What HRMS & payroll software costs in India, by team size
~50 employees
Where a flat-fee HRMS gets cheaper than paying per employee: at ₹50 a head, both cost about ₹2,500/month.
"Which HRMS is cheapest?" has no fixed answer in India, because tools are priced two incompatible ways, per employee or a flat monthly fee. One scales with your headcount; the other barely moves. We computed the real monthly cost of 7 verified tools across team sizes to show exactly where the cheaper choice flips. Updated November 2026.
The short answer
For a small team, per-employee pricing wins: Zoho People is about ₹500/month for 10 people. The lines cross around 50 employees (~₹2,500/mo either way). Beyond that, a flat-fee tool pulls ahead, by 200 employees greytHR at ~₹9,245/month beats the cheapest per-employee tool's ₹10,000. Figures exclude 18% GST.
Key findings
- Two pricing models. 3 tools price per employee (~₹50-₹100 each); 4 charge a flat monthly base (~₹2,500-₹5,000).
- The cheapest tool flips with headcount. Per-employee wins for small teams; flat-fee wins for large teams.
- The crossover is ~50 employees at a ₹50/employee rate, that is where per-employee cost catches up to a typical flat base fee.
- Free-forever options exist (Zoho People, Kredily, factoHR) for tiny teams or core payroll, useful below the paid crossover.
Monthly cost by team size
Verified entry-tier cost for each tool at three team sizes. Per-employee tools scale linearly; flat tools hold steady until their included headcount is exceeded. Excludes 18% GST. "—" means beyond the tool's published tier.
| Tool | Model | 10 employees | 50 employees | 200 employees |
|---|---|---|---|---|
| KredilyFree-forever core payroll for unlimited employees; paid Payroll OS ~₹999/mo. | Flat fee | Free | Free | Free |
| factoHRFree up to 20 employees; Core ₹4,999/mo up to 50 (higher tiers above). | Flat fee | Free | ₹4,999 | — |
| Zoho PeopleEssential ₹50/employee/mo (free up to 5 employees). | Per employee | ₹500 | ₹2,500 | ₹10,000 |
| ZimyoHRMS Basic ~₹50/employee/mo; min-seat bundles may apply. | Per employee | ₹500 | ₹2,500 | ₹10,000 |
| Keka~₹100/employee/mo on Foundation (up to ~₹160 on higher tiers). | Per employee | ₹1,000 | ₹5,000 | ₹20,000 |
| greytHREssential ₹2,495/mo (base 50 employees) + ₹45 per extra employee. | Flat fee | ₹2,495 | ₹2,495 | ₹9,245 |
| RazorpayX PayrollPrime ~₹2,499/mo flat; possible per-employee add-ons, confirm for large teams. | Flat fee | ₹2,499 | ₹2,499 | — |
Cheapest paid option at each size
The pattern is the whole point: match the pricing model to your headcount. A growing team that picks a per-employee tool early can quietly cross into paying far more than a flat-fee tool would charge, re-check the math every time you scale.
Methodology
Each tool's per-employee rate or flat base fee is the verified entry/representative paid tier from the FindThatSoftware catalog, confirmed on the vendor's own pricing page (June 2026), a curated sample, not a market census. Per-employee costs are the rate × headcount; flat costs add published per-extra-employee overage where the vendor lists it and are left blank beyond the published tier rather than estimated. Tiers vary by module (payroll, attendance, performance) and figures exclude 18% GST. Enterprise/ contact-sales HCM tools are out of scope. Cite as "FindThatSoftware HRMS & Payroll Pricing Study (India, 2026)."
Related reading
Frequently asked questions
- How is HRMS and payroll software priced in India?
- Two ways. Per-employee-per-month (PEPM) tools charge a small amount for each employee (around ₹50-₹100/employee) so the bill scales with headcount. Flat-fee tools charge a fixed monthly base (around ₹2,500-₹5,000) that barely changes as you grow. Because of this, the cheapest option depends entirely on your team size, there is no single answer.
- What is the cheapest HRMS for a small team in India?
- For a 10-person team, a per-employee tool wins: Zoho People works out to about ₹500/month, far below a flat-fee tool's ~₹2,495 base. Free-forever options (Zoho People, Kredily, factoHR) can cover a tiny team at ₹0 for core features.
- At what team size does a flat-fee HRMS become cheaper?
- Around 50 employees. At ₹50/employee, a per-employee tool costs about ₹2,500/month for 50 people, roughly the same as a flat tool's base fee. Below that, per-employee wins. Above it, flat-fee (or a low per-head overage) pulls ahead. By 200 employees, a flat tool can be ~₹9,245/month versus ₹10,000 for the cheapest per-employee tool.
- Are there free HRMS and payroll tools in India?
- Yes. Zoho People (essential ₹50/employee/mo (free up to 5 employees).). Kredily (free-forever core payroll for unlimited employees; paid payroll os ~₹999/mo.). factoHR (free up to 20 employees; core ₹4,999/mo up to 50 (higher tiers above).). Free plans usually cover core payroll or attendance for a capped headcount or with limited modules, so confirm the limits before relying on them.
- Do these prices include GST?
- No. HRMS/payroll prices are quoted exclusive of 18% GST. Per-employee tiers also vary by module (payroll, attendance, performance), and flat tools may add per-employee overage beyond their included headcount, always confirm on the vendor's pricing page.
Source: FindThatSoftware catalog analysis, November 2026. Pricing changes; figures reflect verified vendor pricing at time of writing. Cite as "FindThatSoftware HRMS & Payroll Pricing Study (India, 2026)".
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