11 Reliable Payroll Services Kansas City MO Companies Trust [2026]
📞 Call Now: (816) 808-6626The average small business owner spends 5-6 hours per month on payroll-related tasks, time that could be spent growing the business instead.
A Crossroads coffee shop almost lost two key employees last year because paychecks bounced due to miscalculated tax deposits. An Independence contractor paid $4,200 in IRS penalties for late 941 forms. A Leawood dental practice got audited because they classified hygienists wrong for three years. Every business needs employees, but managing payroll correctly demands expertise most owners don't have and can't afford to learn through mistakes. This list features payroll services Kansas City MO companies that handle the complicated stuff so you don't have to. We evaluated each on processing reliability, tax expertise, technology quality, support responsiveness, and knowledge of Kansas City's unique earnings tax requirements. Whether you're a three-person startup or a thirty-employee operation, these providers ensure employees get paid correctly, taxes get filed on time, and you stay compliant.
1. ADP TotalSource
Comprehensive professional employer organization offering payroll plus full HR outsourcing to Kansas City businesses.
Full PEO Services
• Complete payroll processing and tax compliance
• Health insurance and employee benefits
• Workers compensation insurance
• HR compliance and employee relations
• Recruiting and onboarding support
• Risk management and safety programs
• Dedicated HR business partner
ADP TotalSource operates as a co-employer, becoming the employer of record for tax and benefits purposes. This provides small Kansas City businesses access to Fortune 500-level benefits at competitive rates through ADP's massive risk pool.
The HR business partner model gives you a dedicated advisor who knows your business and helps navigate complex employee situations, compliance requirements, and workplace issues. This is like having an HR department without hiring one.
Their benefits offerings include medical, dental, vision, disability, life insurance, FSA, HSA, and 401(k) administration all integrated with payroll deductions. Kansas City businesses can offer competitive benefits packages that help attract and retain talent.
Workers compensation through the PEO often costs less than standalone policies because rates are based on the entire PEO pool rather than just your company's experience.
2. Insperity
Professional employer organization providing comprehensive payroll, benefits, and HR services to growing Kansas City businesses.
PEO Platform
• Full-service payroll and tax administration
• Group health and benefits programs
• Workers compensation coverage
• HR administration and compliance support
• Performance management tools
• Recruiting assistance
• Risk mitigation services
Insperity focuses on mid-sized businesses with 5-150 employees. Their PEO model includes dedicated HR specialists, employment law expertise, and training and development resources alongside payroll processing.
The Workforce Optimization tools help manage performance reviews, track goals, and document employee interactions. This systematic approach protects Kansas City businesses from employment claims and wrongful termination lawsuits.
Their time and attendance system integrates with payroll, automatically calculating regular hours, overtime, PTO usage, and holiday pay based on rules you establish.
3. Elevated Ledger
3013 Oak St, Kansas City, MO 64108
Phone: (816) 808-6626
Website: elevatedledger.net
Hours: Mon-Fri 9:30 AM – 6:00 PM
View on Google Maps
Elevated Ledger provides small business and home-based payroll services in Kansas City and surrounding communities including Overland Park, Olathe, Leawood, Lee's Summit, Independence, North Kansas City, and Blue Springs.
Integrated Payroll and Bookkeeping
Most payroll services just cut checks and file taxes. Elevated Ledger integrates payroll completely with your financial management, showing true labor costs, burden rates, profitability by employee or project, and how payroll decisions affect your bottom line.
They helped a construction company realize they were losing money on certain projects because actual labor costs including taxes and insurance exceeded estimates by 18%. They showed a professional services firm how to restructure partner compensation to reduce overall tax burden by $23,000 annually. A retail business learned which shifts and employees generated the most revenue per payroll dollar.
The owner is QuickBooks Payroll certified, ensuring flawless integration between payroll and bookkeeping. No duplicate entries, no reconciliation headaches. Your labor costs flow automatically into job costing, departmental reports, or profit and loss statements exactly how you need them.
Complete Payroll Services
• Any frequency: weekly, bi-weekly, semi-monthly, or monthly
• Federal payroll tax calculations, deposits, and filings
• Missouri and Kansas state withholding and unemployment
• Kansas City earnings tax withholding and quarterly filing
• Direct deposit processing for all employees
• Digital pay stubs delivered electronically
• Year-end W-2 and 1099 preparation and filing
• New hire reporting to Missouri and Kansas
• Workers compensation premium allocation reporting
• Wage garnishment processing for child support and levies
• PTO and sick leave tracking
• Labor cost analysis and profitability reporting
What Kansas City Clients Say
"We switched to Elevated Ledger for both payroll and bookkeeping. Best decision ever. They understand Kansas City earnings tax way better than the national company we used before, and we finally understand our true labor costs."
