There is a standard way to build a payroll shortlist in India, and it is the wrong way round. Somebody collects feature lists, ticks off the heads that every product supports, and ends up with eight platforms that look identical on paper. Then the decision gets made on price, or on whichever demo happened to be the smoothest, and the difference that actually mattered surfaces eleven months later during a PF inspection.
The differences are real. They are just not in the feature list. Every product below computes PF, ESI, professional tax and TDS, because a payroll product that did not would not be sold in this market. What separates them is how current they are with statutory change, what happens to your data on the way in and on the way out, whether attendance and payroll share one record or two, and what a configuration change costs you eighteen months after go-live.
This piece compares ten platforms Indian buyers genuinely shortlist. We make one of them, and it is listed first for that reason, not as a ranking. The other nine are alphabetical. Each entry says what the product is good at and names a limitation we can actually point at, because a comparison in which every product comes out excellent is no use to anybody.
The intended reader is whoever will own the decision and then live with it: an HR head moving off spreadsheets, a finance controller consolidating three systems, or a founder at the point where doing payroll personally has stopped being sensible.
Positions are current at September 2026 and reflect the four Labour Codes as brought into force on 21 November 2025, the Employees' Provident Funds Scheme, 2026 and its companion schemes effective 29 June 2026, and the Income-tax Act, 2025 with the Income-tax Rules, 2026 governing salary paid from 1 April 2026. Product descriptions are our reading of what each platform is built for and are not statements about any vendor's business. Verify anything that will affect a payment against the primary source or against the vendor directly.
How We Chose, and What We Are
We build Engage, an Indian HRMS with payroll in it. That is a conflict of interest and the honest thing to do is state it in the first section and not in the footer. What follows is written so that you could use it to argue against buying from us, and section 5 exists specifically to make that easy.
The ten platforms here were selected on a single test: would an Indian company of between 25 and 5,000 employees, running its own payroll rather than outsourcing it, plausibly put this product on a shortlist. That rules out global suites with no Indian statutory depth, and it rules out accounting packages with a payroll bolt-on, which are a different and smaller purchase. Our piece on payroll software versus payroll outsourcing covers the other fork in that road.
We do not quote ratings, scores or rankings from software directories, and there are none anywhere on this site. Those numbers are shaped by who paid for a listing and by which vendor ran the most recent review campaign, and repeating them would make our credibility borrowed rather than our own. Where we say something is true of a product, it is because it is documented by the vendor or observable in the product.
Nothing below comments on how any company markets or positions itself. The comparisons are about what the software does, what it costs to run, and what it cannot do.
The Short Answer, By Situation
If you have fewer than fifty employees, all in one state, and the payroll problem is really a "stop doing this in Excel" problem, then the entry tiers of greytHR, Zoho Payroll and Pocket HRMS are all sized correctly for you, and so are we. What decides it is whether you also need attendance and leave in the same system, because that is where the recurring monthly cost hides. Our piece on replacing Excel with HR software sets out what actually breaks first.
If you run a factory, a warehouse or any site with shifts, overtime and contract labour, the shortlist narrows fast. You need attendance capture that survives a shop floor, overtime computed on a defensible wage base, and contract labour handled without a parallel spreadsheet. factoHR and Engage are both built for this. Most of the rest are office-population products with a factory story attached.
If you are an IT services company or a funded startup where adoption is the risk and compliance is routine, Keka and Zoho Payroll are strong, and Darwinbox becomes relevant above roughly a thousand people.
If you already run Zoho for accounting or CRM, Zoho Payroll is the path of least resistance and you should be honest that this is why you are choosing it. That is a legitimate reason.
If payroll is currently outsourced and you want it back in house, the platform matters less than the migration. Skip to section 10.
