Salary Structure Overview
The salary structure is determined based on a variety of factors: position, amount of salary, age, marital status, vehicle ownership, nature of residential accommodation, reimbursements (company policies vis-a-vis employee's convenience), option for LTA, etc. The generally accepted structure is as follows:
Basic Pay: 30% to 50% of the Gross Annual Remuneration
HRA: 50% (metro) or 40% (non-metro) of the Basic pay
Transportation Allowance: Rs. 9,600 p.a. (if the company does not provide a car or Fuel Reimbursement to the employee)
Children Education Allowance: Rs. 1,200 p.a. per child, subject to a maximum of two kids
Special Allowance:
Reimbursements:
I. Medical Reimbursement: Rs. 15,000 p.a.
II. Books & Periodicals: Rs. 15,000 p.a. (subjective)
III. Leave Travel Allowance: ________ (subjective)
IV. Mobile Bill Reimbursement: (subjective)
V. Mobile Instrument Reimbursement: (subjective)
VI. Annual Bonus: _____ (minimum 8.33% of pay)
VII. Gratuity: _____________ (it could be added as part of the CTC)
VIII. Employer's contribution to PF: 12% of Annual Basic Pay
Like this, there can be a lot more categories for paying salary (depending on the taxability).
Regards,
SS