PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION
Manager Hr & Admin
Recruitments, Performance Management, Competency
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CTC (Cost to Company) means every single penny spent by the company on the employee i.e if you even have a coffee in your office the cost of it will be added in your remuneration, likewise transportation, gratuity and other benefits where as Gross salary include net salary + PF.
Please see the attachment for reference.
Suggestion: Always negotiate your salary on Gross rather than on CTC
From India, Lucknow
MANOKAVINGross Salary means : Basic + DA/HRA + Conv PF is deducted from Gross Salary Net Salary : Gross salary - PF, advance, etc. MANOKAVIN
From India, Coimbatore
CTC means Cost to the Company, which includes of all the cash benifts you get from the company per annum (Inclusive of Statutory benifits) Whereas the Gross means Monthly Gross Salary which is inclusive of your side P.F. and Professional Tax
From Germany, Berlin
Gross Salary consists of all earning components, such as BASIC, HRA, DA, CCA and other allowances
Net Salary is Gross Salary LESS deductions, such as PF, ESIS, Professional Tax, TDS etc
Cost to company is Gross Salary PLUS contributions such as company's contribution to PF, ESIC, Gratuity, Superanniation, medical insurance etc PLUS the value of perquisites, such as Car, House and other non-cash benefits.
From India, Mumbai
Alka PaliwalDear All, Thank you so much for your valuable replies.. Its really helpful..now the difference is clear to me.. Thank you so much once again. Regards, Alka
From India, Delhi
email@example.comIn this I am having that doubt in Payroll process Pls clarify,
A Emp getting the salary of Rs.10000 per month (Basic 4000, DA 1500, HRA 1200, Perks 1300, Med Allo 1000, Other Allo 1000) Here the normal working days is 26 /Month v have taken into working days.
If the employee's Workg Days is 10 means normally we can calculate (10000/26)*10 (if there is no Leave Benefits & No other Benefits) Is it not?
But my Quest is How can v break up the 10 days salary?
how v deduct the LOP amt from above mentioned Heads?
How much v have to take for PF?
Clarify any one pls?
From India, New Delhi
Pramod bhendeDear all please the hare the LOP calculation. Thanks Pramod
From India, Bengaluru