Hi Friends, I m new user to this site working in software company as a HR. Plz help me to plan the salary & grade structure. Regards, Swati :)
From India, Mumbai
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1From India, Mumbai
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Hi Swati,
The contents of the salary breakup are as below. You can prepare it according to your own suitability. HRA should be 50% or 60% of the basic salary.
Basic
HRA
TA
Other Allowance
Mobile Reimbursement per Month
Gross Per Month = Sum of all the above.
Gross Per Annum = 12 * Gross/Month
PF Contribution = 12% of Basic/Annum
ESI Contribution = 4.75% of Gross/Annum
Medical = The mediclaim facility provided to employees who are not covered under ESI, as the maximum ceiling for ESI is 10000/Month. Anything exceeding this will be covered under Mediclaim or as per company policy.
Ex-Gratia/Bonus = A fixed amount as a bonus.
Annual Fixed Gross Cost = Gross/Annum + Ex-gratia
Annual Total Cost = AFGC + PF + ESIC
Annual total cost is also referred to as CTC.
I hope this clarifies everything for you. If you have any queries, please feel free to ask.
Regards,
Amit Seth
From India, Ahmadabad
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The contents of the salary breakup are as below. You can prepare it according to your own suitability. HRA should be 50% or 60% of the basic salary.
Basic
HRA
TA
Other Allowance
Mobile Reimbursement per Month
Gross Per Month = Sum of all the above.
Gross Per Annum = 12 * Gross/Month
PF Contribution = 12% of Basic/Annum
ESI Contribution = 4.75% of Gross/Annum
Medical = The mediclaim facility provided to employees who are not covered under ESI, as the maximum ceiling for ESI is 10000/Month. Anything exceeding this will be covered under Mediclaim or as per company policy.
Ex-Gratia/Bonus = A fixed amount as a bonus.
Annual Fixed Gross Cost = Gross/Annum + Ex-gratia
Annual Total Cost = AFGC + PF + ESIC
Annual total cost is also referred to as CTC.
I hope this clarifies everything for you. If you have any queries, please feel free to ask.
Regards,
Amit Seth
From India, Ahmadabad
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Employee Benefits.doc