HR & Payroll Software


Maintain payroll & tax compliances seamlessly through Mera Online Get a Dedicated Accountant and LEDGERS compliance platform for your business.

  • Monthly Payroll
  • TDS Filing
  • ESI Filing
  • PF Filing

Pricing Summary


Need Clarification

Payroll/HR management processing

What is Payroll processing?

Payroll is a list of employees that are paid by the company. Payroll is the total amount the employers pay to the employees. A payroll function involves the development of an organization pay policy that includes flexible benefits, leave encashment policy.

Payroll management also includes payslip components like basic, variable pay, HRA, and LTA. and also gathering other payroll inputs like the organization’s food vendor supply, etc.

Payroll and HR management also involve releasing the employees’ salary, depositing the dues like TDS, PF, etc with appropriate authorities, and filing returns.

Put together Payroll processing includes the calculation of the Net Pay after the tax adjustments and other deductions.

Payroll processing and HR management

  • Payroll processing and HR management is a highly complex task for most small businesses due to the various compliance requirements in India.
  • Most startups do not even have a well-established HR system and processes leading to a discrepancy in hiring the top talents, retaining good employees, and even while building a productive workplace culture.
  • By outsourcing payroll and HR management to Mera Online CA, an individual can enjoy a stress-free and error-free payroll cycle every month.
  • Also, our HR experts can help in implementing world-class HR processes in the organization from day one to support the growth of the business.

Payroll processing in India

Pre-Payroll Activities

Defining payroll policy

The first step is wherein the policies to the bank during the payroll processes need to be established. These policies need to be approved by the management to turn these policies into standards. Policies like the Pay policy, Attendance policy, leave and benefits policy, and more.

Gathering inputs

At this stage, the inputs are gathered from various departments to ensure the accurate calculation of the payroll.

Source of Data Data Example
Employees Income tax declaration, facilities availed, and more
HR team Salary structure, eligibility for benefits
Finance team Deduction for recoveries
Leave and attendance systems Data from attendance systems, current work shift, etc.
General service providers Transport service provider, canteen vendor, etc.

This data collection can seem tedious at first but registering with Mera Online CA will make it more hassle-free.

Input validation

It is necessary to verify the validity of the data once it is gathered as a minute mistake can ruin the entire payroll process.

It is necessary to ensure that the list contains all the active employees and no records of inactive employees. Checking the data whether it adheres to the company policy. Ensure the present in the right format.

Payroll Calculation

This step is when the validated input data is fed into the payroll system for actual payroll processing. The result is the Net pay after adjusting the necessary taxes and other deductions.

Once the payroll process is over it is always better to reconcile the values and verify the accuracy to avoid further errors.

Post- Payroll

Statutory compliance

The payroll administrator needs to religiously adhere to statutory compliance. There are various statutory deductions like EPF, TDS, ESI is deducted during the payroll processing.

These deductions are then paid to the respective authorities or government bodies.

Payroll accounting

Every organization is required to maintain an accurate book of accounts and the salary that is paid for one of the significant entries in the books of accounts.


After complying with the steps above the salaries can be finally paid in cash or cheque or via bank transfers. For hassle-free transfers, it is better to have salary accounts of the employees.


Preparing a report is the last stage and it is necessary to prepare an accurate report containing information such as the department or location-wise employee cost.

Various methods of payroll management

Excel-based payroll management

At the initial stage of operations and when a company has a handful of employees they opt for excel based payroll management.

In excel based payroll management the calculation is done on excel sheets using the standard payroll calculation template. The already set mathematical formulas help the payroll officer to do the computation. But this method has many errors like

  • High chances of clerical and mathematical errors as the data are entered manually
  • Difficulty in adding and removing employees from the payroll list
  • Chances of duplicate data and omission of entries at times
  • Need to monitor the tax updates and other statutory changes like the PF, PT, etc.

Outsourcing Payroll

When the payroll is outsourced an external agency is taking care of the payroll function. The payroll service provider based on the pay cycle every month provides various other data such as the attendance, leaves, and reimbursement details.

The external service provider then computes the payroll and takes care of the statutory compliance. Since payroll is a crucial function Mera Online CA can help you comply with all the needs.

Challenges in Handling Payroll Management Process

Because of these two reasons, payroll management processing becomes difficult

The requirement of statutory compliance

Nonadherence to the statutory laws can lead to a penalty of fines and in the worst case, it will even threaten the existence of the business. However, when you register with Mera Online CA you automatically process payroll in compliance with the statutory laws.

Dependence on multiple payroll input sources

Before the payroll is processed it is necessary to get all the data together from varied sources like the attendance register conveyance facility availed record, data from the HR team like salary revision information, etc. making it a tedious process.

For years the HR and payroll managers managed the payroll on excel sheets but excel sheets have problems like dependency on excel formulas for calculation of salary, complexity in adding and removing the employees, and other limitations like manual data entry, and difficulty in extracting information.

HR & Payroll Software FAQ’s

1. What is included in Payroll activities?

08 December 2021

Payroll activities include attendance data for a particular month to capture the pays and the accurate attendance of the employees, details of new employees and employees left, the salary structure of new joiners and their bank account details, if there is any advance or incentive to be paid and if there are any special changes that are to be made to the salary structure.

2. Is payroll part of HR and Accounting?

08 December 2021

Payroll comes under both the HR and the finance departments.

3. Who prepares Payroll?

08 December 2021

The Human resource office prepares the payroll since they hold the records of the attendance and the overtime that is rendered by the employees, the accounts department prepares the payment and is subjected to approval from the head of the Agency or the representative.

Terms & Conditions

  • The above pricing is applicable for businesses with turnover upto 25 lakhs and 25 employees. In case of larger business, extra charges would be applicable.
  • The client will be responsible for verifying the information contained in such returns and/or filings prior to approving/signing such return/filing. Mera Online CA shall not be responsible for any liability that may arise on account of the information being false and/or incomplete.
  • All data provided by the Client will remain confidential with Mera Online CA unless pursuant to any order or requirement of a court, administrative agency, or other governmental body.
  • Mera Online CA shall not be responsible for any delay in making of the requisite filings and the client is solely responsible for the delay and any penalty that may be levied on account of such delay. The client should be aware of the due dates and compliances inter-alia under various laws, acts, regulations and rules and we are solely responsible for compliances under all applicable laws and shall be responsible for payment of any penalty or losses that arise on account of non-compliance of any applicable laws, rules, regulations and acts.