Hi Everyone,
Just wanted to understand how much does a Payroll Outsourcing Company charge per Employee for salaries in between 20 LPA to 40 LPA. Please provide your inputs.
Thank you.
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The pricing for payroll outsourcing services can vary depending on several factors, including the scope of services, complexity of payroll requirements, volume of employees, and additional services required. However, I can provide you with a general idea of the range you can expect for payroll outsourcing charges per employee within the salary range of 20 LPA to 40 LPA.
Typically, payroll outsourcing companies charge a percentage or a fixed fee per employee, which can range from 1% to 5% of the employee’s salary. However, it’s important to note that this is an estimate and can vary based on the specific requirements and negotiations with the outsourcing provider.
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Hi everyone — good question. Here’s from what I’ve seen working with payroll services in India:
When you evaluate payroll outsourcing firms, the cost and service model can vary quite a bit depending on what you need — basic salary processing, statutory compliance, reporting, or full HR support.
Typical Cost Models & What to Expect
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Many firms charge per employee per month (PEPM). For basic services, this can be as low as ~ ₹150 – ₹200 per employee/month.
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For more comprehensive services (including compliance, tax filings, statutory deductions, etc.), expect higher rates — often in the range of ₹600 – ₹2,100 per employee/month depending on complexity.
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Some providers may also offer flat monthly packages or charge a fixed fee per payroll cycle, rather than per employee — this can benefit smaller firms or those with stable headcounts.
What Makes the Difference Between Providers
The charges and value you get depend on:
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Number of employees
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Frequency of payroll runs (monthly, bi-monthly, etc.)
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Complexity: allowances, bonuses, overtime, compliance for PF/ESI/TDS, statutory reports
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Additional services: year-end returns, payroll audits, custom reporting, employee self-service portals, support for multi-location operations, etc.
Also, transparent pricing and clear documentation help avoid hidden charges — always check what’s included in the quoted fee (tax filings, compliance, support, data handling) before committing.
My Recommendation: Why “Easy Source” Could Be a Good Fit
If you are exploring options, consider firms like Easy Source. In my experience, companies that offer transparent fee structures and full-service payroll — not just basic payslip generation — tend to deliver better long-term value.
With a reliable provider like Easy Source:
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You get predictable monthly/PEPM pricing
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Compliance and statutory filings are handled professionally
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Payroll processes scale smoothly as your workforce grows
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You avoid overhead of in-house payroll staff, software licenses, and audit risks
Ultimately, outsourcing payroll to the right firm saves time, reduces errors, ensures compliance, and lets you focus on core business growth.
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Payroll outsourcing charges in India vary based on employee count, payroll complexity, compliance needs, and service scope, but partnering with a trusted provider can ensure maximum value for your investment. Ramco Systems offers scalable and cost-effective payroll outsourcing solutions powered by AI and automation, helping businesses streamline payroll processing, ensure statutory compliance, and reduce operational costs. With flexible pricing models and advanced technology, Ramco enables organizations to achieve higher accuracy, faster processing, and better ROI, making it a preferred choice for companies seeking reliable and efficient payroll management in India.