Dear Sir, I Require Break Ups of CTC and how can we consider it as it is a Break Up in CTC and what is the meaning of CTC, Please kindly help me in this regards, Kashinath
From India, Bangalore
1From India, Bangalore
Dear Friend, Please search your query in the above query box or if u can the thread on the right hand of this page, you can click and go through them. Regards, Rahul Chhabra
From India, Delhi
From India, Delhi
CTC is abbreviation for Cost To Company and includes the foll:
Basic Salary
Dearness Allowance
House Rent Allowance
Medical Allowance
Food Allowance
Mobile/Phone Allowance
Uniform Allowance (if any)
Gratuity
Annual Bonus
(not sure if Incentives could/should be included - Srs pls help)
PF/Pension contributions (employer's end)
ESIC contributions (employer's end)
Leave Travel Allowance
Children's Education & Hostel Allowance
Conveyance
Recretional/Entertainment Allowance (if any)
Special Allowance
The above were normal & most often used categorization.
Hope it was of help :)
From India, Mumbai
Basic Salary
Dearness Allowance
House Rent Allowance
Medical Allowance
Food Allowance
Mobile/Phone Allowance
Uniform Allowance (if any)
Gratuity
Annual Bonus
(not sure if Incentives could/should be included - Srs pls help)
PF/Pension contributions (employer's end)
ESIC contributions (employer's end)
Leave Travel Allowance
Children's Education & Hostel Allowance
Conveyance
Recretional/Entertainment Allowance (if any)
Special Allowance
The above were normal & most often used categorization.
Hope it was of help :)
From India, Mumbai
Dear Ankita madam ji,
As u mentioned that in c.t.c gratuity to be mentioned but eligibility of gratuity is completion of 5 yrs. So how can a company can mentioned under c.t.c
plz guide me in this matter.
Kashinath
From India, Bangalore
As u mentioned that in c.t.c gratuity to be mentioned but eligibility of gratuity is completion of 5 yrs. So how can a company can mentioned under c.t.c
plz guide me in this matter.
Kashinath
From India, Bangalore
Gratuity is company's liability towards an employee. I have to make it available irrespective of the conditions company. So that amount is contributed every year and kept aside.
When you finish 5/more years and resign/retire, it is made available to you in ur F&F
else it goes to co's kitty.
Since Co is contributing to ur gratuity every year, it wud b included in ur CTC.
It is a diff thing that one dont have such long tenure des days, that's the trade off one needs to do - gratuity claim or switch for better opportunity....
Hope I cleared ur doubt
From India, Mumbai
When you finish 5/more years and resign/retire, it is made available to you in ur F&F
else it goes to co's kitty.
Since Co is contributing to ur gratuity every year, it wud b included in ur CTC.
It is a diff thing that one dont have such long tenure des days, that's the trade off one needs to do - gratuity claim or switch for better opportunity....
Hope I cleared ur doubt
From India, Mumbai
[QUOTE=surisethe kashinath;1997786]Dear Ankita madam ji,
As u mentioned that in c.t.c gratuity to be mentioned but eligibility of gratuity is completion of 5 yrs. So how can a company can mentioned under c.t.c, what are the percentage of contribution in c.t.c how can we decide the percentage in c.t.c according to act, please guide me in this matter.
plz guide me in this matter.
Kashinath[
From India, Bangalore
As u mentioned that in c.t.c gratuity to be mentioned but eligibility of gratuity is completion of 5 yrs. So how can a company can mentioned under c.t.c, what are the percentage of contribution in c.t.c how can we decide the percentage in c.t.c according to act, please guide me in this matter.
plz guide me in this matter.
Kashinath[
From India, Bangalore
[QUOTE=surisethe kashinath;1998387]Hi Kashinath,
As for why to include Gratuity in ur CTC, it is explained in the post just above your query.
CTC is cost to company so any cost that company incurs on you is included in your CTC
I've got to know from few people, that their CTC also includes cost towards their workstation like rental of space, cost of electricity (ofcourse that is a lumpsum amt)
Percentage calculation:
Gratuity is calculated as per 15 day's salary for the number of years service given.
Formula = 15/26 * Last drawn salary * No of years of service rendered.
