Hi Seniors,
I know this matter has been discussed many number of times in this site, then also I request you all help me. I have just recently started my proffessional career and facing a problem while preparing the salaries for the stuff.
My company has Basic, HRA, Medical Allowance, PF, ESI and Special Allowance as salary component. If an employee has CTC 2lac then what should be the structure of the employee's salary so that he/she has to pay least amount of tax before investment.
Please send me the structure at
. Counting on heavily.
Regards,
Ayan Bandyopadhyay
From India, Calcutta
3I know this matter has been discussed many number of times in this site, then also I request you all help me. I have just recently started my proffessional career and facing a problem while preparing the salaries for the stuff.
My company has Basic, HRA, Medical Allowance, PF, ESI and Special Allowance as salary component. If an employee has CTC 2lac then what should be the structure of the employee's salary so that he/she has to pay least amount of tax before investment.
Please send me the structure at
Regards,
Ayan Bandyopadhyay
From India, Calcutta
Hey ayan_bandyopadhyay, i am attaching a excel sheet to calculate ctc & all it’s components if you find any further problem do message me....
From India, Ahmadabad
From India, Ahmadabad
Thanks a lot Pratik for the sheet, but I need one more help. how did you decide the percentage for the different salary components when a CTC is provided to u. that is for CTC 93000 how did u fix the follwoing percentage?
BASIC 41.80% OF CTC 50.00% OF GROSS
HRA 25.08% OF CTC 30.00% OF GROSS
MEDICAL 8.36% OF CTC 10.00% OF GROSS
CONVEYANCE 2.51% OF CTC 3.00% OF GROSS
EDUCATION ALL 0.84% OF CTC 1.00% OF GROSS
SPL ALLOWANCE 5.01% OF CTC 6.00% OF GROSS
PF 5.71% OF CTC 100.00% GROSS
ESI 1.99% OF CTC
BONUS 6.96% OF CTC
15 DAYS PAID LEAVE 1.74% OF CTC
Total 100.00% OF CTC
if CTC and your formula is there then gross and net is not a problem but if only CTC is given and I have to create this formula then how will I do it? Please help senior, I am counting on you heavily. I am facing this question in almost every interview. Answer of this question will help me to find a job.
Regards,
Ayan Bandyopadhyay
From India, Calcutta
BASIC 41.80% OF CTC 50.00% OF GROSS
HRA 25.08% OF CTC 30.00% OF GROSS
MEDICAL 8.36% OF CTC 10.00% OF GROSS
CONVEYANCE 2.51% OF CTC 3.00% OF GROSS
EDUCATION ALL 0.84% OF CTC 1.00% OF GROSS
SPL ALLOWANCE 5.01% OF CTC 6.00% OF GROSS
PF 5.71% OF CTC 100.00% GROSS
ESI 1.99% OF CTC
BONUS 6.96% OF CTC
15 DAYS PAID LEAVE 1.74% OF CTC
Total 100.00% OF CTC
if CTC and your formula is there then gross and net is not a problem but if only CTC is given and I have to create this formula then how will I do it? Please help senior, I am counting on you heavily. I am facing this question in almost every interview. Answer of this question will help me to find a job.
Regards,
Ayan Bandyopadhyay
From India, Calcutta
Hi, Can anyone tell me whether the percentages(metioned in salary structure) are revised this fiscal 2013? Regards, Hasini
From India, Bangalore
From India, Bangalore
Dear Pratik,
I am a non HR guy... Started my own company just now. As you are aware, I am forced to wear many hats and currently i am wearing one of a HR guys. Please help me with an excel that will give me the CTC if i key in only the take home. Please keep in mind that the lesser the difference between the take home and the CTC, its the difference between profit and loss for me.
Thanks in advance for your timely help.
From India, Chennai
I am a non HR guy... Started my own company just now. As you are aware, I am forced to wear many hats and currently i am wearing one of a HR guys. Please help me with an excel that will give me the CTC if i key in only the take home. Please keep in mind that the lesser the difference between the take home and the CTC, its the difference between profit and loss for me.
Thanks in advance for your timely help.
From India, Chennai
Hi, Can any one pls help me out frm all the confusions of salary calculation ? pls provide me the easy way to learn salary calculation. Thanks & Regards Shailja Sharma
From India, Lucknow
From India, Lucknow
Dear Shailja,
you never gain knowledge of Salary if you are going to learn any short cut way. I am not criticize you but if you want to learn in proper way then you will buy taxation book read chapter salary. you will definitely gain knowledge of salary preparation. there is example of all component of salary.
From India, Mumbai
you never gain knowledge of Salary if you are going to learn any short cut way. I am not criticize you but if you want to learn in proper way then you will buy taxation book read chapter salary. you will definitely gain knowledge of salary preparation. there is example of all component of salary.
From India, Mumbai
Nirav , that's really ok, i appreciate your comment......bt lemme clear one thing dear its' not abt shortcut its abt to get the basic concept of it.
How can i get the sentences if i dnt knw alphabets ??? i.e, i specified for the easy way.
Thanks & Regards
Shailja
From India, Lucknow
How can i get the sentences if i dnt knw alphabets ??? i.e, i specified for the easy way.
Thanks & Regards
Shailja
From India, Lucknow
Hello, apart from sharing a few links that would give you information on compensation and salary structurization, I wish to imbibe the following information on Compensation and other benefits -
Although money isn't everything, it certainly is one of the top issue potential employees look at when considering new companies.
