Dear all members, Now a days most of companies offer their package in form of CTC (cost to company). Is there any guideline to compute CTC I mean which payments to an employee should include while computing CTC ? Here it is also informative to add that all companies calculate the same in their own way some of them even include all reimbursement like conveyance exp. etc. and a step more some includes FBT paid by the company on his expenses.
Now we if we take it from the employee's point of view at some place he gets cash in hand only 50-60% of monthly CTC what he was assured at the time of recruitment.
All members are requested to post their views and guidance.
From India, New Delhi
421Now we if we take it from the employee's point of view at some place he gets cash in hand only 50-60% of monthly CTC what he was assured at the time of recruitment.
All members are requested to post their views and guidance.
From India, New Delhi
Mr. X has been offered by one good MNC as follows :-
Basic - 60,000/-per month, HRA - 30,000/-per month, Monthly gross - 90,000/- per month, Retrial Benefits - PF - 7200/- per month, Superannuation Benefit - 9,000/- per month, Premium to difference insurance - 1000/- per month, Annual Exgratia - 60,000/- per year i.e 5000/- per month, LTA - 1,20,000/- per year i.e 10,000/- per month, Co;s car to bring office and back - 12,000/- per month, Canteen subsidy- 2600/- per month.
Total cash component - 1,05,000/- per month, Retrial Benefit- 16,200/- per month, Insurance - 1000/- per month, Co's car and canteen - 14,600/- per month. CTC - 1,36,800/- per month and yearly CTC - 16,41,600/- .
The above is one classic example of CTC. It varies from organization to organization as there is no legal support. But the fact is the organizations are required to arrest the cost of each employee for budgeting, internal control etc.
S K Bandyopadhyay ( WB, HOWRAH)
CEO-USD HR Solutions
+91 98310 81531
USD HR Solutions – To Strive towards excellence with effort and integrity
From India, New Delhi
Basic - 60,000/-per month, HRA - 30,000/-per month, Monthly gross - 90,000/- per month, Retrial Benefits - PF - 7200/- per month, Superannuation Benefit - 9,000/- per month, Premium to difference insurance - 1000/- per month, Annual Exgratia - 60,000/- per year i.e 5000/- per month, LTA - 1,20,000/- per year i.e 10,000/- per month, Co;s car to bring office and back - 12,000/- per month, Canteen subsidy- 2600/- per month.
Total cash component - 1,05,000/- per month, Retrial Benefit- 16,200/- per month, Insurance - 1000/- per month, Co's car and canteen - 14,600/- per month. CTC - 1,36,800/- per month and yearly CTC - 16,41,600/- .
The above is one classic example of CTC. It varies from organization to organization as there is no legal support. But the fact is the organizations are required to arrest the cost of each employee for budgeting, internal control etc.
S K Bandyopadhyay ( WB, HOWRAH)
CEO-USD HR Solutions
+91 98310 81531
USD HR Solutions – To Strive towards excellence with effort and integrity
From India, New Delhi
Dear Sir, Thanks for your erudite and knowledgeable reply which are useful for my understanding.
From India, New Delhi
From India, New Delhi
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