Salary Benchmarking Data for Indian MSMEs: 2026 Insights

Discover the latest salary benchmarks for IT, Manufacturing, and Retail sectors across Tier 1 and Tier 2 cities in India for FY 2026-27.

To attract and retain top talent, MSMEs need to offer competitive compensation packages. Based on aggregated and anonymized payroll data processed through the AccoNova platform in early 2026, we have compiled this Salary Benchmarking Guide for common roles in India.

Last Updated: June 2026

Salary Benchmarks by Industry (Average CTC in INR)

1. IT & Software Services (Tier 1 Cities: Bengaluru, Pune, Hyderabad)

Role0-2 Years Exp3-5 Years Exp5-8 Years Exp
Frontend Developer₹4.5L - ₹7.0L₹8.0L - ₹14.0L₹15.0L - ₹24.0L
Backend Developer₹5.0L - ₹8.0L₹9.0L - ₹16.0L₹16.0L - ₹28.0L
QA Engineer₹3.5L - ₹5.5L₹6.0L - ₹10.0L₹11.0L - ₹18.0L
UI/UX Designer₹4.0L - ₹6.5L₹7.5L - ₹12.0L₹13.0L - ₹22.0L

2. Manufacturing & Engineering (Tier 2 Cities: Coimbatore, Nashik, Ludhiana)

Role0-2 Years Exp3-5 Years Exp5-8 Years Exp
Production Engineer₹2.5L - ₹3.8L₹4.0L - ₹6.5L₹7.0L - ₹11.0L
Quality Inspector₹2.0L - ₹3.0L₹3.2L - ₹4.8L₹5.0L - ₹8.0L
Plant ManagerN/A₹6.0L - ₹9.0L₹10.0L - ₹15.0L
Maintenance Tech₹1.8L - ₹2.5L₹2.8L - ₹4.0L₹4.5L - ₹6.5L

3. Retail & E-commerce Operations (Pan-India)

Role0-2 Years Exp3-5 Years Exp5-8 Years Exp
Store Manager₹3.0L - ₹4.5L₹5.0L - ₹7.5L₹8.0L - ₹12.0L
Supply Chain Exec₹2.8L - ₹4.0L₹4.5L - ₹7.0L₹7.5L - ₹11.0L
Customer Support₹2.2L - ₹3.5L₹3.8L - ₹5.5L₹6.0L - ₹8.5L

Our data highlights a shift in how CTCs are structured:

  1. Higher Basic Salary Component: To comply with impending Wage Code regulations, companies are shifting allowances into the basic salary to ensure it forms at least 50% of the total CTC.
  2. Variable Pay Increase: Startups and MSMEs are heavily utilizing performance-linked bonuses, forming up to 15-20% of the CTC for senior roles.
  3. Flexible Benefit Plans (FBP): Offering tax-saving components like Food Allowances, Internet Allowances, and LTA within the CTC structure has become standard practice.

Managing Compensation with AccoNova

Designing the perfect CTC structure without violating Minimum Wage or PF laws is challenging. AccoNova’s built-in CTC Calculator allows HR teams to input a target CTC, and the engine automatically backwards-calculates the Basic, HRA, and PF components to ensure 100% legal compliance.

Methodology: Data derived from 120,000+ anonymized salary slips generated via AccoNova HRMS between Jan-May 2026.

Ready to automate your HR operations?

Stop doing manual calculations. Switch to AccoNova's zero-touch payroll system today.

Get Started for Free