Creating My First Salary Break-Up: Can You Help Me Ensure It's Accurate?

Hi, for many days, I have been researching "how to make a salary break-up." I have created a CTC break-up of 20,833/-. I am seeking assistance or guidance to ensure its accuracy as this is my first time. I appreciate any help or advice provided. Thank you in advance.

Regards,
Shilpa

You don't need to include PT in CTC. Instead of education, you should have "Perquisites," which will help you with tax benefits.

Regards

I have added Gross + Employer deduction, not PT. So, isn't it right? And a few queries. When someone makes a salary breakup for any new joinee or employee, what do they consider in mind or as a benchmark to calculate the salary CTC, GROSS, or TAKE HOME? Because if it's Gross, then the calculation is different as related to CTC. Isn't it?

Thanks

Is it Compulsory to Make Basic as 50% of Gross Salary?

Is it compulsory to make the basic salary 50% of the gross salary and HRA 40% of the basic? Can you please tell me which parameters you have considered? I also need to make a salary slip for 20K.

Thanks and Regards,
Varsharani
HR

See the attached file for the CTC of 20,833. Try more options at the provided weblink: https://sites.google.com/a/macros/ra...fKsS6maZkJ7-1f

Dear Indira, thank you for your reply. I considered it as 780/- because I thought if the PF deduction on basic (i.e., 12%) is above 1000 or 1200, we consider it as 780/-. This is what I have been told by my senior. Kindly tell me, do we have to consider any particular amount if the PF deduction amount is high.

Regards,
Shilpa

How do you calculate HRA as 40% of the basic when the maximum HRA is only 30% of the basic in X category or metro cities? There is no maximum limit on the conveyance allowance; you can even provide 1500 as conveyance allowance, but only 800 is exempt for tax purposes. The PF percentage depends on the trust; if it is EPF, then the employee contributes 12% and the employer contributes 13.68% or something similar. For a private trust, it can be 10% for both the employer and the employee.

Is it compulsory to make basic as 60% of gross salary, HRA as 30% of gross, and TA as 10% of gross? Can you please tell me which parameters you have considered? I also need to make a salary statement and pay slip.

Thanks and Regards,
Suvi