If it is universal (I.e. it has the + sign in the green price button) you can get it for free on your Touch. If it is an iPad only (normally these have HD after the App name) then if there is a version for the Touch you will have to pay for it.
Yes that software is contacts backup. And same is available for iPod touch ..but when I open apps store , it says buy ...so what buy means ? They will deduct money or what ?