"They caught classification errors our previous payroll provider made for two years. Got everything fixed before it became a big IRS problem."
Payroll Pricing
Payroll processing starts at $150 monthly plus per-employee fees. Includes all federal, state, and local tax filings, direct deposit, electronic pay stubs, and W-2 preparation. When combined with bookkeeping services, significant integration efficiencies reduce overall costs.
Free payroll assessment available to review your current payroll processing, identify potential issues, and demonstrate how integrated payroll and bookkeeping improves financial visibility while reducing administrative burden.
Why Kansas City Businesses Choose Them
You get local expertise with Kansas City earnings tax employee residence tracking, Missouri and Kansas multi-state compliance, Jackson County reporting requirements, and integration with local banks and accounting software.
The personalized service means they know your business, answer your questions quickly, and proactively alert you to payroll issues before they become expensive problems.
Strategic insights go beyond processing paychecks. They help you understand labor costs versus revenue, identify scheduling inefficiencies, analyze overtime patterns, and make data-driven decisions about staffing.
Get Your Free Payroll Assessment
4. Paychex Flex
Modern cloud-based payroll platform from Paychex serving Kansas City small businesses with scalable solutions.
Platform Features
• Payroll processing with mobile access
• Automated tax calculations and filing
• Employee self-service portal
• Time and attendance tracking
• HR administration tools
• Benefits administration
• Reporting and analytics
Paychex Flex offers flexible configurations allowing Kansas City businesses to start with basic payroll and add services as they grow. The mobile app lets you run payroll from anywhere, approve time sheets, and access reports.
The employee self-service reduces administrative burden. Employees view pay stubs, update direct deposit information, request time off, and access W-2s without calling HR or payroll staff.
Their learning management system delivers employee training, tracks completions, and maintains compliance training records important for Kansas City businesses in regulated industries.
5. OnPay Payroll
Simple, transparent payroll service with unlimited payroll runs and flat-rate pricing.
Service Model
• Unlimited payroll processing
• Full-service tax filing and deposits
• Direct deposit and online access
• Employee self-onboarding workflows
• Benefits administration support
• Time tracking integration
• Dedicated setup and support
OnPay's transparent pricing includes unlimited payroll runs, making them attractive for Kansas City businesses paying weekly, managing frequent bonuses, or needing flexibility with off-cycle paychecks.
The migration assistance handles data transfer from your current provider, employee information import, and parallel processing to ensure accuracy before going live.
Their accounting software integrations connect with QuickBooks, Xero, and other platforms, automatically syncing payroll data to your books and eliminating duplicate entry.
6. Gusto Payroll
Modern, user-friendly payroll platform popular with tech-forward Kansas City small businesses and startups.
Cloud Platform
• Automated full-service payroll
• Tax compliance and filing
• Health benefits administration
• Workers compensation management
• Time tracking tools
• Contractor payments and 1099s
• Mobile app for employees
Gusto emphasizes user experience with intuitive interfaces, simple onboarding, and automation that reduces manual work. Employees love the mobile app for viewing pay information, requesting time off, and managing benefits.
The benefits marketplace connects Kansas City employers with health insurance carriers, facilitating group coverage with automated payroll deductions and carrier payment.
Their contractor management simplifies paying independent contractors, tracking 1099 thresholds, and generating year-end forms automatically.
7. QuickBooks Payroll
Intuit's payroll solution offering seamless integration with QuickBooks Online for Kansas City businesses.
Integration Benefits
• Native QuickBooks Online connection
• Automated payroll tax calculations
• Same-day direct deposit capability
• Time tracking through QuickBooks Time
• Workers compensation premium tracking
• Employee self-service access
• Guaranteed tax accuracy
QuickBooks Payroll makes perfect sense for businesses using QuickBooks. The native integration eliminates data syncing issues, duplicate entry, and reconciliation problems. Payroll transactions flow automatically into your books with proper account categorization.
The tax penalty protection guarantee means QuickBooks pays penalties and interest if they make calculation or filing errors. This includes federal, Missouri, Kansas, and Kansas City taxes.
Their same-day direct deposit option allows you to run payroll the day you want employees paid rather than scheduling days in advance.
8. SurePayroll
Small business payroll service offering affordable, straightforward payroll processing to Kansas City companies.
