Hi guys, Can some one tell me the difference between gross salary and CTC? Please help. Regards, Santosh Verma. (9886609605).
From India, Bangalore
4From India, Bangalore
Gross Salary is the salary in which annual benefits are not there & pf is included. once to take out pf it becomes net salry & CTC is the annual component which includes Gross + Annual Benefits.
so in Summary
CTC: - Annual Gross + Annual Benefits.
Gross: - PF + Net Salary( In Hand)
Rashmi
From India, Delhi
so in Summary
CTC: - Annual Gross + Annual Benefits.
Gross: - PF + Net Salary( In Hand)
Rashmi
From India, Delhi
thanks a lot rashmi.
can you please elaborate your answer. Are you talking about the annual bonus thats not included in the gross salary?
If yes what other components are ther in the CTC that are not there in the gross?
Please reply.
Regards,
Santosh Verma.
(9886609605)
From India, Bangalore
can you please elaborate your answer. Are you talking about the annual bonus thats not included in the gross salary?
If yes what other components are ther in the CTC that are not there in the gross?
Please reply.
Regards,
Santosh Verma.
(9886609605)
From India, Bangalore
Dear Santhosh,
Gross salary includes Basic+HRA+DA+employer contribution of PF+conveyance+other allowances
Deductions are Employee contribution(PF)+prof tax+ESI
Nett Salary(Take Home Salary) =Gross salary-Deductions
Rgs,
Lavanya :)
From India, Madras
Gross salary includes Basic+HRA+DA+employer contribution of PF+conveyance+other allowances
Deductions are Employee contribution(PF)+prof tax+ESI
Nett Salary(Take Home Salary) =Gross salary-Deductions
Rgs,
Lavanya :)
From India, Madras
Hi,
Salary has been devided in totwo parts like Earnings & deduction
Gross Salary = earning + deductions
Remain is net salary
CTC is Annual cost to company which includes evrything you pay to employee like as component of salary, Bonus, LTA or any other ficility in Cash so there may be large diffrence between Gross slary & CTC.
Generaly sales & marketing people have more facilities & allowances than there salary.
Thnaks
Shilpa
From India, Pune
Salary has been devided in totwo parts like Earnings & deduction
Gross Salary = earning + deductions
Remain is net salary
CTC is Annual cost to company which includes evrything you pay to employee like as component of salary, Bonus, LTA or any other ficility in Cash so there may be large diffrence between Gross slary & CTC.
Generaly sales & marketing people have more facilities & allowances than there salary.
Thnaks
Shilpa
From India, Pune
HI,
To my knowledge, Gross salary includes heads such as basic, DA, special allowances, HRA, employers contribution to PF, ESI, Gratuity and other monthly emoluments. But CTC is Gross Salary + Bonus, Medical, LTA, and other annual emoluments paid annually.
Simply speaking,
Gross Salary= basic+ DA+ special allowances+ HRA+CCA+ other monthly emoluments
CTC = Gross Salary + Bonus + Medical + LTA+ other annual emoluments paid annually
Regards,
V.Nanda Kumar
From Taiwan, Keelung
To my knowledge, Gross salary includes heads such as basic, DA, special allowances, HRA, employers contribution to PF, ESI, Gratuity and other monthly emoluments. But CTC is Gross Salary + Bonus, Medical, LTA, and other annual emoluments paid annually.
