How much does performance appraisal software cost?

Share This Article

0 0 0 0

Oscar Wilde famously defined a cynic as, “A man who knows the price of everything and the value of nothing.”


Mr. Wilde, of course, never had to purchase performance appraisal software.

If he had, perhaps he would have amended his definition to someone who, frustrated with combing the internet for information to base their software budget on, knows the value but can’t, for the life of them find the price of what they need.

Figuring out just what you’ll need to pay for a good performance management solution can be an exercise in frustration, obfuscation, and “request a price quote” buttons that will turn even the most sunny optimist into a jaded software cynic.

So to save you the trouble I’ve done your search for you, and put together the most likely performance appraisal software cost ranges, pricing models, and example vendors for each.

1. Pay-Per-User

With this model you’ll be paying a monthly fee for each “user” on the system.  Typically performance appraisal vendors define a user as any employee that is registered on the software, though inactive employees are often not counted.  Many times this model will also include a setup or implementation fee, and training or support can be extra.

Price Range: $3-$10/user/month, with setup fees in the $800-$1,500 range.

Performance software with this pricing model:

2. Pay-Per-Employee

The main difference between this model and the pay-per-user model, is that here you will pay for an employee whether they are registered in the system or not.  This is usually compensated for by lowered per-unit pricing but these solutions may still have one-time setup fees or extra costs for support and training.  Higher employee numbers also typically results in a lower cost-per-employee.

Price Range: $1.50-$5/employee/month, implementation fees can range from $800-$2,000 one time.

Performance software with this pricing model:

3. Pay-Per-Appraisal

This model is less popular than the above two, but nonetheless is used by a fair portion of software vendors, sometimes in conjunction with one of the above main pricing schemes.  This typically involves paying one-time for individual or packs of employee evaluations.  Rarely are there setup fees with this model and, as the number of appraisals purchased increases, the per-unit cost goes down.

Price Range:  $15-$40/appraisal.

Performance software with this pricing model:


Have you seen other pricing models with performance appraisal software costs?  Add them in the comments!

Looking for Training software? Check out Capterra's list of the best Training software solutions.

Share This Article

About the Author


JP Medved

Follow on

J.P. was formerly content director at Capterra.



GroSum’s pricing is pretty unique to; available here at

While there is a per employee per month pricing, there is also a pricing that is dependant on running the entire process as a Managed Services.

In the Managed Services model, it’s a fixed amount for the entire process irrespective of number of employees & number of months, the appraisal is running. It’s best for organizations who don’t want to hold on to the tool all year round.


Hi JP,

Thanks for clarifying this, often complex, topic of pricing for this type of software. I just wanted to add that at Primalogik, our Primalogik 360 solution also offers the Pay-Per-User model that you mention. In fact, that’s our most popular solution, although we do offer Pay-Per-Appraisal as well, as you mention.

Our full pricing is available without any hidden costs here:!pricing


-Anibal Jodorcovsky
Chief Business Development Officer, Primalogik



Glad the post helped!


Hi JP,

As a HR Professional recently tasked with researching costs to implement a performance management software into an organisation, it would be remiss of me not to say thank you so much for this article.

I completely empathized with your descriptions regarding the frustrations of combing through the internet and finding it so difficult to get even estimated pricing information so I can give my organisation a ball park of what to budget for.

Thank you again for this, it’s a life saver and will really help me with my own business case proposal and project planning 🙂



Hi JP,

Just would like to add GroSum, here if people would like to consider.

$2/user/month, with set-up fees in the $750-$4500 range one time. (Till 500 Users)

The one time setup, implementation charge includes training and is based on effort.

It gets reduced, if the helps in setup, eventually leading to less implementation effort.



IFP’s TalentPeak appears to be an exception to the per user, per employee and per appraisal cost models and in addition is an exception to the typical add on fees such as setup, training and support. Our tier user pricing model i.e. 100 to 200 etc. eliminates frequent annoying seat purchases over time, and our no-fee total and unlimited support model doesn’t nickel and dime the client after the annual subscription sale. Our tier level price range starts from $3.25 per user per month for up to 50 users to as little as $1.10 per user per month for 2500 users. BTW we offer a 10% discount for Gov. Non Profits and Ed.


Roly, great points all.

I did mention in the second pricing model that per-employee price is reduced if the number of employees is high enough, but I notice now I didn’t include that in the first model as well, where it certainly also applies.



Many thanks for including Appraisd in this report and I’m sure this will be useful to anyone considering their options.

One point of clarification: there are no setup or configuration fees for Appraisd – it’s just £3 / $5 a month in total. And that includes full phone support for HR/admins.

We do, however, charge for training of staff when it’s requested. Normally we find this isn’t necessary, but sometimes we put together a screencast or two to help launch Appraisd – and this we do charge extra for.

I did have one other thought: it might be worth pointing out that most vendors reduce the per-employee price if you go above a certain number of employees.

Thanks again for including Appraisd in your report,


Comment on this article:

Comment Guidelines:
All comments are moderated before publication and must meet our guidelines. Comments must be substantive, professional, and avoid self promotion. Moderators use discretion when approving comments.

For example, comments may not:
• Contain personal information like phone numbers or email addresses
• Be self-promotional or link to other websites
• Contain hateful or disparaging language
• Use fake names or spam content

Your privacy is important to us. Check out our Privacy Policy.