Ranked shortlist for Indian small businesses and growing teams running payroll
The payroll and HR software that fits Indian businesses, automated salary payouts, PF, ESI, TDS and professional-tax compliance, attendance and leave, matched to whether you're a startup, a growing team or an enterprise.
factoHR
Best overall
factoHR ranks here on verified fit: India-based vendor, GST invoicing, bills in INR, fits the use case.
Visit factoHRQuick answer: For Indian small businesses and growing teams running payroll, the best pick is factoHR (best overall) at ₹4,999/mo. 6 options ranked below on verified fit and India signals. Last reviewed 24 June 2026.
Running payroll in India is really a compliance problem wearing a salary-slip costume. Beyond paying people, you have to deduct and deposit PF, ESI, TDS and professional tax, file returns on time, and (since the four Labour Codes became operational in April 2026) structure salaries so basic pay is at least half of CTC. Good software handles this for you. Bad software leaves you exposed to penalties.
The shortlist below is built for Indian statutory reality, not generic global HR. We have matched each tool to the size and stage of business it serves best, from a startup that just wants payroll to run itself to an enterprise managing the full employee lifecycle.
How we chose: HR and payroll tools we have verified for India pricing and built-in PF, ESI, TDS and PT handling. We rank them by India fit (statutory compliance, INR pricing, GST invoicing, verified data) and note the business size each one suits. The ranking is computed from our source-backed catalog, weighting fit to this use case and India-operational signals (India-based vendor, GST invoicing, INR billing, verified data). Placement is never for sale. Each tool shows how much of its data we have verified, so you can see the confidence behind its rank. Last reviewed 24 June 2026. Always confirm current pricing and features on the vendor's own site before buying.
Indian HR and payroll software with attendance, payroll, performance, and mobile-first employee tools for SMBs and enterprises.
factoHR ranks here on verified fit: India-based vendor, GST invoicing, bills in INR, fits the use case.
Indian HR and payroll platform (HRMS) covering payroll, attendance, leave, performance, and hiring for growing companies.
Keka ranks here on verified fit: India-based vendor, fits the use case, GST invoicing, bills in INR.
India-built HR and payroll platform with a genuinely free-forever tier for unlimited employees, plus PF/ESI/PT/TDS compliance.
Kredily ranks here on verified fit: India-based vendor, GST invoicing, bills in INR, fits the use case.
Cloud HRMS from Zoho for attendance, leave, performance, and employee management, with India payroll via Zoho Payroll.
Zoho People ranks here on verified fit: India-based vendor, GST invoicing, bills in INR, fits the use case.
Indian HR and payroll software focused on payroll processing, statutory compliance, and core HR for SMBs.
greytHR ranks here on verified fit: India-based vendor, GST invoicing, bills in INR, fits the use case.
India-built HRMS covering payroll, attendance, performance, and recruitment, priced per employee per month for growing teams.
Zimyo ranks here on verified fit: India-based vendor, GST invoicing, bills in INR, fits the use case.
These did not make the core shortlist for Indian small businesses and growing teams running payroll, but fit specific situations.
A short, occasional email with the tools and buying guides we'd recommend to Indian small businesses and growing teams running payroll. Source-backed, India-first, no noise.
For most startups, RazorpayX Payroll is the best starting point because it automates salary payouts and PF/ESI/TDS/PT filing with minimal setup. Keka is the strongest all-round HRMS-plus-payroll for growing teams, greytHR is best when statutory compliance is the priority, and Zoho People is the best value for very small teams.
Yes, statutory compliance is the main reason to use India-built payroll software. RazorpayX Payroll, greytHR, Keka, factoHR and Zoho (via Zoho Payroll) all compute and help file PF, ESI, TDS and professional tax. Always confirm the current statutory features and any add-on cost on the vendor's site.
Zoho People is free for up to 5 employees, and RazorpayX Payroll is often free for the first six months with a RazorpayX current account. Beyond those, payroll tools are paid, usually per employee per month, because the statutory compliance engine is the core value.
The four Labour Codes became operational in April 2026, redrawing the wage definition so basic pay (with DA) must be at least 50% of CTC, changing PF/ESI bases, expanding ESI coverage, and replacing Form 16 with Form 130. Up-to-date payroll software handles these changes for you, confirm your tool reflects the new rules before your next pay run.