Payroll Software Compared at a Glance
Comparison tables in this category usually lead with price, and we have left price out on purpose. The figures quoted for any platform vary widely between sources, most are flat monthly numbers with no headcount attached, and a monthly rate means nothing until you know whether it covers 25 employees or 250. Section 8 covers cost properly. What follows compares the things that will still be true when you read this.
| Platform | Attendance in the same system? | Statutory depth beyond PF, ESI, PT, TDS | Typical company size | Best suited to |
|---|---|---|---|---|
| Engage HRMS | Yes, one record | LWF, quarterly salary statement, Form 12BB, Payment of Bonus Act | 25 upward, no ceiling | Indian companies with mixed workforces, single or multi-site |
| Darwinbox | Yes | Broad, with multi-country handling | 1,000+ | Large enterprise, multi-country |
| factoHR | Yes | Strong on factory and multi-state heads | 100 to 5,000 | Manufacturing and multi-state operations |
| greytHR | Yes | Deep Indian statutory coverage, long accumulated | 10 to 500 | Indian SMEs wanting statutory depth first |
| HROne | Yes | Broad mid-market coverage | 50 to 5,000 | Mid-market with mixed device estates |
| Keka | Yes | Standard heads, well executed | 50 to 1,000 | IT services and startups, adoption-led buyers |
| Pocket HRMS | Yes | Standard heads for smaller employers | Under 200 | Small Indian businesses |
| RazorpayX Payroll | Limited | Standard heads, strong on disbursement and filings | Under 300 | Startups wanting payments and payroll together |
| Zimyo | Yes | Standard heads, broad HR suite | 50 to 1,000 | Cost-conscious mid-market |
| Zoho Payroll | Separate product (Zoho People) | Standard heads, tight Zoho integration | Any | Existing Zoho users |
Take three things from that table before you read any of the reviews below.
The second column is the one that costs money every month. Where attendance and payroll are separate systems, somebody reconciles them before every payroll run, and that recurring cost is almost always larger than the licence-fee difference between any two platforms here. Payroll reconciliation is the single most reliable predictor of how painful your month end will be.
The third column is where the marketing and the reality diverge most. Every product supports PF, ESI, professional tax and TDS. Fewer handle labour welfare fund across the states where it applies, the Payment of Bonus Act computation, Form 12BB declarations and proofs, and the quarterly salary statement, and those are the ones that generate the queries you cannot answer yourself. The labour welfare fund page shows how much state-level variation is involved in just one of those.
Company size ranges are indicative and the edges are soft. They describe where each product is most commonly deployed and best supported, not a hard limit. The question that matters is whether the vendor supports companies shaped like yours, and that is a reference-check question rather than a table question.
The Ten, Reviewed
Engage first, for the reason given in section 1. The other nine alphabetically. Each gets what it is genuinely good at, then a limitation. Feature lists will not separate these ten, because at this level the lists are close to identical. What separates them is which wage base the system computes on, whether attendance and payroll share a record or an integration, and what a mid-year statutory change costs to absorb. Read each entry for those.
Engage HRMS
Attendance, leave and payroll run off one record, so the monthly reconciliation goes away instead of merely getting faster. Statutory coverage goes past the four everybody does: labour welfare fund, the quarterly salary statement, Form 12BB investment declarations and proofs, and Payment of Bonus Act computation are all in the product. Salary journals post to Tally, Zoho Books and QuickBooks, bank transfer files come out in the bank's prescribed format, and single sign-on works with Google Workspace, Microsoft Entra ID and Okta. Hosting is in an Indian data centre region and we hold ISO 27001. We do not hold SOC 2, and if your security review requires it we are not currently a fit.
Consider: we are built for Indian statutory operations. A rollout across several countries with governance requirements in each is not our ground. Below roughly 25 people a full HRMS is more than the problem needs. Section 5 has the rest.
Darwinbox
The enterprise choice in this market, deployed widely across large Indian and South-East Asian organisations, with configuration depth that goes well past payroll and multi-country handling that genuinely works. If you have thousands of employees across several countries and a governance function that will ask for audit trails on everything, this is a serious platform and the shortlist is short.
Consider: it is not scoped for small and mid-sized companies, and implementation is a project measured in months. For a 200-person single-state company this is the wrong tool, which is about fit, not quality.
factoHR
Strong in manufacturing and multi-state operations. Shift handling, overtime and workforce management around the payroll engine are deeper than most, the install base in industrial companies is large, and the statutory handling for factory environments is real rather than claimed. For a group with plants in three states this is a well-established option.
