Dear All,
We are thinking of redesigning our compensation structure and we have to take a final call on the Base Salary % bracket like whether we should keep it 30-40% OR 40%-50% OR 40%-60% of CTC.
Please support and help me deciding on the same as per Indian market standards and benchmarks. Please be noticed that Increase in Basic salary will automatically increases the company's cost like increase in PF, Gratuity, ESI, Pl encashment etc.
Thx,
From United States, Charlotte
2We are thinking of redesigning our compensation structure and we have to take a final call on the Base Salary % bracket like whether we should keep it 30-40% OR 40%-50% OR 40%-60% of CTC.
Please support and help me deciding on the same as per Indian market standards and benchmarks. Please be noticed that Increase in Basic salary will automatically increases the company's cost like increase in PF, Gratuity, ESI, Pl encashment etc.
Thx,
From United States, Charlotte
Shivani, AFAIK, many corporates are fixing 40% as base pay. The more base pay, the more benefits to employees as it covers some terminal benefits. Pon
From India, Lucknow
From India, Lucknow
Mr. Sivani,
Pay structure of a company should satisfy the land of law and minimize the company variable payments and at the same time it should be tax friendly for both employer / employees.
When you are preparing the pay structure you should consider the following act
1 Minimun Wage act
2 EPF Act
3 ESIC Act
4 Payment of gratuity act
5 Payment of bonus act
Last but not least
6 Income Tax Act
All the best
<link outdated-removed> ( Search On Cite | Search On Google )
From India, Vijayawada
Pay structure of a company should satisfy the land of law and minimize the company variable payments and at the same time it should be tax friendly for both employer / employees.
When you are preparing the pay structure you should consider the following act
1 Minimun Wage act
2 EPF Act
3 ESIC Act
4 Payment of gratuity act
5 Payment of bonus act
Last but not least
6 Income Tax Act
All the best
<link outdated-removed> ( Search On Cite | Search On Google )
From India, Vijayawada
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Salary-Note.doc
SALARY SHEET CALCULATION.xls