Is My CTC Breakdown Method Correct? Seeking Guidance on Calculating Gross Salary

Hello Team, Regarding how to calculate Gross Salary from Cost to Company (CTC), please find attached the sheet where I have calculated it. Kindly review and confirm if this is the correct method. If not, please provide guidance on the accurate way to calculate it.

Thank you and Regards

In my opinion, your sheet is simply correct. Generally, companies/organizations break up the components as you have done in your sheet. CTC includes Gross Salary (monthly paid components) along with the employer's share of PF and ESI. In Gross Salary, you can have flexible basket components (such as LTA, books, and periodicals, etc.).

Within CTC, the following costs are also included:

- One-time payments (like incentives, performance bonuses, statutory bonuses)
- Cost of benefits to staff such as meal coupons, mediclaim insurance
- Gratuity

Regards,
Puran Dangwal