Consider: the suite is broad, so payroll is one module among many and not the centre of the product, and configuration effort scales with that breadth. Buyers who want payroll to be simple sometimes find there is more product here than their problem requires.
greytHR
The default for Indian SMEs, and the reasons are good ones. Statutory payroll knowledge accumulated over a long period, an entry tier that suits very small employers, documentation that is the most detailed in this category, and a customer base large enough that most statutory scenarios you hit have been hit before. If your first question is "does it handle this specific case", their documentation will usually answer it before a salesperson does.
Consider: attendance depth is lighter than the specialists, particularly on complex shift patterns and field capture, and parts of the interface show their age. The step up from the entry tier is where many buyers reconsider the category entirely.
HROne
Mid-market platform with unusually wide biometric device integration, which matters if you have inherited a mixed estate of readers across sites and would rather not replace them. The workflow engine is deeper than most at this level, and payroll sits inside a full HR suite rather than beside one.
Consider: the device breadth is the real argument for HROne and it only counts if you already own the readers. Starting fresh, or with a population that never passes a fixed device, that breadth buys you nothing. It is built for 50 employees upward, so below that you are configuring a mid-market platform to do a small company's job.
Keka
The usability leader in Indian HR software. For companies whose adoption problem is larger than their compliance problem, that is the whole argument, and it is a better argument than it sounds: a payroll system that employees will actually use for declarations, claims and payslips removes more HR work than one with two extra statutory heads. Pricing is published and easy to model at smaller headcounts. Popular in IT services and among funded startups.
Consider: the commercial model changes shape as you grow past roughly a hundred people, so model where you will be in two years. Payroll is strong for office populations and thinner where shifts, piece rates and contract labour are involved.
Pocket HRMS
Sized correctly for small Indian businesses, which is a design decision and not a limitation. Payroll, attendance and the standard statutory heads in a product that a 40-person company can run without a dedicated payroll person, and without configuring a mid-market platform down to size.
Consider: it is built for under 200 employees and the fit degrades as you approach that. If you expect to double headcount inside two years, you are buying a migration as well as a product.
RazorpayX Payroll
The strongest option if what you want is payroll and disbursement in one motion. Salary payment, PF, ESI, professional tax and TDS filings are handled close to the money movement rather than handed to a separate banking step, which removes a genuine source of month-end error for small teams. For a startup under a hundred people with no dedicated payroll owner, this is a sensible default.
Consider: it is a payroll product with HR around the edges rather than an HRMS. Attendance, shifts and leave depth are limited, so if your payroll inputs come from a shop floor rather than from a leave calendar, the fit is poor.
Zimyo
Broad HR suite at a mid-market price point, with payroll, attendance, leave and performance in one place and a lower entry cost than most platforms of comparable scope. For a cost-conscious 200-person company that wants one system rather than three, the value argument is real.
Consider: breadth at that price means depth is distributed thinly, and the statutory edge cases are where you will feel it. Ask specifically about labour welfare fund across your states, bonus computation and how arrears are recomputed across a retrospective revision.
Zoho Payroll
If you already run Zoho Books, Zoho People or Zoho CRM, this integrates in a way nothing else on this list will, and that is worth more than a feature comparison suggests. The product itself is clean, the statutory coverage is solid for standard Indian payroll, and the pricing is transparent.
Consider: payroll and attendance are separate products, so you are buying Zoho People as well if you need both, and the reconciliation column in section 3 applies. Outside the Zoho ecosystem the argument weakens considerably.
Where Engage Fits, and Where It Does Not
Five situations where we are the wrong answer, stated plainly so you do not have to discover them on a demo. We hold ISO 27001 and host in an Indian data centre region, and we do not hold SOC 2. We are built for Indian statutory operations, and payroll in several countries is a different product. We are software, and the run stays yours. If any one of those is the criterion you are buying on, the answer is somewhere else on this list.
