Zoho Payroll Review 2024: Does it Beat Other Payroll Software?
September 16 2024
Zoho Payroll comes from a renowned brand like Zoho, and for many startups and SMEs, it was an obvious choice. Because their business already runs on multiple Zoho products, getting Zoho Payroll as their payout solution only made sense.
However, after reading a few Reddit threads, we can safely say that some startups struggle with this tool. Features like an inflexible payroll schedule and the absence of on-off payroll are not scalable for startups as they grow their teams.
If you are considering signing up for Zoho Payroll, we would suggest reading this Zoho Payroll review before making a final call.
Let’s get to it.
TL;DR
Zoho Payroll is a compliant payroll software
It offers three pricing tiers: Free (up to 10 employees), Standard (₹50/user/month), and Professional (₹75/user/month)
The software has limitations for growing businesses, including minimum user commitment and feature restrictions in lower-tier plans
Users praise its simple interface and integration with Zoho People but criticise its rigidity, lack of customisation, and poor customer support
The review suggests that Zoho Payroll may not be ideal for rapidly growing startups and recommends exploring alternatives like Craze for more flexibility
What is Zoho Payroll?
Zoho Payroll is simple, compliant payroll software by Zoho that connects with other Zoho products.
Comprehensive Overview of Zoho Payroll Features
In this section, we will break down the different features of Zoho Payroll.
Automates payroll calculation, payslip generation, and breakdown of tax policies, allowances and deductions
Compatible with multiple salary structures for different designations
Transfers salaries to employees’ bank accounts directly
Ensures statutory payroll compliance and generates PF, PT, ESI, IT and similar tax reports
Self-service portals to speed up employee operations and collaborations
Automate privileges, benefits and perks
Multiple role-based admin access to protect the privacy of payroll operations
Our Take on Zoho Payroll’s Pricing: Does it Fit a Startup’s Budget?
Let us assess Zoho Payroll’s pricing in detail:
Free Forever: Costs ₹0 and accommodates up to 10 employees. It provides limited access to features like automated payroll calculation, payslip generation, compliance, etc. However, you won’t have access to salary templates, custom salary components, loans and advances, etc.
Standard: Costs ₹50/user/month and accommodates a minimum of 25 employees. The Standard plan provides access to features like salary templates and components, loans, letter templates, statutory bonuses, etc. However, you won’t have access to reporting tags, bonuses, custom fields and similar personalised features.
Professional: This plan costs ₹75/user/month and accommodates a minimum of 50 employees. It provides access to all the features in the Standard plan along with more custom features like bonus and off-cycle pay runs, salary revision, reporting tags, custom reminders, etc.
*Pricing as of 16th September, 2024
Is Zoho Payroll pricing apt for startups and growing businesses?
We believe Zoho Payroll may not be the best choice for startups and SMEs. Here’s why:
Startups might start with small teams, but eventually, startups hire more people for their teams. However, looking at the pricing plans offered by Zoho Payroll, it is clear that there are only minimum commitments when it comes to accommodating more employees as the startup grows. Standard and Professional plans need minimum user commitment of 25 and 50 respectively making startups pay more than the actual number of users in many cases.
Zoho Payroll locks feature as part of different pricing plans. If you opt for the Free Forever plan simply because you have a small team of less than ten employees, you won’t get access to the advanced features. This is also true for the Standard plan. To use the advanced and custom features, you will need to spend ₹75/user/month and opt for the Professional plan
There are additional costs and charges for fast support and implementation
Startups and growing businesses rather require payroll software where they can accommodate their existing team as it scales. Additionally, the per-user/per-month pricing is fine. Still, startups, even small teams of less than 10 members, seek access to all advanced features to run their payroll operations on autopilot.
Wondering if such a software exists? Introducing Craze pricing.
Craze payroll costs ₹60/user/month and provides access to all advanced payroll features, such as automated payroll calculation, compliance, support, and so on. You can accommodate unlimited users and process the salaries and payments of employees, freelancers, and interns within the same dashboard.
You will also need to opt for Craze’s Core HR plan (Costing ₹40/user/month), which is mandatory.
User Feedback: Are Zoho Payroll Users Happy with this Software?
We have assessed users’ reviews across platforms like Software Suggest and Capterra to understand what the existing users of Zoho Payroll feel about the product:
Zoho Payroll positive reviews
Question: What do you like about Zoho Payroll?