To make your company competitive and attractive to job candidates, you have to offer an exceptional total benefits package. That makes it a very important part of your business planning and management process if you hope to hire (and keep) top employees.
As a result, there must be many questions running in your head -
1. How do you make your benefits package attractive and competitive without financially jeopardizing the success of your business?
2. What perks can you offer that won't cost you additional money, but will mean a lot to your employees?
3. How do you set salaries?
4. What benefit costs are tax deductible?
Forms of compensation:
1. Your incentives should be based on achievements and should include all you employees or atleast the whole team.
2. Again rewards should be result based. We cannot simply give rewards for trying. Rewards can be given only if the trial brought in result.
3. Do not limit the amount of incentives. There should always be an open limit or atleast communicate a limit higher than what is being currently achieved. This will motivate the team to push more to achieve better targets.
4. In addition to regular benefits that include health insurance / medical reimbursements, retirement plans - PF & Pension, Conveyance Allowance etc, employees seem to be actively seeking companies who offer more of the tings they value. As a result many companies are going for flexible salary structure wherein the employee sits with HR and according to his/her needs and convinience, gets the structure framed for him/her self.
5. Many employees are okay with a decent pay if the company focuses on work-life balance.
Apart from this there are few benefits and perk which will not cost you and yet keep your employees engaged -
1) Flex time:
Allowinf flexible work schedules in your business is very often the most strategic thing you can do from a hiring standpoint. Often, companies that offer flex time find their employees are more productive, motivated and loyal.
But how do you structure it so that you don't have disgruntled employees whose hobs really can't be flexible?
One way out is to allow the employees to come up with creative ways to make their schedule flexible. Try out this solutions with a limited basis and try to measure your result. Also make sure your employees keep your clients in mind when they devise their plans. Any plan that hinders client contact probably isn't one you want to adopt.
2) Telecommuting
Today you have to measure an employee's worth by what they produce, not by how many hours you see them sitting at their desks.
The benefits for your employees can be substantial. They can save time since their commuting will be very brief stroll. They also benefit from a quieter and less interuppted environment. They can woek whenever the inspiration hits them. Or if they have an appointment in the afternoon, they can make up the time later that night.
You too would benefit from the increased loyalty and boosted morale of your telecommuting workforce.
Further reading -
Ten Steps For Building A Salary Structure | International HR Forum
Wages and Salaries | Compensation & Benefits | HR Toolkit | hrcouncil.ca
Salary Basics- Pay Structures
http://kenexa.com/Portals/0/Download...Structures.pdf
https://www.citehr.com/234112-salary...deduction.html
https://www.citehr.com/291446-salary...alculator.html
https://www.citehr.com/47732-please-...lculation.html
Hope it helped :)
From India, Mumbai
Although money isn't everything, it certainly is one of the top issue potential employees look at when considering new companies.
To make your company competitive and attractive to job candidates, you have to offer an exceptional total benefits package. That makes it a very important part of your business planning and management process if you hope to hire (and keep) top employees.
As a result, there must be many questions running in your head -
1. How do you make your benefits package attractive and competitive without financially jeopardizing the success of your business?
2. What perks can you offer that won't cost you additional money, but will mean a lot to your employees?
3. How do you set salaries?
4. What benefit costs are tax deductible?
Forms of compensation:
1. Your incentives should be based on achievements and should include all you employees or atleast the whole team.
2. Again rewards should be result based. We cannot simply give rewards for trying. Rewards can be given only if the trial brought in result.
3. Do not limit the amount of incentives. There should always be an open limit or atleast communicate a limit higher than what is being currently achieved. This will motivate the team to push more to achieve better targets.
4. In addition to regular benefits that include health insurance / medical reimbursements, retirement plans - PF & Pension, Conveyance Allowance etc, employees seem to be actively seeking companies who offer more of the tings they value. As a result many companies are going for flexible salary structure wherein the employee sits with HR and according to his/her needs and convinience, gets the structure framed for him/her self.
5. Many employees are okay with a decent pay if the company focuses on work-life balance.
Apart from this there are few benefits and perk which will not cost you and yet keep your employees engaged -
1) Flex time:
Allowinf flexible work schedules in your business is very often the most strategic thing you can do from a hiring standpoint. Often, companies that offer flex time find their employees are more productive, motivated and loyal.
But how do you structure it so that you don't have disgruntled employees whose hobs really can't be flexible?
One way out is to allow the employees to come up with creative ways to make their schedule flexible. Try out this solutions with a limited basis and try to measure your result. Also make sure your employees keep your clients in mind when they devise their plans. Any plan that hinders client contact probably isn't one you want to adopt.
2) Telecommuting
Today you have to measure an employee's worth by what they produce, not by how many hours you see them sitting at their desks.
The benefits for your employees can be substantial. They can save time since their commuting will be very brief stroll. They also benefit from a quieter and less interuppted environment. They can woek whenever the inspiration hits them. Or if they have an appointment in the afternoon, they can make up the time later that night.
You too would benefit from the increased loyalty and boosted morale of your telecommuting workforce.
Further reading -
Ten Steps For Building A Salary Structure | International HR Forum
Wages and Salaries | Compensation & Benefits | HR Toolkit | hrcouncil.ca
Salary Basics- Pay Structures
http://kenexa.com/Portals/0/Download...Structures.pdf
https://www.citehr.com/234112-salary...deduction.html
https://www.citehr.com/291446-salary...alculator.html
https://www.citehr.com/47732-please-...lculation.html
Hope it helped :)
From India, Mumbai
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