You need SOC 2. We hold ISO 27001 and host in an Indian data centre region, and that satisfies most Indian security reviews. It does not satisfy a review that names SOC 2 specifically, and we will not pretend otherwise.
You are running payroll in several countries. We are built for Indian statutory operations. A multi-country rollout with local compliance in each jurisdiction is Darwinbox territory, or a global suite with country packs.
You have under 25 employees. A full HRMS is more system than the problem needs at that size. A payroll-only product, or our payslip generator and salary calculator alongside a simple process, will serve you better and cost less.
Your buying criterion is the lowest licence fee. There will usually be something cheaper. If cost per employee per month is the deciding number and the recurring reconciliation cost is not in the model, we will lose that comparison and should.
You want payroll run for you rather than by you. We are software. If you want a service provider who owns the run, the filings and the liability, that is outsourcing, and the comparison is in the piece linked in section 1.
The Four 2026 Changes That Separate Current Software From Stale
Every platform above will tell you it is compliant. But compliance has a date attached to it, and 2026 gave the Indian market four changes close enough together that a product which is behind on any of them is usually behind on all four. Ask each vendor for the date they shipped each one. Three good answers and one vague answer tells you more than a two-hour demo.
| The change | The instrument | Effective from | What to ask the vendor |
|---|---|---|---|
| The wage definition, including the one-half add-back | Code on Wages, 2019, section 2(y), in force with the Labour Codes | 21 November 2025 | Which fields the system reads to build the wage base, and the add-back applied to a real employee with a heavy allowance structure |
| The provident fund schemes rewritten, superseding the 1952, 1995 and 1976 schemes | Employees' Provident Funds Scheme, 2026 and its companion schemes | 29 June 2026 | Which scheme year the configuration, the help text and the reports cite |
| The provident fund wage ceiling of ₹15,000 re-notified, unchanged in amount | Chapter III of the Code on Social Security, 2020 | 29 May 2026 | Which instrument the ceiling now sits under |
| The quarterly salary statement renumbered from Form 24Q to Form 138, and the salary tax certificate from Form 16 to Form 130 | Income-tax Act, 2025 and Income-tax Rules, 2026 | 1 April 2026 | Which form number the product screens, templates and documentation show |
The wage definition under section 2(y) of the Code on Wages, 2019. The Labour Codes came into force on 21 November 2025 and the wage definition is the change with the widest blast radius, because it feeds PF, gratuity, bonus and overtime at once. Where excluded allowances exceed one-half of total remuneration, the excess is added back into wages. A payroll system that still computes PF on a basic-plus-DA field defined in 2018 is producing a number that looks right and is not.
The Employees' Provident Funds Scheme, 2026 and its companion schemes, effective 29 June 2026, superseding the 1952, 1995 and 1976 schemes. This is a rewrite rather than an amendment, and a product's configuration should now cite the 2026 schemes. If your system's help text, its reports or its support team still refer to the 1952 scheme, the configuration has not been revisited, whatever the release notes say.
The provident fund wage ceiling of ₹15,000, re-notified on 29 May 2026 under Chapter III of the Code on Social Security, 2020. The number did not change. Its legal basis did. A vendor who can tell you which instrument their ceiling now sits under has read the notification. A vendor who says "it is still fifteen thousand" has not.
The renumbered income tax forms from 1 April 2026. Under the Income-tax Act, 2025 and the Income-tax Rules, 2026, the quarterly salary statement moved from Form 24Q to Form 138, and the salary tax certificate from Form 16 to Form 130. This is the easiest of the four to check, because you can look at what your last quarterly statement actually went out on. If a vendor's product screens, templates or documentation still say Form 24Q and Form 16 without qualification, that is a fact about the product, not an interpretation.
Run those four questions across your shortlist before you run anything else. They take about fifteen minutes, and skipping them is what costs you.
What Statutory Compliance Actually Has to Cover
The four heads everybody names are the easy part. Provident fund, employees' state insurance, professional tax and tax deducted at source are table stakes, and a product that got any of them wrong would not survive in this market. The queries that consume HR time come from the heads that are not on the front of the brochure.
