Employer of Record India (EOR India)
- Save upto 3% on your payroll cost
- Hire Indian employees without setting up a local entity
- Onboard talent in 24 hours with India-compliant contracts
- We run payroll, TDS, EPF, ESI, gratuity, and all statutory filings
- Eliminate permanent establishment and compliance risk
- Full HRMS included at no extra cost, from payroll to leave to expenses
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Currency
Indian Rupee (INR)
Capital
New Delhi
Official Language
Hindi and English
Payroll Cycle
Monthly
Recognized Globally: Ranked #1 for โEase of Useโ & โCustomer Supportโ
our advantage
What is an Employer of Record in India?
An employer of record (EOR) in India is a company that becomes the legal employer of your Indian hires, so you can build a team in India without setting up a local entity. You keep day-to-day control of the work, while the EOR handles the legal employment: compliant contracts, monthly payroll, TDS under Section 192, provident fund and ESI contributions, benefits, statutory filings, and the full and final settlement when an employee leaves.
What an employer of record in India does for you:
- Acts as the legal employer on record, so you need no entity, PAN, or TAN of your own
- Issues locally compliant contracts aligned to Indian law
- Runs payroll in INR, with TDS, PF, ESI, and professional tax deducted and filed
- Administers statutory and supplementary benefits
- Manages onboarding, leave, exits, and final settlement
For a deeper primer on how the EOR model works end to end, see our EOR India guide.
Rapid and Compliant Hiring
Most teams wait months to hire in India. Asanify gets your hire contracted, verified, and working in 24 to 48 hours, on contracts aligned to the Code on Wages and the new Labour Codes.
End-to-End Payroll and Tax Compliance
One consolidated invoice in your home currency, and nothing for your team to file. Asanify's in-house India team runs payroll and every statutory return, so filings are on time and penalties are avoided.
Statutory Benefits, Fully Managed
The full HRMS is included at no extra cost, not billed separately. Asanify administers statutory benefits and optional health and life cover on one platform your employees use over WhatsApp, Slack, and Teams.
Multi-State Compliance Expertise
Hire in any of India's 28 states with no rule-mapping work for your team. Our Kolkata team applies each state's registrations, professional tax, and minimum wages automatically, from Bengaluru to Delhi NCR.
Why use an Employer of Record in India
Setting up your own entity in India to hire local talent can take several months: incorporation, tax registrations, a local address, a resident director, banking, and ongoing filings across central and state authorities, all before your first hire starts. On top of that sits India’s statutory complexity: provident fund, ESI, TDS under Section 192, gratuity, professional tax that varies by state, and the new Labour Codes, each carrying penalties when missed.
An employer of record removes both problems: you choose the person, Asanify employs them on record from $99 per employee per month, and your team is contracted, onboarded, and compliant in 24 to 48 hours.
For most teams hiring their first or their hundredth person in India, an EOR is faster, lower-risk, and cheaper than building an entity.
- Hire in days, not months. Onboard in 24 to 48 hours instead of the three to six months an entity takes to register and operationalise.
- Transfer compliance exposure. PF, ESI, TDS, gratuity, and professional tax become the EOR’s responsibility, filed correctly and on time.
- Avoid fixed entity cost. No incorporation, no local finance and HR function, no entity to wind down later.
- Remove permanent establishment and misclassification risk. The EOR holds the employment relationship correctly, so you are not exposed to the risks of paying Indian workers as contractors.
- Keep operational control. You manage the work and the team; only the legal employment sits with the EOR.
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Employer of record
Switching to Asanify from your current EOR
Already employing in India through another EOR? You can move your team to Asanify without a gap in pay or compliance. Most companies switch for three reasons: a flat $99 per employee per month against a common market reference of $599, a full HRMS included at no extra cost, and a directly owned Indian entity instead of intermediaries.
Migrations are typically completed within a single payroll cycle. Book a migration consult and we will map your move and the cost saving.
- Review. We assess your current employment contracts, salary structures, benefits, and notice terms.
- Transfer. We issue compliant Asanify contracts and move your employees across, preserving salary, benefits, and agreed terms.
- Parallel run. We run one payroll cycle alongside your existing provider so nothing is missed before the cutover.