Simple Services
• Online payroll processing
• Tax filing and payments
• Direct deposit
• Printable checks available
• Employee online access
• Mobile app
• Tax penalty protection
SurePayroll targets very small businesses with 1-10 employees wanting affordable payroll without extensive HR features. Their straightforward approach and self-service model keep costs down.
The print checks option works well for Kansas City businesses with employees who don't have bank accounts or prefer physical checks. You can print on blank check stock or pre-printed checks.
Their mobile app lets you process payroll from your phone, useful for Kansas City business owners who aren't in an office daily.
9. Rippling
Unified workforce platform combining payroll, benefits, HR, and IT management for growing Kansas City businesses.
Comprehensive Platform
• Global payroll processing
• Benefits and insurance administration
• HR management and compliance
• IT and device management
• App management and integrations
• Time and attendance tracking
• Learning and development tools
Rippling stands out with IT integration, managing employee computers, software access, and app provisioning alongside payroll and HR. When you hire someone, Rippling can provision their computer, grant software access, enroll in benefits, and add to payroll simultaneously.
The global payroll capability serves Kansas City businesses with remote employees across multiple states or countries, handling varying tax requirements and currencies.
Their unified data model means you enter employee information once and it flows to payroll, benefits, IT systems, and HR tools automatically.
10. Heartland Payroll Solutions
Full-service payroll provider emphasizing personal relationships and flexible service for Kansas City businesses.
Service Offerings
• Custom payroll schedules
• Tax filing and compliance
• Direct deposit and pay cards
• Time and labor management
• HR support resources
• Workers compensation administration
• Garnishment processing
Heartland focuses on personal service with dedicated account managers who know your business. They're strong with complex pay scenarios including commission structures, tip reporting, piece-rate work, and shift differentials common in Kansas City hospitality and manufacturing.
The garnishment administration handles wage attachments for child support, tax levies, student loans, and creditor garnishments, ensuring accurate calculations and proper remittance.
Their POS integrations benefit Kansas City restaurants and retail, connecting time tracking and payroll directly to point-of-sale systems like Toast, Square, and Clover.
11. Justworks
PEO platform providing payroll, benefits, compliance, and HR support to small businesses nationwide including Kansas City.
PEO Services
• Full-service payroll processing
• Group health insurance and benefits
• Compliance and HR expertise
• Workers compensation coverage
• 401(k) administration
• Commuter benefits
• Transparent pricing
Justworks offers PEO services with transparent pricing, making costs clear upfront rather than requiring custom quotes. Kansas City businesses appreciate knowing exactly what they'll pay based on employee count.
The national health insurance access provides small Kansas City employers with group coverage options typically only available to larger companies. This helps compete for talent against bigger local employers.
Their compliance support includes employment law guidance, policy templates, and assistance navigating federal, Missouri, and local Kansas City employment requirements.
Understanding Payroll Service Options
Basic Payroll Processing
Core services include calculating paychecks based on hours or salary, withholding federal income tax, Social Security, Medicare, calculating and filing payroll tax deposits, preparing quarterly reports, and generating W-2s at year-end.
You handle employee time tracking, PTO management, benefits deductions, hiring and termination paperwork, and answering employee payroll questions.
Best for very small businesses with simple pay structures, minimal turnover, and owners comfortable managing employee-facing tasks.
Full-Service Payroll
Expanded services include everything in basic payroll plus direct deposit, employee self-service portals, online time tracking, PTO management, new hire reporting, garnishment processing, and dedicated support representatives.
Provider handles most administrative tasks. You approve time, review reports, and make payroll decisions.
Best for small businesses wanting to minimize administrative burden while maintaining control over payroll decisions.
Professional Employer Organization
Co-employment model where the PEO becomes employer of record for tax and insurance purposes. You maintain operational control but share certain legal responsibilities.
Comprehensive services include all payroll functions, group health and retirement benefits, workers compensation insurance, HR compliance and employee relations support, risk management, recruiting assistance, and performance management tools.
Best for businesses wanting Fortune 500-level benefits and HR support without building internal departments.
Kansas City Payroll Tax Requirements
Federal Payroll Taxes
Federal Income Tax withholding based on employee W-4 elections. Tax rates vary from 0% to 37% depending on income level and filing status.
Social Security tax of 6.2% on wages up to $168,600 annual wage base. Employers match this 6.2%, paying 12.4% total.
Medicare tax of 1.45% on all wages with employer match. Additional 0.9% employee-only Medicare tax on wages over $200,000.