Labour welfare fund is the clearest example. It applies in some states and not others, the rates differ, the contribution periods differ, and the deduction is small enough that nobody notices it is missing until an inspection. If you employ people in more than one state, ask specifically how the system decides which state's fund applies to an employee who transferred mid-year.
Professional tax has the same shape and a sharper edge. Slabs are state law, they move, and the levy itself is not permanent: Odisha repealed professional tax entirely with effect from 1 April 2026. A payroll system that still deducts it for an Odisha employee is deducting something that no longer exists, and the employee is the one who notices. The state pages linked above carry the current position.
Minimum wages are the head most often assumed to be somebody else's problem. They are revised on variable dearness allowance, typically twice a year, and they are state-specific and category-specific. If your payroll system holds a minimum wage figure at all, ask when it was last updated and how you would know if it went stale. Our minimum wages pages publish revision dates for exactly this reason, and where a revision is contested we say so rather than quietly publishing a number.
Bonus under the Payment of Bonus Act is a computation, not a payment. Eligibility, the calculation ceiling, the eight and one-third per cent minimum and the twenty per cent maximum have to be applied to the right wage figure across the right accounting year. Plenty of systems record a bonus. Fewer compute one.
Then there is the annual tax cycle: investment declarations in the first quarter, proofs in the last, the certificate at the end, and the quarterly statement four times in between. Form 12BB declarations and proofs handled inside the system rather than over email is not a compliance requirement, but it is the difference between a January that runs itself and a January that does not. The old regime and new regime comparison is the piece employees will ask you about.
Cost: The Numbers That Are Not on the Pricing Page
Licence cost is the smallest of the four numbers that make up what payroll software costs you, and it is the only one on the pricing page.
The second number is implementation. Historical data has to come in, which means opening balances for PF and tax, year-to-date figures, leave balances and, if you are switching mid-year, everything the new system needs to produce a correct certificate at year end. This is quoted as a one-time fee and is real work regardless of who does it.
The third number is the recurring reconciliation. If attendance and payroll are separate systems, somebody spends time every month making the two agree before the run. Multiply that by twelve and compare it against the licence difference you were arguing about. In most shortlists it is larger.
The fourth number is the cost of change. Eighteen months in, you will need a new salary component, a different overtime rule for one site, or a report finance has decided it needs. Ask each vendor, on the demo, who makes that change and how long it takes. Answers range from "you do it in settings this afternoon" to "raise a ticket, it goes into the next release cycle". That range is the actual difference between these products and it never appears in a comparison table.
Our own pricing is published for the same reason we publish revision dates: a number you have to ask for usually varies depending on who is asking.
What to Ask on the Demo
Bring the four dates from section 6 and ask for them first. Everything after that is easier once you know whether the product is current.
Ask them to run one of your own employees. Not a demo employee. Take somebody with a messy structure, a mid-year increment, a heavy allowance component and a month with unpaid days, and ask the vendor to produce the payslip. The unpaid days are the important part, because the treatment of non-contributory days in the PF return is where systems that look identical stop being identical.
Ask what happens on the way out. Every vendor will explain how data comes in. Ask how it comes out: what format, whether it includes computed history or only inputs, and whether you can extract it yourself without raising a request. If you cannot get your own data out without asking permission, you will pay for that later.
Ask who answers a statutory question. Not a support ticket about a bug, a question about whether a particular allowance falls inside the wage definition. Some vendors have people who can answer that. Some route it back to you. Both are acceptable positions, but you should know which you are buying.
Ask to see the audit trail on a salary revision. Who changed what, when, and what the value was before. If you cannot see that in the product, you will be reconstructing it from emails during your first dispute.
Ask about arrears across a retrospective revision. Increment effective April, processed in July, with PF, ESI and tax all needing recomputation for the intervening months. This single scenario separates payroll engines more reliably than any feature list.
How to Run a Parallel Run Before You Switch
Nobody should switch payroll systems on a live month without having run the new one alongside the old one first. One month is enough. Two is better if you have variable pay.
