Dear All,
We are a small firms having 35 - 50 employees. Here till date we were following the salary structure like this.
Basic - Random more of the employees are getting 6500 as basic
HRA - NIL
Conv - 800 pm
Allow - Balance Amt.(Gross - Basic-HRA-Conveyance-Allowance)
Gross - XYZ amt.
PF - 12%
PT - As per law
TDS - TDS as per law on Gross Salary
Net - ABC AMT.
I recently joined and after going throgh I made some points which I would like to share with you.
1. Basic is Random and close to ceiling limit of PF. I chaned it to 30% to 40%
2. HRA should be 30 - 40 % fo Basic
3. Allownace shouyld not be a balance amt.
4 TDS should not be charged on Gross PF and PT should be deducted and then TDS should be calculated.
As I know that the none of the amt should be more than Basic in the salary sturcture.
I want to reframe this salary format I need your help in that. I had never done the payroll function before. As this is one of the new challenges of my job. seeking help from your side.
We are a small firms having 35 - 50 employees. Here till date we were following the salary structure like this.
Basic - Random more of the employees are getting 6500 as basic
HRA - NIL
Conv - 800 pm
Allow - Balance Amt.(Gross - Basic-HRA-Conveyance-Allowance)
Gross - XYZ amt.
PF - 12%
PT - As per law
TDS - TDS as per law on Gross Salary
Net - ABC AMT.
I recently joined and after going throgh I made some points which I would like to share with you.
1. Basic is Random and close to ceiling limit of PF. I chaned it to 30% to 40%
2. HRA should be 30 - 40 % fo Basic
3. Allownace shouyld not be a balance amt.
4 TDS should not be charged on Gross PF and PT should be deducted and then TDS should be calculated.
As I know that the none of the amt should be more than Basic in the salary sturcture.
I want to reframe this salary format I need your help in that. I had never done the payroll function before. As this is one of the new challenges of my job. seeking help from your side.