What our happy customers say
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Petra Daddy, Director of People, RangeForce UK
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Table of Contents
India EOR vs setting up an entity
An employer of record lets you hire in India in 24 to 48 hours with no entity and no upfront cost. Setting up your own entity takes 3 to 6 months and โน5 to 15 lakh, but can lower marginal cost once you run a large, permanent India team.
| Factor | Employer of record | Own legal entity |
|---|---|---|
| Time to first hire | 24 to 48 hours | 3 to 6 months |
| Local entity required | No | Yes, Pvt Ltd, branch, or subsidiary |
| Upfront cost | None, flat per-employee fee | โน5 to 15 lakh plus registrations |
| Ongoing cost | Predictable per-employee fee | Fixed cost of in-house HR, payroll, legal, and office |
| Compliance burden | Carried by the EOR | Carried by your HR, payroll, and legal teams |
| Control and IP | You direct the work, and contracts assign IP to you | Full direct control |
| Risk and liability | Held by the EOR as the legal employer | Held by your entity |
| Best for | Market entry, remote hires, fast scaling | Large, permanent India operations |
| Exit | Offboard and stop | Wind down the entity, over months |
Most teams start on an EOR and incorporate only when India headcount and permanence justify the fixed cost. For the crossover headcount and the full cost comparison, see our State of India EOR research and the employer of record India cost breakdown.
An EOR is not the same as a PEO or a staffing agency. A PEO co-employs staff under an entity you already hold in India, so it does not remove the entity requirement. A staffing agency supplies temporary labour rather than employing your chosen hires on record. An EOR is the legal employer for the people you select, with no entity needed on your side.
How hiring through Asanify's EOR works (step by step)
From the moment you choose your hire to their first day takes 24 to 48 hours. Asanify becomes the legal employer for every Indian hire while you keep operational control. Here is the full engagement:
- You choose your hire. Select the candidate and agree the role, salary, and start date.
- We confirm the setup and quote. Asanify employs through its wholly-owned Indian entity, operating since 2019, with payroll and compliance run directly in India and no intermediaries. You get a transparent flat quote: $99 per employee per month, with the statutory cost laid out.
- We generate the contract. A locally compliant employment agreement covering pay, working hours, leave, probation, notice, confidentiality, and IP assignment to you.
- We verify and collect documents. PAN, Aadhaar, bank details, and background checks run in parallel. For foreign nationals, we handle work permit and FRRO requirements.
- The employee starts. Set up on payroll and the HRMS, ready to work within 24 to 48 hours.
- You approve the first payroll run. Salary, deductions, and statutory contributions are calculated and shown for your sign-off.
- We maintain ongoing compliance. Monthly payroll, TDS and Form 24Q, PF and ESI returns, professional tax, and a compliant exit when the time comes.
For the broader hiring process in India beyond the EOR engagement, see our How to hire in India guide.
What Asanify handles under Employer of Record services in India
Asanify’s employer of record services in India cover the full employment lifecycle on one platform, for one fee. What is included:
- Compliant contracts and onboarding: locally compliant agreements, background checks, UAN generation, and document collection.
- Payroll and tax: monthly payroll in INR with itemised payslips and on-time salary credit, plus TDS under Section 192, Form 24Q quarterly returns, and Form 16.
- Statutory contributions and benefits: provident fund, ESI, and professional tax, with gratuity accrual, statutory bonus, and leave entitlements, all filed accurately and on time.
- Benefits administration: group health insurance, term life, and supplementary perks on top of statutory cover.
- HRMS included at no extra cost: leave, attendance, expenses, and self-serve payslips, with HR queries handled over WhatsApp, Slack, and Teams.
- Exit and final settlement: notice-period compliance, leave encashment, final pay, and experience letters.
You get an employer on record plus the platform to run the team, in one fee.
