Payroll & HR Services in India

Payroll and HR outsourcing allows businesses to hand over routine workforce management tasks to experienced specialists who ensure accurate salary processing, statutory deductions, and compliance with India’s labour regulations. In India’s fast changing regulatory environment, businesses prefer outsourcing payroll because even a small error can lead to penalties, compliance notices, employee disputes, or delays in financial closing. Manual processes, misclassified employees, outdated payroll structures, and inadequate documentation are common challenges that slow down operations and increase compliance risks. AccounTX supports growing companies by offering accurate payroll processing, timely statutory filings, structured HR support, and a compliance driven approach so businesses can focus on growth rather than administrative burdens.

Why Payroll and HR Compliance Matters in India

India’s labour and payroll compliance system involves multiple laws, each carrying distinct rules for wages, deductions, contributions, timelines, and documentation. PF, ESI, TDS, Professional Tax, Gratuity, Bonus, Shops and Establishments Act, and the Maternity Benefit Act influence how companies manage employees at every stage. Failure to comply can result in penalties, inspection notices, interest charges, and employee dissatisfaction that affects workplace morale. Accurate payroll compliance not only protects organisations from legal risk but also strengthens employee trust by ensuring timely salaries, transparent deductions, and reliable HR documentation. Businesses that maintain compliance aligned with the law experience smoother audits and better operational stability.

India specific payroll compliance requirements

India’s payroll compliance system requires businesses to follow multiple laws simultaneously, each with its own contribution rules, eligibility criteria, filing timelines, and documentation standards. AccounTX ensures full alignment with all applicable statutes including:

  • Provident Fund mandatory for eligible employees, requiring monthly contributions, ECR filings, and adherence to wage ceilings.
  • Employee State Insurance applicable to employees under the prescribed wage limit, requiring monthly challans and maintenance of records for inspections.
  • Tax Deducted at Source deducted as per individual tax declarations and slabs, supported by quarterly returns and Form 16 issuance.
  • Professional Tax levied in specific states with monthly or annual filing requirements.
  • Gratuity applicable once employees complete the required years of service, computed based on last drawn wages with mandatory record keeping.
  • Bonus compliance governed by the statutory bonus act and tied to employee eligibility and salary thresholds.
  • Shops and Establishments registration required for most commercial establishments with periodic renewals.
  • Payment of Wages rules that define timelines, components, and modes of salary disbursement.
  • Minimum wages notifications issued by states, requiring businesses to stay updated on revisions and ensure no employee is paid below the mandated rate.
  • Maternity benefits offering paid leave, benefits, and protection from termination during the maternity period. Businesses must comply with these legal requirements consistently to avoid penalties and ensure employee well being.

What Payroll Outsourcing Includes Core Deliverables

AccounTX manages the complete payroll cycle through structured processes that ensure accuracy, transparency, and full compliance.

  • Salary structuring designed to optimise tax, social security contributions, and cost to company components.
  • CTC breakdown creation that clearly defines fixed pay, variable pay, employer contributions, and statutory benefits.
  • Payroll processing conducted monthly with checks for attendance, leave, reimbursements, variable payouts, arrears, and statutory changes.
  • Payroll deductions including PF, ESI, TDS, Professional Tax, loans, and recoveries based on current regulations.
  • Payslip generation with secure digital delivery, ensuring each employee receives accurate breakup details.
  • Compliance filings covering PF ECR submissions, ESI challans, TDS payments and returns, and Professional Tax filings.

Core HR support includes drafting employment letters, managing onboarding documentation, maintaining employee records, leave and attendance administration, and supporting performance tracking to streamline the workforce lifecycle.

Detailed Breakdown of AccounTX Payroll Services

  • Payroll processing: monthly handling with consolidated inputs for attendance, leave, reimbursements, overtime, variable pay, arrears, and policy updates.
  • Compliance reporting: PF ECR filings, ESI challans, TDS payments, quarterly returns, and Professional Tax filings.
  • Reimbursements: processed through approval workflows with digital submission and category based checks.
  • Attendance management: via biometric systems, HRMS tools, or timesheets.
  • Leave automation: managing balances, accruals, carry forwards, approvals, and encashment.
  • Payroll MIS: salary summaries, statutory contributions, reimbursements, cost insights.
  • Department reports: cost centre breakups, manpower cost comparisons, variance analysis.

