Dear all, Anyone can brief me what will be the good salary strucutre that can save the income tax of employees? Thanks & regards, Raj
From India, Gurgaon
5From India, Gurgaon
Hi Raj,
The contents of the salary break up is as below, you can prepare it at the suitability of your own. HRA would be 50 or 60% of basic.
Basic
HRA
CCA - 825/- is exempted from tax
Other Allowance
Mobile Reimbursement
Medical Reimbursement of 1250/month is exempted from tax
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 an employee who are not covered under ESI as the maximum ceiling for ESI is 10000/Month.
Getting more than this will be covered under Mediclaim or it depends on company policy
EX-Gratia/Bonus = A fixed amount as Bonus
Annual Fixed Gross Cost= Gross/Annum+ Ex-gratia
Annual Total Cost = AFGC + PF+ESIC
Annual total cost is also called as CTC.
Apart from this Food coupons, Holiday package and Furnishing items are included in their CTC.
Hope it must help you to clear your queries up to some extent.
Regards,
Amit Seth.
From India, Ahmadabad
The contents of the salary break up is as below, you can prepare it at the suitability of your own. HRA would be 50 or 60% of basic.
Basic
HRA
CCA - 825/- is exempted from tax
Other Allowance
Mobile Reimbursement
Medical Reimbursement of 1250/month is exempted from tax
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 an employee who are not covered under ESI as the maximum ceiling for ESI is 10000/Month.
Getting more than this will be covered under Mediclaim or it depends on company policy
EX-Gratia/Bonus = A fixed amount as Bonus
Annual Fixed Gross Cost= Gross/Annum+ Ex-gratia
Annual Total Cost = AFGC + PF+ESIC
Annual total cost is also called as CTC.
Apart from this Food coupons, Holiday package and Furnishing items are included in their CTC.
Hope it must help you to clear your queries up to some extent.
Regards,
Amit Seth.
From India, Ahmadabad
Dear Mr Amith
thanks for the salary structure but what is the meaning of Medical reimburshment
because even i too doing payroll for 120 emp
if u provide the imformation it will be very helpfull for me for to get the reduction of IT some what to our employees
warm Regards
ramu
From India, Delhi
thanks for the salary structure but what is the meaning of Medical reimburshment
because even i too doing payroll for 120 emp
if u provide the imformation it will be very helpfull for me for to get the reduction of IT some what to our employees
warm Regards
ramu
From India, Delhi
Dear Amit
Thanx for the information. But I have a query for your answer, bcoz m also doing the payroll and we donot reimburse the medical, actually our company make this part as allowance and we pay this as medical allowance and its a part of basic also, and we release this payment with the salary every month, means now it becomes a part of salary and its an allowance, now it is totally taxable. My question is now if it is taxable then upto which amount we have to pay tax for this...........................
warm regards
sunita sarkar
From India, Gurgaon
Thanx for the information. But I have a query for your answer, bcoz m also doing the payroll and we donot reimburse the medical, actually our company make this part as allowance and we pay this as medical allowance and its a part of basic also, and we release this payment with the salary every month, means now it becomes a part of salary and its an allowance, now it is totally taxable. My question is now if it is taxable then upto which amount we have to pay tax for this...........................
warm regards
sunita sarkar
From India, Gurgaon
Thank U jahanjeb n Sunita.. :D
Sunita.. actually its a part of Gross salary per month, but mostly it is been paid after submitting the medical receipt for the same..
Upto rupees 1250/- is exempted from taxes.. and it is termed as Medical allowance..
Regards,
Amit Seth.
From India, Ahmadabad
Sunita.. actually its a part of Gross salary per month, but mostly it is been paid after submitting the medical receipt for the same..
Upto rupees 1250/- is exempted from taxes.. and it is termed as Medical allowance..
Regards,
Amit Seth.
