Salary Breakdown Confusion: Can You Help Me Understand Taxable vs. Non-Taxable Parts?

Can anyone help me with the salary breakup (the taxable and non-taxable components)?

Gross Salary Breakdown

Gross salary is divided into several parts as follows:

1. **Basic Salary**: The basic salary should be 50% of the gross salary, and it can be a maximum of 50% as per company policies.
2. **D.A. (Dearness Allowance)**: This is basically fixed by the central government but can be more than the fixed amount.
3. **H.R.A. (House Rent Allowance)**: Given on Basic + DA, 40% of this is tax-exempt.
4. **P.F. (Provident Fund)**: Employee contribution is 12% of Basic + DA.
5. **E.S.I. (Employee State Insurance)**: Employee contribution is 1.75% of Basic.
6. **Allowances**: Includes Medical, CCA, T.A., etc.

I want to know the first month's salary for Multi-Tasking (Non-Technical) Pay Band (PB-1): Rs. 5200 - 20200, Grade Pay: Rs. 1,800.00, Group-C post. Could someone provide details on the salary breakup, including the taxable and non-taxable components?

Regards.

Salary Breakup: Employee-Friendly Tax Saving

Please find below the salary heads:

1. Basic - Income
Tax Benefit: Fully Taxable

2. House Rent Allowance (HRA)
Maximum 50% of basic (Metro cities) or 40% of basic (non-metro cities).
Tax Benefit: The excess of actual rent paid over 10% of the basic salary, or the maximum HRA allowed (50% or 60% of basic), or actual rent paid—whichever is lower—is exempt from tax.

3. Transport Allowance
Supposed to be conveyance allowance meant for transportation between office and residence only.
Tax Benefit: Exempt maximum up to Rs. 800/- per month. No proof required.

4. Children's Education Allowance
Tax Benefit: Rs. 100 per child, subject to a maximum of 2 children. Hence, a maximum of Rs. 200/- is exempt.

5. Medical Allowances / Reimbursements
Can be given against bills or without bills; it does not matter. Some companies give it monthly, some quarterly, half-yearly, or yearly. Some companies give it only against medical bills, while others do not ask for bills; rather, bills are only demanded for final tax computation at the end of the year. There is no thumb rule about it. It is preferred to pay monthly, without bills, and ask for bills as per your wish—quarterly, half-yearly, or at the end of the year. Do not choose to give it against bills only; there is no rule for the same. It only makes salary processing a cumbersome process.
Tax Benefit: Maximum Rs. 1250/- per month (Rs. 15,000 per annum) is exempt only if original bills are provided.

6. Telephone Reimbursement
Exempted up to Rs. 1500 per month (need to produce bills) - Sec 10

7. Books & Periodical Reimbursement
Actual Expenses (need to produce bills)

8. VM Reimbursement
Actual Expenses (need to produce bills)

9. Special Allowances
Balancer (Fully Taxable)

Thanks & Regards,
Akhil Kumar
HR Consultant