HR Support Services Provided by AccounTX

  • Recruitment support including JD creation and interview coordination.
  • Employee onboarding and document collection.
  • Employee documentation and digital file maintenance.
  • HR policy drafting for leave, conduct, travel, and appraisal structures.
  • Performance cycle support.
  • Employee exit and full and final settlements.
  • Grievance support and escalation management.

AccounTX Payroll Workflow — Step-by-Step

Step 1: Data collection and verification

We collect employee master data, bank details, attendance, reimbursements, loan statements, and previous payroll records.

Step 2: Attendance and leave reconciliation

Attendance data is matched with leave records, shifts, and approvals.

Step 3: Payroll calculation

Gross salary, allowances, deductions, employer contributions, and taxable income are computed as per structure.

Step 4: Internal review and approval

Maker checker reviews ensure complete accuracy before payroll release.

Step 5: Disbursement support

AccounTX prepares payout files, NEFT/RTGS/IMPS batches, and banking integrations.

Step 6: Compliance filings

PF, ESI, TDS, Professional Tax filings are completed and archived monthly.

Step 7: Monthly reporting pack

Payslips, payroll journals, statutory summaries, reconciliations, and variance reports are shared.

Technology and Tools Used

AccounTX combines trusted accounting and HR platforms with secure integrations.

  • Tally Prime, QuickBooks, Zoho Books, Zoho Payroll, Zoho People, GreytHR
  • RazorpayX, Cashfree, Paytm Business
  • Automated reconciliations via API connectors
  • Digital document stores with encrypted access
  • Custom MIS dashboards and reporting

Error Prevention, Accuracy, and Audit Support

  • Maker checker approval workflows
  • Automated attendance, bank, and payroll reconciliations
  • Variance tracking and exception reporting
  • Quarterly compliance reviews
  • Year end audit schedules and documentation support

HR and Payroll for Foreign Companies Operating in India

AccounTX supports expatriate payroll, compliance, documentation, global reporting, and India-specific statutory alignment.

Industries Served

  • SaaS and Technology
  • IT and Professional Services
  • eCommerce and Retail
  • Manufacturing and Industrial
  • Healthcare and Pharma
  • Consulting and Professional Firms
  • Fintech and Financial Services
  • Foreign Subsidiaries

Engagement Model and Pricing Structure

AccounTX follows a clear monthly retainer model including payroll, compliance, HR support, and reporting.

Monthly Deliverables

  • Payroll register
  • Payslips
  • Disbursement sheet
  • PF, ESI, PT filings
  • TDS calculations and challans
  • Attendance reconciliation
  • Compliance calendar
  • MIS reports

Why Choose AccounTX for Payroll and HR Services

  • Strong India compliance expertise
  • Guaranteed monthly payroll accuracy
  • Industry specific experience
  • Maker checker accuracy controls
  • Data security and confidentiality
  • Single point of contact

Frequently Asked Questions

  1. How does payroll outsourcing work in India?
    Payroll outsourcing shifts monthly payroll processing, statutory compliance, and HR documentation to specialists like AccounTX.
  2. What data is required each month?
    Attendance, leave updates, new joiners, salary revisions, reimbursements, and exit details.
  3. How are PF, ESI, TDS, and Professional Tax handled?
    AccounTX calculates deductions, prepares challans, and files returns.
  4. Do you support foreign companies?
    Yes, including expatriate tax, payroll setup, and FEMA compliance.
  5. Which payroll software do you use?
    Tally, Zoho Payroll, Zoho People, QuickBooks, GreytHR, etc.
  6. How secure is employee data?
    Encrypted systems, access control, and secure cloud storage.
  7. Do you handle onboarding and FNF?
    Yes, including documentation, notice pay, encashment, and deductions.
  8. What are monthly payroll timelines?
    Data collection → reconciliation → processing → approval → filings → MIS.
  9. How does pricing work?
    A monthly retainer based on employee count and compliance needs.
  10. Do you help with HR policies?
    Yes, drafting HR policies, agreements, leave structures, and appraisal frameworks.

Ready to streamline payroll and HR compliance while reducing errors and saving time? Connect with AccounTX for a structured, accurate, and fully compliant payroll experience tailored to your business needs.