• Home
  • B2B News
  • 10 Best Free HR Software Solutions For Companies On a Budget

10 Best Free HR Software Solutions For Companies On a Budget

Category: B2B News

Human resource management has always been a very tedious undertaking for businesses big and small. HR management when done manually, takes a whole chunk of your time when you could be doing something else. But yes, there’s a way to avoid these labor and time-consuming practices. The development of HR software has lifted such burdens from HR managers and personnel alike.

So what is HR software? In a nutshell, these platforms, also referred to as human resource information systems, are tools that automate all the manual processes involved in HR management. Take a look at this video for the basics of HRIS, a category generally referred to as “HR software.”




Now HR tools are marketed under paid or free plans. Paid plans are those that users pay for on either one-time payment or monthly or annual subscription basis. These products usually come with all basic features and then some, making them attractive to large companies. But for many HR managers and entrepreneurs, HR software may seem to cost an arm and a leg. Free HR software, on the other hand, could a tad be limited despite coming absolutely for free. However, there are so-called freemium tools that come with all the basic features of an HR solution. Many solutions will also offer a HR software demo, but it’s different from an entirely free product, because you only get a limited glimpse at the features.

That being said, it’s but natural for businesses to go for free HR software. There are a bunch of reasons for adopting free tools, among which are minimal costs, limited vendor restrictions, they’re maintenance free and you can use them any way you want. Proprietary HR products, on the other hand, require additional investments for add-ons, usage is restricted and are not that transparent, requiring prospects to source tool information from vendor approved sources.

HR software have indeed become indispensable tools for today’s organizations. This dependence is likely to continue as it is one of the most prominent trends in HR management. In addition, the HR software market has been changing in major ways, prominently brought by the adoption of new technologies.

In this article, we will take a good look at the 10 best free accounting software currently available in the market. Their features and functionalities will be discussed in detail. Make no mistake, the rankings do not mean that one product is better than the other and should not be viewed as such.

Free HR Software

What are the 10 best free HR software?

Why Use Free HR Software?

You may not be aware of it, but there are a variety of reasons for using free HR solutions aside from their low cost. When you get free HR platforms, there are other benefits that you get to enjoy. Here are some of them:

1. Free HR Software Is For Everyone

Whether you are small business owner or a large corporation, free HR solutions were developed for you. Free tools are independent of their developers, hence, restrictions in their use are limited if not altogether absent. This is the basic premise of all the other benefits of using free HR software.

2. No Upgrade Costs

Unlike paid plans, free HR software do not require users to pay for upgrades. This helps businesses avoid financial burdens associated with upgrades.

3. Just the Right Level of Support

As opposed to premium HR solutions, you can easily get the right amount of support with free tools. If premium vendors offer knowledge bases, freeware offer the largest support database there is–the Internet. This is because they have a much more technical user base which constantly document solutions to issues. Aside from this, you can hire people from the development team if you so desire.

4. Licensing Made Simple

What’s good about free HR tools is that you can easily manage software licenses. In the case of paid plans, lost productivity and even legal problems could arise from the use of a single license by a number of people. With free HR software, anyone can use the tool at any given time without fear of non-compliance.

5. Easy Transition

The transition to a free HR platform is so much easier due to the facts that these much simpler systems have fewer features. Data transfer, technical work and employee training are also significantly less. These systems involve less implementation time, fewer downtimes and improved adoptionAlso, simpler HR solutions are very intuitive owing to the fact that there are few buttons to click and options to use. They likewise encounter less resistance from staff, making an easy task of change management.

10 Best Free HR Software

Free HR platforms abound in the market, many of which have all the HR management features that you’ll ever need. With all the benefits that these free tools offer, it is only proper that you get an idea about some of these tools. Here, we have compiled a list of the 10 best free HR software. Their features and functionalities will be discussed in detail. The rankings do not denote that one is better than the other and should not be construed as such. Here are our picks:

1. Gusto

Gusto is a provider of a variety of online HR services to simplify your company’s complex HR-related operations. It has a centralized platform that lets you manage payroll, benefits administration, and compliance for your workforce. Its HR Basic tools are available for free where you can use its features and perform a variety of processes at a completely zero cost.


