Understanding PT Slab Rates: How Do Allowances Affect Gross Salary Calculations?

Dear Sir,

Following components are shown in CTC/ offer letter:

1) LTA - Paid Annually
2) Medical Allowance - Paid quarterly
3) Ad hoc allowance - Paid quarterly

Can we take these components into consideration while fixing the PT slab rate? Are they part of the gross salary? How should we decide the PT slab rate? Because in some months, the gross salary will be less, but in some months, the gross salary will be high due to the disbursement of these allowances/benefits.

What is the gross salary for PT calculation?

Thank you.

Gross salary is known as total earnings, and PT is applicable on earnings. Hence, whatever amount is earned in the month, PT is applicable on that amount other than the bonus.

Yes, Navneet is right. PT is calculated on the gross salary, but the bonus should not be included. Suppose your gross salary is 10000/-, and you also receive a bonus during the same period. You have to pay PT based on 10000/-

Sanjeev