Is it required to split up salary in salary slip if so how. Plz give salary split up for Rs.100000/- per month.
From India, Kochi
Acknowledge(0)
Amend(0)
From India, Kochi
Acknowledge(0)Amend(0)
Actually, the salary split-up benefits both the company and the employee by allowing for tax exemptions. Components such as HRA, Conveyance, Medical Allowance, Uniform & Washing Allowance, LTA, PF contribution, etc., are exempted as per the Income Tax Act.
Salary Breakup for Bombay
For the salary breakup, as you are from Bombay, please refer to the following (for the financial year 2014-15, as the conveyance & medical allowance limit has increased in the recent Budget for the next financial year 2015-16):
1. Define 50% of Gross as "Basic" = 50,000 (Approximately to consider 1 lakh as gross).
2. 50% of Basic is "HRA" House Rent Allowance = 25,000.
3. Medical Allowance = 1,250
4. "Conveyance" = 800
5. "Uniform & Washing" = 5,000
6. "LTA" can be = 7,500 (Exempted 2 times in a 4-year slab. You need to check the current slab).
7. The other amount can be adjusted into "Other Allowance."
8. PF can be applied at 12% of the Basic salary.
I hope this clears your doubts. Feel free to revert in case of any further queries.
Regards
From India, Ahmedabad
Acknowledge(0)Amend(0)
32Salary Breakup for Bombay
For the salary breakup, as you are from Bombay, please refer to the following (for the financial year 2014-15, as the conveyance & medical allowance limit has increased in the recent Budget for the next financial year 2015-16):
1. Define 50% of Gross as "Basic" = 50,000 (Approximately to consider 1 lakh as gross).
2. 50% of Basic is "HRA" House Rent Allowance = 25,000.
3. Medical Allowance = 1,250
4. "Conveyance" = 800
5. "Uniform & Washing" = 5,000
6. "LTA" can be = 7,500 (Exempted 2 times in a 4-year slab. You need to check the current slab).
7. The other amount can be adjusted into "Other Allowance."
8. PF can be applied at 12% of the Basic salary.
I hope this clears your doubts. Feel free to revert in case of any further queries.
Regards
From India, Ahmedabad
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
SALARY CALCULATOR & INCOME TAX.zip
SALARY CAN BE SPLIT INTO COMPONENTS BUT NOT LESS THAN THE MINIMUM WAGES.docx
Salary less tax - CTC.xls