PaymentEvolution

Overview

The service calculates payroll, pays employees by direct deposit, and handles payroll tax filing and payment. It calculates EI, CPP, QPP, and income tax, and supports tax reconciliation and preparation of TD1, T4, T4A, ROE, and RL-1 documents. This breadth makes it a practical fit for employers seeking payroll and Canadian tax administration together; businesses needing only occasional form filing may find a broader payroll service more than they need.

PayChequer lets employees access pay information and tax documents and update their own details. TimeTracker records employee time and integrates with payroll, reducing the gap between tracking hours and processing pay. Accounting connections include Kashoo, FreshBooks, Sage Business Cloud Accounting, QuickBooks Desktop and Online, Software4Nonprofits, and Xero.

Key features

• Canadian payroll and tax: Calculations, direct deposit, tax filing and payment, reconciliation, and year-end forms bring recurring payroll obligations into one workflow.
• Employee self-service and time: PayChequer gives staff access to their records, while TimeTracker feeds time tracking into payroll.
• Integrations and API: The accounting connections cover several established bookkeeping products. The payroll web services API supports custom calculations and integrations, but API calculations are sold in prepaid bundles with a minimum of 1,000 per month for $500, making it a costly entry point for small or occasional needs.
• Security: PaymentEvolution states that it encrypts data in transit with TLS 1.3 and at rest with AES-256, requires multi-factor authentication, and has SOC 2 Type II certification, ISO 27001 infrastructure, and Canadian data residency.

Pricing

PaymentEvolution offers a 15-day trial and a free-plan tier, but the Growth plan’s $0 monthly fee does not remove its $4.00 per employee per pay run charge or $55 one-time setup fee. With a cap of three employees and email-only support, it suits very small employers willing to pay by each run rather than those expecting unlimited free payroll.

The listed Growth, Business Basic, and Business Plus plans are for a single business running payroll for its own employees; advisors managing client payroll are directed to Evolv. Growth keeps the monthly commitment down, but its employee cap and highest per-run charge make it a poor fit for frequent payroll or larger teams. Moving up buys headroom and, on Business Plus, priority support, while the setup fee remains across the priced plans.

Platforms

PaymentEvolution supports web, iOS, Android, and API access. It is cloud-based and requires no downloads, which suits employers who want browser access rather than installed payroll software.

Who it's for

PaymentEvolution is strongest for Canadian businesses that need payroll, tax handling, employee access, and time tracking together, particularly those already using one of its accounting integrations. Employers with up to three staff can start on Growth, while Basic and Plus raise the caps to 25 and 300. It is less suited to advisors running payroll for multiple clients, organizations over 300 employees without a custom arrangement, or businesses seeking payroll with no per-run charge.

Pros and cons

• Pros: Canadian tax calculations, filings, payments, reconciliation, and year-end forms cover more than pay calculation alone.
• Pros: Employee self-service, integrated time tracking, and accounting connections can link payroll with staff and bookkeeping workflows.
• Pros: Business Plus offers a lower per-employee pay-run fee than Growth or Basic and supports up to 300 employees.
• Cons: Every priced plan carries a $55 one-time setup fee, and the free-monthly-fee Growth tier still charges per employee per run.
• Cons: Growth is capped at three employees and limits support to email; larger teams must accept monthly minimums or seek custom pricing.

Alternatives

For a broader category comparison, browse Payroll Tax Software.

• TaxZerone is a freemium option for online W-9 requests, with information-return federal filing priced per form; choose it when those filing tasks, rather than Canadian payroll processing, are the priority.
• HMRC Basic PAYE Tools is free payroll software for businesses with fewer than 10 employees on Linux, macOS, or Windows; it is a better match for that smaller UK-focused use case than PaymentEvolution’s Canadian tax workflows.
• Yearli offers a free-to-start Core plan for W-2 and 1099 forms, quarterly filing, chat and email support, and per-form TIN matching, with an annual subscription plus filing fees; choose it for those forms and filings rather than ongoing Canadian payroll.
• TaxBandits has paid plans including Basic at $19.00 per month with unlimited pay runs and a $0 employee fee, and a free plan; consider it when avoiding per-employee payroll fees matters more than PaymentEvolution’s Canadian tax coverage.
• ADP Workforce Now is a paid payroll and HR suite, with a higher tier that adds benefits administration; choose it if that broader suite is the priority.
• Auris Tax Compliance offers Essentials for one employee and higher tiers that add hiring and HR capabilities; consider it when those broader employee-management features are the focus.
• eFile Express is a freemium Windows option with per-request or per-return IRS payroll form charges; choose it for those specific filings rather than full payroll management.
• Warp Tax Compliance is a paid web and API option with multi-state payroll and compliance plans; it may suit teams focused on that kind of compliance workflow.

Verdict

Choose PaymentEvolution if your Canadian business wants payroll, tax administration, employee self-service, and time tracking in a single cloud service. Its strongest reason to buy is the combination of Canadian tax handling and connected payroll workflows; look elsewhere if per-run charges, the setup fee, or the employee caps outweigh that convenience.