How To Show Employer PF & ESIC Cont In CTC?/

dbpawar
Dear Senior,
Can we show employer's PF and ESIC contribution in appointment letter of an employee?
If not then How can we document it and finalise the CTC of an employee which will include PF and ESIC of employer contribution???
Regards
Deepak Pawar
White Eagle
Yes, you can show them in appointment letter. Most of the company puts company PF and ESI contribution in CTC of employee.....
For further reading:
White Eagle: ESI: On which compontens contribution is payable
White Eagle: Provident fund and Overtime Allowances
abedeen7
Dear Deepak,
Employer PF and ESI contribution forms a part of employee CTC. Generally it is shown on salary annexure.
jayanthikiran
But how it reflects the salary slip? because the employee may get confused if we do not mention the PF & ESI deductions which will be made from his CTC (both sides).
abedeen7
Dear Pawar,
You can prepare your salary annexure showing the salary components along with PF, ESI, Lta, Medical Insurance and others as provided by your organization.
Dear Jayanthikiran,
You may add two extra column as employer PF and ESI contribution in your pay slip format.
ajayaatreyasa
Ok here you go ..
I'm not sure about ESi one..but Pf here it is .
Monthly Annually.
1. Basic Salary
2. House Rental Allowance
3. Special Allowance
4. Conveyance Allowance
5. Telephone/Internet Allowance
6. Food allowance _________________________
Gross Salary __________________________
Quarterly Components
1. PF (Employer contribution)
2. Bonus
3. Leave Travel Allowance
4. Project Allowance
5. Medical Allowance
___________________
Total Cost to Company CTC ___________________
Hope this solves your query.
I'm not sure with the ESi thing, please check that out.
sharmaneesu
Gross salary is the remuneration of employee and adding to employer contribution it makes CTC. generally salary slip is for gross salary only, so no need to show the employer contribution in salary slip. Also if employee will not pay PF&ESIC then off course employer also need not to pay. so it is understood if only employee portion is mentioned in pay slip.
however, if you want to add it you can. but CTC is a new concept which is no where mentioned or laid down in statutory documents so companies do not show that in salary slip. it is mentioned in salary annexure only once issuing appointment letter and increment letters to employees to make it clear.
Seniors pls comment
Jecklin Thomas
Dear ,
As formulated Salary structure by me where i am working as All PF & ESIC show in Salary Structure as CTC.
CTC Amount is Different ,Gross Salary is Different & also Net Amount is different.
dbpawar
Dear All,
Thanks for the reply. The information shared by you are realy helpful. If anybody else has any other information shared I would really be thankful.
Regards,
Deepak Pawar
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