HR Software

Zenefits Reviews - Pricing, Pros/Cons, User Reviews

February 15, 2021
  •  
5
Brett Ungashick
Founder

Zenefits was one of the most disruptive forces in the HRIS industry in the mid 2010s and has continued to be a relevant player in the SMB space. Learn more about their suite of tools and who they work best for.

Zenefits

Overview

Zenefits changed the HRIS industry in the early 2010s with their sleek, modern user interface and unique busniess model. As they've grown, the business model looks more like their peers, but they've continued to focus on building easy-to-use technology for small and medium sized businesses. They also have open APIs and integrations with many leading point solutions.

Learn More: Request a vendor report comparing Zenefits and their competitors

Market Segment

Zenefits is considered an SMB HRIS, which means the system works best for companies with between 25 and 250 employees. SMB solutions are designed to cover some, but not all HR needs with some gaps to be filled in by 3rd party solutions. SMB solutions are typically more user-friendly and more modernly designed than other vendors. Additionally, they are typically built with integrations in mind and have open APIs. A solution like Zenefits usually takes 6-8 weeks to implement and requires a bit of configuration work from the administrator. SMB solutions tend to have limited rules engines and custom workflow tools, which can limit how scalable they can be.

Blog: How Long Does it Take To Buy and Implement an HRIS

Costs

Zenefits charges companies on a quarterly or annual subscription basis. Depending on the modules included and the size of your company, Zenefits software fees can cost between $14 and 22 PEPM.

In addition to the software fee, Zenefits does charge a nominal implementation fee to clients to get started. This fee is typically ~5-10% of the annual software fees.

Blog: How to Negotiate an HRIS Agreement

Strengths
  • Zenefits’ platform covers nearly every aspect of Core HR for companies (performance, comp, time, onboarding and benefits) except for an ATS, where they integrate with leading providers.
  • Zenefits offers a lightweight compensation tool through PayScale that can benchmark your data against your peers
  • Zenefits has a very modern, intuitive user interface that can help with employee self-service
  • Compared to some of their SMB peers, Zenefits offers a more complete set of modules and can support more complex timekeeping requirements
Weaknesses
  • Zenefits isn’t known to be the most scalable option on the market. They have clients all the way up to 500 employees and beyond, but their sweet spot is typically below 150 employees
  • Some clients have mentioned that setting up benefit carrier feeds is a pain with Zenefits
  • Zenefits was acquired by TriNet at the end of 2021 and it's unclear what changes that will lead to for the product and service.
  • Since Zenefits stopped raising venture funding, the innovation cycles for their product have slowed significantly.

Shopping for an HRIS? Work with an HRIS advisor to streamline your shortlisting, evaluations and selection - for free!

Integration Capabilities

Due to gaps in their own system, Zenefits has always prioritized integrations with 3rd party systems. Zenefits has marketplace integrations with many leading HR point solutions. However, custom integrations are not always the easiest to build with Zenefits due to their lack of professional services resources

Free Tool: HRIS Requirements Builder

Global Capabilities

While Zenefits can serve as a basic system-of-record for international employees, their primary audience is working with domestic companies. They don't typically partner with global payroll companies either

Modules Offered
  • HRIS /Employee Files
  • Payroll
  • Benefits Admin
  • Time & Attendance
  • Onboarding
  • Performance Management
  • Compensation Management

Have specific HRIS questions on your mind? Send them to [email protected] and get quick, expert responses at no-cost

Subscribe to OutSail's Newsletter

Get industry insights that you won't delete, straight in your inbox.
We use contact information you provide to us to contact you about our relevant content, products, and services. You may unsubscribe from these communications at any time. For information, check out our Privacy Policy.
Brett Ungashick
Founder
Brett is the founder of OutSail. He spent the early part of his career selling HR software before switching sides and going to work for the people buying the software.

More news

What are the Most Popular HR Software in 2022?
HR Software

What are the Most Popular HR Software in 2022?

Most businesses think of HR software and HRIS as being synonymous. And while the HRIS is typically the foundational system for most businesses, there are many other categories of HR software that are popular with businesses in 2022. Here are a few of those:

Read Article
How Much Does ADP Workforce Now Cost?
HR Software

How Much Does ADP Workforce Now Cost?

ADP is the most established and well-known payroll company in the world and offers a full suite of HR technology and supporting services. With so many packages and service offerings, it can be hard to gauge ADP's total costs. Learn more here

Read Article
What is the Best HRM System in 2022?
HR Software

What is the Best HRM System in 2022?

It can be challenging to keep up with the ever-changing HR Management software market. OutSail helps hundreds of businesses buy new HRM systems each year, and these are the most popular platforms in 2022:

Read Article