In a salary cost to company basis calculations there are mainly 3 components of salary.
1) Immediate receivables
2) Deferred Salary
3) Taxes & compulsory deductions.
Focussing upon deferred salary :-
Gross salary minus the deductions = cash in hand salary component
that is :- Basic+HRA+Edu All+Conv.+Sp.All+Cash cony=GROSS SALARY ( DEDUCT TAXES HERE TO GET CASH IN HAND)
The remaining components of your salary namely these are all deferred salary.
Company's contribution to PF+Med. p.a+Lta p.a+Any special allowances like upcountry allowance p.a.+Bonus p.a+Entertainment
Hope this information helps you so far.
Thank you,
Definitly this has given me some input..........
But i would also like to know, is there any standard formula or format in which this deferred salary is calculated & is this payment made on a regular basis (i.e yearly or 6 monthly)
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