Dear friends,
Would like to know whether HRA, Conveyance, Medical, Education Allowance is calculated on basic or gross?
Why do some companies fix conveyance at 800/- per month? Is there any reason for this?
Regards,
Tittli
From India, Bharuch
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17Would like to know whether HRA, Conveyance, Medical, Education Allowance is calculated on basic or gross?
Why do some companies fix conveyance at 800/- per month? Is there any reason for this?
Regards,
Tittli
From India, Bharuch
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Dear Tittli,
Many companies have different ways of calculating; however, while calculating, we need to keep in mind that the basic and gross pay is fixed at par with the minimum wages of that state.
Regards,
Jatin
9762382477
From India, Pune
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Many companies have different ways of calculating; however, while calculating, we need to keep in mind that the basic and gross pay is fixed at par with the minimum wages of that state.
Regards,
Jatin
9762382477
From India, Pune
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Yes Allowances are calculated on Basic Salary and Conveyance is 800 fixed because in Inocme tax maximum rebate on conveyance is 9600/- per year.... Ajaay Raaghav
From India, Coimbatore
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From India, Coimbatore
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Hi Tittli,
1. No, allowances are not calculated on basic or gross salary, except for HRA, which is 50% of the basic.
2. Other allowances are decided according to exemptions in the IT Act.
3. Conveyance allowance is fixed at Rs. 800 by most companies because as per the IT Act, only Rs. 800 exemption is allowed.
Regards,
From India, Delhi
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1. No, allowances are not calculated on basic or gross salary, except for HRA, which is 50% of the basic.
2. Other allowances are decided according to exemptions in the IT Act.
3. Conveyance allowance is fixed at Rs. 800 by most companies because as per the IT Act, only Rs. 800 exemption is allowed.
Regards,
From India, Delhi
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SALARY SHEET CALCULATION.xls
Salary calculation.doc