When i join company they just mention three points in compensation that is :
a. Cost to company Rs.XX,X,XXX per annum.
b. Your CTC will be reviewed annually and will come unto effect at the end of one year employment from the date of confirmation.
c. Changes in your compensation are discretionary and will be subject to and on the basis of effective performance and result during the period and other relevant criteria.
Now they are saying under signed CTC contract we are deducting 1800+1800=3600 as PF amount.
is it right ?? Please Help


Aks17
116

Hi
Technically speaking the employer is right, the abbreviation CTC is nothing but Cost to Company. Not sure how it all started but this is the norm in most companies especially the IT based ones. Having said that the employees ought to know the difference between the gross/net salary and the CTC. Under CTC they [employer] may add any cost that they might incur towards the employee either as an individual or group, like insurance etc.
If you have relied CTC as your salary it is your mistake and should have known better. There is nothing you can do if he deducts the above mentioned amount.
Thanks and Regards

From India, Hyderabad
Dear Anony,
Yes, PF forms a part of CTC. Please understand that Total Cost to the company or CTC includes all your earning, benefits and retirals as Gratuity, PF, Esi etc.
Your monthly PF contribution is made up of your and your employer's contribution. While your contribution is deducted from your monthly earnings; hence shown in your payslip; employer's contribution is added to it and deposited to the EPFO. Both these contributions are a part of your CTC.
Regards
Rahul

From India, Delhi

If you are knowledgeable about any fact, resource or experience related to this topic - please add your views using the reply box below. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone.

Please Login To Add Reply →






About Us Advertise Contact Us Testimonials
Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2021 CiteHRô

All Material Copyright And Trademarks Posted Held By Respective Owners.
Panel Selection For Threads Are Automated - Members Notified Via CiteMailer Server