HR software for small businesses with 51 to 250 employees
Somewhere past 50 employees, the rules change. New federal laws apply, your first HR hire inherits a pile of disconnected tools, and leadership starts asking for real reports. This is the stage where a good HR system pays for itself fastest.
What changes after 50 employees
Crossing 50 employees brings several federal obligations at once, and many teams find out after the fact.
- FMLA generally applies, with up to 12 weeks of job-protected leave for eligible employees.
- ACA employer mandate applies at 50 full-time employees including equivalents, along with Form 1094-C and 1095-C filing.
- EEO-1 reporting follows at 100 employees.
- WARN Act notice rules can apply at 100 employees for large layoffs.
A sensible stack at this size
Most companies at this stage settle on an HRIS with built-in payroll, plus an ATS and a performance tool. The test is whether a new hire's information flows from the ATS into the HRIS and payroll without anyone typing it twice.
Supporting your first HR hire
Your first dedicated HR person needs tools that save them time on day one: clean records, self-service for employees, and automated reminders for deadlines. Give them a say in the software decision. They will live in it.
Categories to prioritize
HRIS and Core HR
Your single source of truth for employee records
Read moreApplicant Tracking (ATS)
Job posts, pipelines, and hiring team scorecards
Read morePerformance Management
Reviews, goals, and 1:1s people actually finish
Read moreLeave and FMLA Management
Federal, state paid leave, and ADA accommodations
Read moreACA Compliance
1094-C and 1095-C reporting for ALEs
Read moreBenefits Administration
Open enrollment, carrier feeds, and COBRA
Read moreFrequently asked questions
What HR laws apply at 50 employees?
Do we need separate software for each HR function?
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