Is it Correct to show ,as deduction , bonus amount in salary sheet/pay slip by showing the gross monthly CTC amount. Is there any statutory complicity in showing that .
From India, Bhubaneswar
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From India, Bhubaneswar
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CTC is an internal calculation. In fact, it has to be used only for negotiation. I come across many postings here saying whether Bonus or PF can be shown in the payslip. Then why not Gratuity? Why not other benefits?
STEP 1
Basic plus DA plus HRA + Conveyance + other allowances payable every month.
STEP 2
Monthly incentives * monthly reimbursements.
STEP 3
Annual Payments like LTA, Medical, Performance Pay, Bonus.
STEP 4
Employers' contribution towards PF, ESI, etc., and gratuity. Any amount payable towards superannuation.
STEP 5
Cost of Car/Cost of interest on Loans/
All these put together form CTC. There is no legal definition for CTC. Some Companies even add Canteen subsidy/travel subsidy/Accident insurance, etc.
In senior positions, some companies add vacation cost to CTC.
In a payslip, which is given every month, one needs to show the following only:
STEP 1: Related items which form monthly earnings.
STEP 2: Related items which form monthly reimbursements.
STEP 4: Related deductions plus other deductions like IT Professional Tax loan recovery, etc.
No other items should be shown in the payslip. I also do not understand what purpose it serves.
From India, Chennai
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379STEP 1
Basic plus DA plus HRA + Conveyance + other allowances payable every month.
STEP 2
Monthly incentives * monthly reimbursements.
STEP 3
Annual Payments like LTA, Medical, Performance Pay, Bonus.
STEP 4
Employers' contribution towards PF, ESI, etc., and gratuity. Any amount payable towards superannuation.
STEP 5
Cost of Car/Cost of interest on Loans/
All these put together form CTC. There is no legal definition for CTC. Some Companies even add Canteen subsidy/travel subsidy/Accident insurance, etc.
In senior positions, some companies add vacation cost to CTC.
In a payslip, which is given every month, one needs to show the following only:
STEP 1: Related items which form monthly earnings.
STEP 2: Related items which form monthly reimbursements.
STEP 4: Related deductions plus other deductions like IT Professional Tax loan recovery, etc.
No other items should be shown in the payslip. I also do not understand what purpose it serves.
From India, Chennai
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SALARY SHEET CALCULATION.xls