Simply speaking,
Gross Salary= basic+ DA+ special allowances+ HRA+CCA+ other monthly emoluments
CTC = Gross Salary + Bonus + Medical + LTA+ other annual emoluments paid annually
Regards,
V.Nanda Kumar
From Taiwan, Keelung
hello
i may not knw the technicality of it but i will try to xplain in a layman's term
gross salary as everyone said is ur basic allowance+DA
CTC= cost to the company
for eg if a company declares tht ur salary is upto 3.5lac p.a n ctc is included it means tht even the cost of the chair n table the computer is included
the others r right ith thier view this is my knowledge
let me knw if i am wrong
regards
kinjal-pandit
From Egypt, Cairo
i may not knw the technicality of it but i will try to xplain in a layman's term
gross salary as everyone said is ur basic allowance+DA
CTC= cost to the company
for eg if a company declares tht ur salary is upto 3.5lac p.a n ctc is included it means tht even the cost of the chair n table the computer is included
the others r right ith thier view this is my knowledge
let me knw if i am wrong
regards
kinjal-pandit
From Egypt, Cairo
Hi Santosh,
CTC means cost to company i.ae. what cost company is bearing or spending on you in terms of money. It includes all cash benefits and reimbursements i.e. fringe benefits etc. Now it is depend on Company what to include in CTC.
There can be Club membership etc can be included in CTC but this cant be part of your Gross Salary.
Therefore (in general) CTC= Gross Salary + Employer share of PF + Employer Share of Gratuity+ Other Benefits over & above Salary.
Now, Gross Salary, is What you get per month in your payslip before deducting your share for PF & TDS. After deducting your share of PF & TDS from Gross salary remains is Net Salary i.e. take home.
This Gross salary is divided in many allowances whatever they name. They can be LTA, HRA, DA, Basic, Lunch Allwn etc.
Gross Salary break up must have following to save maximum Income Tax
Basic, HRA,LTA, Transport Allwn, Medi. Reimb. Children Edu. Allwn
Therefore always ask for take home figure while joining new org.
Sachin Yadav
9869355472
EPFO
Mumbai
CTC means cost to company i.ae. what cost company is bearing or spending on you in terms of money. It includes all cash benefits and reimbursements i.e. fringe benefits etc. Now it is depend on Company what to include in CTC.
There can be Club membership etc can be included in CTC but this cant be part of your Gross Salary.
Therefore (in general) CTC= Gross Salary + Employer share of PF + Employer Share of Gratuity+ Other Benefits over & above Salary.
Now, Gross Salary, is What you get per month in your payslip before deducting your share for PF & TDS. After deducting your share of PF & TDS from Gross salary remains is Net Salary i.e. take home.
This Gross salary is divided in many allowances whatever they name. They can be LTA, HRA, DA, Basic, Lunch Allwn etc.
Gross Salary break up must have following to save maximum Income Tax
Basic, HRA,LTA, Transport Allwn, Medi. Reimb. Children Edu. Allwn
Therefore always ask for take home figure while joining new org.
Sachin Yadav
9869355472
EPFO
Mumbai
dear santosh
CTC (Cost to Company) itself defines the concept, ie. the company will not bear any expenses beyond that figure. It includes all the annual benefits & perqs. except reimbursement of expenses like conveyance on official travel & mobile. Some firms at the lower level include even these figures. The main difference is of Employers & Employee PF part. Gross salary (including all annual benefits) + Employers PF = CTC
Hope it answers ur query
Sandeep Sinha
From India, New Delhi
CTC (Cost to Company) itself defines the concept, ie. the company will not bear any expenses beyond that figure. It includes all the annual benefits & perqs. except reimbursement of expenses like conveyance on official travel & mobile. Some firms at the lower level include even these figures. The main difference is of Employers & Employee PF part. Gross salary (including all annual benefits) + Employers PF = CTC
Hope it answers ur query
Sandeep Sinha
From India, New Delhi
CTC means total cost to the company on behalf of the resource, expressed and hidden. It includes besides the gross salary, the cost of all welfare amenities like transport, cafeteria facilities etc, bonus, incentives,cost of gift vouchers, gratuity etc.
Gross salary refers to the monthly total amount payable in respect of an employee including the employer contribution to PF.
Vincent[/b]
Gross salary refers to the monthly total amount payable in respect of an employee including the employer contribution to PF.
Vincent[/b]
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Gross Salary(1).xls