Salary Break Up & ESI ,PF Calculation- Info Needed

Greetings!!!!!
I m wrking in a automobile co. based in delhi...
i wanna knw abt the breakup of salary and abt d calculation of ESI & PF...
in salary we hv to incld allwnc like- washing, travling, spl. HRA and basic...
can anyone tel me how to go abt the things with the Exp.

Dear Lakshika,
Kindly find the salary breakup and ESI, PF Calculation.
If you have any clarification , feel free to contact me or in CiteHR senior persons.

Hi laxika
Its depends upon you how you balance a individuals salary. but as far as basic and HRA. this will be calculated at CTC (company cost). this is his final salary including all allowances, perqusites and benifits. basic will be 30-40% of ctc and hra will be 50% of basic if he resides in metro cities like delhi, kolkata, mumbai and chennai. other than these cities it will be 40% of basic. all other allowance you can calculate by your own. and as far as travell allawance it is up to 800 exemted. beyond this...you can.
thanks
j j
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Dear All,
There is no such rule for the deciding the percentage of Basic and other allowances, but Karnatka High Court in the Case of Airfreight Ltd., observed that salary/wages shall be (2:1:1) means basic including DA will be 50 % of salary, HRA will be 25 % and rest will be allowance paid to be any name.
As per EPF Act, PF is applicable on Basic and DA @ 12 % ,
ESIC @ 1.75 % on total salary but excluding washing allowance subject salary and wages < 15000/-.
CTC : Cost to the Comapny means all cost which is invested to the employees including PF 12 %, ESIC 1.75%, Gratuity 4.81 %, LTA, Medical (As per company policy), cost towards Leave (Paid Leave).
Hope this will help you to understand the issue.
M.G.Rabbani

Hello,
Your question is not very informative. However, based on my experience this is usually the structure of salary.
Basic + DA ( in terms of % of basic pay which is revised every quarter, at present it is around 53% of basic), HRA is also a certain % of Basic depending upon class of city, in your case it might be 25 to 30 %, Travelling allowance in some industries is given as fixed % of Basic and in some it is a fixed amount, Washing allowance also has same treatment. By going through you pay structure/agreement, now you can calculate the components of your Gross Salary. As regards deductions, PF is a statutory deduction @ 10%, rest deductions vary from industry to industry and Orgn. to Orgn.
Feel free to know more.
Best wishes.
Arun Kr. Jain
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Dear All,
As per your comments ,
1. Employer can give Basic no on the basis of % ( but most of companies paid on % Basis).
2. DA as per applicable.
3. HRA : Depend upon Empr its 25% to 50% Max.
4. Other components depend upon company to Comp varies ( Conveyance, Performance , Medical, Mobile, Tiffin, washing, LTA, etc allowance)
5. and all annual components (like: Diwali bonus, Annual Performance Bonus,Annual attendance Bonus, etc)
6. Employer contribution ( PF:12% on Basic+DA, ESI: 4.75% on Gross salary <15000- Excluding annual payout, Gratuity : Basic*4.81%)
7. All includes CTC.
As per Mr. M G Rabbani said: in CTC calculation ESI is 4.75% not, 1.75 % (1.75% is Employee Contribution)

Dear Sir, There are certain items which do not form part of basic wages and no P.F. is deductible, such as BONUS, LEAVE ENCASHMENT, INAM, AD-HOC ALLOWANCE,OVERTIME ALLOWANCE,PAYMENT MADE IN LIEU OF NOTICE, ETC. ETC, as has been decided by various courts from time to time .The concept of Basic Wages can be viewed in r/o "BRIDGE & ROOF Co,s case decided by Hon"ble Supreme Court.
With Regards,
CHANDOK--ex RPFC
09988021715

Dear Lakshika Nagpal,
While there is no specific Act to determine the Basic pay,
But certainly the Fixed DA (FDA) and Variable DA (VDA) are linked to whole sale/consumer price index which are provided by the Labour Dept. of the GOI once in a quarter. This is mandatory for all industrial houses. Rest all will vary from Estt. to Estt.
However follg. rates would apply -
PF @ 12% employee's & employer's (if not exempted), & DLI & EPF
Bonus (ex-gratia in lieu of bonus- min.@8.33%),
ESI (if covered) @ 1.75%-employee's subs. and 4.75% of employer's contbn.
Termination & retirement gratuity @ 15 days of salary for every year of qualifying service (Ref.Gratuity Act.)
Accident and death compensation as per Workmen's Compensation Act.
Materntiy benefits
These are mandatory provisions as per law.
Kumar
Bg.

Hi,
i m still confuse with ESI part...
in salary brakup what all things are inculded in ESI ?
in my co. we break the salary as basic, HRA, travling All. , Spl. Allw. , incentives, Washing All.
What all parts of the salary will be added in order to calculate the ESI...

and also PF is calculated only on Basic+ HRA or Only basic ..??
i knw that if basic or basic +hra is 6500 thn pf wont be deducted