HoneyBook Payroll lets U.S.-based businesses pay 1099 contractors directly from their HoneyBook account. Payroll supports only contractor payments and helps you send payments in one place, keep payroll and bookkeeping organized, and prepare for tax season with built-in reports and forms. Contractors must complete onboarding before they can be paid, but you can add and invite them any time during setup.

Important: Payroll pricing and subscription details

HoneyBook Payroll is free for all members through April 1, 2026. If you continue using Payroll after that date, you’ll be automatically subscribed starting April 1, 2026, unless you cancel your Payroll subscription before then.

You receive advance notice before billing begins, and can cancel your HoneyBook Payroll subscription any time before April 1, 2026 to avoid being charged
From the navigation menu, if you select your company logo > Company settings > Membership, you can manage your subscription under “Paid add ons”

Contractor-only payroll pricing (starting April 1, 2026)

HoneyBook Payroll pricing is based on contractors you pay, not how many contractors you’ve listed. The monthly cost is:

$30 base fee, plus
$6 per contractor paid during the month
- You’re only charged the $6 contractor fee for contractors you actually pay that month, no matter how many payments you send to each one.

Also good to know:

If you pay a contractor multiple times in the same month, it’ll still count as one $6 fee
Contractors who you don’t pay during the month won’t be billed
Your monthly cost can change based on how many contractors you pay each month

Example

You have 10 contractors in HoneyBook Payroll
In March, you paid only 2 contractors
Your cost for that month would be:
1. $30 base fee, plus
2. $12 for contractors paid ($6 × 2 contractors)
3. Total monthly cost: $42
The other 8 contractors didn’t add to your cost because you didn’t pay them in March

How HoneyBook Payroll works

HoneyBook Payroll happens in 3 stages. You don’t need to complete everything at once, and some steps only apply when you’re ready to pay contractors.

Company setup (one time)
Contractor setup (as needed)
Payroll management (ongoing)

You can pause and return to setup any time.

Stage 1: Company setup (one time)

Start payroll setup

From the navigation menu, select Finance > Payroll
Select Set up payroll
Select Start next to each setup step as you complete it

Answer a few onboarding questions

Begin by answering a short set of questions about your business. This helps HoneyBook configure payroll correctly.

Add your work location

This step is required before you can continue setup

Enter the street address where your contractors physically work
This address is used for payroll and tax filings

Fill in your tax information

You must add your work location before completing this step.

Enter your federal and state tax information
This allows HoneyBook to automate tax handling

Add and verify your company bank account

You must add your company bank account before it can be verified.

This account is used for contractor payments and taxes
You can verify your bank account:
- Instantly using Plaid, or
- Manually, which can take up to 2 business days

When verification is complete, you’ll receive an email titled “Your HoneyBook payroll is ready!”

Add a company signatory

Add an owner or controller authorized to sign company documents. The company signatory must:

Own at least 25 percent of the company, or
Be authorized to act on the company’s behalf

This is often the business owner, president, or a corporate officer.

Stage 2: Contractor setup (as needed)

Get your team ready

You must add your work location before completing this step.

Invite contractors to enter their own information and be ready for payment
When you invite a contractor:
- They receive an email titled “Set up your HoneyBook payroll account!”
- They select Set up now and complete onboarding
- Onboarding includes entering their legal name, tax information, and direct deposit details
- When a contractor is paid, they receive an email confirming the payment
Each contractor must complete onboarding before you can submit payroll for them

📚 Tips

You can invite contractors even if you don’t plan to pay them right away
If you see a message prompting you to contact the Support team when running payroll, it usually means one or more contractors haven’t finished onboarding. Ask them to log in and complete setup before retrying.

Add or manage contractors

You can add, edit, or remove contractors any time.

Add a contractor

From the navigation menu, select Finance > Payroll
Select Workers list > Add worker
Enter the contractor’s legal name and email address
Choose one option:
1. Invite worker to enter their own info, or
2. I’ll enter the info myself if you already have their details
Select Add worker

Other contractor actions

From Finance > Payroll > Workers list, select the More actions menu icon three-dot menu icon next to a contractor to:

Edit onboarding information
View associated projects
Assign the contractor to a project
Delete the contractor

Stage 3: Payroll management (ongoing)

Pay contractors

From the navigation menu, select Finance > Payroll
Select Send payment
- If a payroll is in progress, you can select Resume or Delete
Select the contractors you want to pay > Next
Choose the payment date
- Optional: Select + Add work period to show what the payment covers
Select Send payment
On the “Hours and earnings” page, you can select the three-dot menu icon next to a staff member, then:
- Edit pay
- Edit deductions
- Add memo
Select Next > Submit payroll, then confirm the remaining prompts
- If needed, you can select Cancel payroll before submission