Salary Structure [Thread 407338]

Hello everybody,
Below are my few queries and I would be really thankful if you all can help me.
My company is a startup in IT field & i want to know how to decide basic, HRA, DA etc. for any package. Is there any percentage to decide basic, HRA etc.Also if at all there are any other criterias involved in it.
Regards,
Smriti

Hi Smriti
There is no any particular formalities for salary break-up. All is just we have to prepare the structure where in it will reduce the tax burden for the employees.
You shall plan as below
Basic as 50% on gross
HRA as 50% or 40% on Basic
Conveyance allowance as rs. 800/- per month
Medical Reimbursement as Rs. 1250/- per month
others as spl allowance

salary may consist the following structure:
1.Basic 70%
2.HRA 30%
If you show as conveyance, special allowance ,or in the name of any other allowance may attract EPF.
v.subbarao