Softwr

Accounting · head to head

ADP vs TaxAct

ADP logo

ADP

Accounting

Always Designing for People

From
$29/month
Rated
-
TaxAct logo

TaxAct

Accounting

Get your maximum refund, guaranteed

From
Free
Rated
-

The short version

  • Only TaxAct has a free tier, so it costs nothing to try first.
  • Each has a real cost: ADP no pricing is published; every quote is custom and driven by employee count and which services are taken; TaxAct free edition available only to approximately 40% of filers
  • Prices and features above were last checked on 31 August 2026.

Where they differ

Only the attributes on which ADP and TaxAct actually diverge.

Attributes where ADP and TaxAct differ
AttributeADPTaxAct
Starting price$29/monthFree
Pricing modelsubscriptionone-time
Free tierNoYes
PlatformsWeb, Ios, AndroidWeb
Founded1949Unknown

Identical on both: user rating (Not yet rated), category (Accounting).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in ADP

  • Payroll
  • Tax services
  • HR management
  • Time & attendance
  • Benefits administration
  • QuickBooks
  • Sage
  • Oracle

Only in TaxAct

Nothing recorded that ADP does not also cover.

What people use each for

The jobs each tool is most often brought in to do.

ADP

  • Payroll processing and tax filingnot TaxAct
  • HR administration and employee recordsnot TaxAct
  • Time and attendance trackingnot TaxAct
  • Benefits administrationnot TaxAct
  • Talent management on the mid-market and enterprise productsnot TaxAct

TaxAct

  • Individual tax filingnot ADP
  • Self-employed tax preparationnot ADP

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

ADP

  • No pricing is published; every quote is custom and driven by employee count and which services are taken
  • Split into three separate products by company size, RUN for 1 to 49 employees, Workforce Now for 50 and above, and Lyric HCM for enterprise, so growing across a threshold means changing product rather than plan

TaxAct

  • Free edition available only to approximately 40% of filers
  • Pricing excludes separate state filing fees
  • Xpert Full Service pricing available on request only

Pricing, plan by plan

ADP

$29/month
  • Essential$79/month
    • Payroll
    • Tax filing
    • Direct deposit
  • Enhanced$139/month
    • HR tools
    • Background checks
    • Job posting

TaxAct

Free
  • Free EditionFree
    • W-2 income
    • Unemployment
    • Basic credits and deductions
  • Deluxe$59.99/tax-year
    • All Free Edition features
    • Home ownership deductions
    • Childcare and dependent care
  • Premier$99.99/tax-year
    • All Deluxe features
    • Investment income and capital gains
    • Cryptocurrency reporting
  • Self-Employed$109.99/tax-year
    • Complete business support
    • For contractors, freelancers, and sole proprietors

Which should you pick?

Choose ADP if

  • You need payroll.
  • You work on Web, Ios, Android.
  • You also want tax services.

Choose TaxAct if

  • You want to start without paying.

Questions people ask

Is ADP or TaxAct better?
Neither clearly leads. ADP starts at $29/month and TaxAct at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, ADP or TaxAct?
TaxAct has a free tier; the other does not. Paid plans start at $29/month for ADP and Free for TaxAct.
Does ADP or TaxAct run on more platforms?
ADP runs on Web, Ios, Android. TaxAct runs on Web.
Can I use TaxAct for free?
Yes. TaxAct has a free tier, so you can try it without paying. ADP starts at $29/month.
What is ADP best used for?
ADP is most often used for payroll processing and tax filing, hr administration and employee records, time and attendance tracking, benefits administration. Of those, payroll processing and tax filing and hr administration and employee records are not what TaxAct is typically brought in for.
What can ADP do that TaxAct cannot?
ADP covers Payroll, Tax services, HR management, Time & attendance.

Answered from the vendors’ own pages

ADP: How is ADP pricing organized?

ADP organizes pricing by business size: Small Business (1-49 employees), Midsized (50-999 employees), and Enterprise (1,000+ employees). Each segment receives customized pricing tailored to specific business needs.

Source
TaxAct: How much does TaxAct cost?

TaxAct offers a free edition for approximately 40% of filers, Deluxe at $59.99, Premier at $99.99, and Self-Employed at $109.99 per tax year.

Source
ADP: Is there a current promotional offer for ADP payroll?

ADP currently offers 3 months free when signing up for small business payroll (promotion ends 9/24). Contact sales at 800-225-5237 for details and to request pricing based on your employee count.

Source
TaxAct: Is TaxAct truly free for eligible filers?

Yes, TaxAct's Free Edition is available at no cost for W-2 employees, students, and filers meeting basic income and deduction requirements.

Source
TaxAct: What is the difference between Premier and Deluxe plans?

Premier adds support for investment income, capital gains, cryptocurrency, rental properties, and home sale reporting compared to Deluxe.

Source
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