |
|---|---|---|
| Pricing | ||
| Base fee | $49/moSource: OnPay (opens in a new tab)Payroll Essentials, the only payroll plan. | $35/mo(Best value)Source: Square (opens in a new tab) |
| Per employee | $6Source: OnPay (opens in a new tab) | $6Source: Square (opens in a new tab) |
| Who counts as an employee | Each person paid that monthSource: OnPay Help Center (opens in a new tab)A worker included in a pay run counts even if the net pay is $0; a worker not paid that month is not charged. | Each person paid that monthSource: Square (opens in a new tab)You pay per person paid; seasonal inactivity is free. |
| Per contractor (1099) | $6Source: OnPay Help Center (opens in a new tab)Contractors cost the same $6 as employees. | $6Source: Square (opens in a new tab)There is also a contractor-only plan at $6 per person paid. |
| Published pricing | PublishedSource: OnPay (opens in a new tab) | PublishedSource: Square (opens in a new tab) |
| Setup fee | $0 one-timeSource: OnPay (opens in a new tab) | $0 one-timeSource: Square (opens in a new tab)Square's pricing page lists only the monthly fee, the fee per person paid and the optional paper forms; it shows no setup charge. |
| Year-end forms fee | $0/yrSource: OnPay (opens in a new tab)Forms are free to download and print; having OnPay mail them costs $10 per form. | $0/yrSource: Square (opens in a new tab)W-2 and 1099 forms are filed and delivered digitally at no charge. Paper copies mailed by Square cost $3 per employee or contractor a year, only if you opt in. |
| Each extra state | $0Source: OnPay (opens in a new tab) | $0Source: Square Support Center (opens in a new tab)Each state or tax jurisdiction where you run payroll is filed at no additional charge. |
| Other fees | Mailing W-2 and 1099 forms to your workers costs $10 per form (downloading and printing them is free). Cancelling a pay run has no fee. Sales tax may apply to the subscription in some states. Optional add-ons: time tracking ($15 a month plus $4 per worker), HR ($15 plus $2 per worker), Compliance Resources ($10 a month) and Live HR Support ($65 a month).Source: OnPay Help Center (opens in a new tab) | Paper W-2 and 1099 copies mailed by Square: $3 per employee or contractor a year (optional). Employees who take their pay early to a debit card or bank account pay 1.75%; to Cash App it's free.Source: Square (opens in a new tab) |
| Taxes and forms | ||
| Who files payroll taxes | The provider calculates, files and pays federal, state and local payroll taxesSource: OnPay (opens in a new tab) | The provider calculates, files and pays federal, state and local payroll taxesSource: Square Support Center (opens in a new tab)Square files supported local taxes (for example New York City, Yonkers, Ohio and Pennsylvania local agencies, Kansas City and St. Louis). If a local tax isn't supported, you file it and Square gives you a quarterly wage report. |
| Payroll in all 50 states | YesSource: OnPay (opens in a new tab) | YesSource: Square Support Center (opens in a new tab) |
| Year-end W-2 and 1099 forms | W-2 and 1099 prepared and filedSource: OnPay (opens in a new tab) | W-2 and 1099 prepared and filedSource: Square Support Center (opens in a new tab)Forms it files: 941, 940, 944, 1099-NEC, W-2 and W-3. |
| Paying 1099 contractors | Included in payroll plansSource: OnPay (opens in a new tab)Employees and contractors can go in the same pay run, at the same $6 per worker. | Also a contractor-only planSource: Square (opens in a new tab) |
| Tax penalty guarantee | Pays penalties caused by its own errorsSource: OnPay (opens in a new tab)Penalties caused by wrong information you provide stay with you. | Pays penalties caused by its own errorsSource: Square Support Center (opens in a new tab) |
| Garnishments and new-hire reporting | IncludedSource: OnPay (opens in a new tab)OnPay withholds garnishments from pay, but you send the payment to the agency yourself (help center, How to add garnishments and levies). | IncludedSource: Square (opens in a new tab)New-hire reports are filed for you. Garnishments are withheld from pay, but you send the money to the agency yourself. |
| Paying your team | ||
| Pay schedules | Weekly, Every two weeks, Twice a month, MonthlySource: OnPay Help Center (opens in a new tab) | Weekly, Every two weeks, Twice a month, MonthlySource: Square Support Center (opens in a new tab) |
| Unlimited pay runs | YesSource: OnPay (opens in a new tab) | YesSource: Square (opens in a new tab) |
| Fastest direct deposit included | Three or more business daysSource: OnPay Help Center (opens in a new tab)Direct deposit is free, but the turnaround (2 or 4 business days) depends on OnPay's risk assessment of your company; 2 days is not guaranteed. OnPay does not publish a next-day or same-day option. | Next daySource: Square Support Center (opens in a new tab)Next business day when you fund payroll from your Square balance. Funded from another bank account, deposits take four business days, or two with two-day payroll, which you apply for. |
