At present, I am working for a manufacturing company that had no HR. I am working under the guidance of an HR consultant appointed by the company.
Please find the attached New CTC structure for Existing Staff. (Enter Gross Annual CTC amount to get the breakup) This structure has been formed by the HR consultant.
I have the following queries:
1. Is it right to divide the yearly bonus into a monthly bonus and include it in CTC?
2. According to this salary structure, many employees' PF amount will be more than 780. Is it right to deduct PF more than 780, or do we require permission from the employee in such a case?
3. Should LTA be included even for new employees?
From India, Mumbai
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48Please find the attached New CTC structure for Existing Staff. (Enter Gross Annual CTC amount to get the breakup) This structure has been formed by the HR consultant.
I have the following queries:
1. Is it right to divide the yearly bonus into a monthly bonus and include it in CTC?
2. According to this salary structure, many employees' PF amount will be more than 780. Is it right to deduct PF more than 780, or do we require permission from the employee in such a case?
3. Should LTA be included even for new employees?
From India, Mumbai
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Hello Mandy, The CTC structure prepared by the consultant is right.
From India, Bhubaneswar
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From India, Bhubaneswar
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Hello Mandy,
Please ask your consultant about the limit of Education Allowance/Conveyance Allowance. It is limited to a maximum of 200 Rs and 800 Rs in major companies.
Please use the term "Medical Reimbursement" rather than "Medical Allowance" and note that the limit for Medical Reimbursement is a maximum of 1,250 Rs per month.
Request your consultant to add some reimbursement components for higher-salaried employees for tax-saving purposes.
Inquire about ESI Deduction and whether the Minimum Wage rule is implemented. Please adhere to the Minimum Wage rates as per the respective states and the rules of the Factory Act. Adjust your basic component accordingly.
Regards,
Ashish
From India, Pune
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Please ask your consultant about the limit of Education Allowance/Conveyance Allowance. It is limited to a maximum of 200 Rs and 800 Rs in major companies.
Please use the term "Medical Reimbursement" rather than "Medical Allowance" and note that the limit for Medical Reimbursement is a maximum of 1,250 Rs per month.
Request your consultant to add some reimbursement components for higher-salaried employees for tax-saving purposes.
Inquire about ESI Deduction and whether the Minimum Wage rule is implemented. Please adhere to the Minimum Wage rates as per the respective states and the rules of the Factory Act. Adjust your basic component accordingly.
Regards,
Ashish
From India, Pune
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Dear Sir,
Your presentation about salary break up still needs modification. Emphasis is given for low rise of liability to the employer. If you offer a flexi package, perhaps employees can have a better option, but as an employer, one needs to keep the basics at the lowest or rather restricted area. The specimen file is attached.
V S Rane
From India, Mumbai
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Your presentation about salary break up still needs modification. Emphasis is given for low rise of liability to the employer. If you offer a flexi package, perhaps employees can have a better option, but as an employer, one needs to keep the basics at the lowest or rather restricted area. The specimen file is attached.
V S Rane
From India, Mumbai
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HR Manual (Employee Hand Book).doc
Compensation Structure.ppt