Hello can any one clear me the calculation of basic salary :icon14: URGENT santosh.rn01@gmail.com
From India, Bangalore
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From India, Bangalore
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Basic salary is usually ranging from 35-60% of the CTC package that you have fixed for the candidate. However, you may wish to reduce that amount as well and add it to other headings because the more basic you keep, the higher will be the deduction for PF (12% of basic). I hope this satisfies your queries.
From India, New Delhi
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From India, New Delhi
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Hi,
The basic salary mostly depends on the city or standard of living and will differ from city to city. As one of our colleagues mentioned, it is typically 35% to 40% in most companies. We follow a policy of setting the basic salary at 50% of the gross salary. However, when considering the employee's cost to company (CTC) in terms of salary, the basic salary will have a more significant impact.
From India, Bangalore
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2The basic salary mostly depends on the city or standard of living and will differ from city to city. As one of our colleagues mentioned, it is typically 35% to 40% in most companies. We follow a policy of setting the basic salary at 50% of the gross salary. However, when considering the employee's cost to company (CTC) in terms of salary, the basic salary will have a more significant impact.
From India, Bangalore
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Dear All,
The minimum basic salary should be 75% of an employee's gross salary if no allowances are provided extensively. However, if D.A, H.R.A, and C.C.A are provided, then the basic salary can be reduced to 60% of the gross, which is the minimum.
Ref:
As per the Provident Fund Act of 1952.
You can also contact any of the P.F. officers before fixing the salary components. This is how we follow in our organization.
Regards,
Dinesh.R
9962359250
From India, Madras
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The minimum basic salary should be 75% of an employee's gross salary if no allowances are provided extensively. However, if D.A, H.R.A, and C.C.A are provided, then the basic salary can be reduced to 60% of the gross, which is the minimum.
Ref:
As per the Provident Fund Act of 1952.
You can also contact any of the P.F. officers before fixing the salary components. This is how we follow in our organization.
Regards,
Dinesh.R
9962359250
From India, Madras
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There is no hard and fast rule for fixing basic salary. No act or rule talks about BP fixation. Generally, as a matter of extreme caution, it is fixed between 30 to 35% of the total salary, inclusive of all allowances. If the salary is considered as consolidated pay, then the total salary is considered as BP for PF calculation, etc. (But this is very rare).
Fixation of basic pay varies from organization to organization. But it is better to follow a regional pattern always.
Gopan
From India, Kochi
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Fixation of basic pay varies from organization to organization. But it is better to follow a regional pattern always.
Gopan
From India, Kochi
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how do i cal basic salary on gross mine CTC is 10k and basic is 40% HR is 50% on basic and other allowances just guide me
From India, Bangalore
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From India, Bangalore
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how do i cal basic salary on gross mine CTC is 10k and basic is 40% HR is 50% on basic and other allowances just guide me
From India, Bangalore
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From India, Bangalore
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Is it compulsary to keep same percentage of basic salary to each employee? Regards Madhura
From India
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From India
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Fixation of Basic salary depenend on Grade also... It can be fall into barcket of 30% to 60%... It can be differ from company to company... Shibom
From India, Mumbai
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From India, Mumbai
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SALARY SHEET CALCULATION.xls
Salary calculation.doc