Setup Guide

How to Automate Payroll with GreytHR — Complete India 2026 Guide

GreytHR is India's most-used payroll software (free up to 25 employees, ₹100+/employee/month above 25). Setting it up correctly the first time saves 8-12 hours/month and avoids statutory errors that cost penalties. Here is the seven-step playbook to take GreytHR from signup to fully automated payroll.

Step 1 — Sign up and configure company profile: Sign up at greythr.com. Free plan for up to 25 employees activates instantly. Enter company details: legal name, PAN, GSTIN, TAN, registered address, financial year (typically April-March in India), business type, sector. This metadata drives statutory compliance later.
Step 2 — Set up statutory registrations: In Settings > Statutory: enter PF establishment code, ESI sub-code, Professional Tax registration numbers (per state — Maharashtra PT, Karnataka PT, etc.), TAN for TDS, LWF registration if applicable. Without these, statutory reports won't generate correctly. Get these numbers from your CA or payroll exec.
Step 3 — Import employee master data: Use GreytHR Excel template > Employees > Bulk Upload. Required columns: name, employee ID, joining date, designation, department, PAN, Aadhaar last 4, bank account, IFSC, PF/UAN number, ESI number (if eligible), CTC, basic salary. For 30 employees, this takes 1-2 hours including verification.
Step 4 — Configure salary structures: In Settings > Salary Structure: define salary components (Basic, HRA, Special Allowance, Conveyance, Medical Allowance, Other Allowances). Configure earnings (gross) and deductions (PF, ESI, PT, TDS, Loan recovery). Set component-wise calculation rules. Once configured, individual employee structures inherit from this template.
Step 5 — Enter opening balances and pending dues: For mid-year cutover (any time except April 1), enter year-to-date earnings + tax deducted as opening balances for each employee. This ensures Form 16 reflects total annual income correctly. Also enter any pending leave balances, loan balances, and reimbursements.
Step 6 — Run first month payroll in parallel: For your first month on GreytHR, run payroll in parallel with your old method (Excel, manual, or previous software). Compare gross, net, and statutory contributions employee-by-employee. Fix any discrepancies before issuing payslips. After 1 successful parallel month, you can rely on GreytHR alone.
Step 7 — Set up monthly compliance workflow: GreytHR auto-generates: PF ECR file for upload to EPFO portal, ESI challan, Form 24Q for quarterly TDS, Professional Tax challans for each state, payslips for employees. Build a monthly checklist: payroll lock by 25th, run by 28th, file PF by 15th of next month, file ESI by 15th, file TDS by 7th. Most of this is auto-generated; you just upload to government portals.

Frequently Asked Questions

How long does GreytHR setup take for a 30-employee Indian company?

2-4 hours of active work + 1 parallel-run month. Active work: signup (15 min), company profile (15 min), statutory setup (30 min), employee import (1 hour), salary structures (30 min), opening balances (30 min). The parallel-run month catches edge cases before you fully rely on it.

Does GreytHR automatically handle PF, ESI, and TDS for India?

Yes — once configured. GreytHR auto-calculates PF (12% of basic + DA capped at ₹15,000 wage), ESI (0.75% employee + 3.25% employer if gross under ₹21,000), TDS (per slabs and Section 89), Professional Tax (state-wise slabs), gratuity, and leave encashment. You only need to upload generated files to EPFO, ESIC, and TRACES portals — calculations are automated.

Can GreytHR generate Form 16 and Form 24Q at year-end?

Yes. At financial year-end (March 31), GreytHR generates Form 24Q (quarterly TDS) and Form 16 (annual TDS certificate) for each employee. Form 16 PDF is digitally signed and ready to issue to employees. The Q4 24Q file is uploaded to TRACES portal for final TDS reconciliation.

What if an employee changes salary mid-month?

GreytHR handles pro-rata calculations. Configure the salary change with an effective date — GreytHR calculates the pro-rated earnings, statutory contributions, and net pay for that month. The next month auto-adjusts to the new salary. Common cases: increments, promotions, mid-month joining/exit.

Does GreytHR integrate with biometric attendance devices in India?

Yes — direct integration with eSSL, Mantra, Realtime, Anviz, BioMax devices. Daily attendance logs flow into GreytHR for leave calculation, late mark deduction, overtime, and leave-without-pay (LWP). This is critical for accurate payroll — without attendance integration, you manually enter attendance which is error-prone.

Free GreytHR setup for Indian businesses — including statutory + biometric integration.