How Should I Break Down a Rs 20,000 Monthly Salary with Basic, HRA, PT, PF, and TDS?

Hi Seniors,

Please help me with the salary breakup for Rs 20,000 per month, which includes components like basic, HRA, PT, PF, TDS, and no other components should be included.

Regards, Sowmya R Sr. HR Executive Hyderabad

Hi Sowmya,

I have attached the breakup. I hope it solves your problem.

Manikanth

Dear Sowmya,

Always try to keep the basics low as they are always contributory. Instead, you can provide allowances such as special allowances, etc.

Hi Sowmya,

Please find attached the salary breakup for your request.

Thank you.

Hi Vinodh,

Isn't gratuity paid after 5+ years of employment in a particular organization? Is there any statutory requirement for paying gratuity? Also, why are bonus and gratuity deducted from CTC?

Thanks,
Abhiram

Hi all,

In the breakup, the basic salary is exceeding the PF limit, which can be restricted to ₹6500.

Regards,
Raaghav
Manager - HR
BMS

Hi Abhi,

A good question. If we are calculating PF as a part of CTC, then we have to deduct the admin charges (1.61%) also from the employee's CTC. This is calculated differently according to the company's defined rules.

Basic is always 50% of monthly salary. HRA is 40% of the basic salary. PF deduction will be 12% of the basic salary, where the employer's contribution will be 13.61% of your Basic salary. Professional tax will be deducted based on the salary received. It is state-based tax. For TDS, you can coordinate with your account manager.

Regards,
Pallavi K

Dear Manikanth,

Nice to get information. Meanwhile, if the company goes on the PF slab of Rs 6500/-, then he is going to get Rs 780/- considering the slab. If he can't, then HRA may go high. What is your opinion? The employer is also contributing at 13.61%. Regarding PT, is it as per A.P. State? Is it correct?

Satish G

Dear Mani and Vinodh,

Thank you for your replies. They will help us a lot. Could you please provide details about the charges as you have calculated them, especially the medical and special allowances?

Anand Prem

Please help me with the salary breakup for Rs 23,000 per month, including components like basic, HRA, PT, PF, TDS, and no other components should be included.

Hi Seniors, please help me with the salary break-up for Rs 20,833 per month, which includes components like basic, HRA, Conveyance, Medical, Special Allowance, LTA, PF, Prof Tax, and TDS. No other components should be included.

Regards,
Sowmya R
Sr. HR Executive
Hyderabad

[QUOTE=vinodh.d;907265]Hi Sowmya, PFA the salary breakup for your request.

Special Allowance and PF

Hi Vinodh, If I am not wrong, any special allowance will attract the PF, and hence we cannot show the special allowance in salary.

Gratuity Calculation in CTC

Is this right or wrong? Kindly reply.

Regards, Ravi.

Dear Vinodh,

Clarification on PF and Bonus Calculations

Why is the PF ₹980 when the statutory limit is 12% of ₹6,500 (maximum)? Is it related to voluntary contribution? Also, the bonus is ₹392, but the statutory limit is 8.33% of ₹3,500 up to ₹10,000 of the salary.

Kindly explain the above issues.

Best regards,