How Do I Create an Accurate Salary Slip for My First Employee's Visa Needs?

I have just started a company and need help to create a simple salary slip for one employee I have in the company. Since I have less than 20 employees, I do not deduct for PF. The only amount that is deducted is for TDS and PT. No HRA is deducted as the employee is not renting and lives in his own home.

Components of a Standard Salary Slip

What components need to be necessarily there in a standard salary slip? For example, does it need to include information about leaves, etc.? The employee needs the salary slip for visa purposes, so I want to make sure I make an accurate salary slip.

Any help will be great. Thanks!

Leave Records and Salary Slip Components

It is not mandatory to include leave records in the salary slip. Regarding the components, they can include basic salary, conveyance, medical reimbursement, uniform allowance, meal allowance, special allowance, and mobile/telephone allowance as earnings. Professional tax and TDS are deducted.

Regards

Salary Components for a Standard Salary Slip

- Basic (should not be less than 30% of Gross Salary)

- HRA (50% of Basic)

- Conveyance (up to Rs. 800/- p.m. Tax-Free)

- Medical Reimbursement (Up to Rs. 1250/- Tax-Free)

- Spl/Other Allowance (Balance Amount)

Dear Saji, Thanks for the analysis. I would like to know about Meal Allowance: If we mention a breakup for meal allowance, does the same amount have to be deducted from the employee's salary, and is it taxable? Or is it mandatory to issue food coupons without deducting the salary?

Regards, Harika Kadavakollu

Taxability of Meal Allowance

Any fixed meal allowance is fully taxable; it is not a non-taxable element.

Please find the template attached. I hope it is useful.

Regards,
Kiruthika