Comprehensive Insights on Salary Calculation, Compensation Policies, and PF Deduction

Hi,

I have recently joined as an HR Executive in a small company with 25 to 30 employees. Could anyone help me in preparing the salary in a simple format? Currently, we only have the basic salary component and do not offer PF, ESI, HRA, etc. I would appreciate it if someone could share a format to calculate the salary with leave deductions.

Thanks

Hi,

Thanks for your reply. Could you please forward me the formula for that? We deduct for more than one day's salary, and it would be fine for me if I get the formula for that.

Please find attachments:

1. With PF deduction
2. Without PF, just simple salary.

Thanks.

Hi Supriya,

I'll suggest you to make a compensation policy first. Yes, it will take time, but without a policy in HR, you will need the help of others at every step. Also, apply for ESI & PF as soon as possible.

In the compensation policy, you will have to decide on a few things like:
1. Grade of employees
2. Basic pay as per the grade
3. Conveyance allowance as per the grade
4. HRA
5. Other allowances.

Dear Sir,

I am Kumudha, and I am newly joining the HR department in my company. How should I handle the HR department? How do I follow the ledger? And how many ledgers does the department follow?

Kindly assist me.

Thanks & Regards,
Kumudha
7708959776

Dear Mr. Sayeed,

I have some doubts regarding the salary sheet with PF. I hope I can ask and clear my doubts.

1. In the Basic salary, you have used the formula 1200/D4*F4. Why have you taken 1200? What if different people have different basics?

2. In the DA column, it is 900. Where does this number come from, or is 900 the standard amount? What is it based on?

Regards,
Hansa Vyas

Dear Hansa Vyas,

Whatever Sayeed is given is absolutely perfect. In that, there is no doubt at all. The basics may vary for different people, and there is a Skilled Base DA table provided at the Commercial office in Tardeo.

Regards,
Bhaven Gala

Dear Mr. Hansa,

1. 1200 is used as an example. If it's other than 1200, then the formula is the same: total days minus absent days.

2. Daily allowance of 900 is also used as an example; it's not standard.

Please review the attached document for more details; it is very well-explained. I downloaded it from this forum.

Thanks,

If you use the attached sheet, your work will be very easy.

Dear Supriya,

The simple format for salary calculation with necessary formulas, including PF, ESIC, and PT. If it's not necessary for you, you can delete columns. It may fulfill your query.

Regards,
Krishna Murthy
Bangalore

Hi Alok,

I am Alok. I have 3 years of experience in HR. My responsibility involves salary processing and HR backend data preparation with MIS.

Currently, I am in a situation where I have lost my job. Could someone please help me?

Thanks,
Regards,
Alok Kumar - 9560725164

Dear all,

If the basic is 10000, and PF deduction is 6500, with attendance of 28 days for the month of September 2011, how do I calculate PF? Kindly suggest.

Thanks,
Pramod Keshari

Hi all,

I have been working for a sales company. In our company, we don't have a proper payroll format. Please suggest to me the proper salary format. Please shed light on how to calculate Basic, HRA, DA, Medical Reimbursement, and Special Allowances. Is it necessary to provide DA and conveyance for all categories of employees?

Thanks

Dear Ms. Kumudha,

The ledgers to be followed depend on the nature of the industry you are in. The muster roll, salary register, and late attendance registers are some of the basic registers that need to be maintained.

Regards,
Kumar

You can do this with MS Access as well, very simply. See this link: [WHAT YOU GIVE TO WORLD LAST SECOND: Salary software for small Company](http://wygw.blogspot.com/2013/03/salary-software-for-small-company.html)

Dear Friends,

I have recently joined as an accountant in a private college. Could you please guide me on the procedures for PF, ESI, TDS, and Professional Tax in Excel format with journal entries, please?

Email: unnimenon2014p@rediffmail.com

Thanks in advance.

Hi,

I recently joined a small company with less than 20 employees as an HR executive. I wanted to inquire about the PF clauses. Is PF applicable to this company? If yes, how should I mention those clauses in the appointment letter?

Also, could you please provide me with a sample format of an appointment letter that includes TDS, PT, and PF rules mentioned in it?

Thank you.

My CTC is 19700, and 900 is PF. Can I stop PF deduction from my salary even if I haven't completed my probation period in my company?

My CTC is 19700, and 900 is PF. Can I stop PF deduction from my salary even if I haven't completed my probation period in my company?

Hi, I am working in Karnataka Rural Infrastructure Development as a Data Entry Operator. My salary is 9734/-. How much is the EPF amount deducted from my salary, and what are the rules regarding EPF deductions?

Hello, Sir,

I want to know if I am eligible for my salary PF contribution or not. We received our monthly payment of INR 24667.00 per month, but my company has not paid/contributed to PF.

One of my other employees also worked here, with a salary above 80,000 taken by the employer, and the employer also paid/contributed to PF. I can't understand this condition. Could you explain why this is the case?

Dear Sir/Ma'am,

I am looking for a job. I have 3 years of experience in HR Operations. If you have any vacancies, please let me know.

Regards,
Manikant Kumar

Dear Sir,

The simple format for salary calculation should include necessary formulas, including overtime (OT), without deductions for ESI and PF.

Thank you.