Cost Estimates, Worked Examples and Choosing a Host
Worked example: cost of a Windows accounting server on cloud with remote desktop vs an office server
Illustrative monthly cost of a Windows accounting server on cloud with remote desktop for 8 users, compared with an office server.
Many Indian offices run accounting or inventory software on a Windows machine that staff reach over the local network or remote desktop. Moving that server to a cloud VM is straightforward, but the bill is driven by Windows and remote-desktop licences, the VM size and whether it runs 24×7. In this illustrative example for eight users, a cloud VM running around the clock costs about ₹21,800 a month before GST, the same VM switched off outside office hours about ₹13,800, and a comparable office server about ₹12,700 a month when hardware and licences are spread over five years. The figures show the method; they are not quotes. This example belongs to the best-fit method. It is about the hosting, not the accounting software itself.
The office
| Item | Assumption |
|---|---|
| Users | 8, of whom 3 work from branch offices or home |
| Software | Windows desktop accounting and inventory application with a company data file |
| Working hours | About 12 hours a day, 26 days a month |
| Data | 80 GB, growing 10 GB a year |
| Backup need | Daily, with 30 days kept and one copy off the server |
| Support | A local IT vendor on a monthly retainer |
Option A: cloud VM with remote desktop, always on
| Line (illustrative) | ₹ a month before GST |
|---|---|
| Windows VM, 4 vCPU / 16 GB, licence included | 14,000 |
| Remote desktop access licences, 8 users × ₹500 | 4,000 |
| 256 GB SSD disk | 2,000 |
| Daily backups, 30-day retention | 1,500 |
| Public IP | 320 |
| Total | 21,820 |
Remote desktop for several users needs the right Microsoft access licences, either provided by the cloud or hosting provider on a monthly per-user basis or brought under your own licence terms where permitted. Confirm licensing with the provider and a licensing partner. See licence charges.
Option B: same VM, switched off outside office hours
If the VM runs 12 hours × 26 days = 312 hours of a 730-hour month, the compute and licence-included Windows charge falls in proportion: ₹14,000 × 312 ÷ 730 ≈ ₹5,984. The other lines stay.
| Line (illustrative) | ₹ a month before GST |
|---|---|
| Windows VM, scheduled | 5,984 |
| Remote desktop access licences | 4,000 |
| Disk | 2,000 |
| Backups | 1,500 |
| Public IP (still billed while stopped on many clouds) | 320 |
| Total | 13,804 |
Most clouds offer a scheduler or simple automation for start and stop. Make sure month-end closing or GST return days have longer hours. A reserved commitment would not suit a VM that runs only 43% of the time; see the break-even example.
Option C: server in the office
| Line (illustrative) | Total | Spread per month over 5 years |
|---|---|---|
| Server hardware with RAID | ₹2,50,000 | ₹4,167 |
| Windows Server licence and user access licences | ₹1,20,000 | ₹2,000 |
| UPS, power and cooling | – | ₹1,500 |
| Hardware AMC | – | ₹1,000 |
| Backup NAS plus an offsite cloud copy | – | ₹1,000 |
| IT vendor retainer, server share | – | ₹3,000 |
| Total | ₹12,667 |
The office server needs remote access for the three remote users (a VPN and a good office internet line), and someone must replace hardware after five years.
Comparison
| Cloud 24×7 | Cloud scheduled | Office server | |
|---|---|---|---|
| Monthly before GST | ₹21,820 | ₹13,804 | ₹12,667 |
| Upfront cash | None | None | ₹3,70,000 |
| Remote access | Built in | Built in, during hours | Needs VPN and office line |
| Power cut or office closure | Not affected | Not affected | Down unless UPS/generator |
| Hardware failure | Provider's problem | Provider's problem | Yours, under AMC |
| Monthly with 18% GST | ₹25,747.60 | ₹16,288.72 | ₹14,947.06 |
The office server is cheapest on paper but needs upfront cash and carries risks (theft, fire, power, hardware failure) that the cloud options shift to the provider. The scheduled cloud option is close in monthly cost and better for remote staff.
Points specific to accounting servers
- Data file locking. Some desktop accounting applications are sensitive to latency when the data file sits on a network share. Running the application on the same VM, accessed by remote desktop, avoids this.
- Statutory record keeping. Companies must keep books of account and back-ups as company law requires; if the books are kept electronically, confirm with your CA where back-ups must be stored and what must be reported.
- Logs. Keep access logs for the remote desktop server; the CERT-In directions require logs of ICT systems to be kept for 180 days within India.
- Security. Do not expose remote desktop directly to the internet. Use a VPN, a gateway or IP restrictions with multi-factor authentication.
Related guides
For the backup set-up behind this example, see backups and disaster recovery cost.
FAQ
Can I bring my existing Windows licence to the cloud?
Only if your licence terms grant cloud or mobility rights. Otherwise use licence-included pricing.
Will the software vendor support it on cloud?
Ask the vendor in writing. Many support it on a Windows server in the cloud; some have their own hosted option.
Is an Indian region needed?
For latency and simplicity most offices choose an Indian region. See Indian regions and data rules.
What about internet outages at the office?
Cloud hosting depends on your internet line. Keep a backup connection, such as a mobile data router.
Sources
- CERT-In — log retention and incident reporting
- Ministry of Corporate Affairs — rules on books of account kept in electronic form
- CBIC GST — GST on hosting services
- Azure regions — Indian regions for Windows workloads (checked 28 October 2026)
