Employer of Record
India's Code on Wages lets the floor wage vary by area, so each state's minimum wage must meet or exceed the applicable floor, and EPF enrollment depends on joining wage, existing-member status and, above the ceiling, a joint employer-employee option, alongside monthly TDS withholding. Share the role, work state and start date, and PIO confirms the arrangement, then coordinates payroll, TDS and EPF enrollment.
Practical points to line up before you hire in India.
For salary paid from 1 April 2026, employers deduct TDS under section 392(1) of the Income-tax Act, 2025, at the average rate of income tax worked out on the employee's estimated salary for the year, remitting it to the Income Tax Department and revising that average rate during the year as pay, bonuses or declarations change.
Source:Income-tax Act, 2025 (as amended by the Finance Act, 2026)
Joining the Employees' Provident Fund depends on the business being a covered establishment and the employee not falling into an excluded category. A new joiner is enrolled automatically only if wages at joining are at or below the scheme ceiling. An existing member stays enrolled even after pay rises above that ceiling, while a joiner above it can only join via the joint option employer and employee agree to.
The Code on Wages sets baseline rules on wage periods and the timing of payment, and it caps the total deductions an employer can make from an employee's pay in a given period. We help align your payroll calendar and deduction practices with these baseline requirements.
Source:Code on Wages, 2019
The Code on Wages also lets the Central Government set floor wages that can differ by area, and the minimum wage that applies to a role — fixed by the central or state government and which can vary further by skill level and category of work — can never fall below whichever floor applies in that area; equal pay for equal work is required regardless of gender.
Source:Code on Wages, 2019
Once your hire is confirmed, here's what we help you coordinate.
You stay in control of the decisions that are yours to make.
A straightforward path from sign-up to your employee's first day.
Share the role, the work location and your target start date, and we'll confirm the available arrangement for that hire.
Once confirmed, we help coordinate the information, contract and payroll setup needed within your arrangement.
You manage the day-to-day relationship; we help coordinate the recurring administration within your arrangement.
TDS isn't a flat percentage. Under section 392(1) of the Income-tax Act, 2025 — which governs salary paid on or after 1 April 2026 — employers estimate the employee's total salary for the year, work out the average rate of income tax on that estimate, and withhold at that average rate each pay cycle. Section 392(5) lets the employer revise the average rate during the year as bonuses, increments or new declarations change the estimate, so getting the first cycle right, and updating it as pay changes, is part of setting up compliant payroll for the role.
Source:Income-tax Act, 2025 (as amended by the Finance Act, 2026)
It depends on more than one condition: EPF membership requires a covered establishment and an employee who isn't in an excluded category. Within that, a new joiner is enrolled automatically only if wages at joining are at or below the scheme's wage ceiling; someone already an EPF member before joining generally stays enrolled even if pay later rises above that ceiling. A new hire joining above the ceiling isn't enrolled automatically — they can only be added through the scheme's joint-option route, which requires the employer and employee to agree together, not the employee's choice alone.
Yes — sign up to confirm the role, the candidate and the country details, and we'll confirm the available arrangement for your hire, including how the contract, payroll and statutory responsibilities are handled.
The Code on Wages consolidated four older laws on wage payment, minimum wages, bonus and equal remuneration into a single statute, so one set of rules now governs wage periods, payment timing and the cap on permitted deductions. We align your payroll calendar and deduction practices with that consolidated framework rather than the older, separate rules it replaced.
Source:Code on Wages, 2019
Neither on its own — the Code on Wages lets the Central Government set floor wages that can differ from area to area rather than one uniform national figure, and the appropriate central or state government then fixes the minimum wage for a role on top of whichever floor applies there, which can vary further by skill level and category of work. So the figure a hire is entitled to always depends on the work state, area and job category.
Source:Code on Wages, 2019
You provide the role details, compensation and any company-specific policies, plus final approval on the offer. We coordinate the local paperwork and payroll setup around what you decide.
Practical guidance is grounded in these official references, but local law and public requirements can change and should be reconfirmed. Your PIO contract and quote govern only PIO's service scope, terms and fees.
Sign up to start an EOR hire in India. Share the role, the work location and your target start date, and we'll confirm the available arrangement — or book a demo first to talk it through with our team.