An award given to products our B2B experts find especially valuable for companies

Gusto won our Expert's Choice Award for 2019

Our score
User satisfaction

It moves the paperwork online by letting new hires sign digital I-9s and W-4s, among others, and store their employee information, documents, and forms in a single platform. You can manage your employees in a unified location where you can store all information in the employee directory, enable electronic signatures, and get a visualization of teams, departments and managers in an org chart. Furthermore, it streamlines tracking and managing request time offs and creating vacation and sick policies using cloud technology.

If you want to check out the features of Gusto’s premium plans, especially the payroll functionality, you can easily sign up for Gusto free trial here. This lets you use the platform for 1 month at no cost.

What’s Included in the Free Plan?

  • Vacation and sick policies
  • Online time-off requests by employees
  • Automated balances tracking
  • Employee directory
  • Electronic signature
  • Org chart
  • Digital forms like I-9s and W-4s
  • New hire self-onboarding

2. Zoho People

Zoho People is a popular HR management tool targeted at SMBs and comes with a free plan. Its free version in itself comes with powerful features that include workforce, time and leave management, all of which can be accessed from a singular console. HR departments are bound to save both time and money from using the software while allowing for the promotion of collaboration among staff.

One of the tool’s best features is its ability to allow staff to request time-offs, report times or check their schedules using mobile devices, which enhances employee performance and boosts productivity. Zoho People effectively eliminates the need for manual data entry as it can sync with other applications.

If you think you’ve outgrown the free plan, you can always check the features of the paid plans at no cost, when you sign up for a Zoho People free trial here.

What’s Included in the Free Plan?

  • Basic HRIS
  • Self-service login for employees
  • Leave management capability

3. Freshteam

Employee productivity platform Freshteam is one of the most popular products of Freshworks. The system is rich in features, allowing it to manage a variety of HR processes, including employee recruitment, applicant tracking and CRM. The software provides users with total control over the hiring process without compromising the quality of candidates. It comes with a searchable and secure database, ensuring data security. The tool is ideal for teams who need both tracking and recruitment management functionalities in a single solution.

Once you’re ready to upgrade to premium features, you can easily sign up for a Freshteam free trial here.

What’s Included in the Free Plan?

  • Up to 5 published job postings
  • Email application management
  • Job posting management
  • Basic career site
  • Referral management
  • Job embeds
  • Team collaboration

4. OnPay

Total payroll solution OnPay is designed to provide SMBs with a highly-scalable solution. This cloud-deployed system can streamline just about any payroll process there is and can automate tax filing and payment processes. The software can automatically enter payroll information, which include tips, work hours, reimbursements and even benefits for pay-as-you go workers and compensation insurance. Unlimited payroll runs for W-2 workers and 1099 contract staff can also be handled by the system. It also allows payment of employees via check or direct deposit.

OnPay has no long-term free plan but the solution comes for free for the first month, along with staff and salary data migration. That’s enough to gauge if this software is a good investment to you. You can easily sign up for an OnPay free trial here.


An award given to products our B2B experts find especially valuable for companies

OnPay won our Expert's Choice Award for 2019

Our score
User satisfaction

5. GoCo

A total HR platform, GoCo comes with capabilities such as HR management, payroll and benefits administration. It is targeted at SMBs, allowing them to streamline processes such as hiring and employee onboarding, to name a few. Online benefit management can be implemented, reinforced by notable benefit advisors all over the US. You can likewise run payrolls using GoCo while being able to integrate the solution with popular payroll apps.

Compliance is a breeze with the platform as it automatically updates users with the latest laws on benefit and employment compliance. It collects new hires’ W-4 I-9, agreements and work eligibility data. Using the software, employees become empowered as it allows them to monitor and request times-off through an employee portal.

What’s Included in the Free Plan?

