How to Set Up Gusto

Step 1: Create a Gusto Account

1. Go to Gusto’s website
   • Visit Gusto.com and click Get Started.
   • Choose a pricing plan based on your business needs.
2. Create an Admin Account
   • Enter your business name, email, and password.
   • Set up two-factor authentication (2FA) for added security.
3. Enter Basic Company Information
   • Business name and legal entity type (LLC, S-Corp, etc.).
   • Business address and primary contact information.
   • Industry type (for compliance and tax classification).

Step 2: Add Your Business Tax Information

Gusto automates payroll tax filings, so you need to provide the necessary tax details.

1. Enter your Employer Identification Number (EIN)
   • If you don’t have one, you can apply for an EIN through the IRS website.
2. Provide State Tax Information
   • Enter your state unemployment insurance (SUI) tax rate.
   • Add state payroll tax account numbers (if applicable).
3. Choose Payroll Tax Filing Preferences
   • Select if Gusto should handle federal and state tax filings (recommended).
   • Enable automatic tax payments for compliance.

Step 3: Set Up Payroll Details

1. Choose Payroll Schedule
   • Weekly, bi-weekly, semi-monthly, or monthly pay periods.
2. Select Payment Method
   • Direct deposit (preferred).
   • Paper checks (requires manual check printing).
   • Gusto Wallet (lets employees access wages early).
3. Set Up Time Tracking (Optional)
   • If using Gusto for hourly employees, enable time tracking.
   • Syncs with payroll for accurate wage calculations.

Step 4: Add Employees and Contractors

1. Enter Employee Information
   • Full legal name, Social Security number (SSN), email, and address.
   • Hire date and employment type (full-time, part-time, contractor).
2. Send Employee Onboarding Invitations
   • Gusto will email employees to set up their bank details, tax forms, and benefits.
3. Add Independent Contractors
   • For 1099 workers, only name, email, and payment details are required.

Step 5: Set Up Employee Benefits (Optional)

1. Choose Benefits to Offer
   • Health, dental, and vision insurance.
   • 401(k) retirement savings.
   • Workers' compensation insurance.
2. Select Contribution Amounts
   • Employer and employee contribution percentages.
   • Payroll deductions are calculated automatically.
3. Allow Employees to Enroll
   • Employees receive an email with benefits enrollment options.

Step 6: Run Your First Payroll

1. Go to the Payroll Dashboard and click Run Payroll.
2. Enter hours worked for hourly employees (or sync from time tracking).
3. Review deductions (benefits, taxes, garnishments).
4. Approve and Submit Payroll.
5. Funds are processed and employees are paid based on your chosen schedule.

Step 7: Automate Tax Filings and Compliance

1. Enable Automatic Tax Payments
   • Gusto calculates and automatically files payroll taxes.
2. Set Up Year-End Reports
   • W-2s for employees and 1099s for contractors are generated automatically.
3. Stay Compliant with Labor Laws
   • Use Gusto’s compliance alerts for minimum wage changes, overtime laws, and tax rate updates.

Step 8: Grant User Access & Roles

1. Go to Settings > Team Members.
2. Add Administrators (HR staff, accountants, or co-owners).
3. Set role-based access:
   • Full Admin (access to payroll, benefits, and reports).
   • Limited Payroll Access (can run payroll but not change settings).
   • Accountant Access (view-only access for CPAs).

Step 9: Set Up Reports & Integrations

1. Generate Payroll Reports
   • Go to Reports > Payroll Summary for tax filings and pay history.
   • Export reports to CSV, PDF, or QuickBooks Online.
2. Integrate Gusto with Accounting Software
   • Connect Gusto to QuickBooks, Xero, or FreshBooks for automatic payroll syncing.

Final Checks Before Deployment

✔ Verify bank account and tax information.
✔ Review employee details and benefits selections.
✔ Test first payroll run with a small batch.
✔ Set up reminders for tax deadlines.
✔ Monitor compliance alerts in Gusto.