All of the software that we’ve discussed here is completely free in some form or another. Some of them put a user cap of either 5 or 50 employees, while others have free unlimited basic plans, or cost nothing because they are open source. 

Below, you can compare each of these options according to their pricing model to see just how free are they, what’s their catch, and which one does fit your needs: 

In case you’re new to HR software, what kind of features should you prioritize in your pick? Although these are free, it might not make sense to base your selection solely on the number of features, while certain options could work better in regard to user experience and integrations, for instance, even if their feature list is shorter. 

HR management software can be the difference between overstaffing the HR department, perhaps even the company, or making all HR processes as productive and efficient as they can be. However, to achieve that ideal scenario, your HR tool of choice should have all the features you need or it’s going to be back to square one. 

In that spirit, let’s take a look at the common features that most HR professionals consider must-haves: 

1. Employee management: This feature will have the employee database at its core and is where you can keep track of most things about the relationship of an employee with the company. A high-end employee management feature should include self-service, meaning that the employee can also access and update his or her information.
   
2. Performance Reviews: Since every employee’s information should already be within the HR system, it makes sense for their evaluation to be managed there as well. This tool should allow feedback to be gathered from both parts and is also where new goals can be set for workers & teams.
   
3. Payroll Processing: The best HR software usually comes with a fully-functioning tool to manage payroll and keep track of salaries. However, since payroll and accounting practices can vary depending on your location, many vendors prefer to sit this one out. If your HR tool doesn’t come with this function, it’s imperative that it can integrate easily with a payroll processing system.
   
4. Recruitment & Onboarding: If the idea is to concentrate all employee data in one place, why not handle recruitment from there as well? Many HRMS come with a basic Applicant Tracking System that can do everything from publish a job posting to onboarding a new employee. ‍
5. Time Off Management: Any HR professional knows that keeping track of employee schedules and time-off is one of the department's main functions. The HR solution should have a module or app that addresses this as well, whether it’s through time-tracking (if you need that), attendance-keeping, as well as eliminating complexities from the leave request process. Bonus points if it also comes with a calendar that every employee can consult in order to know who’s off on a given day.

So let’s say you’ve selected 1 or 3 options for your new HR management software that are likely to fulfill your business needs. Then, the next step would be to give them all a try and see for yourself which one works best. Now, while most of the tools we’ve listed here are extremely easy to get started with (as in, just create a user, a password, and use the web version), most of them also give you the option of requesting a demo.  

Whether you’re asking for a demo or just using the software for the first time, it’s wise to step into it with a game plan and some key questions in mind. For this, you should first decide the needs of your organization, the key tasks and HR processes that need to be automated or managed, and any particular integrations you may require.

After doing such a self-analysis, you should come up with a list of questions like the following. 

• What are the key features I want to try out and validate?
• How will this solution fit into the rest of my tech stack and therefore what integrations do I need?
• How will others in the organization use this solution?
• How can this tool improve the experience of our applicants? 
• What are the things that would make me or my coworkers nervous about switching our current processes to this platform? 
• How is employee data kept safe if trusted to this vendor? 
• What conclusions can I start to make about the quality of customer support? Is there a help center? Are the support articles clear and easy to read? 
  
  

Once you select the HR system that is right for you, the implementation process will vary depending on their operation. If you’re talking about an open-source solution like OrangeHRM or Sentrifugo, the process will likely entail a lot of communication and collaboration with their team. On the far other end of the intricacy spectrum, a cloud-based tool like Freshteam or SnapHRM gets you up and running within minutes. Each vendor page will explain their particular process in much more detail, and many will call or email you shortly after you’ve set up an account or asked for a demo in order to address questions or solve any issues you might be having.

What is free HR software?

Free HR software is any tool or solution that aims to improve the functionality of a company’s HR team.

What does HRIS stand for?

HRIS stands for Human Resource Information System.

What does HCM stand for?

HCM stands for Human Capital Management.

What does HRMS stand for?

HRMS stands for Human Resource Management System.

What’s the difference between HRIS, HCM, and HRMS?

On a surface level, there isn’t a huge difference between HRIS, HCM, and HRMS. They are all people management systems for companies. However, there can be some subtle differences. An HRIS is an all-encompassing in-house software for managing people, procedures and policies. An HCM has all the features of an HRIS, but often includes talent management capabilities. An HRMS has all of the features of an HRIS and HCM, but often includes payroll and time and labor management capabilities.

Why use free HR software?

Reasons to use free HR software include: saving time with automation, improving employee experience, improving employee performance, increased compliance, better organization, streamlined hiring, better business intelligence, and workforce management.

What are some key features of free HR software?

There are many key features of free HR software, such as: employee self-service portal, time and attendance management, onboarding capability, custom reporting, benefits administration, employee database, recruiting functionality, training and development management, company document storage, and compensation management.

What is the best free HR software?

The best free HR software solutions are:

• Freshteam: Best HR software for growing businesses
• Homebase: Free HR tool for hourly work
• BambooHR: Super trusted vendor
• Bitrix: Limited HR Functions, Countless Free Products
• Odoo: HR tools as standalone apps
• HRnest: Module-based pricing
• Orange HR: Classic solutions for HRM
• SnapHRM: HR management solution
• Sentrifugo: Open-source HRMS
• WebHR: Free & low-cost scalable tool
• UZIO: Low-cost integrated solution
• Zoho: Free tool from a top vendor‍
• IceHRM: Lite, cloud, or open-source