Federal Unemployment Tax of 6% on first $7,000 of wages, reduced to 0.6% for employers paying state unemployment taxes timely.
Missouri State Taxes
State Income Tax withholding ranging from 0% to 4.95% based on employee MO W-4 elections.
State Unemployment tax rates vary from 0% to 6% on first $10,000 of wages based on employer experience rating and industry.
New Hire Reporting required within 20 days to Missouri Department of Revenue for child support enforcement.
Kansas State Taxes
State Income Tax withholding of 3.1% to 5.7% for employees working or living in Kansas.
State Unemployment tax from 0.16% to 6% on first $14,000 of wages based on experience rating.
Multi-State Workers create complexity. Kansas City businesses with employees living in one state and working in another need careful tax handling.
Kansas City Earnings Tax
1% earnings tax applies to Kansas City residents regardless of where they work and anyone working in Kansas City regardless of residence.
Quarterly filing required using Form RD-110 reporting total wages and tax withheld.
Withholding certificates employees complete indicating residence for proper withholding calculation.
Address changes must be tracked. When employees move in or out of Kansas City, withholding must adjust immediately.
Frequently Asked Questions
What's included in payroll services?
Basic payroll typically includes paycheck calculations, tax withholding, payroll tax deposits and filings, quarterly reports, W-2 preparation, and basic support.
Full-service payroll adds direct deposit, employee self-service portals, time tracking integration, new hire reporting, garnishment processing, and dedicated account management.
Premium services may include HR support, benefits administration, workers compensation, applicant tracking, performance management, and learning management depending on the provider.
Kansas City specific services include earnings tax calculation, quarterly earnings tax filing, multi-state tax handling for Missouri and Kansas, and local compliance assistance.
Ask providers specifically what's included in their base price versus add-on services to avoid surprises.
How much do payroll services cost?
Basic payroll averages $30-$60 monthly base fee plus $4-$12 per employee per payroll run. A 10-employee business paying bi-weekly would spend $130-$300 monthly.
Full-service payroll costs $40-$100 monthly base plus $6-$15 per employee per run, totaling $160-$400 monthly for that same 10-employee business.
PEO services charge 2%-11% of total payroll, but include workers compensation, health insurance, and comprehensive HR support. A business with $50,000 monthly payroll might pay $1,000-$5,500 monthly depending on benefits elected.
Additional costs may include setup fees, year-end processing, state registrations, check printing, or optional add-on services.
Get written quotes based on your actual employee count, pay frequency, and required services for accurate comparison.
Can payroll services handle Kansas City earnings tax?
Yes. Professional payroll providers maintain address databases determining which addresses fall within Kansas City limits. They automatically calculate the 1% withholding based on employee residence and work location.
Quarterly reporting happens automatically. The provider files Form RD-110 with Kansas City Revenue Division reporting wages and tax withheld, then remits payment.
Employee changes like relocations or transfers get tracked. If someone moves from Lee's Summit to Kansas City, withholding begins automatically.
Audit support from established providers includes documentation and assistance if Kansas City questions your filings.
Multi-jurisdiction complexity with employees living in Kansas City but working elsewhere, or vice versa, gets handled correctly by quality providers familiar with the requirements.
What happens if I switch payroll providers mid-year?
Tax liability transfers to your new provider, but you remain responsible for any taxes due from periods processed by your previous provider.
Quarterly reports need coordination. The departing provider should file for periods they processed. The new provider files for periods they process. Some do partial-quarter reporting.
Year-end W-2s typically get prepared by the provider who processes your final payroll of the year, but they need year-to-date totals from your previous provider.
Timing matters. Switching at quarter-end minimizes complications. Mid-quarter switches require more coordination but are manageable with good providers.
Data transfer of employee information, year-to-date totals, tax rates, and deduction information requires cooperation from your departing provider. Some make this difficult, so review contracts before committing.
Plan 30-45 days for smooth transitions including setup, data transfer, parallel processing to verify accuracy, and employee communication about changes.
Do I need workers compensation to use payroll services?
Workers compensation insurance is separate from payroll services but closely connected. Most payroll providers offer workers comp administration or coordination even if they don't provide the actual insurance.
Missouri requires workers compensation coverage for businesses with five or more employees. Some industries require coverage with one employee.
Payroll reporting for workers comp requires accurate tracking of wages by classification code. Payroll services handle this reporting automatically.
