The verdict in three sentences
For a group of 650 employees across 14 sites with different employment agreements, an off-the-shelf HRIS costs 31,000 to 70,000 EUR a year, and it does not always cover local rules on annual leave accrual, public holidays, time off in lieu or on-call work. A custom leave and absence app costs 28,000 to 55,000 EUR excluding VAT, ships in 3 to 5 months and pays back within 26 to 36 months depending on the subscription tier you avoid. Custom makes sense when calculation rules are the real problem; SaaS remains the right call if all your sites follow one standard agreement.
What each option costs over five years
The HR director in Dublin compares two families of solutions. Modular HRIS products charge per employee per month, often with setup fees and paid add-ons for multiple agreements. A custom app requires an upfront investment followed by annual maintenance.
| Cost item (650 employees) | Off-the-shelf HRIS (estimate) | Custom app |
|---|---|---|
| Setup / configuration | 4,000 to 12,000 EUR | Included in the project |
| Initial development | 0 EUR | 28,000 to 55,000 EUR |
| Annual subscription | 31,200 to 70,200 EUR (4 to 9 EUR x 650 x 12) | 0 EUR |
| Annual hosting and maintenance | Included | 4,500 to 8,000 EUR |
| Multi-agreement module | Add-on at 1 to 2 EUR per employee per month | Built around your rules |
| Cumulative cost over 3 years | 97,600 to 222,600 EUR | 41,500 to 79,000 EUR |
| Cumulative cost over 5 years | 160,000 to 363,000 EUR | 50,500 to 95,000 EUR |
These are 2026 ballpark figures. Many groups only buy a leave module at 4 or 5 EUR, which pushes break-even closer to 36 months. However, once the HRIS requires add-ons to handle several agreements, custom pays back faster.
The feature scope that drives the price
The budget of an absence management app depends mostly on rule complexity and integrations. Here is the typical breakdown for a multi-site project.
| Module | Content | Indicative budget |
|---|---|---|
| Rules engine | Annual leave accrual, time off in lieu, carry-over, seniority, part-time, 3 to 5 agreements | 8,000 to 15,000 EUR |
| Approval workflow | Request, line manager, second level, cover, delegation during absences | 4,000 to 8,000 EUR |
| Team and site planning | Per-site view, minimum staffing ratio, understaffing alerts | 4,000 to 9,000 EUR |
| Sick leave and certificates | Document upload, statutory sick pay tracking, return-to-work alerts | 3,000 to 6,000 EUR |
| Payroll export | Monthly file for Sage, BrightPay, Thesaurus or ADP, variance checks | 3,000 to 7,000 EUR |
| Authentication and roles | Microsoft 365 SSO, per-site rights, change log | 2,500 to 5,000 EUR |
| Mobile app (PWA) | Requests from the phone, notifications | 3,500 to 5,000 EUR |
A minimal version with the rules engine, workflow and payroll export comes in around 28,000 EUR. The full version with PWA, multi-site planning and sick leave tracking approaches 55,000 EUR.
Timeline, risks and compliance
The project runs over 3 to 5 months: 3 to 4 weeks of rule scoping with payroll, 8 to 12 weeks of development, then 3 to 4 weeks of acceptance testing alongside a live payroll run. The main risk is an incomplete inventory of rules: every forgotten agreement costs an extra iteration. Under GDPR, sick leave data is sensitive; the app must restrict access to the reason, encrypt certificates and keep an access log. EU hosting is recommended.
Mini case study
Claire, HR director of a retail group in Dublin, manages 650 employees across 14 sites under three agreements. The HRIS under consideration costs 6.50 EUR per employee per month, or 50,700 EUR a year, plus 8,000 EUR of setup. The custom app is quoted at 42,000 EUR with 6,000 EUR of annual maintenance.
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- Custom, 3-year cost: 42,000 + 3 x 6,000 = 60,000 EUR
- HRIS, 3-year cost: 8,000 + 3 x 50,700 = 160,100 EUR
If she only took a leave-only SaaS module at 4 EUR (31,200 EUR a year), the monthly gap would still be about 2,100 EUR, putting payback around 20 months (42,000 / 2,100). On top of that, the payroll team saves roughly 25 hours a month on balance corrections.
FAQ
How much does a custom leave management app cost in 2026?
For a group of 300 to 1,000 employees, expect 28,000 to 55,000 EUR depending on the number of agreements, the workflow and the payroll export. Annual maintenance runs at 12 to 18% of the initial budget.
How long does it take to roll out across 14 sites?
Allow 3 to 5 months, including 3 to 4 weeks of acceptance testing alongside a real payroll cycle. Rolling out in waves of 4 to 5 sites limits balance errors.
Can the app feed our payroll software?
Yes, through a monthly export in the format expected by Sage, BrightPay, Thesaurus or ADP, for 3,000 to 7,000 EUR. A direct API is possible if the payroll vendor offers one.
When is an off-the-shelf HRIS still the better choice?
If all your sites follow one agreement and you have fewer than 150 employees, an HRIS at 4 EUR a month costs under 7,200 EUR a year. Custom would then only pay back after 6 years.
Who owns the code?
In our contracts, you own 100% of the source code and data. You can switch providers with no exit fees.
Let's scope your project. Send us your agreements, number of sites and payroll software, and we will quote a scope with a 3 to 5 month plan. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
