Buyer's guide
How to Choose Payroll Software in India
Published: 24 Sept 2026 · Updated: 24 Sep 2026 · Author: NeevHR team
Payroll software is judged on one thing: whether every employee is paid correctly and every statutory deposit and return is right, every month. This checklist helps you test that before you sign.
Statutory coverage
| Requirement | What to confirm |
|---|---|
| PF / EPF | Employee and employer shares, EPS split, capped or actual basis, ECR file |
| ESI | Gross-wage eligibility, contribution-period rule, ESIC file |
| Professional Tax | State slabs by work location, challans |
| Labour Welfare Fund | State frequency and months |
| TDS | Old and new regime, declarations, proofs, previous employer income |
| Returns and certificates | Form 24Q return file and Form 16 |
| Gratuity and bonus | Computed in F&F and annual bonus runs |
Accuracy controls
- Separation of duties between computing and approving payroll
- An exception report that flags anomalies before approval
- Period locks after payroll closes
- Arrears for backdated revisions that flow into PF and ESI
- LOP from attendance, with reversal in a later month
Payments and accounting
- Bank payment files in your bank's format
- A balanced journal voucher with GL mapping for your accounting system
- Payslips in self-service, and a salary register
Where NeevHR fits
NeevHR is an India-first HRMS and payroll software platform for growing and mid-market businesses. It covers the statutory items above, generates the files and challans, and exports a balanced journal voucher as CSV. Filing and payment on government portals remain with your team, and a direct Tally connector is not available.