| Early pay for employees (earned wage access) | Not offeredSource: OnPay (opens in a new tab)OnPay does not document early pay for employees; we looked on its pricing page, its app directory and its help center. | Included at no cost to the employerSource: Square (opens in a new tab)On Demand Pay and Instant Deposit: free for employees to Cash App; 1.75% to a debit card or bank account. Instant Deposit isn't available in CA, MA, NJ, NM, NY, PA, VT and WV. |
| Tips | ||
| Imports tips from these POS systems | Source: OnPay (opens in a new tab)OnPay's restaurant page and app directory name no POS system; tips are entered in each pay run as Cash Tips or Controlled Tips. | SquareSource: Square Support Center (opens in a new tab)Card and cash tips from Square POS, pooled or direct. It leaves out auto-gratuities and contractors' tips. |
| Tip pooling and tip-outs | Not offeredSource: OnPay (opens in a new tab)OnPay does not document tip pooling or tip-outs; we looked on its restaurant page, its pricing page and its help center (search for tip pool). | Paid add-on or higher planSource: Square Support Center (opens in a new tab)With Square Shifts Plus or the Plus and Premium plans. |
| Tip credit and minimum wage make-up | Calculated automaticallySource: OnPay Help Center (opens in a new tab)Set in company preferences; it can be turned off. | UnconfirmedSource: Square Seller Community (opens in a new tab)Not documented. In 2022 a Square moderator filed automatic tip credit make-up as a feature request; we found no newer Square page that describes it. |
| FICA tip credit (Form 8846) | Prepares the formSource: OnPay Help Center (opens in a new tab)OnPay leaves Form 8846 filled in; you file it with your tax return. | Not supportedSource: Square Support Center (opens in a new tab)Form 8846 isn't among the forms Square files. |
| Declared cash tips | YesSource: OnPay Help Center (opens in a new tab)A "Cash Tips" pay item. | YesSource: Square Support Center (opens in a new tab)"Tips Already Paid" and "Paycheck Tips" fields. |
| 2026 W-2 for No Tax on Tips (code TP and tipped occupation code) | Announced or partly documentedSource: OnPay Help Center (opens in a new tab)A tipped occupation code (TTOC) field per employee and an "OBBB Qualified Tips" column in each pay run; how the 2026 W-2 will show code TP is not confirmed yet. | Not confirmedSource: Square Support Center (opens in a new tab)Square's W-2 article and its No Tax on Tips post (2025 amounts on pay stubs) don't confirm code TP or the tipped occupation code on the 2026 W-2. |
| 2026 W-2 for qualified overtime (code TT) | Announced or partly documentedSource: OnPay Help Center (opens in a new tab)An "OBBB Qualified OT" field in each pay run; code TT on the 2026 W-2 is not named. | Not confirmedSource: Square Seller Community (Square staff post) (opens in a new tab)Square's post covers how employees find 2025 amounts on their pay stubs; it doesn't confirm codes TT or TP on the 2026 W-2. |
| Service charges paid as wages | UnconfirmedSource: OnPay (opens in a new tab)OnPay does not say how it treats mandatory service charges; we looked on its restaurant page and its help center (search for service charge). | NoSource: Square Support Center (opens in a new tab)Square's tip import does not support auto-gratuity from Square for Restaurants; you add service charges to the pay run yourself. |
| State and local minimum wages built in | NoSource: OnPay Help Center (opens in a new tab)OnPay publishes local rates in its help center, but asks you to keep local minimum wages up to date yourself. | UnconfirmedSource: Square (opens in a new tab)Not documented on Square's payroll pages or help articles we read. |
| Integrations and time tracking | ||
| POS integrations (hours or sales data) | Source: OnPay (opens in a new tab)OnPay's app directory lists no POS system (time tracking: Deputy, When I Work and QuickBooks Time). Some reviewers describe connecting a POS through a scheduling app; that is not a direct integration. | SquareSource: Square (opens in a new tab) |
| Time tracking | Paid add-on or higher planSource: OnPay (opens in a new tab)$15 a month plus $4 per worker. Deputy, When I Work and QuickBooks Time also connect at no added fee. | IncludedSource: Square Support Center (opens in a new tab)Timecards come from Square POS or the Square Team app (free Square Shifts). |
| Scheduling | Only through an integrationSource: OnPay (opens in a new tab)OnPay's own time tracking add-on does not list scheduling; staff schedules come from apps such as When I Work or Deputy. | IncludedSource: Square (opens in a new tab) |
| Accounting integrations | QuickBooks Online, Xero, OthersSource: OnPay (opens in a new tab)Others: QuickBooks Desktop (help center setup guide). | QuickBooks OnlineSource: Square Support Center (opens in a new tab) |