  • FSA administration
  • Disability insurance administration
  • Tax Forms

6. Zenefits

Zenefits is an online HR management software that is designed to assist small and medium-size companies in their payroll needs. Prominent features include payroll management, employee directory, insurance benefits management and business intelligence. The product can handle all your HR processes from a singular interface, giving users total control over them. Employees are likewise able to use the system, which allows them to access all their HR records. When it comes to deductions, employee taxes and earnings, businesses are never left in the dark as Zenefits regularly provides them updates on such information. Other key features such as ACA compliance, hiring and onboarding, a mobile app and PTO tracking are also present.

What’s Included in the Free Plan?

  • Hiring and onboarding
  • Employee directory
  • Core HR apps

7. OrangeHRM

Although HR management solution OrangeHRM has paid plans, it is essentially a free and open source tool that is ideal for businesses of any size. Thousands of businesses use the solution including giants such as RedHat, PricewaterhouseCoopers and Duke University. The software has different modules that provide functionalities such as benefits and leave management, recruitment, time and attendance, personnel information management and employee self-service, among others. These features allow users to align their processes with their corporate goals. The product is both scalable and flexible so that you can use it anyway you want and can grow as your organization grows.

What’s Included in the Free Plan?

  • System administration
  • Personnel Information Management
  • Leave /time off management
  • Time and attendance management
  • Performance assessment
  • Employee self-service
  • Dashboard

8. Odoo

Odoo is a management platform that includes a robust suite of HR management tools. This cloud-based solution provides a free basic plan that include a single app for up to 50 users. Testament to its efficacy is the fact that over 2,000,000 users are currently depending on the system. It effectively replaces multiple programs that are not only costly, but difficult to use at times. The tool offers an easy-to-use interface that can be easily navigated even by novice users. Around 23 languages are supported by the product, which also offers excellent support and community backup.

What’s Included in the Free Plan?

  • Central storage for HR data
  • Time and attendance tracking
  • Leave management
  • Expense management
  • Performance assessment
  • Recruitment

9. Apptivo

Apptivo is basically a CRM suite that offers a variety of HR apps that come with a myriad of features. Among these are employee data management, vacation tracking, recruitment and team communication. These and more allows this flexible piece of software to provide a basic HR tool that can meet most businesses’ needs.

What’s Included in the Free Plan?

  • Employee information management
  • Time tracking
  • Recruiting
  • Team communication

10. Bitrix24

Bitrix24 is a project management tool that likewise covers all key HR processes as it comes with more than 25 free HR tools. But what’s really great about the platform is that it has a free plan so you need not spend anything to get a working HR solution. Key features include absence chart, a private social network, document management, employee portal, shared calendars, leave requests, project management and employee workload planning, among others. The app is currently being used by more than 2,500 HR departments, professional recruiters and staffing agencies.

What’s Included in the Free Plan?

  • Employee directory
  • Visual builder
  • Permission settings
  • Company-wide announcements
  • Time management
  • Leave/time-off management
  • Calendars
  • eLearning/training system
  • Activity stream/social intranet
  • Document management
  • HR forms and records management
  • Recruiting
  • API

So there you have it, our top 10 free HR software. Each tool is special in its own right, harboring unique strengths and weaknesses. At this point, you should be able to decide for yourself which one to choose for your company. However, if you feel that you need to know more about tools of this kind, this top 20 HR software guide can help expand your choices.

By Nestor Gilbert

Senior writer for FinancesOnline. If he is not writing about the booming SaaS and B2B industry, with special focus on developments in CRM and business intelligence software spaces, he is editing manuscripts for aspiring and veteran authors. He has compiled years of experience editing book titles and writing for popular marketing and technical publications.

Leave a comment!

Add your comment below.

Be nice. Keep it clean. Stay on topic. No spam.


Why is FinancesOnline free? Why is FinancesOnline free?

FinancesOnline is available for free for all business professionals interested in an efficient way to find top-notch SaaS solutions. We are able to keep our service free of charge thanks to cooperation with some of the vendors, who are willing to pay us for traffic and sales opportunities provided by our website. Please note, that FinancesOnline lists all vendors, we’re not limited only to the ones that pay us, and all software providers have an equal opportunity to get featured in our rankings and comparisons, win awards, gather user reviews, all in our effort to give you reliable advice that will enable you to make well-informed purchase decisions.