Dear Sir/Mam,
in our organization we were not providing the salary slip to our employee. but now with considering the need, we want to issue salary slip on monthly basis.
I am attaching herewith the salary break up.
Kindly help me out by knowing it is appropriate or any changes required.
Thank you...
From India, Mumbai
2in our organization we were not providing the salary slip to our employee. but now with considering the need, we want to issue salary slip on monthly basis.
I am attaching herewith the salary break up.
Kindly help me out by knowing it is appropriate or any changes required.
Thank you...
From India, Mumbai
Dear aswini, The components are always based on your pay structure. there is no opinion.
From India, Kolkata
From India, Kolkata
Dear Ashvini
It seems nice to hear that your organization is planning to have the salary structure and proper slips for the employees .
Before you plan for the same i would like to tell you that go for few things planned , as am not sure if you have done it or not :
check the type of establishment you are covered in, as in factories act or shops and establishments, to know more basis for the salary points as professional taxes etc.
The differentiation on few braces/basis will be for the upper lever employees wherein tax is a major factor to be covered both from organization and employee side too.
looking over your present salary structure , it seems good but seems that you need to check for the HRA as it should be around 40% for non metro cities in general and around 50% for metro which most organizations follow , but it may vary if you are adding other components .
here you can find many salary slip formats and you can parallely check for reference the slips used in similar industries in your area and business type , so that you can match various things and have clarity better .
Commenting on a particular thing will not be benefitial , better you can furnish first the bases on which you can have bifurcations , rest in general your slip seems good .
One more thing , you can also send the same on the e-mails by putting the statement on the footer of the slip " This is a computer generated slip, so don't requires signature", rest you can go with manual way too .
Hope my suggestion will work for you .
Have a nice day .
From India, Gurgaon
It seems nice to hear that your organization is planning to have the salary structure and proper slips for the employees .
Before you plan for the same i would like to tell you that go for few things planned , as am not sure if you have done it or not :
check the type of establishment you are covered in, as in factories act or shops and establishments, to know more basis for the salary points as professional taxes etc.
The differentiation on few braces/basis will be for the upper lever employees wherein tax is a major factor to be covered both from organization and employee side too.
looking over your present salary structure , it seems good but seems that you need to check for the HRA as it should be around 40% for non metro cities in general and around 50% for metro which most organizations follow , but it may vary if you are adding other components .
here you can find many salary slip formats and you can parallely check for reference the slips used in similar industries in your area and business type , so that you can match various things and have clarity better .
Commenting on a particular thing will not be benefitial , better you can furnish first the bases on which you can have bifurcations , rest in general your slip seems good .
One more thing , you can also send the same on the e-mails by putting the statement on the footer of the slip " This is a computer generated slip, so don't requires signature", rest you can go with manual way too .
Hope my suggestion will work for you .
Have a nice day .
From India, Gurgaon
Dear Ashvini,
It is a good idea to issue wage slips as its make the wage/salary process more transparent and structured. I see some very good detailed information that has been given by a member.
I just wish to add to that a few pointers. along with S & E act, you also need to adhere to Minimum wages act. As per the act, the format of the Wage Slip is given in Form XI.
So, firstly you need to ensure that the headings given in Form XI are incorporated in your salary slip. Its a very simple document and all headings are quite easily included in pay slips. (You can do a search for "Form XI wage slip"
Secondly, as per the format you have attached, you have shown the CTC structure. Do you intend to keep the same heading liners? Under the assumption that you will keep it same, may I suggest :-
a) You don't need to show the % for each head.
b) Preferably combine the heads of Basic +DA, since the requirement for Minimum wage is that Basic +DA shouldn't be less than the Min wage/Special allowance. Else every 06 months you may need to keep revising it. This is not mandatory, but only for sake of brevity.
c) Legally in Maharashtra you need to pay only 5% of basic +DA as HRA. However, industry standards take it upto 40% to 50% of basic +DA. Gross is not taken into account here.
d) Generally if you have DA , then CCA maynot be a required heading, however, its as per the company requirement.
e) Similarly instead of terming Special Allowance as such, you may want to change it to project allowance.
Reasoning for pt d & e is that the terms Special Allowance and DA are used interchangeably in industries and state declaration for minimum wage.
Thought of suggesting these since you are already involved in making good changes within the company, so perhaps these may help.
Warm Regards,
Deena Jagasia
From India, Mumbai
It is a good idea to issue wage slips as its make the wage/salary process more transparent and structured. I see some very good detailed information that has been given by a member.
I just wish to add to that a few pointers. along with S & E act, you also need to adhere to Minimum wages act. As per the act, the format of the Wage Slip is given in Form XI.
So, firstly you need to ensure that the headings given in Form XI are incorporated in your salary slip. Its a very simple document and all headings are quite easily included in pay slips. (You can do a search for "Form XI wage slip"
Secondly, as per the format you have attached, you have shown the CTC structure. Do you intend to keep the same heading liners? Under the assumption that you will keep it same, may I suggest :-
a) You don't need to show the % for each head.
b) Preferably combine the heads of Basic +DA, since the requirement for Minimum wage is that Basic +DA shouldn't be less than the Min wage/Special allowance. Else every 06 months you may need to keep revising it. This is not mandatory, but only for sake of brevity.
c) Legally in Maharashtra you need to pay only 5% of basic +DA as HRA. However, industry standards take it upto 40% to 50% of basic +DA. Gross is not taken into account here.
d) Generally if you have DA , then CCA maynot be a required heading, however, its as per the company requirement.
e) Similarly instead of terming Special Allowance as such, you may want to change it to project allowance.
Reasoning for pt d & e is that the terms Special Allowance and DA are used interchangeably in industries and state declaration for minimum wage.
Thought of suggesting these since you are already involved in making good changes within the company, so perhaps these may help.
Warm Regards,
Deena Jagasia
From India, Mumbai
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Salary slip final.xls
Salary slip.doc