Of course your last drawn salary during claim might be different than the last drawn salary in ur 1st year, so you'd get as per ur LAST DRAWN SALARY
COntribution is made every year based on ur current salary (which is last drawn for the that moment)
We consider 26 working days for the purpose of Gratuity calculation.
Hope this helped to clear your doubts :)
From India, Mumbai
As for why to include Gratuity in ur CTC, it is explained in the post just above your query.
CTC is cost to company so any cost that company incurs on you is included in your CTC
I've got to know from few people, that their CTC also includes cost towards their workstation like rental of space, cost of electricity (ofcourse that is a lumpsum amt)
Percentage calculation:
Gratuity is calculated as per 15 day's salary for the number of years service given.
Formula = 15/26 * Last drawn salary * No of years of service rendered.
Of course your last drawn salary during claim might be different than the last drawn salary in ur 1st year, so you'd get as per ur LAST DRAWN SALARY
COntribution is made every year based on ur current salary (which is last drawn for the that moment)
We consider 26 working days for the purpose of Gratuity calculation.
Hope this helped to clear your doubts :)
From India, Mumbai
Thanks Ankita ji,
Another thing is that madam, as company is providing bus facility to an employee this bus facility as transport cost by an company can be included in C.T.C?
Please guide me Ankita ji.
regards,
kashinath.
From India, Bangalore
Another thing is that madam, as company is providing bus facility to an employee this bus facility as transport cost by an company can be included in C.T.C?
Please guide me Ankita ji.
regards,
kashinath.
From India, Bangalore
Hello Kashinath ji,
If your company provides bus transport to its employees pls note the foll:
Any employee who uses bus transport service (both pick and drop) would not be eligible for Conveyance Allowance (as they do not need to pay extra conveyance)
The bus service is charged by most of the employers - In other words say if it is a door-to-door service, then employer recovers 'X' amount from the salary of such people.
So what you can do is foll:
For employees who commute on their own to ur organization, you can give them conveyance allowance of 800 (you can give more as well if you need, pls note 800 is the limit only for tax remittance)
For employees who use the bus service, you do not pay conveyance but include a part in their salary like Bus Service Charge of X amt per month (and yes it would be added to CTC amount) However, this amount would not be paid to the person, it would be deducted from his/her salary. Hence it would not be included in computing the in-hand or the take home salary.
----------------------------------
Hope I was able to answer your query. Pls let me know if you need any further explanation. :-)
From India, Mumbai
If your company provides bus transport to its employees pls note the foll:
Any employee who uses bus transport service (both pick and drop) would not be eligible for Conveyance Allowance (as they do not need to pay extra conveyance)
The bus service is charged by most of the employers - In other words say if it is a door-to-door service, then employer recovers 'X' amount from the salary of such people.
So what you can do is foll:
For employees who commute on their own to ur organization, you can give them conveyance allowance of 800 (you can give more as well if you need, pls note 800 is the limit only for tax remittance)
For employees who use the bus service, you do not pay conveyance but include a part in their salary like Bus Service Charge of X amt per month (and yes it would be added to CTC amount) However, this amount would not be paid to the person, it would be deducted from his/her salary. Hence it would not be included in computing the in-hand or the take home salary.
----------------------------------
Hope I was able to answer your query. Pls let me know if you need any further explanation. :-)
From India, Mumbai
Dear Ankitha ji,
Here we are not mentioning in computing in take home salary than how can we deduct from his salary.
Or else it can be done as employees who are using their vehicle we can reiumburse it. And who are not using their own vehicle but they are using company vehicles can not be reiumbuse instead of deduction.
2. Doubt is that madam when we are not paying it then how can we deduct from his salary
please guide me madam.
Regards,
Kashinath.
From India, Bangalore
Here we are not mentioning in computing in take home salary than how can we deduct from his salary.
Or else it can be done as employees who are using their vehicle we can reiumburse it. And who are not using their own vehicle but they are using company vehicles can not be reiumbuse instead of deduction.
2. Doubt is that madam when we are not paying it then how can we deduct from his salary
please guide me madam.
Regards,
Kashinath.
From India, Bangalore
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