Dear All,
I am Ramya Shankar working it Biometeric co, as HR Manager. Here the pervious Salary structure is Basic, HRA, Convy, Edu Allowance.
Normally the cony must be the max. of Rs. 800/-, but here it was 40% of CTC.
Can anyone suggest me the best Salary structure to minimise the Income Tax benefits, also it should not contain much reimbursement & hinderence in procedures.
Also we have plan to go for registeration of PF, ESI, etc.
Pls provide the Limit either in gross?basicfor which the co. need not to be PF.
I will be gratefull to all, if u send me the reply to my mail ID.
.
Regards,
Ramya.R
From India, Pune
1I am Ramya Shankar working it Biometeric co, as HR Manager. Here the pervious Salary structure is Basic, HRA, Convy, Edu Allowance.
Normally the cony must be the max. of Rs. 800/-, but here it was 40% of CTC.
Can anyone suggest me the best Salary structure to minimise the Income Tax benefits, also it should not contain much reimbursement & hinderence in procedures.
Also we have plan to go for registeration of PF, ESI, etc.
Pls provide the Limit either in gross?basicfor which the co. need not to be PF.
I will be gratefull to all, if u send me the reply to my mail ID.
Regards,
Ramya.R
From India, Pune
Ramaya,
Conveyance could be max of 1600 for thoes who use four wheerler for others it's max of 800.
Once your company subscribe to PF and the employees take to the membership of PF (in all 24% of the basic) then that would be another tax benefitted amount.
Medical of 15K per annum and LTA to a mx of 25K per annum( once in a bracket of two yrs) is tax benefitted. On others there is Fringe Benefit to be paid by the employer so that really does not help.
More thoughts please
Cordially,
preet
From India, Bangalore
Conveyance could be max of 1600 for thoes who use four wheerler for others it's max of 800.
Once your company subscribe to PF and the employees take to the membership of PF (in all 24% of the basic) then that would be another tax benefitted amount.
Medical of 15K per annum and LTA to a mx of 25K per annum( once in a bracket of two yrs) is tax benefitted. On others there is Fringe Benefit to be paid by the employer so that really does not help.
More thoughts please
Cordially,
preet
From India, Bangalore
Dear All,
I am also in the process of redesigning our companys' salary structure. Can anyone send me a salary structure from any IT industry. V r also plg to introduce sodexho lunch coupons. Can PF be made optional for employees? does it have any impact on gratuity? Would like to know the the IT industry trend..if anyone can help me with that so as to minimise the tax and FBT for our employees.
Can anyone from IT industry mail me the salary slips?
Regards, Nupur
From India, Mumbai
I am also in the process of redesigning our companys' salary structure. Can anyone send me a salary structure from any IT industry. V r also plg to introduce sodexho lunch coupons. Can PF be made optional for employees? does it have any impact on gratuity? Would like to know the the IT industry trend..if anyone can help me with that so as to minimise the tax and FBT for our employees.
Can anyone from IT industry mail me the salary slips?
Regards, Nupur
From India, Mumbai
Dear Ramya,
Before redesign the salary restructure the following points should be consider
1. Flex plan benefit given to Executive: CTC will be divided into Gross (Taxable) and Flex plan benefit (Non Taxable income)
2.Non Taxable benefit extend to Car Plan, white goods, Personal travel, Medical Reimbursement, Food allowance, Educational Allowance etc.,
2. Before fix the Gross Salary we should consider the percentage of Basic i..e, it will reflect into PF, Leave encashment, Gratutity etc
3. PF ceiling as per act less than or equal to Rs.6500/- if basic is more than Rs.6500/- need not cover the PF Benefit
4. ESI Ceiling as per act Gross salary less than or equal to Rs.7500/-
5. Before fixing the Salary structure you can refer Income tax benefits
6. CTC may be extened to Variable pay also
Before redesign the salary restructure the following points should be consider
1. Flex plan benefit given to Executive: CTC will be divided into Gross (Taxable) and Flex plan benefit (Non Taxable income)
2.Non Taxable benefit extend to Car Plan, white goods, Personal travel, Medical Reimbursement, Food allowance, Educational Allowance etc.,
2. Before fix the Gross Salary we should consider the percentage of Basic i..e, it will reflect into PF, Leave encashment, Gratutity etc
3. PF ceiling as per act less than or equal to Rs.6500/- if basic is more than Rs.6500/- need not cover the PF Benefit
4. ESI Ceiling as per act Gross salary less than or equal to Rs.7500/-
5. Before fixing the Salary structure you can refer Income tax benefits
6. CTC may be extened to Variable pay also
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