Fully loaded employer cost for remote workers in India, 2026.
Two scenarios: local employer base and US employer remote base, both with full India statutory costs, equipment, and overhead. Monthly cost in USD.
Last updated: May 2026This page reports fully loaded monthly employer cost for remote workers in India under two base salary scenarios. The local scenario applies India statutory contributions to the local employer median salary from Salaries — India (Glassdoor/Payscale/Indeed sources). The US remote scenario applies the same statutory contributions to the US employer remote median salary from the same page (Arc.dev or BLS OES May 2024 offshore-discount estimate). The statutory contribution rates, equipment costs, and overhead estimate are identical in both scenarios — only the base salary differs.
"Fully loaded cost" includes EPF, gratuity reserve, professional tax, equipment amortization, internet stipend, management overhead, and a training reserve. It does not include income taxes paid by the employee, optional benefits, or equity. For full methodology, see Methodology.
Statutory contributions — India
Rates reflect 2025–2026 government schedules and apply equally to both scenarios.
| 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. Basic modeled at 40% of CTC; effective rate on gross ≈ 4.8%. |
| Employees' State Insurance (ESI) [2] | 3.25% | Gross wages ≤ ₹21,000/month | ESI does not apply to any role in this dataset. All roles exceed the ₹21,000 threshold at international remote compensation levels. |
| Gratuity (Payment of Gratuity Act) [3] | 4.81% of basic | Basic salary | Formula: 15/26 × basic 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 cap at ₹200/month. Modeled at $2/month for all roles. |
- 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.
Scenario comparison — all roles
The table below compares total monthly employer cost under both scenarios for all 15 roles. Base salary source for each scenario is documented in Salaries — India.
| Role | Local Base | Local Total | US Remote Base | US Remote Total |
|---|---|---|---|---|
| Software Engineer, mid-level | $1,800 | $2,143 | $4,077 | $4,744 |
| Senior Software Engineer | $2,900 | $3,400 | $5,229 | $6,060 |
| Full-Stack Developer | $2,000 | $2,371 | $4,020 | $4,679 |
| DevOps Engineer | $2,400 | $2,828 | $4,241 | $4,932 |
| Data Analyst | $1,400 | $1,686 | $3,000 | $3,514 |
| Data Scientist | $2,100 | $2,486 | $4,207 | $4,893 |
| QA Engineer | $1,100 | $1,344 | $2,039 | $2,416 |
| AI / ML Engineer | $3,500 | $4,085 | $4,800 | $5,569 |
| Mobile Developer (iOS / Android) | $2,100 | $2,486 | $3,964 | $4,614 |
| UI / UX Designer | $1,300 | $1,572 | $3,000 | $3,514 |
| Product Manager | $3,000 | $3,514 | $5,000 | $5,798 |
| Project Manager | $2,000 | $2,371 | $3,100 | $3,629 |
| Customer Support Specialist | $700 | $887 | $1,150 | $1,400 |
| Medical Billing Specialist | $800 | $1,000 | $1,350 | $1,629 |
| CAD Drafter | $650 | $830 | $1,800 | $2,143 |
US employer remote scenario — detailed breakdown
The tables below show the full cost breakdown for the US employer remote scenario by section. The local scenario follows the same formula applied to the local base salary; detailed local breakdowns are available on request or derivable from the salary and statutory rate data on this page.
Methodology note: EPF is calculated on basic salary modeled at 40% of gross CTC. Effective EPF rate on gross: approximately 4.8%. Gratuity effective rate on gross: approximately 1.9%. Management overhead (7.5%) is an industry-typical estimate for managed-service arrangements. Equipment is amortized over 36 months at Dell India/Lenovo India pricing (accessed May 2026).
| Role | Base Salary | EPF 12%* | Gratuity 4.81%* | Equipment | Internet | Mgmt Overhead† | Training | Total Monthly |
|---|---|---|---|---|---|---|---|---|
| Software Engineer, mid-level | $4,077 | $196 | $78 | $45 | $15 | $306 | $25 | $4,744 |
| Senior Software Engineer | $5,229 | $251 | $101 | $45 | $15 | $392 | $25 | $6,060 |
| Full-Stack Developer | $4,020 | $193 | $77 | $45 | $15 | $302 | $25 | $4,679 |
| DevOps Engineer | $4,241 | $204 | $82 | $45 | $15 | $318 | $25 | $4,932 |
| Data Analyst | $3,000 | $144 | $58 | $45 | $15 | $225 | $25 | $3,514 |
| Data Scientist | $4,207 | $202 | $81 | $45 | $15 | $316 | $25 | $4,893 |
| QA Engineer | $2,039 | $98 | $39 | $45 | $15 | $153 | $25 | $2,416 |
| AI / ML Engineer | $4,800 | $230 | $92 | $45 | $15 | $360 | $25 | $5,569 |
| Mobile Developer (iOS / Android) | $3,964 | $190 | $76 | $45 | $15 | $297 | $25 | $4,614 |
* Calculated on basic salary assumed at 40% of gross CTC. 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). Not a quoted rate from any specific provider. Professional tax of $2/month (Karnataka/Maharashtra model) included in Total Monthly.
| Role | Base Salary | EPF 12%* | Gratuity 4.81%* | Equipment | Internet | Mgmt Overhead† | Training | Total Monthly |
|---|---|---|---|---|---|---|---|---|
| UI / UX Designer | $3,000 | $144 | $58 | $45 | $15 | $225 | $25 | $3,514 |
| Product Manager | $5,000 | $240 | $96 | $45 | $15 | $375 | $25 | $5,798 |
| Project Manager | $3,100 | $149 | $60 | $45 | $15 | $233 | $25 | $3,629 |
| Customer Support Specialist | $1,150 | $55 | $22 | $45 | $15 | $86 | $25 | $1,400 |
* Calculated on basic salary assumed at 40% of gross CTC. 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). Not a quoted rate from any specific provider. Professional tax of $2/month (Karnataka/Maharashtra model) included in Total Monthly.
| Role | Base Salary | EPF 12%* | Gratuity 4.81%* | Equipment | Internet | Mgmt Overhead† | Training | Total Monthly |
|---|---|---|---|---|---|---|---|---|
| Medical Billing Specialist | $1,350 | $65 | $26 | $45 | $15 | $101 | $25 | $1,629 |
| CAD Drafter | $1,800 | $86 | $35 | $45 | $15 | $135 | $25 | $2,143 |
* Calculated on basic salary assumed at 40% of gross CTC. 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). Not a quoted rate from any specific provider. Professional tax of $2/month (Karnataka/Maharashtra model) included in Total Monthly.
Edited by Joel Deutsch, Remote Workforce Cost Index. Statutory rates sourced from EPFO and ESIC (May 2026). US employer remote salary data from Arc.dev and BLS OES (May 2026). Local salary data from Glassdoor India, Payscale India, and Indeed India (May 2026). See Methodology for full source list and limitations.