Salary Structure

Before redesigning the salary structure the following points should be considered:

1. Flexible plan benefit given to Executive:
CTC will be divided into Gross (Taxable) and Flex plan benefit (Non Taxable
income)
2. Non Taxable benefit extend to Car Expenses, white goods, Personal travel, Medical
Reimbursement, Food allowance, Educational Allowance etc.

2. Before fixing the Gross Salary we should consider the percentage of Basic i.e,
it will reflect into PF, Leave encashment, Gratuity etc.

3. PF ceiling as per act less than or equal to Rs.6500/- if basic is more than
Rs.6500/- need not cover the PF Benefit

4. ESI Ceiling as per act Gross salary less than or equal to Rs.7500/-

5. Before fixing the Salary structure you can refer Income tax benefits

6. CTC may be extened to Variable pay also.

Happy fredinship day wishes

Hi friends

A very warm and cheerful friendship day wishes for all.

I started this blog with vision to share my experience and learn from you for mutual professional growth.

I am sure interaction with professionals like you will provide great insight to HR and Operation Management professional in effective management of their activities.

Thanks a lot

Prem kumar