Salary Structure [Thread 437896]

how to formulate pay structure for employee.what variable needs to be considered.

Hi Kunal,
Pay structure is basic+da+HRA+(TA if marketing person or for them who travel) - Advances+ PF+Tax
Warm regards
Shraddha

HI kunal,
Pay Salary formulation is a internal part of the company it is decide by the internal managent that how to formulate salary structure. Basically in pay salary formulation we include Basic + DA + HRA + Conveyance + allowances.
Basic format pay salary = 40% Basic +24% HRA + 8% conveyance + 8% other allowances = total 100% Gross Salary.

The pay should have
1st : 50% Fixed for attendance and discipline like daily reporting, daily planning etc.,
2nd : +/- 50% linked with the organisation Goal.

Hi everyone
is there any specific percentage mentioned (in any Indian Law)that X% of gross salary must in the form of Basic + DA and y% in the form of other allowances?
Plz help

In our industry pay structure is negotiated by a Central committee, consisting of Management's representatives and employee's/recognised Union's representatives in every five years.It is implemented as per terms & conditions of the Memorandum of Settlement.

Co. where there is well established unions, salary structure is decided with bilateral process. Baisc,DA,CCA,HRA, Special allowances and other allowances depending on nature of duties, are components of pay structure.
Other cases, pay structure is determined by management. Some are offering CTC which is composed of employer's PF/ESIC with gross salary.

As per my Knoledge Salary Components are Basic+HRA+Convence+Medical Alowence +Other Alowence
1) BASIC we caculate 40 to 60 % from Gross salary,
2) Convences may be Rs : 800, (Eifht hundrd is tax Exmpted)
3) Medical Allowence : may be 10% of the Basic
4) The remaining amount we show as a Other allowence
I hope this is help you
Thanks
R.Sivaprasadu
Contact :9985782900