PAYROLL SERVICES INDIA
Payroll and HR Services India for Global Companies
We run monthly salary, tax deductions, statutory filings and payslips for your India team, with HR administration handled by the same people. If you have an Indian entity, we work under its registrations. If you do not, payroll runs through our Employer of Record arrangement.
Payroll in India: Which Route Fits
A company cannot pay Indian employees without a legal employer that holds PF, ESIC and tax registrations. That makes entity status the first question, and it decides how payroll runs.
| Your situation | How payroll runs | Legal employer |
|---|---|---|
| You have an Indian entity | We process payroll and file returns under your PF, ESIC, TAN and professional tax registrations | Your entity |
| No Indian entity yet | Payroll runs through our Employer of Record in India arrangement, and we file under our registrations | Us, as Employer of Record |
| You also want contracts, records and HR support | PEO services add that on top of payroll | Your entity |
What Our Payroll Services Include
Payroll Setup
We map salary structures, statutory registrations and employee data before the first run.
Salary Processing
We calculate gross to net pay and reimbursements, and prepare salary files for your approval each month.
Statutory Compliance
We calculate, pay and file PF, ESI, professional tax, TDS and labour welfare fund.
Payslips
Digital payslips with a clear breakup of earnings and deductions.
Tax Management
TDS on salary, quarterly returns and Form 16 at year end.
Employee Lifecycle
We process joiners, leavers, final settlements and gratuity in the same run.
A Typical Monthly Payroll Cycle in India
Each month follows the same order. You send the inputs and approve the register, and we do the calculation, payments and filings.
| Step | What happens | Who |
|---|---|---|
| 1. Inputs | Attendance, leave, joiners, leavers and reimbursements are shared | You |
| 2. Calculation | Gross to net pay, PF, ESI, professional tax and TDS are calculated | Us |
| 3. Review | The payroll register is checked and approved | You |
| 4. Salary payment | Salary files are released and payslips are issued | Us |
| 5. Statutory payments | TDS by the 7th and PF and ESI by the 15th of the next month | Us |
| 6. Returns and reports | Quarterly TDS returns, annual Form 16 and payroll reports | Us |
Dates shown are the usual statutory due dates. Professional tax and labour welfare fund dates differ by state.
Statutory Items We Handle
India has central and state rules running side by side. These are the items that touch almost every payroll.
| Item | What it covers | Usual timing |
|---|---|---|
| Provident Fund (EPF) | Employer and employee contributions, monthly return | By the 15th of the next month |
| ESIC | Insurance contributions for employees under the wage limit | By the 15th of the next month |
| Professional Tax | State tax on salary; rates and rules vary by state | Monthly or yearly, by state |
| TDS on salary | Income tax deducted under Section 192, returns and Form 16 | Deposit by the 7th, returns each quarter |
| Gratuity | Accrued during service and paid on exit when the employee is eligible | At exit |
| Labour Welfare Fund | State fund with small employer and employee shares | Per state schedule |
Payroll Outsourcing vs PEO vs Employer of Record
All three take payroll off your desk. They differ in how much else they take and who the legal employer is.
| Model | What it covers | Legal employer | Best when |
|---|---|---|---|
| Payroll outsourcing | Salary run, deductions, statutory returns and payslips | Your entity | You have an entity and an HR lead, and want the salary run and filings off your desk |
| PEO | Payroll plus contracts, employee records and HR administration | Your entity | You have an entity and want HR administration handled too |
| Employer of Record | Payroll, hiring paperwork and HR under our registrations | Us | You have no entity, or want to hire before setting one up |
| In-house payroll | Your own team runs everything | Your entity | Headcount is large enough to justify a payroll team |
What the New Labour Codes Mean for Your Payroll
The four labour codes took effect on 21 November 2025 and replaced 29 central laws. For payroll, the Code on Wages matters most.
It sets one definition of wages. Where HRA, conveyance and similar allowances make up more than half of total pay, the excess counts as wages for PF and gratuity. Many salary structures were built with a low basic, so employer contributions can rise.
Supporting rules are still being finalized. We check each payroll against the current position and flag where a salary structure needs a review before it costs you more.

What Payroll Services in India Cost
Your cost has three parts: salary, employer statutory contributions, and our service fee. The fee depends on headcount, the number of states you pay in and whether you want HR administration on top of payroll. We quote after a short scoping call.
For typical figures and commonly missed costs, see our EOR and PEO pricing guide for 2026.
How Payroll Setup Works
- Scoping call. We confirm your route (own entity or Employer of Record), your headcount and the states you pay in.
- Setup. Salary structures, statutory registrations and employee data are mapped.
- Review. You check the first payroll register before any salary is released.
- Monthly run. Inputs come in, payroll goes out, and payments and filings are made on the due dates.
- Reports. We share payslips, payroll registers and statutory records on request.
No Entity Yet? Payroll Runs Through Employer of Record
Without an Indian entity you cannot register for PF, ESIC or TAN, so you cannot run payroll yourself. Our Employer of Record arrangement lets you hire first. We become the legal employer, run payroll and file under our registrations.
When your entity is ready, we can move your team across and continue as your payroll provider. Learn more about Employer of Record in India.

Frequently Asked Questions About Payroll Services in India
What are payroll services in India?
Payroll services cover the monthly salary run: gross to net calculation, deductions, salary payment, payslips and the statutory returns for PF, ESI, professional tax and TDS.
Can I run payroll in India without an entity?
Not directly. Paying Indian employees needs a legal employer with PF, ESIC and TAN registrations. Without your own entity, payroll runs through an Employer of Record such as ours, and you can move to your own entity later.
What statutory deductions apply to Indian salaries?
Employee PF, ESI for employees under the wage limit, professional tax in states that levy it, and TDS on income tax. Employers also pay their own PF and ESI share and accrue gratuity.
When are payroll taxes and contributions due?
TDS on salary is usually deposited by the 7th of the following month. PF and ESI contributions are usually due by the 15th. Professional tax and labour welfare fund dates depend on the state.
What is the difference between payroll outsourcing and a PEO?
Payroll outsourcing covers the salary run and statutory returns. A PEO adds employment contracts, employee records and HR support. In both cases your own entity is the legal employer.
How do India’s new labour codes affect payroll?
The four labour codes took effect on 21 November 2025. The Code on Wages sets one wage definition, and where allowances exceed half of total pay the excess counts as wages for PF and gratuity. Supporting rules are still being finalized, so salary structures should be reviewed.
How much do payroll services in India cost?
The fee depends on headcount, the number of states and the HR work included. Salary and statutory contributions are separate from our service fee. We quote after a short scoping call.
Do payroll services include payslips and tax forms?
Yes. Employees receive digital payslips each month with a clear breakup of earnings and deductions, and TDS returns and Form 16 follow the statutory calendar.
Related Services for Your India Team
PEO Services
Payroll and HR administration under your own Indian entity.
Employer of Record
Hire in India without your own entity.
Global Capability Centers
Build and run your own India capability center.
Recruitment Services
Recruitment for the roles your team needs filled.
Our Global Clients
Trusted Partners Around the World
Our global clients rely on us for international HR and workforce management solutions.

