Dear Parvathi
I am also a fresher in Hr field.. just i wanna share what information i knew..
Seniors excuse me if i say anything wrong and please correct me..
PF- Provident fund ( 12% of employee basic and 13.61% of employer basic)
PT- Profession Tax ( differs by state)
In Andhra Pradesh Profession Tax rates as follows:
upto 1500/- per month - Nil
1500-1999 16/-
2000-2999 25/-
3000-3999 35/-
4000-4999 45/-
5000-5999 60/-
6000-9999 80/-
10000-14999 100/-
15000-19999 150/-
20000 & above 200/-
ESI- Employee State Insurance (1.75% of employee total salary and 4.75% of employer salary)
In a pay slip we have two columns
Earnings and Deductions
Basic PF
HRA PT
Conveyance ESI
Medical Allowance
LTA
Special Allowance
Basic - 30 - 40% of salary
HRA - 50% of Basic in Metro Cities (Hyderabad, Mumbai, Bangalore,Kolkata, Delhi, Chennai..)
40% of Basic in non- Metros
Conveyance - 800 per month
Incase of handicapped 1600 per month
Excess amount treated as taxable
LTA - Leave Travel Allowance can be claimed once in 2 years or twice in 4 years. (For Eligible one)
This is used to reduce tax which can be claimed at the end of the financial year.
Medical allowance - 1250 per month (For Eligible One)
Special allowance - (Gross salary-basic-HRA-Conveyance- LTA)
All this information i got from this site and web...hope useful to you.