Quick recommendations (best fit by use‑case) — top payroll software small businesses use in Europe:

• Papaya Global — Best for multi‑country payroll without local entities (global payroll + EOR, contractor management, pays in many currencies). Good if you need centralized compliance across many EU countries. (business.com)
• Remote — Strong global payroll + EOR with growing in‑house payroll infrastructure (100+ countries) and good onboarding for distributed teams. Good for startups scale‑ups that hire across Europe. (remote.com)
• Deel — One‑stop HR + global payroll/EOR platform; popular for contractor and international employee payments (wide country and currency support). Good if you want an HR + payroll bundle. (kdnuggets.com)
• PayFit — Designed for European SMEs (very strong in France, Spain, UK); extremely user‑friendly with automated local compliance (HMRC/social security updates). Good if you mainly run payroll in one or a few European countries. (payfit.com, research.com)
• Personio — HR platform with integrated payroll (Germany‑centric rollout so far, expanding across Europe); great when you want HR + payroll in one system for EU hires. New “Payroll Expert Plan” adds tax‑advisor support for SMBs. (personio.com, support.personio.de)
• Sage (Business Cloud Payroll) — Mature, UK‑focused payroll for small/mid SMEs; integrates with Sage accounting and supports HMRC/pension processing. Good if you need a UK‑centric, reliable payroll/accounting ecosystem. (sage.com)
• Xero Payroll — Simple, well integrated with Xero accounting; good for UK/Ireland small businesses that want accounting+payroll in one place. (xero.com)
• SD Worx — Large European payroll/HCM provider with deep local expertise across many EU markets — good if you need robust, country‑specific compliance across several European countries. (sdworx.com, cincodias.elpais.com)
• BrightPay / local providers — Cost‑effective, well‑known in the UK/Ireland for small businesses that want low price + local HMRC/Revenue compliance. Good for very small teams focused on one country. (businessprices.co.uk)
• Multiplier (and similar EORs) — Alternative EOR/global payroll providers to consider if you need contractor + EOR coverage across many countries. (techrepublic.com)

Quick checklist to pick the right one

• Country coverage: single country (local provider like PayFit, BrightPay, Sage, Xero) vs pan‑European/global (Papaya, Remote, Deel, SD Worx). (payfit.com, business.com)
• Legal model: want to use your own local entity, or prefer Employer‑of‑Record (EOR)? EORs simplify hiring without a local legal entity but cost more. (forbes.com, business.com)
• Compliance & filings: ensure the vendor files taxes/social/security in that country (critical for EU payroll complexity). (support.personio.de, sdworx.com)
• Integrations: accounting, HRIS, time tracking — saves duplicate entry (Xero/Sage/Personio excel here). (xero.com, sage.com)
• Pricing & scale: some vendors charge per employee, per country, or have setup/EOR fees — check total cost for your headcount and countries. (business.com, internationalpayroll.net)
• Support & language: local‑language payroll support matters for small teams across different EU countries. (payfit.com, cincodias.elpais.com)

Bottom line (recommendation)

• If you operate in one EU country (or UK/Ireland): start with the strong local players — PayFit (France/Spain/UK), Sage or Xero (UK/Ireland), BrightPay for very small teams. (payfit.com, sage.com, xero.com)
• If you run payroll in multiple European countries or globally and don’t want to set up entities: evaluate Papaya Global, Remote, Deel or Multiplier (compare pricing, EOR vs contractor services, and local support). (business.com, remote.com, kdnuggets.com, techrepublic.com)
• If you want HR + payroll in one product for EU hires: Personio is a strong option (especially for Germany/Central Europe) as it expands payroll capabilities. (personio.com, support.personio.de)

If you’d like, I can:

• produce a 1‑page comparison (features, countries covered, estimated cost) for 3–4 specific vendors from the list above, or
• recommend the top 2 choices if you tell me how many employees you pay, which European countries you operate in, and whether you want an EOR.

(References used above include vendor pages, industry reviews and comparison articles.)