What are the other deductions are there apart from PF, PT and ESI in the salary calculation?

Dear Members,

Please let me know what other deductions are there apart from PF, PT, and ESI in the salary calculation.

Regards

You can also add the income tax deductions in the salary slip of your employees and remit the same to the IT Department.

You can verify whether there is any Labour Welfare Fund Act in Andhra Pradesh which requires an employer to deduct contributions from wages to the labor welfare fund.

B. Saikumar
HR & Labour Law Advisor
Mumbai

Dear Avinash,

The following are the statutory deductions in the salary calculation: PF, ESI, PT, IT (TDS), LWF. Apart from these, other deductions that can be shown include loans, salary advance, mobile, data card, and cashier shortage (applicable in the retail sector). Due to space constraints and a common payslip format, most companies show these as other deductions.

Thank you.

Dear Mr. Saikumar,

In Andhra Pradesh, the Labour Welfare Fund is only Rs. 7 per head per year (Employer-Rs. 5/- and Employee-Rs. 2/-). So, normally, for this small amount, the companies engaging the workers are directly paying to the Labour Welfare Commissioner without deducting the same from the workers.

Dear Avinash,

Nothing except the PF, ESI, PT, and IT will be deducted from the salary of the employee. In the case of any other deduction, you must obtain the concurrence from the employee before effecting the deduction, such as Voluntary PF, LIC, Mediclaim Policy, Loan Repayment, etc.

I do not think whether there is any other deduction. Please verify the Building and Construction Workers Act or Interstate Migrant Workers Act also, since you are a construction company.

B. Saikumar
HR & Labour Law Advisor
Mumbai