Oladipo - “Zoho payroll software dashboard is simple and easy to navigate around.”
K Lakshmi - “A simple and very efficient software to manage your payroll needs. The product can be easily used by any layman user. Does not require any big learning curve. Combined with Zoho people it will be a good product for any small or medium-sized cos.” Source
Zoho Payroll negative reviews
Question: What do you dislike about Zoho Payroll?
K Lakshmi - “There are some rigid things. You will have issues if you don't exit a person on the last day of the month. If you miss the date then you cannot mark the correct date since the system will not allow it as a new month is already there.” - Source
Achyuthanand - “Poor customer support, not at all customisable, will need to change your policies to match with ZOHO payroll. It will give weird problems at times which will take a lot of time of yours to sort out , and the customer support is so bad that they will not even acknowledge the issue. The biggest problem is that now we need to make a lot of effort to switch to a new HRMS.” - Source
Tarun K - “Can not be much customized in comparison to other Zoho Products. Calculation of yearly bonus as per payment of Bonus Act is not available. Multi-level approvals not available.” - Source
Overall verdict of Zoho Payroll
Pros:
Simple user interface and dashboard
Narrow learning curve
Integrates with Zoho People and other Zoho products
Cons:
Software is rigid, not flexible. You cannot change the payroll calendar and schedule after setting it once
One-off payroll is not available. You have to make all payouts at the same time
Poor and unresponsive customer support
Limited customization options
Multi-level approval workflows are not available
Related Articles
Final Verdict based on Zoho Payroll Reviews
Based on our analysis of Zoho Payroll and after reading the reviews of existing users, it is clear that Zoho Payroll is not an apt solution for growing startups and SMEs. It is an efficient product for small businesses with limited team members or solopreneurs running simple payroll operations.
However, when you onboard more team members, Zoho Payroll collapses. First, there are minimum commitments. Second, it locks critical features and doesn’t allow flexible payroll operations. Third, you only get limited support.
Therefore, growing businesses should explore more Zoho Payroll alternatives.
5 Zoho Payroll Alternatives for Startups in India
Craze
Craze is an HRMS platform offering payroll, core HR operations, leave management, attendance management and equipment within the same dashboard. It helps startups and growing businesses to accommodate unlimited employees with simple, easy-to-set-up payroll operations.
Craze onboards startups within hours, calculates payroll end-to-end and processes payouts within scheduled dates through one-click payments.
Unlike Zoho Payroll, Craze offers access to all advanced payroll features with the users, including compliance, approval workflows, access control and permissions, account integrations, salary revisions, and so on.
Read more about Craze vs. Zoho Payroll
Here’s what Craze customers say about the product 👇
RazorpayX Payroll
RazorpayX Payroll offers access to automated payroll solutions for both startups and enterprises.
GreytHR
GreyHR’s free plan is suitable for small businesses that want to manage basic HR and payroll operations.
Keka
Keka is an all-in-one HRMS platform offering access to payroll and other HR activities.
Kredily
Kredily simplifies payroll calculation and payslip generation for mid-size businesses.
Conclusion
We hope this piece helps you get a clear picture of Zoho Payroll and whether it will be a suitable platform for your business.
If you are considering exploring Zoho Payroll alternatives, our vote goes to Craze payroll. Here’s why:
Craze helps startups build their people operations from scratch
Craze is affordable and doesn’t lock up access to advanced payroll features
Craze comes with responsive support that’s always ready to help
Want to explore Craze first-hand?
FAQs
What types & sizes of businesses benefit most from using Zoho Payroll?
Zoho Payroll is best suited for small businesses with limited team members or solopreneurs running simple payroll operations. It can accommodate up to 50 employees maximum, making it less ideal for rapidly growing startups or larger companies.
Is immediate support available with Zoho Payroll?
Zoho Payroll's customer support is poor and unresponsive. The article doesn't mention any immediate support options.
Does Zoho Payroll include features for payroll and compliance management?
Yes, Zoho Payroll offers features for payroll calculation, payslip generation, and statutory compliance including PF, PT, ESI, and IT reporting. However, some users note limitations in customization and flexibility.
Is there a mobile app available for Zoho Payroll?
Zoho Payroll doesn’t have a dedicated app but it offers mobile accessibility.
