Fully loaded employer cost for remote workers in India, 2026.
Base salary plus statutory contributions, equipment, facilities, and overhead, expressed as monthly employer cost in USD.
Last updated: May 2026"Fully loaded employer cost" is the total monthly expenditure an organization incurs to employ a remote worker in India, beyond the base salary paid to the employee. It includes statutory contributions mandated by Indian law, equipment provision, internet reimbursement, and an estimate of management overhead. It does not include income taxes paid by the employee, optional benefits such as private health insurance, or equity compensation.
For organizations employing workers directly in India, these contributions are calculated and remitted by the employer. Managed remote workforce providers such as F5 Hiring Solutions absorb statutory contributions, equipment, and overhead into a single all-inclusive rate. The breakdown below reflects the underlying components those providers must cover.
Base salary figures are drawn from Salaries — India (median monthly USD for each role). For full methodology, see Methodology.
Statutory contributions — India
The following statutory contributions apply to employers with employees in India. Rates reflect 2025–2026 government schedules.
| Contribution | Employer Rate | Wage Base | Notes |
|---|---|---|---|
| Employees' Provident Fund (EPF) [1] | 12% | Basic salary | Employer 12% split: 3.67% to EPF, 8.33% to EPS (Employee Pension Scheme). Basic typically 40–50% of CTC. |
| Employees' State Insurance (ESI) [2] | 3.25% | Gross wages ≤ ₹21,000/month | ESI does not apply to roles in this dataset. All roles report gross wages above the ₹21,000 threshold at international remote rates. |
| Gratuity (Payment of Gratuity Act) [3] | 4.81% of basic | Basic salary | Formula: 15/26 × basic salary per year × years of service. Monthly reserve: 4.81% of basic ≈ 1.92% of gross CTC. |
| Professional Tax | ≤ ₹2,400/year | State-levied | Karnataka and Maharashtra impose a maximum of ₹2,400/year (₹200/month). Modeled at $2/month. |
- Employees' Provident Fund Organisation — Contribution Rate PDF. epfindia.gov.in/site_docs/PDFs/MiscPDFs/ContributionRate.pdf. Accessed May 2026.
- Employees' State Insurance Corporation — Contribution Rates. esic.gov.in/contribution. Accessed May 2026.
- Payment of Gratuity Act 1972 (amended). Greythr — Decoding PF, ESI and Gratuity Regulations. greythr.com/blog/decoding-pf-esi-and-gratuity-regulations/. Accessed May 2026.
Methodology note: EPF is calculated on basic salary, modeled at 40% of gross CTC. Effective EPF rate on gross CTC: approximately 4.8%. Gratuity reserve effective rate on gross CTC: approximately 1.9%. Management overhead (7.5%) is an industry-typical estimate for managed-service arrangements and should be understood as approximate. Equipment is amortized over 36 months at Dell India/Lenovo India pricing (accessed May 2026).
Monthly employer cost by role
The tables below apply the statutory and additional cost components to the median base salary for each role. Figures represent the monthly total an employer incurs per worker at median pay, before optional benefits.
| Role | Base Salary | EPF 12%* | Gratuity 4.81%* | Equipment | Internet | Mgmt Overhead† | Training | Total Monthly |
|---|---|---|---|---|---|---|---|---|
| Software Engineer, mid-level | $1,800 | $86 | $35 | $45 | $15 | $135 | $25 | $2,143 |
| Senior Software Engineer | $2,900 | $139 | $56 | $45 | $15 | $218 | $25 | $3,400 |
| Full-Stack Developer | $2,000 | $96 | $38 | $45 | $15 | $150 | $25 | $2,371 |
| DevOps Engineer | $2,400 | $115 | $46 | $45 | $15 | $180 | $25 | $2,828 |
| Data Analyst | $1,400 | $67 | $27 | $45 | $15 | $105 | $25 | $1,686 |
| Data Scientist | $2,100 | $101 | $40 | $45 | $15 | $158 | $25 | $2,486 |
| QA Engineer | $1,100 | $53 | $21 | $45 | $15 | $83 | $25 | $1,344 |
| AI / ML Engineer | $3,500 | $168 | $67 | $45 | $15 | $263 | $25 | $4,085 |
| Mobile Developer (iOS / Android) | $2,100 | $101 | $40 | $45 | $15 | $158 | $25 | $2,486 |
* Calculated on basic salary assumed at 40% of gross CTC, per common employer practice. EPF employer rate: 12%. Gratuity reserve: 4.81% of basic (Payment of Gratuity Act formula: 15/26 × basic per year).
† Management overhead is an industry-typical estimate (7.5% of base salary) for organizations using managed remote workforce providers. Not a quoted rate from any specific provider. Professional tax of $2/month (Karnataka/Maharashtra model) included in Total Monthly but shown as rounding in column values.
| Role | Base Salary | EPF 12%* | Gratuity 4.81%* | Equipment | Internet | Mgmt Overhead† | Training | Total Monthly |
|---|---|---|---|---|---|---|---|---|
| UI / UX Designer | $1,300 | $62 | $25 | $45 | $15 | $98 | $25 | $1,572 |
| Product Manager | $3,000 | $144 | $58 | $45 | $15 | $225 | $25 | $3,514 |
| Project Manager | $2,000 | $96 | $38 | $45 | $15 | $150 | $25 | $2,371 |
| Customer Support Specialist | $700 | $34 | $13 | $45 | $15 | $53 | $25 | $887 |
* Calculated on basic salary assumed at 40% of gross CTC, per common employer practice. EPF employer rate: 12%. Gratuity reserve: 4.81% of basic (Payment of Gratuity Act formula: 15/26 × basic per year).
† Management overhead is an industry-typical estimate (7.5% of base salary) for organizations using managed remote workforce providers. Not a quoted rate from any specific provider. Professional tax of $2/month (Karnataka/Maharashtra model) included in Total Monthly but shown as rounding in column values.
| Role | Base Salary | EPF 12%* | Gratuity 4.81%* | Equipment | Internet | Mgmt Overhead† | Training | Total Monthly |
|---|---|---|---|---|---|---|---|---|
| Medical Billing Specialist | $800 | $38 | $15 | $45 | $15 | $60 | $25 | $1,000 |
| CAD Drafter | $650 | $31 | $13 | $45 | $15 | $49 | $25 | $830 |
* Calculated on basic salary assumed at 40% of gross CTC, per common employer practice. EPF employer rate: 12%. Gratuity reserve: 4.81% of basic (Payment of Gratuity Act formula: 15/26 × basic per year).
† Management overhead is an industry-typical estimate (7.5% of base salary) for organizations using managed remote workforce providers. Not a quoted rate from any specific provider. Professional tax of $2/month (Karnataka/Maharashtra model) included in Total Monthly but shown as rounding in column values.
Edited by Joel Deutsch, Remote Workforce Cost Index. Statutory rates sourced from EPFO and ESIC (May 2026). Salary data from Glassdoor India, Payscale India, Indeed India, and Arc.dev (May 2026). See Methodology for full source list and limitations.