I have confusion regarding salary structure. I am working as an Assistant HR in an international call center, and my senior told me to design a salary structure where the base salary should be very less and incentives (which includes attendance allowance, food allowance, performance allowance, and transport allowance, etc.) should be more in terms of figures. So can anybody help me out if I want the total to be Rs. 8000 and Rs. 7000, then what would be the base salary and what would be the incentives?
I have tried to manage from my side. You can check the attachment for that. But I am looking for the best option.
Regards,
From India, Pune
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4I have tried to manage from my side. You can check the attachment for that. But I am looking for the best option.
Regards,
From India, Pune
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Dear Shweta the basic salary fixed for an employee also depend on the prevailing minimum wages of the state. in which State of India your call centre is located? regards dhanesh
From India, Gurgaon
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From India, Gurgaon
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Swetha,
First of all, I wish you a Happy New Year. Maybe you are in any region in India; the basic salary is fixed between two variables, i.e., 30% minimum to 50% maximum of the gross salary.
Gross Salary, in general, includes:
1. Basic (30% to 50% of Gross)
2. HRA (40% of Basic)
3. Medical Allowance (Rs. 1250 per month)
4. Transport Allowance or Conveyance (Rs. 800 per month)
5. Special Allowance (Gross - (1+2+3+4))
Please let me know if you need any clarifications on my personal ID: ranjithhrm@yahoo.co.in
From India, Hyderabad
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First of all, I wish you a Happy New Year. Maybe you are in any region in India; the basic salary is fixed between two variables, i.e., 30% minimum to 50% maximum of the gross salary.
Gross Salary, in general, includes:
1. Basic (30% to 50% of Gross)
2. HRA (40% of Basic)
3. Medical Allowance (Rs. 1250 per month)
4. Transport Allowance or Conveyance (Rs. 800 per month)
5. Special Allowance (Gross - (1+2+3+4))
Please let me know if you need any clarifications on my personal ID: ranjithhrm@yahoo.co.in
From India, Hyderabad
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Dear Shweta,
I have prepared a salary structure for you. Please review it and revert if you have any doubts.
This is a rough draft only. Every company/organization will have their own policies in the salary structure, and it varies from organization to organization. So, please try to understand the policies of your organization; then, it will be easier for you to do the job.
Jai
From India, Hyderabad
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I have prepared a salary structure for you. Please review it and revert if you have any doubts.
This is a rough draft only. Every company/organization will have their own policies in the salary structure, and it varies from organization to organization. So, please try to understand the policies of your organization; then, it will be easier for you to do the job.
Jai
From India, Hyderabad
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Mr. Ranjith,
I have a clarification for you. It seems that the salary structure of your organization may not be the same for all others, depending on the organization's policy. TA and Medical Allowances will be fixed.
Please clarify if I am wrong.
Jai
From India, Hyderabad
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I have a clarification for you. It seems that the salary structure of your organization may not be the same for all others, depending on the organization's policy. TA and Medical Allowances will be fixed.
Please clarify if I am wrong.
Jai
From India, Hyderabad
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Hi Friend,
I want to put some comments in this issue. HR Professional should be like a bridge between employer and employee so you have to play a great role.
We can easily understand why your senior is asking you to prepare this kind of structure. As basic and DA will affect in Statutory compliances, Gratuity, EL, Bonus.One thing you have to understand well, HR should be a care taker for employees.
Do fair work for employees. Now in PF there are checking the pay structure and asking us to pay 50-60% to basic and DA, otherwise you will be facing the legal issues. Please discuss the issue to your seniors.
While preparing the pay structure you have to be very careful. The pay structure will be different from one organisation to another organisation. Its all depends on the HR Policy.
Example:
Gross Salary-8000
Basic Salary -30% from gross salary (2400)
HRA -40% from basic salary (960)
Conveyance –800
Medical Allowances-1250
Educational Allowances-1000
Special Allowances-1590
It will be vary from one organisation to another organisation.
