CTC & Gross Salary

sverady · #1 23-10-2007, 02:55 PM

Hello

Can any of the experts here tell me if there is a difference between CTC and Gross Salary. If yes what is the component that brings in this difference?

Thanks & Regards,

SV Erady

Amitmhrm · #2 23-10-2007, 09:08 PM

Dear SV..

Gross pay is that annual cost which is fixed and been paid in terms of cash, whereas CTC is that cost which includes all the cost being paid by the company over an employee..
Can say that Gross Pay is that which we get in terms of cash in a particular year.. but CTC is that where company contribution and other allowance is also included.. which is not being paid us directly..
Infact, Gross pay is a part of CTC..

Regards,

Amit Seth.

sverady · #3 24-10-2007, 12:02 PM

Thanks Amit for the clarification.

When we hire an employee on CTC basis the employer's contribution towards PF will also be a part of the CTC right?

Regards,
SV Erady

Amitmhrm · #4 24-10-2007, 12:53 PM

Welcome..

Yes.. SV it will also be a part of CTC..

ranjith halan · #5 24-10-2007, 05:56 PM

Hi,

Employee's salary per annum will be in CTC,ex-1200/-CTC per annum

Employee's salary per month will be in Gross,ex-100/-gross per month

Net salary / Take home salary -ex-Rs-90/- after deduction

It's differ from org to org,

ranju