Need information on the salary breakup for monthly take home for Rs 14000 after (PF & ESI Deductions)

Hi, I need information on the salary breakup for monthly take home for Rs 14000 after (PF & ESI Deductions)

This includes the travel allowance - 3200 as it is for a disabled employee + Rs 500 towards uniform allowance + Medical Allowance of Rs 1250. These are the fixed amount.

Need information on how to calculate the Basic & HRA.

Thank you
Rosheena

The HRA is given either as a fixed amount and it varies from organisation to organisation or it is given as a percentage of the Basic Pay. The Govt. of India has classified the cities for HRA purpose, you can follow that.
Normally, the components of salary are fixed first of all and the summed up amount is the total salary. It looks like you are doing it in the reverse.

For a take home salary of Rs 14000, what bifurcation should you make? It should be equal to the statutory minimum wages fixed by the state. Then use the same basic pay and dearness allowance and make the entire amount qualify to EPF and ESI contribution.

BASIC + DA = 6000
HRA = 3000
TA =3200
MED =1250
UNI =500

TAKEHOME =13950

To my opinion if the take home salary is less i.e monthly gross is less, Basic should be 60% of monthly gross. When the definition of wages will be implemented, then the problem will be less after re-structuring of the remuneration structure.

It may be fitted as Basic - 9513, HRA - 1392, Other fixed allowances - 4950, Monthly gross - 15855, PF deduction on ( 9513 +4950) = 1736 and ESI deduction = 119, Take home = 14,000/-. This fitment can also be done by algebraic equation.

The above has been made by trial and error method considering Basic as 60% of monthly gross and HRA has no % formula. In the instant case HRA is close to 15% of Basic.

S K Bandyopadhyay ( WB, HOWRAH)
CEO-USD HR Solutions
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