| Payroll engine | The vendor itselfSource: OnPay (opens in a new tab) | The vendor itselfSource: Square Support Center (opens in a new tab) |
| Benefits and insurance | ||
| Health benefits | Offered and connected to payrollSource: OnPay (opens in a new tab)Plan administration and payroll deductions are included; you pay the plan premiums. You can also keep your own broker. | Through a partner brokerSource: Square (opens in a new tab) |
| Workers' compensation | Pay-as-you-go connected to payrollSource: OnPay (opens in a new tab) | Pay-as-you-go connected to payrollSource: Square (opens in a new tab)Pay-as-you-go workers' comp through Square's partner, with premiums based on each payroll run. |
| Contract and exit | ||
| Initial term | Month to monthSource: OnPay (opens in a new tab)Month to month; you can end the service with 30 days' written notice. | Month to monthSource: Square (opens in a new tab)Month to month: Square says there is no long-term commitment. |
| Automatic renewal | Month to monthSource: OnPay (opens in a new tab)Month to month, with no renewal term. | Month to monthSource: Square (opens in a new tab)Billed month to month. |
| Notice to avoid renewal | 30 daysSource: OnPay (opens in a new tab)There is no renewal to avoid; this is the written notice the Terms of Service ask for to end the service. | 0 days(Best value)Source: Square (opens in a new tab)You cancel from your Square account settings; access continues to the end of the billing period, with no refund. |
| Early termination fee | NoneSource: OnPay (opens in a new tab)The Terms of Service have no early termination fee. | NoneSource: Square (opens in a new tab)Month to month: no term and no early termination fee. |
| Early termination clause | No early termination fee. Month to month; you can end the service with 30 days' written notice (Terms of Service, section 10).Source: OnPay (opens in a new tab) | No early termination fee.Source: Square (opens in a new tab) |
| Right to raise prices | OnPay may change its terms and fees at any time. It says it will try, without being obligated, to give 30 days' notice of a material change; if you do not accept it, you can end the service before it takes effect (Terms of Service, section 6).Source: OnPay (opens in a new tab) | Square can change subscription fees with reasonable advance notice; using the service after the notice means you accept the change.Source: Square (opens in a new tab) |
| Free trial or free months | 30 daysSource: OnPay (opens in a new tab)The first month is free. | UnconfirmedSource: Square (opens in a new tab)Square's payroll pricing page shows no free trial or free months today. |
| Your records when you leave | You can download them yourselfSource: OnPay (opens in a new tab)You export your reports yourself while the account is open; employees keep lifetime access to their pay stubs and year-end forms. OnPay does not publish how long you keep access after closing. | UnconfirmedSource: Square Support Center (opens in a new tab)Square's help center says closing the payroll account is irreversible; it doesn't say how long you keep access to reports afterwards. |
| Support | ||
| Support 24/7 | NoSource: OnPay (opens in a new tab) | NoSource: Square (opens in a new tab) |
| Live support hours a week | 55Source: OnPay (opens in a new tab)Phone and chat, 9 a.m. to 8 p.m. Eastern time, Monday to Friday. | 60(Best value)Source: Square (opens in a new tab)12 hours a day, Monday to Friday. |
| Dedicated specialist | NoSource: OnPay (opens in a new tab)Only setup is dedicated; after that, support comes from the general team by phone, chat and email. | Yes(Best value)Source: Square (opens in a new tab)Square describes dedicated payroll specialists for setup and questions; it doesn't say each account gets one assigned person. |
Contracts compared
| Product | Initial term | Auto-renewal | Early termination fee | Price increases during the term | Trial |
|---|---|---|---|---|---|
| OnPay PayrollSource: OnPay (opens in a new tab) | Month to month | No auto-renewal | No early termination fee. Month to month; you can end the service with 30 days' written notice (Terms of Service, section 10). | OnPay may change its terms and fees at any time. It says it will try, without being obligated, to give 30 days' notice of a material change; if you do not accept it, you can end the service before it takes effect (Terms of Service, section 6). | 30-day trialSource: OnPay (opens in a new tab)The first month is free. |
| Square PayrollSource: Square (opens in a new tab) | Month to month | No auto-renewal | No early termination fee. | Square can change subscription fees with reasonable advance notice; using the service after the notice means you accept the change.Source: Square (opens in a new tab) | Unconfirmed |
This is general information about published contracts, not legal advice: read your own contract and check with a lawyer before you sign.
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