Hr, Legal Compliance & Er-ir
Senior Human Resources
Hr ( Generalist)
Recruitment & Payroll
First of all Wish you a Happy New Year.
May be you are at any region in India, Basic salary is fixed between two variables i.e. 30% min to 50% maximum on gross salary.
Gross Salary in general Includes:
1. Basic (30% to 50% of Gross)
2. HRA (40% of Basic)
3. Medical Allowance (Rs.1250 pm)
4. Transport Allowance or Conveyence (Rs. 800 pm)
5. Special Allowance (Gross - (1+2+3+4))
Let me know for any clarifications on my personal ID:
1st January 2009 From India, Hyderabad
i have prepared a salary str for u, check it out and revert for any doubts.
This is a rough draft only, every company/org will have thier own policies in Salary str it varies from org to org. so u pl try to understand the policies of your orgn then it will be easy for you to do the job.
1st January 2009 From India, Hyderabad
I want to put some comments in this issue. HR Professional should be like a bridge between employer and employee so you have to play a great role.
We can easily understand why your senior is asking you to prepare this kind of structure. As basic and DA will affect in Statutory compliances, Gratuity, EL, Bonus.One thing you have to understand well, HR should be a care taker for employees.
Do fair work for employees. Now in PF there are checking the pay structure and asking us to pay 50-60% to basic and DA, otherwise you will be facing the legal issues. Please discuss the issue to your seniors.
While preparing the pay structure you have to be very careful. The pay structure will be different from one organisation to another organisation. Its all depends on the HR Policy.
Basic Salary -30% from gross salary (2400)
HRA -40% from basic salary (960)
It will be vary from one organisation to another organisation.
This is just my suggestion friend.
"Willingness to walk the extra mile to achieve excellence"
1st January 2009 From India, Madras
Recently, I have joined a company where they have nothing beside Basic and HRA so I am paying IT whereas in the last company my salary was same but I had option of getting reimbursement of telephone, magazine, car running and entertainment. This was part of CTC. If I submit bill then I donít needs to pay Income tax for these. But if I submit bill amount which crosses the amount mentioned in CTC then they donít use to reimburse.
But my present company is saying that even I submit bill then also it is under Income Tax.
2nd January 2009 From India
as per your attachment i found that the basic is changeble according to the percentage, but as per the rule u have to fix the basic + Da min or more as per the govt rule , so my suggesstion is as per the state rule you have to fix those amount as per the minimum wages act
So while fixing the salary kindly breakup in percentage wise and keep the basic + DA fixed & other allowances for lower salary those who dont come under Income Tax Act. and those who comes under IT Act kindly include conveyance, Transprt allow, LTA & Med Rem and other statutory deduction.
2nd January 2009 From India, Bangalore
I am working as an HR Executive with an international call center. We have a different salary structure. We pay basic salary for couple of months and then we pay on # of calls what the agents gives i.e. performance based salary. My HR manager has asked me to work on new salary structure which gives less attrition level and old employees can be retained.
We generally provide min 10k to max 13k as basic salary from fresher to experienced caller.
Can anyone guide me or provide me the raw structure of monthly based salary or any incentive plans or any other benefit which attracts the new comer to stick with the firm.
29th September 2009 From India, Ahmadabad
As per law basic salary should be fixed with considering state minimum wages rules and if you will violate that by reducing their basic salary then you can be prosecuted under minimum wages act.
rest calculation i have given in the attached sheet.
30th September 2009 From India, New Delhi
The Salary bifurcation or salary structure depends upon many basic factors like Organisation profitability, budget, future strategy, No. of employees, management approach towards employee welfare and benefits etc.
However, the main compulsory point is that the salary structure should not be less than the MW as defined by the appropriate govt.
You can pay over and above the MW. To make is tax friendly and enhanced "In Hand Salary" we use customized salary structure as per requirement. Fellow members have explained some basic concept and ideas related to Salary Structure.
Pls find attached CTC Calculator wherein two sheets attached (ESI Applicable and Non ESI Applicable).
Hope this will meet your requirement.
4th October 2018 From India, Delhi