Meaning Of CTC
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rao533 Started The Discussion:
Hi everybody, i would like to know about CTC. what it means exactly. please explain me.
CTC includes every thing like Basic,HRA,CCA,other allowances,Employer’s contributions in ESI,PF,Gratuity,Bonus/Ex-Gratia etc.
khyat 
hi ctc means cost to company.... it includes all the expenditure the company does on an individual.......like ur basic, hra,da,other allowances,bonus,pf,lta,er contribn to pf etc............
hi

cost to company has alredy been mentioned above.but beware to know that properly before joining a co. It is also a way by which co.attracts ppl.medical insurance premiums or training costs or leave allowances may be included in that,whch u may not be actualy using during ur work life.

cheers
amrita :)
khyat 
a good 1 amritamaity... i have heard of cos which give a ctc of 8 lacs but actually in that 2 to 3 lacs is for accident insurance and other such stuffs...so its very imp to know the ctc break up...
it means "Company's Total Cost" which is inclusive of PF and all other benefits that the company gives you.and It is the annual salary that you normally get.It is the cost incurring for the company when they employ you.
You may refer the web site at: http://www.abbreviations.com/CTC It used to be abbreviation of Contact. John
oh ya... thanks a lot.....thought it was a genuine question. gr8....appretiate your feedback and sense of humor.. ragards Anu
Anu.s 
i to all hr guru im ankitha i need some information abt CTC, hw to calculate, hw to do ? regarding tdis topic any one pls explain me briefly anu.ankitha@gmail.com regards Swetha
khyat 
CTC stands for cost to the company i.e the total expenditure of the company towards a particular employee. It includes each and every cost in terms of money and materials, some of the components are-
Gross Salary
Bonus
PF Contribution from employer side
ESI or Medical contribution from Employer side
Cell Phone Allowance
Hard furnishing goods
Food coupons etc.

general rule followed is:

Basic Pay (Base pay + employers contributions towards retirals: PF, Gratuity, Superannuation Fund) +
Allowances (all cash allowances like Housing(hra), Medical, Conveyance, Education, etc.)+
Performance Pay (fixed or variable bonus, estimated value of ESOP)+
Any other cashable benefit (mobile phones, fuel charges, food coupons, etc.)

All reimbursable allowances , professional development,

HOPE THE INFORMATION IS HELPFUL

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