Take a completed month you have already paid and closed. Load it into the new system with the same inputs. Compare gross, every statutory deduction, net, and the employer contributions, employee by employee. Then look only at the mismatches.
Expect mismatches. That is the point. Most of them will be configuration mistakes, not product defects: a component mapped to the wrong wage base, a leave type set as paid when it is unpaid, a PF exemption applied to the wrong person. Each one you find in a parallel run is one you do not find in a live run.
A few places are worth looking at closely. Employees who joined or left mid-month, because proration rules differ between systems and rarely agree by default. Employees near a statutory threshold, particularly the ESI wage limit, because crossing it mid-year has consequences a new system may handle differently from the one that recorded it. And anybody with unpaid days, for the reason in section 9.
Run the statutory returns in test mode as well, not just the payslips. Correct payslips with a wrong electronic challan behind them means the payroll has not really been tested. The payroll compliance checklist is a reasonable script for that part, and the payroll reports piece covers what finance will ask for in the first month.
Only after the parallel month reconciles do you pick a switchover date. April is the cleanest because the tax year starts there and no opening balances have to be carried. Any other month is possible and means more migration work.
Questions People Ask
Which payroll software is best for a small business in India?
At under fifty employees the honest answer is that several products will do the job and the deciding factor is not payroll depth. greytHR, Zoho Payroll and Pocket HRMS all have entry tiers built for this size, RazorpayX Payroll is strong if you want disbursement and filings in the same motion, and we are a fit if you need attendance and leave in the same record instead of a second system. What you should actually decide first is whether attendance feeds payroll in your company. If it does, buy them together, because the monthly reconciliation between two systems will cost you more than the licence difference. If your team is salaried, office-based and rarely varies, a payroll-only product is genuinely sufficient and you should not be sold an HRMS.
How much does payroll software cost in India?
Per-employee monthly pricing across this category typically runs from under fifty rupees at the entry tiers to several hundred at enterprise, and quoting a tighter range than that would be pretending to a precision the market does not have. The more useful answer is that licence cost is the smallest of four numbers, and the other three are implementation, the recurring reconciliation if attendance sits in a separate system, and what a configuration change costs you after go-live. Ask for the second and fourth explicitly during the sales conversation, because neither appears on a pricing page. A platform that is twenty per cent cheaper per employee and requires a ticket and a release cycle for every rule change is not cheaper.
Can payroll software handle PF, ESI, PT and TDS automatically?
Yes, and every product on this list does. That is why it is the wrong question. The better question is which wage base the system computes them on, because since the Code on Wages came into force on 21 November 2025 the wage definition under section 2(y) adds back the excess where excluded allowances exceed one-half of total remuneration. Get the wage base wrong and a correct method will not save you. The number is still wrong. The second question is what happens to those computations when something changes retrospectively, because arrears across a backdated increment touch all four heads at once and is where products separate.
Is Indian payroll software compliant with the new Labour Codes?
Compliance with the Codes is not a yes or no that a vendor can claim once. The Codes came into force on 21 November 2025 and the consequential subordinate legislation has been arriving since, including the Employees' Provident Funds Scheme, 2026 and its companion schemes effective 29 June 2026 and the re-notification of the ₹15,000 provident fund wage ceiling on 29 May 2026 under Chapter III of the Code on Social Security, 2020. The practical test is whether they can give you the date they shipped each of those changes. Section 6 sets out four to ask about. A vendor who is current on all four is current generally, and a vendor who is vague on one is usually vague on the rest.
Should we choose an HRMS or a payroll-only product?
It depends entirely on where your payroll inputs come from. If attendance, leave and overtime feed the run, they belong in the same system as the run, and buying them separately means a monthly reconciliation that never goes away. If your population is salaried and office-based with predictable inputs, a payroll-only product is lighter, cheaper and easier to operate, and buying a full HRMS to get payroll is buying eight modules to use two. Companies that regret this decision usually regret it in the same direction: they bought payroll alone, then bought attendance separately a year later, and now maintain an integration.
What should we ask a payroll vendor about data migration?
