Accurate online estimation of the payload parameters benefits robot control. In the existing approaches, however, on the one hand, only the linear friction model was used for online payload identification, which reduced the online estimation accuracy. On the other hand, the estimation models contain much noise because of using actual joint trajectory signals. In this article, a new estimation algorithm based on parameter difference for the payload dynamics is proposed. This method uses a nonlinear friction model for the online payload estimation instead of the traditionally linear one. In addition, it considers the commanded joint trajectory signals as the computation input to reduce the model noise. The main contribution of this article is to derive a symbolic relationship between the parameter difference and the payload parameters and then apply it to the online payload estimation. The robot base parameters without payload were identified offline and regarded as the prior information. The one with payload can be solved online by the recursive least squares method. The dynamics of the payload can be then solved online based on the numerical difference of the two parameter sets. Finally, experimental comparisons and a manual guidance application experiment are shown. The results confirm that our algorithm can improve the online payload estimation accuracy (especially the payload mass) and the manual guidance comfort.