What salary structure can be given to an employe rewarding him with a gross of rs.2.00 lacs per annum and yet keeping him fee from any tax burden without him requiring to invest in any scheme or policy or fund. The concerned person isa bachelor (not married) male and his family is not mainly dependent on him.
A probable solution which I thought of would be to reward him with a salary of rs. 15000 pm along with a conveyance allowance of rs.800pm. I.e. basic of rs180000 + rs.9600 conveyance per annum but it comes to.only rs.189600 leaving a shortfall of rs.10400.
For F.Y. 2011-12.
Please suggest any further additions or alternative solutions for above.
Thanking all in advance.
From India, Haldia
A probable solution which I thought of would be to reward him with a salary of rs. 15000 pm along with a conveyance allowance of rs.800pm. I.e. basic of rs180000 + rs.9600 conveyance per annum but it comes to.only rs.189600 leaving a shortfall of rs.10400.
For F.Y. 2011-12.
Please suggest any further additions or alternative solutions for above.
Thanking all in advance.
From India, Haldia
HRA upto 50% of basic in metros or 40% in non-metros is tax exepted subject to production of rent receipt. Medical assistance upto 15000/- p.a. (self and dependents) tax free subject to production of bills.
Pon
From India, Lucknow
604Pon
From India, Lucknow
Hi Sir,
I need to suggest my company new salary structure.which is more tax benificial I need to kow how can I decide the different salary components percentage in bifucation in the gross salary.
At present we are using below structure:
Basic 40%
HRA 30%
Sp All 30%
Conv All Fixed - 800
Medical - Fixed - 1250
Please advice how I can use different components/allownace so that I can give more tax benifit to my employees
Thank you
Trupti
From India, Ahmadabad
I need to suggest my company new salary structure.which is more tax benificial I need to kow how can I decide the different salary components percentage in bifucation in the gross salary.
At present we are using below structure:
Basic 40%
HRA 30%
Sp All 30%
Conv All Fixed - 800
Medical - Fixed - 1250
Please advice how I can use different components/allownace so that I can give more tax benifit to my employees
Thank you
Trupti
From India, Ahmadabad
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Creating a Competitive Salary Structure.doc
Salary Structure.zip