Dear All, Kindly guide me on salary break ups.... Does Medical allowance and conveyance have any limits... Can we adjust salary through these allowances??
From India, Coimbatore
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From India, Coimbatore
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Compensation is a mix of various categories of pay, including fixed pay (Basic), Allowances (HRA, LTA, Child Education, etc.), Reimbursements (Fuel & Vehicle, Driver Salary, etc.), Retirals (PF, NPS, PPF), and variable pay (PLI), etc. Some of the Allowances and Reimbursements attract tax exemptions as per the Income Tax Act 1961. Specifically, Medical Reimbursement and Conveyance Allowance have had all tax exemptions removed from them with effect from 1st of April 2018.
A good compensation strategy has an equitable mix of all the components mentioned above. Hope this answers your question.
Regards, Rahul Chhabra
From India, Delhi
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157A good compensation strategy has an equitable mix of all the components mentioned above. Hope this answers your question.
Regards, Rahul Chhabra
From India, Delhi
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