Employment compliance checklist an EOR manages in India
An employer in India pays roughly 13% to 18% over gross salary in statutory contributions, and must register, deduct, file, and report across central and state authorities. The framework spans the four Labour Codes: the Code on Wages, Code on Social Security, Industrial Relations Code, and the Occupational Safety, Health and Working Conditions Code, along with state Shops and Establishments Acts and central tax law. An EOR manages all of it for you.
| Item | Rate or rule |
|---|---|
| Provident Fund (PF) | 12% of basic salary, employer share |
| ESI | 3.25% employer share, for employees earning up to โน21,000 per month |
| Gratuity | 15 days of salary per year of service. Permanent employees qualify after 5 years; fixed-term employees now qualify pro-rata after 1 year under the Code on Social Security. |
| Professional Tax (PT) | Up to โน2,500 per year, varies by state |
| Bonus | 8.33% to 20% under the Payment of Bonus Act |
| TDS | Deducted under Section 192, filed via Form 24Q |
| Total employer burden | Typically 13% to 18% over gross salary |
The obligations an employer must meet:
- Register for EPF, ESI, and professional tax in each state of employment.
- Deduct TDS monthly under Section 192, file Form 24Q quarterly, and issue Form 16.
- Contribute and file PF, ESI, and professional tax on time.
- Accrue gratuity and pay statutory bonus.
- Issue contracts aligned to the Code on Wages, with compliant notice and severance under the Industrial Relations Code.
- Protect employee data under the IT Act 2000 and the Digital Personal Data Protection Act 2023.
- For foreign nationals, secure work permits and complete FRRO registration.
Employee income tax, new regime FY2025-26 (the default):
| Annual income | Rate |
|---|---|
| Up to โน4,00,000 | Nil |
| โน4,00,001 to โน8,00,000 | 5% |
| โน8,00,001 to โน12,00,000 | 10% |
| โน12,00,001 to โน16,00,000 | 15% |
| โน16,00,001 to โน20,00,000 | 20% |
| โน20,00,001 to โน24,00,000 | 25% |
| Above โน24,00,000 | 30% |
A Section 87A rebate makes income up to โน12 lakh effectively tax-free, which is โน12.75 lakh for salaried employees after the โน75,000 standard deduction, and a 4% health and education cess applies on top. Asanify applies the correct slab and withholds TDS each month.
What India’s new Labour Codes mean for hiring in 2026
The four Labour Codes took effect on 21 November 2025, consolidating dozens of older laws. Two changes matter most for employers. Fixed-term employees now earn gratuity pro-rata after one year of service rather than five. And the statutory definition of wages caps excluded allowances at 50% of total pay, so where allowances exceed that, the excess counts as wages and raises the base used for PF and gratuity. Asanify applies these rules automatically.
For the full legal detail, see our India employment law guide. For foreign nationals on your India payroll, work permits and FRRO registration apply; see our work permit and visa guide.
How much does it cost to hire through an Employer of Record in India?
Hiring through an EOR in India costs three things: Asanify’s flat fee of $99 per employee per month, the employee’s gross salary, and about 13% to 18% in statutory employer contributions on top.
- EOR management fee: $99 per employee per month, flat, with no setup fee and the HRMS included, billed as one consolidated invoice in your home currency.
- Employee gross salary: the CTC you agree with the hire.
- Statutory employer cost: provident fund, ESI, gratuity, and professional tax, which together run about 13% to 18% over gross.
What affects the total: the salary level, the state, as professional tax and some rules vary, and any supplementary benefits such as health insurance you choose to add.
For a full per-component breakdown and a worked all-in example, see employer of record India cost, or model your own numbers with the India employee cost calculator
Who should use an Employer of Record in India?
An EOR in India suits any company that wants to hire Indian employees without setting up an entity, from startups testing the market to enterprises converting contractors.
- Global startups testing the Indian market before committing to an entity, hiring their first engineers or support staff without incorporation.
- Technology and SaaS companies scaling engineering, product, and support teams fast in Bengaluru, Hyderabad, or Pune.
- Companies converting contractors to employees to remove misclassification risk and offer compliant, full-time roles.
- HR and People teams that want to remove administrative and compliance load and focus on hiring and retention.
- Finance and operations leaders who want one predictable per-employee cost instead of entity overhead.
- Enterprises standing up a regional hub or centre of excellence in India.
If you expect a large permanent India operation later, an EOR is still the fastest way to start while you decide on incorporation.
Employer of Record services across major Indian cities
Indiaโs top business and technology hubs each have distinct hiring ecosystems, salary benchmarks, local labor laws and talent availability. Companies expanding into India often choose city-specific hiring strategies based on industry concentration, operating costs, minimum wage requirements, working hours regulations, and access to skilled professionals. Asanifyโs employer of record services help global companies compliantly hire employees in India across all major cities without establishing an entity or legal entity in India.
