Confused About PF Deductions and Allowance Splits in My Salary – Can Anyone Help?

Please, can anyone help me in this regard? I am working in a manufacturing company with a take-home salary of Rs. 30,000. Here is the breakdown:

- Basic: Rs. 10,320
- Allowance: Rs. 21,114
- PF @ 12%: Rs. 1,239

PF Deduction Query

I am unsure if the PF deduction is correct.

Allowance Split

Additionally, I would like to know how I can split the allowance into DA, HRA, and CCA. Is there a specific percentage for this split, and should it be based on the gross salary or basic salary?

Kindly clear my doubts.

Regards,
Manju

There is nothing wrong with your PF calculation. Instead of giving just allowances, you can further bifurcate as enclosed. In your case, you shall treat PF as 1239 or 780, where 780 is 12% on 6500/-.

There is no standard percentage to split wages as Basic, HRA, and other allowances, but we should plan to reduce the Income Tax on the earnings.

Regards