This is just my suggestion friend.
Warmest Regards,
Mohan.M.S
"Willingness to walk the extra mile to achieve excellence"
From India, Madras
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I want to put some comments in this issue. HR Professional should be like a bridge between employer and employee so you have to play a great role.
We can easily understand why your senior is asking you to prepare this kind of structure. As basic and DA will affect in Statutory compliances, Gratuity, EL, Bonus.One thing you have to understand well, HR should be a care taker for employees.
Do fair work for employees. Now in PF there are checking the pay structure and asking us to pay 50-60% to basic and DA, otherwise you will be facing the legal issues. Please discuss the issue to your seniors.
While preparing the pay structure you have to be very careful. The pay structure will be different from one organisation to another organisation. Its all depends on the HR Policy.
Example:
Gross Salary-8000
Basic Salary -30% from gross salary (2400)
HRA -40% from basic salary (960)
Conveyance –800
Medical Allowances-1250
Educational Allowances-1000
Special Allowances-1590
It will be vary from one organisation to another organisation.
This is just my suggestion friend.
Warmest Regards,
Mohan.M.S
"Willingness to walk the extra mile to achieve excellence"
From India, Madras
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Hi SHWETA find attached a copy of pay slip in a very simple form Rahail A Ahmed
From India, Hyderabad
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From India, Hyderabad
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Hi
Recently, I have joined a company where they have nothing beside Basic and HRA so I am paying IT whereas in the last company my salary was same but I had option of getting reimbursement of telephone, magazine, car running and entertainment. This was part of CTC. If I submit bill then I don’t needs to pay Income tax for these. But if I submit bill amount which crosses the amount mentioned in CTC then they don’t use to reimburse.
But my present company is saying that even I submit bill then also it is under Income Tax.
Thanks
Sumita
From India
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Recently, I have joined a company where they have nothing beside Basic and HRA so I am paying IT whereas in the last company my salary was same but I had option of getting reimbursement of telephone, magazine, car running and entertainment. This was part of CTC. If I submit bill then I don’t needs to pay Income tax for these. But if I submit bill amount which crosses the amount mentioned in CTC then they don’t use to reimburse.
But my present company is saying that even I submit bill then also it is under Income Tax.
Thanks
Sumita
From India
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Dear Shweta,
I have prepared a salary structure for you. Please check it out and revert if you have any doubts. This is a rough draft only. Every company/organization will have their own policies in the salary structure; it varies from organization to organization. So, please try to understand the policies of your organization, and then it will be easy for you to do the job.
Regards,
Jai
Mr. Jai,
As per your attachment, I found that the basic is changeable according to the percentage. However, as per the rule, you have to fix the basic + DA at a minimum or more as per the government rule. My suggestion is as per the state rule; you have to fix those amounts as per the Minimum Wages Act.
So, while fixing the salary, kindly break up in percentage-wise and keep the basic + DA fixed and other allowances for lower-salary individuals who don't come under the Income Tax Act. For those who come under the IT Act, please include conveyance, transport allowance, LTA, medical reimbursement, and other statutory deductions.
Regards,
Ramnath
From India, Bangalore
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I have prepared a salary structure for you. Please check it out and revert if you have any doubts. This is a rough draft only. Every company/organization will have their own policies in the salary structure; it varies from organization to organization. So, please try to understand the policies of your organization, and then it will be easy for you to do the job.
Regards,
Jai
Mr. Jai,
As per your attachment, I found that the basic is changeable according to the percentage. However, as per the rule, you have to fix the basic + DA at a minimum or more as per the government rule. My suggestion is as per the state rule; you have to fix those amounts as per the Minimum Wages Act.
So, while fixing the salary, kindly break up in percentage-wise and keep the basic + DA fixed and other allowances for lower-salary individuals who don't come under the Income Tax Act. For those who come under the IT Act, please include conveyance, transport allowance, LTA, medical reimbursement, and other statutory deductions.
Regards,
Ramnath
From India, Bangalore
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