Hi,
Recently my company has decided to adopt a flexi pay salary structure wherein i can decide the break up of my salary.
Components falling under flexi pay -
a)LTA - limit - 0-40000/-
b)HRA - limit - 60% of PF base salary
My salary is > 8Lakhs.
Do suggest what changes should i make to save tax
RegARDS,
Bhaumik
From India, Mumbai
Recently my company has decided to adopt a flexi pay salary structure wherein i can decide the break up of my salary.
Components falling under flexi pay -
a)LTA - limit - 0-40000/-
b)HRA - limit - 60% of PF base salary
My salary is > 8Lakhs.
Do suggest what changes should i make to save tax
RegARDS,
Bhaumik
From India, Mumbai
Bhaumik,
The limit of HRA is 50% of basic for metros and 40% for non-metros for I.T. exemption.
Opt for the following tax saving components:
1. Food coupons - 2700/- p.m. (fully tax free)
2. Child Edu. Allowance - Rs.100/- p.m. child (max 2 child)
3. Conveyance allowance - Rs.800/- p.m (If you use own 2 wheeler for official purposes, Rs.5000/- p.m for Fuel & maintenance charges. If you use your own 4 wheeler for official purposes, Rs.20,000/- p.m for Fuel & maintenance charges. If you opt for Fuel & Maintenance charges, the conveyance allowance does not apply. Fuel & Maintenance charges are tax exempted.
4. Gift vouchers - Rs.5000/- p.a. fully tax exempted
5. If you are member of any club, opt for club allowance upto the limit of Rs.1.5L p.a tax exempted.
6. Medical assistance - rs.15000/- p.a. (tax free subject to production of bills)
pon
From India, Lucknow
604The limit of HRA is 50% of basic for metros and 40% for non-metros for I.T. exemption.
Opt for the following tax saving components:
1. Food coupons - 2700/- p.m. (fully tax free)
2. Child Edu. Allowance - Rs.100/- p.m. child (max 2 child)
3. Conveyance allowance - Rs.800/- p.m (If you use own 2 wheeler for official purposes, Rs.5000/- p.m for Fuel & maintenance charges. If you use your own 4 wheeler for official purposes, Rs.20,000/- p.m for Fuel & maintenance charges. If you opt for Fuel & Maintenance charges, the conveyance allowance does not apply. Fuel & Maintenance charges are tax exempted.
4. Gift vouchers - Rs.5000/- p.a. fully tax exempted
5. If you are member of any club, opt for club allowance upto the limit of Rs.1.5L p.a tax exempted.
6. Medical assistance - rs.15000/- p.a. (tax free subject to production of bills)
pon
From India, Lucknow
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