Understanding Salary Breakdown: How Do Components and Tax Calculations Work?

Please send me the different components of salary with a breakdown of the percentages and explanations. If possible, please also provide me with the calculations for TDS and Income Tax. Additionally, I would appreciate it if you could recommend a good reference book.

Hi Sanchita,

There's a good format provided by Mr. Nithyanand Yeshwant. His salary/tax calculation excel worksheet is available for free download at [Nithya's Tax Calculator](http://www.ynithya.com/taxcalc/). This is an excellent and noble effort. Furthermore, he updates and maintains it for any tax and/or regulatory changes.

Hope this serves your purpose.

Shah_sj