Wave payroll costs a base fee of $40 a month in the US or $25 a month in Canada, plus $6 for each active employee and $6 for each independent contractor you pay, as of October 2026. It's a separate add-on to Wave's accounting, it comes with a 30-day free trial, and Wave says there are no set-up fees or hidden charges.
Here's the catch. The base fee is only the start, because the $6 applies to every employee and every contractor you pay in a month. And Wave says those prices apply to new payroll customers who signed up after April 2, 2025. If you joined before that date, Wave says it'll notify you of any changes to your current plan, so your terms may not match this page.
One more thing before you go further: Wave payroll only covers the US and Canada. If you're running a team in the UK or Australia, it isn't an option for you.
Wave payroll fees in the US and Canada
Wave runs two versions of payroll, and the fee structure is the same shape in both. The US version is priced in US dollars and the Canadian version in Canadian dollars. Here's how they line up on Wave's payroll page, as of October 2026:
| Item | US version (US dollars) | Canada version (Canadian dollars) |
|---|---|---|
| Base monthly fee | $40 | $25 |
| Per active employee | $6 | $6 |
| Per contractor paid | $6 | $6 |
| Tax payments and filings | State and federal, 1099 filings excluded | CRA remittances, T4 and T4A slips |
| Free trial | 30 days | 30 days |
The Canadian version is available in every province and territory except Quebec. On Wave's main pricing page, payroll shows up as an add-on to either accounting plan, listed as from $25 a month and from $40 a month, which are the Canadian and US base fees.
What Wave payroll files for you, and what it doesn't
In the US
Wave says its payroll tax service automatically transfers your payroll tax payments and files the paperwork with your state tax agency and the IRS. The big exclusion is 1099 filings, which aren't part of that automatic filing. Wave also says that in rare cases a tax payment can't be transferred automatically, so it's worth keeping an eye on your payroll tax notices rather than assuming every one is handled.
For year-end forms, Wave generates W-2 and W-3 forms for employees and 1099-NEC forms for contractors. So the forms get made for you, even though the 1099 filing itself sits outside the automatic tax service.
In Canada
The Canadian version handles automatic CRA tax remittances, T4 and T4A slips and summaries, and ROEs. Wave also lists top-ups, benefit calculations and vacation leave tracking, which your team can see in the employee portal.
What's included in both versions
Whichever country you're in, Wave lists the same core set on its payroll page:
- Accuracy guarantee. Wave says it guarantees 100% payroll accuracy.
- Unlimited free direct deposits. Wave doesn't charge per deposit.
- An employee portal. Staff can see their pay stubs and tax forms, and update their own banking and contact details.
- Accounting that updates itself. If you use Wave's accounting software, payroll journal entries post automatically, at no extra cost.
- One-click pay runs. Wave says you pay your team with one click each payday.
- Reports and tracking. You get a payroll expense breakdown by employee and expense type, plus leave time and accrual tracking.
- Contractor payments. Contractors are paid with the accounting entries recorded for you.
For help, Wave lists live chat Monday to Friday, with payroll customers getting a priority connection, plus email support.
Do you need Wave Pro for payroll?
No. Payroll is a separate add-on, so you can run it alongside Wave's free Starter plan. Wave's payroll page notes that automated bank connections and advanced receipt matching are the things that need the paid Pro plan, not payroll itself. If you're weighing up the accounting plans as well, this guide to Wave's Starter and Pro plans covers the accounting side in full.
Setting up Wave payroll in five steps
- Start the 30-day free trial and pick the US or Canada version.
- Add your employees and contractors.
- Run payroll and approve the direct deposits.
- Let Wave pay and file your payroll taxes. In the US, remember 1099 filings aren't included.
- Your employees see their pay stubs in the employee portal.
Who Wave payroll isn't for
Wave's own pros and cons list is refreshingly upfront. On the plus side, it names transparent pricing, books that update automatically with Wave accounting at no extra cost, no payroll experience needed and no long-term contracts. On the minus side, Wave admits it has fewer advanced features for complex payroll structures and isn't built for highly customised compensation plans.
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So it's not the right fit if any of these sound like you:
- You run payroll in Quebec. The Canadian version doesn't cover it.
- Your team is outside the US and Canada.
- Your pay setup is complicated, with lots of custom compensation rules.
- You want 1099 filings handled automatically along with the rest of your US payroll taxes.
If that's you, it's worth comparing a few payroll tools built for small businesses before you commit.
My verdict
For a small business with a handful of staff and straightforward pay, Wave payroll is cheap and simple. The per-person fee is small, there's no contract, and if you already keep your books in Wave, the payroll entries land there on their own. That's a lot of admin you don't have to think about. But don't read the base fee and stop there: count every employee and every contractor you pay each month, because they all carry the $6, as of October 2026. And if your pay structures are complex, take Wave at its word. It says it isn't built for that, so I'd look elsewhere.
Frequently asked questions
How much does Wave payroll cost?
As of October 2026, Wave payroll in the US is a $40 base fee a month plus $6 per active employee and $6 per independent contractor paid. In Canada it's a $25 base fee a month plus the same $6 per employee and per contractor, in Canadian dollars.
Is there a free trial of Wave payroll?
Yes. Wave offers a 30-day free trial of payroll, and says there are no set-up fees or hidden charges.
Does Wave file payroll taxes?
In the US, Wave says it transfers payroll tax payments and files the paperwork with your state tax agency and the IRS, excluding 1099 filings. In Canada it handles automatic CRA tax remittances and T4 and T4A slips.
Does Wave payroll work in Quebec?
No. Wave says the Canadian version is available in all provinces and territories except Quebec.
Can Wave pay contractors?
Yes. Wave pays independent contractors as well as employees, records the accounting entries, and generates 1099-NEC forms in the US. Each contractor you pay in a month carries a $6 fee.
Do I need the Pro plan for payroll?
No. Payroll is a separate add-on. Wave says automated bank connections and advanced receipt matching are what need the paid Pro plan.