Whether you are building a technology team in Bengaluru, expanding financial operations in Mumbai, establishing customer support in Hyderabad, or hiring leadership talent in Delhi NCR, Asanify ensures compliant onboarding processes, payroll management, payroll taxes administration, benefits administration, and employee lifecycle management. Our EOR services in India support international employment, global workforce expansion, remote employees management, and distributed teams through a centralized platform.
Employer of Record (EOR) in Mumbai
Mumbai remains Indiaโs financial capital and a preferred destination for hiring professionals in banking, fintech, media, consulting, and enterprise sales. Companies hiring in Mumbai often face higher salary benchmarks, local regulations, payroll tax requirements, and intense competition for senior talent. An employer of record EOR solution in Mumbai enables companies to hire employees quickly while ensuring compliance with Maharashtra Shops and Establishments regulations, employee entitlements, payroll and benefits administration, and local labor laws.
Employer of Record (EOR) in Bengaluru
Bengaluru is Indiaโs leading technology and startup hub, home to software engineers, product managers, DevOps specialists, AI professionals, and remote workers supporting global companies. SaaS businesses and technology companies frequently use an EOR partner in Bengaluru to scale engineering and product teams without setting up a local entity. Asanify manages Karnataka-specific compliance requirements, global payroll operations, onboarding processes, background checks, and employee management so businesses can scale technical teams rapidly and compliantly.
Employer of Record (EOR) in Hyderabad
Hyderabad has emerged as one of Indiaโs fastest-growing technology and operations hubs, attracting multinational corporations, SaaS companies, GCCs, and pharmaceutical organizations. The city offers access to engineering, cybersecurity, IT support, and operational talent at competitive costs. Using an EOR in India through Asanify allows businesses to hire talent in India quickly while managing payroll, mandatory compliance obligations, employee benefits, and Telangana-specific local laws efficiently.
Employer of Record (EOR) in Delhi
Delhi NCR is a major center for consulting, enterprise sales, policy, business operations, customer support, and multinational corporate offices. Hiring across Delhi, Gurgaon, and Noida often involves navigating diverse workforce structures, local labor laws, termination policies, and varying compliance requirements. An employer of record EOR provider in Delhi helps companies compliantly employ local employees while simplifying payroll management, international hiring, employee management, and ongoing compliance operations without the complexity of entity setup.
Employer of Record FAQs in India
How quickly can I hire employees in India using Asanify's EOR?
Asanify onboards employees in India in 24 to 48 hours once the candidate’s details and documents are in, compared with the three to six months an entity setup can take.
Which company provides EOR services in India?
Asanify provides employer of record services in India through its wholly-owned Indian entity, operating since 2019, at $99 per employee per month with the HRMS included. It is ranked #1 on G2 for ease of use in Core HR and Payroll, rated 4.9/5.
What statutory contributions does an EOR handle in India?
An EOR handles provident fund (12% of basic, employer share), ESI (3.25% for employees earning up to โน21,000 per month), gratuity (15 days of salary per year of service), professional tax (up to โน2,500 per year, state-specific), and TDS under Section 192.
What does an employer of record in India cost?
Asanify’s employer of record in India is $99 per employee per month, flat. The all-in cost is that fee plus statutory contributions of roughly 13% to 18% over gross. See employer of record India cost for the full breakdown.
Will using an Employer of Record in India create a permanent establishment?
Using an EOR is a recognised way to reduce permanent establishment exposure, because the EOR is the legal employer and holds the employment relationship in India. Specific PE outcomes depend on your activities in India, so confirm with tax guidance for your situation.
What are the notice period requirements in India?
Notice periods are set by the employment contract and state rules, commonly ranging from 30 to 90 days depending on seniority and tenure. Asanify applies the correct notice and final settlement at exit.
Can I terminate an employee in India, and what are the costs?
Yes, terminations must follow the Industrial Relations Code and applicable state law, with correct notice, documentation, and final settlement including any gratuity and leave encashment due. Asanify manages a compliant exit.
Does an employer of record in India run background verification?
Background verification covering identity, employment, and education checks can be arranged as part of onboarding, subject to candidate consent under Indian data protection rules.