Ask what the opening balances look like, specifically. Year-to-date gross, PF and tax figures, leave balances, and enough salary history to produce a correct annual tax certificate for an employee who joined before the switch. Then ask the harder question, which is how data comes out rather than in. Every vendor is fluent on migration in. Ask for the export format, whether it contains computed history or only your original inputs, and whether you can run the export yourself without raising a request. Companies discover the answer to that when they are already leaving, which is the worst time to discover it.
Does payroll software replace a payroll consultant?
Not entirely, and the vendors who imply otherwise are describing a smaller problem than you have. Software computes, files and records reliably. What it does not do is answer a judgement question: whether a specific allowance falls inside the wage definition, how to treat a settlement with a contested notice period, whether a particular establishment is covered under a state act. Most companies above a couple of hundred employees keep somebody, internal or external, who can answer those. What good software does is reduce how often the question needs asking, and give you a defensible record when it is.
How long does implementation actually take?
For a single-state company under 200 employees with clean data, four to six weeks is realistic including a parallel run. Multi-state, multi-entity or contract labour in the mix pushes it to two or three months. The variable is almost never the software. It is the state of your existing data and how quickly your team can answer configuration questions, which is why implementations stall in the middle and not at the start. Book the parallel run into the plan explicitly rather than treating it as optional, because the alternative is discovering configuration errors on a month you have already paid.
Can we switch payroll systems mid-year?
Yes, and plenty of companies do. It costs more than switching in April because year-to-date figures have to be carried across accurately enough to produce a correct annual tax certificate, and because the quarterly statement filed by the old system and the ones filed by the new one have to add up. If you are switching mid-year, insist that the parallel month covers a month already filed, so you can compare not just the payslips but the return. April remains the cleanest switchover point and if the decision can wait until then without cost, let it.
Where This Leaves You
Do these in order.
Work out first whether attendance feeds your payroll. If it does, that decides more about your shortlist than any feature comparison, and you should be looking at products where the two share a record rather than an integration. If it does not, a payroll-only product is a legitimate and cheaper answer.
Then take the four dates in section 6 to every vendor on your list before you sit through a demo. Wage base under section 2(y), which provident fund scheme the configuration cites, what your last quarterly salary statement went out on, and when each of those was applied in their product. It is a fifteen-minute exercise that will usually shorten your shortlist by half.
Then run one of your own employees, with unpaid days and a mid-year increment, through the two products you have left.
Then run a parallel month before you sign anything you cannot exit.
If you want to run that against us, our payroll system is where to start, attendance and leave sit on the same record, and the pricing is published rather than quoted. Bring the four dates. Ask us the same questions you ask everybody else, and hold us to section 5 as much as to section 4.
Related reading: how to calculate payroll in India, payroll software versus payroll outsourcing, HR software versus an ERP HR module, and the payroll compliance checklist.
Sources
- Code on Wages, 2019, enacted text on India Code. Section 2(y) on the definition of wages and the one-half proportion rule.
- Ministry of Labour and Employment, labour.gov.in. Commencement of the four Labour Codes on 21 November 2025, the Employees' Provident Funds Scheme, 2026 and its companion schemes effective 29 June 2026, and the ₹15,000 provident fund wage ceiling notified on 29 May 2026 under Chapter III of the Code on Social Security, 2020.
- Income Tax Department, incometax.gov.in. The Income-tax Act, 2025 governing salary paid from 1 April 2026, and the Income-tax Rules, 2026 renumbering the quarterly salary statement and the salary tax certificate.
- Employees' Provident Fund Organisation, epfo.gov.in. Contribution rates and the wage base on which they are computed.
- Employees' State Insurance Corporation, esic.gov.in. Contribution rates and the wage limit for coverage.
- Finance Department, Government of Odisha. Repeal of professional tax with effect from 1 April 2026.
Product descriptions above are our reading of what each platform is built for, based on vendor documentation and product observation. No ratings, scores or rankings from any software directory are used anywhere on this site. Nothing here describes how any company markets or positions itself. Test every claim, including ours, against the product.

