Top 10 Payroll Software Solutions for Small Businesses in India

Payroll management can be a complex task for any organization, especially for small businesses in India where statutory compliance, tax regulations, and employee welfare play a significant role. 

Manually handling payroll can result in errors, missed deadlines, and compliance issues, leading to penalties and financial strain. 

Payroll software provides a seamless solution by automating salary calculations, ensuring compliance with Indian labor laws, and managing key functions such as leave tracking, tax filing, and more.

In this article, we cover the top 10 payroll software solutions that are well-suited for small businesses in India. 

Each software offers unique features that cater to the specific needs of Indian businesses, allowing them to streamline payroll management, improve accuracy, and focus on growth.

Why Payroll Software is Essential for Small Businesses in India

Payroll software has become essential for small businesses due to its ability to simplify and automate crucial tasks, such as:

• Salary Processing: Automatically calculates salaries based on attendance, deductions, bonuses, and other factors.
• Compliance Management: Ensures compliance with Indian statutory requirements like PF, ESI, TDS, and other deductions.
• Enhanced Accuracy: Reduces the risk of manual errors and automates calculations, saving time and improving accuracy.
• Employee Self-Service: Provides employees with access to payslips, tax documents, and leave balances, reducing administrative tasks.
• Scalability: As businesses grow, payroll software can easily accommodate additional employees without needing complex reconfigurations.

Let’s explore the top 10 payroll software solutions that meet the needs of small businesses in India.

1. Zoho Payroll

Zoho Payroll, a part of the extensive Zoho suite, is known for its user-friendly design and affordability. Ideal for small businesses, Zoho Payroll simplifies payroll processing with automated salary calculations, tax deductions, and compliance tracking. It offers features specifically tailored to Indian businesses, making it an efficient tool for payroll management.

• Comprehensive Statutory Compliance: Zoho Payroll is fully compliant with Indian labor laws, including PF, ESI, PT, and TDS. The software automatically updates compliance requirements, ensuring small businesses remain on the right side of the law.
• Employee Self-Service Portal: Zoho Payroll’s self-service portal enables employees to view their payslips, update personal information, and access tax forms. This reduces the workload for HR teams and empowers employees.
• Integration with Zoho Ecosystem: Zoho Payroll integrates seamlessly with other Zoho products like Zoho Books, making it easy to sync payroll data with accounting.
• Flexible Salary Components: The software allows customization of salary structures and components, which is beneficial for small businesses needing flexibility.

Pricing

Zoho Payroll offers a free plan for businesses with up to 10 employees. Paid plans start at competitive rates, making it affordable for small and growing teams in India.

2. GreytHR

GreytHR is one of the most comprehensive HR and payroll software solutions in India, designed to meet the needs of small to medium-sized businesses. With features like payroll processing, leave tracking, and compliance management, GreytHR simplifies complex HR tasks and helps maintain statutory compliance.

• Automated Payroll and Compliance: GreytHR automates payroll calculations, statutory deductions, and salary disbursements. It ensures PF, ESI, and TDS compliance and keeps up with regulatory changes.
• Leave and Attendance Management: GreytHR includes a robust leave and attendance module that allows for customized leave policies, auto-calculations, and holiday tracking.
• Employee Self-Service Portal: Employees can access payslips, apply for leaves, and view tax details from a mobile app or desktop portal.
• Detailed Payroll Reports: GreytHR generates detailed payroll reports, which are useful for audit and compliance purposes, providing insights into salary disbursement and statutory contributions.

Pricing

GreytHR offers several plans based on employee count, with affordable rates for small businesses. The platform also provides scalability options, allowing businesses to expand without changing software.

3. RazorpayX Payroll

RazorpayX Payroll is specifically designed for Indian startups and small businesses, offering an intuitive interface and straightforward payroll management tools. The software integrates seamlessly with Razorpay’s payment platform, providing an end-to-end payroll solution that automates salary disbursement and compliance.

• Integration with Razorpay: RazorpayX Payroll works seamlessly with Razorpay’s payment ecosystem, enabling direct and automated salary transfers.
• Automated Compliance and Tax Calculations: The platform handles PF, ESI, and TDS calculations, helping businesses avoid compliance errors and delays.
• Customizable Salary Structures: RazorpayX Payroll allows businesses to set up custom salary structures, including allowances and deductions tailored to different roles.
• Employee Benefits Integration: RazorpayX Payroll includes options for employee benefits such as health insurance and tax-saving investments, which are easily accessible for employees.

Pricing

RazorpayX Payroll offers affordable pricing for small businesses and startups, making it a popular choice for growing companies that need reliable payroll automation without high costs.

4. Keka

Keka is a powerful HR and payroll software solution known for its comprehensive features, making it ideal for small businesses that need both payroll and HR management. Keka simplifies employee management, payroll processing, attendance tracking, and performance evaluation.

• Integrated HR and Payroll Platform: Keka combines payroll with HR functions, allowing businesses to manage employee records, track performance, and process payroll from a single platform.
• Automated Salary Calculations: Keka handles all aspects of payroll, including automated salary calculations, tax deductions, and benefits management.
• Employee Self-Service App: The software offers a mobile app that allows employees to access payslips, apply for leave, and update personal information.
• Comprehensive Compliance Management: Keka ensures compliance with Indian labor laws, with automated PF, ESI, and TDS deductions and real-time compliance updates.

Pricing

Keka’s pricing is flexible, based on employee count and selected features, making it suitable for small to medium-sized businesses with varying payroll and HR needs.

5. Saral PayPack

Saral PayPack, a product by Relyon Softech, is a dedicated payroll and compliance management software. It’s tailored for Indian businesses, providing robust features to handle payroll processing, statutory compliance, and employee self-service.

