Hello...
Can anyone HELP!!!
Below is the monthly salary breakup which I have received with the appointment letter.
There is a differential amount of Rs. 1211.58/- between Total CTC [Rs. 19499.58/-] and Gross Salary [Rs. 18288.00/-] which is deducted from Total CTC. Kindly explain the deduction done? Also please give the calculation of income tax deduction.
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Salary Break-Up:-
Basic - 7800.00
Conveyance Allowance - 800.00
HRA - 3900.00
Medical Allowance - 1250.00
Special Allowance - 4246.00
Bonus Monthly - 292.00
EDLIADMINChargesCM - 0.78
ESLIChargesCM - 39.00
EPFER - 936.00
InsuranceCM - 150.00
PFAdminCharges - 85.80
Total CTC = 19499.58
Gross Salary = 18288.00
PF - 936.00
Net Salary = 17352.00
*Income Tax and Professional Tax as applicable will be deducted. All taxes will be deducted as applicable by law.
-----------------------------------------------------
Thanks in advance.
Regards / Harshali.
From India, Mumbai
Can anyone HELP!!!
Below is the monthly salary breakup which I have received with the appointment letter.
There is a differential amount of Rs. 1211.58/- between Total CTC [Rs. 19499.58/-] and Gross Salary [Rs. 18288.00/-] which is deducted from Total CTC. Kindly explain the deduction done? Also please give the calculation of income tax deduction.
---------------------------------------------------------
Salary Break-Up:-
Basic - 7800.00
Conveyance Allowance - 800.00
HRA - 3900.00
Medical Allowance - 1250.00
Special Allowance - 4246.00
Bonus Monthly - 292.00
EDLIADMINChargesCM - 0.78
ESLIChargesCM - 39.00
EPFER - 936.00
InsuranceCM - 150.00
PFAdminCharges - 85.80
Total CTC = 19499.58
Gross Salary = 18288.00
PF - 936.00
Net Salary = 17352.00
*Income Tax and Professional Tax as applicable will be deducted. All taxes will be deducted as applicable by law.
-----------------------------------------------------
Thanks in advance.
Regards / Harshali.
From India, Mumbai
Hi Harshali,
The deduction of 1211.58 from your salary has been clearly mentioned - it is the employer's contribution towards towards provident fund (sum of EDLIADMIN, ESLICharges, EPFER, Insurance, and PF Admin charges). It is part of CTC but not part of salary. So effectively it is not a deduction from your CTC but an addition to your gross salary :).
As for the TDS, it is not applicable to you, at least not in this particular pay month because there is no mention of the same in your in your payslip. If your net salary is about the Rs. 17,000/- mark each month, there will be no TDS applicable to you in the current financial year.
Regards,
Gaurang
From India, Ahmadabad
9The deduction of 1211.58 from your salary has been clearly mentioned - it is the employer's contribution towards towards provident fund (sum of EDLIADMIN, ESLICharges, EPFER, Insurance, and PF Admin charges). It is part of CTC but not part of salary. So effectively it is not a deduction from your CTC but an addition to your gross salary :).
As for the TDS, it is not applicable to you, at least not in this particular pay month because there is no mention of the same in your in your payslip. If your net salary is about the Rs. 17,000/- mark each month, there will be no TDS applicable to you in the current financial year.
Regards,
Gaurang
From India, Ahmadabad
Hello Gaurang,
Thanx...
But my take home salary [net salary] is rs.17352.00 and the PF amount of rs.936.00 is deducted from the Gross Salary [18288(GS) - 936(PF) = 17352(NS)].
The differential amount of Rs. 1211.58/- [19499.58(T.CTC) - 18288.00(GS) = 1211.58(DIFF.)]
IF I RESIGN FROM THE COMPANY, WILL THE DEDUCTED AMOUNT RS. 1211.58 [MONTHLY] WILL BE RETURNED???
Regards / Harshali K.
From India, Mumbai
Thanx...
But my take home salary [net salary] is rs.17352.00 and the PF amount of rs.936.00 is deducted from the Gross Salary [18288(GS) - 936(PF) = 17352(NS)].
The differential amount of Rs. 1211.58/- [19499.58(T.CTC) - 18288.00(GS) = 1211.58(DIFF.)]
IF I RESIGN FROM THE COMPANY, WILL THE DEDUCTED AMOUNT RS. 1211.58 [MONTHLY] WILL BE RETURNED???
Regards / Harshali K.
From India, Mumbai
Dear Harshali,
You are right about your take home salary being Rs. 17352. Let me explain in some more detail.
There are three main totals when it comes to salary - Net Salary or take home salary, gross salary and CTC. Among these, CTC stands for Cost to Company and so includes every expense that the company incurs for you... be it salary, provident fund, bonus, food, travel, telephone, etc.
Coming to the differential amount of Rs. 1211.58/- it is a combination of multiple heads. First is the employer's contribution to your PF, which as you said is Rs. 936. But there is the PF administrative charge, the group insurance that the employer is providing you (Rs. 150), the EDLI (Employees Deposit Linked Insurance) and its charges.
So effectively it is not a deduction from your CTC. Rather it is an addition from the employer to your gross salary, which is how your CTC is arrived at.
If you resign from the company, you will be getting back your PF amount (employee and employer contribution plus interest) from the PF office. The other costs, Insurance and admin charges are not returnable.
I hope this clears all your doubts :).
Regards,
Gaurang
Hope this clears your doubt.
From India, Ahmadabad
You are right about your take home salary being Rs. 17352. Let me explain in some more detail.
There are three main totals when it comes to salary - Net Salary or take home salary, gross salary and CTC. Among these, CTC stands for Cost to Company and so includes every expense that the company incurs for you... be it salary, provident fund, bonus, food, travel, telephone, etc.
Coming to the differential amount of Rs. 1211.58/- it is a combination of multiple heads. First is the employer's contribution to your PF, which as you said is Rs. 936. But there is the PF administrative charge, the group insurance that the employer is providing you (Rs. 150), the EDLI (Employees Deposit Linked Insurance) and its charges.
So effectively it is not a deduction from your CTC. Rather it is an addition from the employer to your gross salary, which is how your CTC is arrived at.
If you resign from the company, you will be getting back your PF amount (employee and employer contribution plus interest) from the PF office. The other costs, Insurance and admin charges are not returnable.
I hope this clears all your doubts :).
Regards,
Gaurang
Hope this clears your doubt.
From India, Ahmadabad
Hello Gaurang, Thanx 1nce again... PF and PT is deducted from Gross Salary. I received aug.'10 months salary Rs. 17152/- . Regards / Harshali.
From India, Mumbai
From India, Mumbai
@Shah Gurang...........Just one Correction to your above statement. TDS is applicable when a Salaried Male Employee crosses the 1.60L mark in the Current FY. This might change to 2lacs in when DTC(Direct Tax Code) is implemented next year. so at Rs18k it will easily be subject to TDS provided the salary is consistent for a period of above 8months. But Of course subject to statutory deductions and claims under our very own complex Income Tax Rules!.........................rgrds
From India, Mumbai
From India, Mumbai
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