Gusto for 1 Employee or a Single-Owner S-Corp: Cost and Setup (2026)
What Gusto costs for one person, how single-owner S-corps use payroll to pay themselves, and when payroll software is worth it at this size.
Published · 6 min read
Quick answer
At list prices checked on October 20, 2026, Gusto Simple costs $55/month for one person ($49 base + $6 per person). Gusto also offers a Solo plan aimed at owners paying themselves; its price wasn't shown on the public pricing page when checked, so confirm it with Gusto.
Monthly cost for one person
The table shows Gusto Simple at list price for 1, 5, and 10 people, so you can see how cost grows as you hire. It excludes promotions, add-ons, and taxes.
Why single-owner S-corps run payroll
If your business is taxed as an S corporation and you work in it, the IRS generally expects you to pay yourself reasonable compensation as wages, with payroll taxes withheld, before taking distributions. That means even a one-person S-corp usually needs to run payroll.
What counts as reasonable depends on your role and industry. Talk to a tax professional about your situation.
What payroll for yourself involves
- Setting a salary and pay schedule for yourself
- Withholding federal and state income taxes and FICA
- Making employer tax deposits and quarterly filings
- Issuing yourself a W-2 at year end
- Keeping records separate from distributions
DIY vs. payroll software at this size
With one person, some owners run payroll themselves or through their accountant. Software can be worth it if you'd rather not track deposit deadlines and filings yourself, or if you plan to hire soon and want to set up once.
Cheaper alternatives to compare
If cost is the priority, see our comparisons of Gusto vs Patriot and Gusto vs Square Payroll, which have lower list prices for small teams. Check what each includes, especially tax filing.
Questions to ask before signing up
- Is the Solo plan or Simple a better fit for you, and what does each cost today?
- Does the plan file your federal and state payroll taxes?
- Does it support your state?
- Can your accountant get access?
| Plan | 1 person | 5 people | 10 people |
|---|---|---|---|
| Gusto Simple$49/mo + $6/person · Gusto's entry payroll plan | $55 | $79 | $109 |
Sources: Gusto pricing · IRS: S corporation compensation
Frequently asked questions
How much is Gusto for one employee?
At list prices checked October 20, 2026, Gusto Simple is $55/month for one person. Confirm current pricing with Gusto.
Do I need payroll if I'm the only person in my S-corp?
Usually, yes. The IRS generally expects S-corp owners who work in the business to receive reasonable wages through payroll. Ask a tax professional about your case.
Does Gusto have a plan for paying just myself?
Gusto lists a Solo plan for paying yourself and contractors. Check its current price and features on Gusto's site.
See if Gusto fits your business
Compare plans, pricing, and eligibility directly with Gusto.
This article is general information, not tax or legal advice. GetBizFlow is an independent referral site and may receive a referral benefit if you sign up through our links.