• Focused on Statutory Compliance: Saral PayPack excels in compliance management, ensuring accurate PF, ESI, PT, and TDS deductions. It regularly updates with changes in labor laws.
• Detailed Payroll Processing: The software automates payroll, handles reimbursements, generates payslips, and supports bonus calculations.
• Employee Self-Service Access: Employees can log in to access their payslips, view tax details, and manage leave through an intuitive self-service portal.
• Comprehensive Reporting: Saral PayPack offers a variety of payroll and statutory reports, helping businesses track financials, manage audits, and ensure compliance.

Pricing

Saral PayPack offers flexible pricing plans tailored to the needs of small businesses, providing excellent value for money with a focus on compliance and reliability.

6. QuickBooks Payroll

QuickBooks Payroll, part of the widely-used QuickBooks suite, integrates payroll and accounting functionalities, making it an excellent choice for small businesses that need a unified financial management system. The platform simplifies payroll processing, tax calculations, and statutory compliance.

• Unified Payroll and Accounting: QuickBooks Payroll syncs seamlessly with QuickBooks accounting, allowing businesses to manage finances and payroll in a single system.
• Automated Compliance with Indian Regulations: QuickBooks Payroll ensures compliance with PF, ESI, and TDS, automating deductions to reduce errors.
• Employee Self-Service Portal: Employees can access their payslips, tax documents, and leave balances easily.
• Customizable Payroll Features: QuickBooks Payroll allows for customization of salary components, deductions, and bonus structures, which is helpful for small businesses with varying employee needs.

Pricing

QuickBooks Payroll offers multiple pricing tiers, providing flexibility for small businesses with different requirements and budgets, making it cost-effective and efficient.

7. SumHR

SumHR is a cloud-based HR and payroll software that provides a comprehensive solution for small businesses looking to manage HR and payroll together. Its user-friendly interface, compliance features, and payroll management tools make it a solid choice for Indian small businesses.

• Complete HR and Payroll Solution: SumHR integrates payroll processing with HR functions like attendance tracking, performance management, and leave tracking.
• Automated Compliance: Ensures compliance with Indian laws, handling PF, ESI, TDS, and PT deductions seamlessly.
• Employee Self-Service Options: SumHR’s self-service portal allows employees to access payslips, apply for leave, and track attendance, reducing HR workload.
• Customizable Payroll Structure: Businesses can customize salary structures, create allowances, and adjust deductions based on specific employee needs.

Pricing

SumHR’s pricing is affordable and varies based on the number of employees, making it an accessible option for small businesses needing an integrated HR and payroll solution.

8. Kredily

Kredily offers a free HR and payroll software platform designed for small businesses and startups in India. It provides essential payroll functions at no cost, making it highly appealing for small businesses with limited budgets.

• Free for Basic Payroll Functions: Kredily’s free plan includes payroll processing, compliance management, and basic HR tools, making it suitable for cost-conscious businesses.
• Compliance with Indian Statutory Requirements: Kredily ensures compliance with PF, ESI, and TDS deductions, reducing compliance-related challenges.
• Leave and Attendance Tracking: Kredily includes a leave and attendance module that simplifies attendance management and integrates seamlessly with payroll.
• Employee Self-Service Portal: Employees can access payslips, update information, and track tax details through an intuitive self-service portal.

Pricing

Kredily offers a completely free plan with essential features. Premium features are available in paid plans at affordable rates, making it ideal for startups and small businesses looking to minimize costs.

9. Spine Payroll

Spine Payroll is a powerful payroll and compliance management solution for Indian businesses, known for its reliable features and user-friendly design. It is tailored to meet the needs of small businesses, providing efficient payroll and HR capabilities.

• Strong Compliance Features: Spine Payroll ensures compliance with Indian labor laws, handling statutory deductions like PF, ESI, and TDS effortlessly.
• Comprehensive Payroll Automation: The software automates payroll processing, calculates bonuses, and handles reimbursements, making payroll management seamless.
• Employee Access and Transparency: Employees can view payslips, access tax forms, and apply for leave, reducing the need for HR intervention.
• In-Depth Reporting: Spine Payroll generates detailed payroll and statutory reports, aiding in audit preparation and compliance tracking.

Pricing

Spine Payroll offers flexible pricing to accommodate small business needs, providing excellent value with a focus on statutory compliance and efficiency.

10. HRMantra

HRMantra is an advanced HR and payroll software that offers extensive features for small businesses looking to automate both HR and payroll functions. With a strong focus on ease of use, HRMantra provides payroll processing, compliance management, and HR tools in one comprehensive platform.

• Complete HR and Payroll Integration: HRMantra combines payroll with HR functionalities like attendance, leave tracking, and performance management.
• Compliance and Regulatory Updates: The software automatically updates PF, ESI, and TDS deductions, ensuring statutory compliance with Indian regulations.
• Employee Self-Service: HRMantra’s self-service options allow employees to access payslips, view tax details, and manage leave applications.
• Extensive Reporting and Analytics: HRMantra provides comprehensive reports, enabling small businesses to track payroll expenses, compliance status, and HR metrics.

Pricing

HRMantra offers scalable pricing, making it affordable for small businesses that need a robust, all-in-one HR and payroll solution.

Conclusion

Each of these payroll software solutions is tailored to the specific needs of small businesses in India. 

From compliance with Indian labor laws to customizable salary structures and employee self-service portals, these tools provide valuable support for payroll management. 

Choosing the right payroll software can simplify payroll tasks, ensure statutory compliance, and improve operational efficiency.

For small businesses, payroll software can streamline operations and reduce administrative workloads. Whether you’re a startup or an expanding small business, these top payroll solutions offer the features you need to succeed and grow.