Sage HR and People HR are two established UK HR platforms competing for the same mid-market sweet spot: growing businesses with 20-200 employees. Both offer modular pricing where you pay per employee and add features as needed. The difference is in what comes as standard and how much flexibility each platform gives you.
People HR starts cheaper at £3/employee/month on its Starter plan, but core features like onboarding and expenses only unlock at £5.50+. Sage HR starts at £5.00/employee/month with a cleaner base feature set and a strong mobile app. Both scale well – the question is which feature set matches your priorities.
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We verified all pricing from sage.hr and peoplehr.com in February 2026. Both use “from” pricing that varies by commitment length and team size – we note where exact figures depend on your specific quote.
- Sage HR costs £5.50 per employee - while People HR charges £4.20 monthly for comparable features
- Sage integrates with 15+ payroll systems - compared to People HR’s limited integration with 3 providers
- People HR offers better mobile experience - with 4.2-star app rating versus Sage’s 3.1-star employee app
- Sage HR suits established businesses - with 20-200 employees needing robust compliance and reporting tools
- People HR saves 25% on annual contracts - making it attractive for cost-conscious growing businesses
Quick Comparison
People HR offers four pricing tiers from £3 to £9.50 per employee/month. Sage HR starts from £5.00/employee/month with a modular add-on approach. Both offer free trials and per-employee scaling.
| Sage HR | People HR | |
|---|---|---|
| Starting price | From £5.00/employee/month | From £3/employee/month |
| Free trial | 30 days | Yes (length not specified) |
| Employee database | Yes | Yes |
| Leave management | Yes (core) | Yes (Starter) |
| Onboarding | Not specified in core | Core plan (£5.50+) |
| Performance management | Add-on | Pro plan (£8+) |
| Timesheets | Add-on | Pro plan (£8+) |
| Expenses | Add-on | Core plan (£5.50+) |
| eSignatures | Included (core) | Core plan (£5.50+) |
| AI assistant | Not available | Included (all plans) |
| Mobile app | Yes (well-reviewed) | Yes |
| Payroll integration | Sage Payroll (native) | From £3/employee/month (add-on) |
Pricing at Different Team Sizes
Both platforms charge per employee, but the total cost depends heavily on which features you need. People HR’s tiered plans bundle features at fixed price points. Sage HR lets you pick and choose add-ons.
| Scenario (50 employees) | Sage HR | People HR |
|---|---|---|
| Basic HR only | ~£250/month (£5.00 x 50) | ~£150/month (£3 x 50, Starter) |
| HR + onboarding + expenses | ~£220+ add-ons (custom quote) | ~£275/month (£5.50 x 50, Core) |
| Full suite (performance, timesheets) | Custom quote | ~£400/month (£8 x 50, Pro) |
| Enterprise (workflows, analytics) | Custom quote | ~£475/month (£9.50 x 50, Elite) |
People HR’s pricing is more transparent. You can calculate your exact monthly cost by multiplying the per-employee rate by your headcount. Sage HR’s modular approach means your total depends on which add-ons you select – requiring a quote for anything beyond the core.
For basic HR admin (leave management, employee records, mobile app), Sage HR’s core plan at £5.00/employee is solid value. But if you need onboarding, expenses, and performance reviews, People HR’s Core or Pro plans bundle these more predictably.
For basic HR, Sage HR’s core (£5.00/employee) is competitive. For a full-featured suite, People HR’s tiered approach (£5.50-£9.50/employee) makes total costs easier to predict. Both are significantly cheaper than enterprise platforms like BambooHR or HiBob.
Core Features
Sage HR’s core plan focuses on leave management, employee database, eSignatures, and a mobile app. People HR’s Starter plan covers similar ground but adds an AI-powered HR assistant and a learning library.
Sage HR’s mobile app is consistently highlighted in reviews. Employees can request leave, view team calendars, and access documents from their phone. For businesses with deskless workers (field teams, retail, hospitality), a good mobile experience matters more than dashboard sophistication.
People HR’s AI assistant is included on all plans – even the £3/employee Starter tier. It helps with drafting policies, answering employee queries, and generating reports. Whether this is genuinely useful or a marketing feature depends on execution, but it’s notable that it’s bundled rather than sold as a premium add-on.
eSignatures come as standard with Sage HR’s core. People HR includes them from the Core plan (£5.50+). For HR teams processing offer letters, contracts, and policy acknowledgements, built-in eSignatures save the cost of a separate tool like DocuSign.
Payroll Integration
Sage HR integrates natively with Sage Payroll – a significant advantage if you’re already in the Sage ecosystem. People HR offers its own payroll module from £3/employee/month, or a managed payroll service from £5/employee/month.
If your business already uses Sage for accounting or payroll, Sage HR is the natural extension. Data flows between systems without manual exports or third-party connectors. Employee changes, new starters, and leavers sync automatically.
People HR’s payroll is self-contained. You don’t need another Sage product – everything lives in one platform. The managed payroll option (£5/employee/month) handles HMRC submissions, RTI filing, and payslip distribution for you. For businesses without a payroll specialist, this outsourced approach can save significant time.
If you don’t use Sage products and want an all-in-one HR and payroll platform, People HR’s bundled approach is simpler. If you’re already invested in the Sage ecosystem, Sage HR’s native integration avoids the cost and complexity of migration.
Sage HR vs People HR: Strengths Compared
Sage HR wins on ecosystem integration and mobile experience. People HR wins on pricing transparency, feature breadth at lower tiers, and built-in payroll.
Our Verdict
Sage HR is the smarter choice if you already use Sage products. People HR is better for businesses that want everything in one platform with clear, published pricing.
Choose Sage HR if your business already runs Sage Accounting or Sage Payroll. The native integration saves time, reduces errors, and avoids the complexity of connecting separate systems. The mobile app is also a genuine differentiator for teams with remote or deskless workers.
Choose People HR if you want a standalone HR platform with transparent pricing and room to grow. The four-tier structure (£3 to £9.50/employee) makes it easy to start small and add features as your needs evolve. The built-in payroll module means you won’t need to buy a second product for pay processing.
For small teams under 20, both platforms are comparable. The decision usually comes down to ecosystem fit (Sage) versus independence and pricing clarity (People HR).
Looking at other options? Best HR software for small business compares 10+ UK platforms. BrightHR vs Breathe covers the two most popular options for micro-businesses, and our HR software costs guide breaks down typical pricing across the market.
