EOR vs Own Entity: India Cost Calculator

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EOR vs Own Entity: India Cost Calculator

See the real numbers. Compare the true cost of Versatile EOR against setting up your own Private Limited company in India. Fill in your details below to get an instant breakdown.

Own Entity

One-time Setup
Incorporation 3,50,000
Registrations (GSTIN, PF, ESI) 1,50,000
Legal & Advisory 1,80,000
One-time Total 6,80,000
Annual Ongoing
Salaries 75,00,000
HR & Admin Team 3,60,000
Office & Infrastructure 2,40,000
Bookkeeping & Tax 2,40,000
Statutory Audit 2,00,000
Company Secretary 1,20,000
Legal Retainer 1,80,000
Group Health Insurance 50,000
Annual Ongoing 88,90,000
Year 1 Total
Total Year 1 95,70,000
Best for you

Versatile EOR

One-time Setup
Setup Fee 0
One-time Total 0
Annual Costs
Salaries 75,00,000
EOR Fee ($149/mo per emp) 1,07,64,000
First Month Free Discount -8,97,000
Insurance Included
Annual Total 1,73,67,000
Year 1 Total
Total Year 1 1,73,67,000

You Save with Versatile EOR

Year 1 Savings
-0
Monthly Savings (Year 1)
-0
Entity Overhead
0%
EOR Overhead
0%

At 50 employees, setting up an entity may become more cost-effective. Versatile can support your transition from EOR to entity when you reach this scale.

Year 1 Cost Comparison

Total Year 1 Cost
95,70,000
Own Entity
1,73,67,000
Versatile EOR
What is an EOR? An Employer of Record (EOR) in India is a local entity that legally employs workers on behalf of a foreign company, handling payroll, compliance, and statutory filings. Setting up your own Private Limited company in India costs Rs 6-8 lakh in Year 1 setup fees alone, plus Rs 12-15 lakh annually in overhead for HR, legal, audit, and office. Versatile's EOR service costs $149 per month per employee with no setup fees, making it 40-60% cheaper for teams of 1-15 people. Source: Versatile India EOR Data 2026.

Frequently Asked Questions

For teams under 15 people, Versatile EOR is almost always cheaper. At 25-30 employees, the math gets closer. At 50+ employees, your own entity overhead might be lower per person because you're spreading the fixed costs (audit, CS, legal) across more salaries. Run the calculator above with your expected headcount to see the exact breakeven. Versatile can also help you transition from EOR to your own entity when you reach that scale.

Versatile EOR ($149/month per employee) includes full payroll processing, statutory filings (EPFO, ESIC, PT), compliance with New Labour Code 2025-26, group health insurance, and onboarding in 5 days. You do not pay for HR team, office space, audit, or legal retainers separately. It is one all-in fee.

Month 1 EOR fee is completely free. This is risk reversal. You see us deliver payroll, compliance, and support before you pay. If we do not meet your onboarding timeline or service standards, you can walk away on day 31 with zero cost. Month 1 managed payroll is also free if you request it.

Your invoice is in fixed USD (or GBP). No FX exposure. A Bangalore engineer on 15 lakh INR per year costs you $149 per month EOR fee in fixed USD, not an INR estimate that shifts with the rupee. This is structural. Versatile invoices you, not the other way around.

Ready to compare with real numbers?

Talk to our team about your hiring timeline, compliance needs, and which model makes sense for your company.

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