From India, Ahmadabad
HI Amit
I have a querry. I am working in a infrastructure company and This is my Companys Salary Structure, can u gimme some suggestion as to how can it be further improved:
BASIC 10000
SPECIAL ALLOW 600
ADDN ALLOW 15125
SITE ALLOW 2925
MEDICAL 1250
CONVEYANCE 800
EDUCATION 200
UNIFORM 1000
LTA 900
TOTAL A 32800
RETIREMENT BENEFITS PF 12 % 1200
Superannuation 15% 1500
Grautity 5 % 500
TOTAL B 3200
TOTAL (A + B) 36000
PER ANNUM 432000
* For the ( A )Part- We need to submit 6monthly bills for uniform, medical and LTA otherwise it is taxable.
Waiting in anticipation of your reply :)
Regards
Ms Kopal Shrivastav
From India, Mumbai
I have a querry. I am working in a infrastructure company and This is my Companys Salary Structure, can u gimme some suggestion as to how can it be further improved:
BASIC 10000
SPECIAL ALLOW 600
ADDN ALLOW 15125
SITE ALLOW 2925
MEDICAL 1250
CONVEYANCE 800
EDUCATION 200
UNIFORM 1000
LTA 900
TOTAL A 32800
RETIREMENT BENEFITS PF 12 % 1200
Superannuation 15% 1500
Grautity 5 % 500
TOTAL B 3200
TOTAL (A + B) 36000
PER ANNUM 432000
* For the ( A )Part- We need to submit 6monthly bills for uniform, medical and LTA otherwise it is taxable.
Waiting in anticipation of your reply :)
Regards
Ms Kopal Shrivastav
From India, Mumbai
hi!! Amit
I too have a Query relating to the salary structure. I want to clarify that if a compy wants to pay HRA ( 40 % of basic) is it required that all the employees must provide supporting document like rent agreement and receipt.
Pls Throw some lights on this issue.
Regards,
Revathi
From India
I too have a Query relating to the salary structure. I want to clarify that if a compy wants to pay HRA ( 40 % of basic) is it required that all the employees must provide supporting document like rent agreement and receipt.
Pls Throw some lights on this issue.
Regards,
Revathi
From India
Dear Mr Amith
Thanks very much for qlarifing the query but not so clear with it
u did mentioned that before paying medical allownce we have to present the medical bil for the same
i didnt get this point to whom we have to present this bill and what is the mean of Bill is any type of form
And also clarify this query if know my freind
Meaning and difference between the
1.CTC and Annual slary
2. how will we calculate the DA mention with an example forRs 150000/- per annaum
Warm Regards
Ramu
From India, Delhi
Thanks very much for qlarifing the query but not so clear with it
u did mentioned that before paying medical allownce we have to present the medical bil for the same
i didnt get this point to whom we have to present this bill and what is the mean of Bill is any type of form
And also clarify this query if know my freind
Meaning and difference between the
1.CTC and Annual slary
2. how will we calculate the DA mention with an example forRs 150000/- per annaum
Warm Regards
Ramu
From India, Delhi
Dear Ramu,
The medical bill receipt of any medical shop is required to deposit with the commerce or finance people to avail the benefit of Medical Allowance..
As it is exempted from taxes, so it is required while audit..
Annual fixed salary is those part of the salary which is fixed, means you are going to get it any how in a year of your services.. whereas CTc includes some parts which are not fixed... and you dont get it directly in the form of cash benefits..
Regards,
Amit Seth.
From India, Ahmadabad
The medical bill receipt of any medical shop is required to deposit with the commerce or finance people to avail the benefit of Medical Allowance..
As it is exempted from taxes, so it is required while audit..
Annual fixed salary is those part of the salary which is fixed, means you are going to get it any how in a year of your services.. whereas CTc includes some parts which are not fixed... and you dont get it directly in the form of cash benefits..
Regards,
Amit Seth.
From India, Ahmadabad
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Salary-Note.doc
SALARY SHEET CALCULATION.xls