Gusto Launches Compliance Automation to Streamline Multi-State Hiring

Small business owners report that compliance costs and administrative hurdles significantly impede their growth. Internal data indicates that three in four entrepreneurs view the filing of federal, state, and local taxes as their most time-consuming task. Gusto’s new solution leverages existing payroll and HR visibility to trigger required registrations automatically when a company hires an employee in a new jurisdiction. This launch follows the company's acquisition of compliance automation firm Mosey earlier this year.

Beyond automated filings, Gusto is rolling out two complementary services: Gusto HR Partners and Gusto Professional Employer Organization (PEO). HR Partners connects businesses with senior human resources leaders for strategic guidance, while the PEO model allows small firms to pool resources for better benefits and outsourced administrative management. Alex Kehayias, head of the new compliance division, stated that these tools aim to relieve owners of the need to become experts in state-specific paperwork, allowing them to focus on core operations. These services are currently being integrated into the Gusto platform, with broader availability for the PEO offering scheduled for the coming months.