please give me split up of salary heads.ex. one employee salary 25000/- per month , give me the % of basic+DA+HRA+CCA+CA+MA+OA.
From India, Madras
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From India, Madras
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Hi Friend kinldy confirm 25000 CTC or Gross Salary please let me know, so that i can try to help you out. Asst Manager HR Statutory Compliances
From India, Hyderabad
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From India, Hyderabad
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Hi Harshita, I didn’t start this thread. But i’m interested to know normal break up pattern for Rs.25000 Gross/ Month for a manufacturing industry. Please advise. Thanks
From India, Madras
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2From India, Madras
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Salary split-up varies from company to company. Basically, the government has set a format for salary breakdown, but this is only followed by government organizations and not by the private sector.
Regards,
D. Mohan.
From India, Tiruchchirappalli
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Regards,
D. Mohan.
From India, Tiruchchirappalli
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I agree fully with D. Mohan; salary split-up differs from one organization to another. With my knowledge in Compensation Management, I can suggest that the best compensations are those that reduce the tax burden of individuals. Thus, the compensation structure generally changes as per the Annual Budget. For example, the abolition of Fringe Benefits played a huge part in redefining the compensation structure.
Basic Component and Related Allowances
Generally, there is a Basic Component (usually 30-50% of FCC - Fixed Cost to Company) to regulate the other salary components related to Basic like PF, HRA. HRA or Site Allowance (40-50% of Basic, can save Tax), Other Allowances (the list is huge, including Children Education (Max 2400), Medical Allowance (subjected to Max 15000 per year), LTA - Leave Travel Allowance (Max 1 month's Basic). There can be reimbursements as well, such as Fuel & Vehicle (Max 2 months' Basic) / Helper, etc.
Statutory Deductions
Other than these, there are statutory deductions like PF (12% of basic) and gratuity (4.8%), which are mandatory. The rest of the balancing figure is the Special Allowance OR Discretionary Management Allowance (can be named more aesthetically). Variable Pay/Reward Pay comes after this and is generally fully taxable.
I am just sharing some ideas. It's a complicated subject to address through emails. Compensation itself is a discipline in HR and is fast-changing. You need to formulate your organization's compensation after discussions with the Management.
Hope I have shed some light.
Thanks.
Regards,
Debapratim Guha
From India, Delhi
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Basic Component and Related Allowances
Generally, there is a Basic Component (usually 30-50% of FCC - Fixed Cost to Company) to regulate the other salary components related to Basic like PF, HRA. HRA or Site Allowance (40-50% of Basic, can save Tax), Other Allowances (the list is huge, including Children Education (Max 2400), Medical Allowance (subjected to Max 15000 per year), LTA - Leave Travel Allowance (Max 1 month's Basic). There can be reimbursements as well, such as Fuel & Vehicle (Max 2 months' Basic) / Helper, etc.
Statutory Deductions
Other than these, there are statutory deductions like PF (12% of basic) and gratuity (4.8%), which are mandatory. The rest of the balancing figure is the Special Allowance OR Discretionary Management Allowance (can be named more aesthetically). Variable Pay/Reward Pay comes after this and is generally fully taxable.
I am just sharing some ideas. It's a complicated subject to address through emails. Compensation itself is a discipline in HR and is fast-changing. You need to formulate your organization's compensation after discussions with the Management.
Hope I have shed some light.
Thanks.
Regards,
Debapratim Guha
From India, Delhi
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Salary Breakdown Guidelines
There is no hard and fast rule set by the government for salary head distribution. The basic salary should be kept above 50%, which means Rs. 12,500 or more. Dearness Allowance (DA) can range between 10% to 20%, i.e., Rs. 2,500. You can distribute the remaining components according to your company's culture of distributing salary heads. Reviewing some old databases of salary head distribution will give you an idea for the same.
From India, Jaipur
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There is no hard and fast rule set by the government for salary head distribution. The basic salary should be kept above 50%, which means Rs. 12,500 or more. Dearness Allowance (DA) can range between 10% to 20%, i.e., Rs. 2,500. You can distribute the remaining components according to your company's culture of distributing salary heads. Reviewing some old databases of salary head distribution will give you an idea for the same.
From India, Jaipur
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Dear All, I am forwarding herewith an exaple simple beakup of salary which may be helpfull to you. Regards Anil Desale 09764690653
From India, Pune
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From India, Pune
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