Pay-as-you-go workers comp uses actual payroll data instead of estimates, reducing year-end adjustments and improving cash flow. Many payroll providers facilitate this through insurance partners.
PEO services include workers compensation insurance as part of their package, often at better rates than standalone policies due to their large risk pools.
You can use payroll services without workers comp, but the payroll provider can simplify administration and compliance if you coordinate both.
How do payroll services protect my data?
Encryption protects data in transit and at rest using bank-level security protocols. This prevents interception during transmission and unauthorized access to stored data.
Access controls limit who can view sensitive information. Multi-factor authentication, role-based permissions, and audit logs track all system access.
Compliance certifications like SOC 2, ISO 27001, or GDPR demonstrate providers meet security standards verified by independent auditors.
Regular audits assess security controls, test for vulnerabilities, and ensure ongoing compliance with security standards.
Disaster recovery and backup systems ensure payroll continues even if primary systems fail. Data gets backed up to geographically diverse locations.
Insurance including cyber liability and errors and omissions policies protect against data breaches and processing errors.
Ask potential providers about their specific security measures, certifications, insurance coverage, and breach response procedures.
Making Your Payroll Decision
Assess Your Current Situation
Time spent on payroll monthly including calculation, processing, tax deposits, quarterly reporting, year-end forms, and employee questions. Is this time better spent on business growth?
Error rate in your current system. How often do you catch mistakes after processing? Have you incurred penalties for late or incorrect tax filings?
Compliance confidence. Do you feel confident you're handling federal, state, and Kansas City requirements correctly? Would you pass an audit?
Employee satisfaction. Are paychecks accurate and on time? Do employees have self-service access to pay information and tax forms?
Define Your Requirements
Employee count and pay frequency determine pricing and provider fit. Consider growth plans when evaluating capacity.
Pay complexity including commission, bonuses, tips, multiple pay rates, shift differentials, or piece-rate work affects which providers handle your needs well.
Integration needs with accounting software, time tracking systems, POS systems, or benefits administration. Seamless integration eliminates duplicate entry and errors.
Support preferences. Do you want dedicated representatives or are call centers acceptable? Do you need 24/7 support or are business hours sufficient?
Geographic scope. If you have or plan employees in multiple states, ensure the provider handles multi-state payroll well.
Compare Provider Options
Get written quotes from 3-5 providers including all costs, setup fees, per-payroll charges, per-employee fees, and optional service pricing.
Request references from Kansas City businesses similar to yours in size and industry. Ask about accuracy, support quality, issue resolution, and overall satisfaction.
Test platforms through demos or trials. Is the interface intuitive? Are reports useful? Does the mobile app work well?
Verify Kansas City expertise. Ask specifically how they handle earnings tax, multi-state employees, and local compliance requirements.
Review contracts carefully including term length, cancellation clauses, data ownership, and fee changes. Understand what you're committing to.
Implementation Planning
Choose timing strategically. Quarter-end transitions are cleaner than mid-quarter switches. Avoid transitions during peak business seasons.
Communicate early with employees about changes including new portals, direct deposit modifications, or benefit impacts with PEO transitions.
Parallel processing for at least one pay period verifies the new provider calculates everything correctly before going live exclusively.
Document everything including employee data, year-to-date totals, tax rates, deduction amounts, and PTO balances for smooth data transfer.
Plan contingencies for issues during transition. Know who to call and have backup plans if problems arise during the first few payrolls.
Resources
Scientific & Scholarly Sources
Payroll Outsourcing Benefits and Risk Management - Research examining financial and operational impacts of payroll outsourcing on small and medium businesses.
Payroll Tax Compliance Costs for Small Business - Study quantifying time and money spent on payroll tax compliance and benefits of professional services.
Online Resources
IRS Employer's Tax Guide - Official federal payroll tax guidance including withholding tables, deposit schedules, and reporting requirements.
Missouri Employer Withholding - State withholding requirements, tax tables, forms, and employer resources.
Kansas City Earnings Tax Information - Official Kansas City earnings tax guidance, forms, and filing requirements.
Recommended Books
The Payroll Book by Charles Read - Comprehensive guide to payroll processing, tax compliance, and regulatory requirements for employers.
Payroll Practice Fundamentals by Vicki M. Lambert - Detailed payroll processing instruction covering all aspects of payroll administration.
Multimedia Resources
APA Payroll Webinars - American Payroll Association offers regular webinars on compliance updates, best practices, and payroll trends.
QuickBooks Payroll Tutorials - Official Intuit videos covering payroll processing, tax compliance, and software features.