Dear Friends
Some Comapnies following Salary structure which is having CTC which includes PF employee and Employer contribution borne by the Employee.
What about ESI, - Esi employee contribution is 1.75% and Employer Contribution is 4.75% but Employee contribution is deducted from his salary.
If CTC means ESI Employee and Employer contribution is also includes?
Plz clarify me where the ESI employee and Employer contribution comes into CTC i.e., both contribution amount can be deducted from Employee?
or only ESI Employee contribution (1.75%) is deducted from his Salary?
With Regards
B.sreenivasa RAo
From India, Hyderabad
Some Comapnies following Salary structure which is having CTC which includes PF employee and Employer contribution borne by the Employee.
What about ESI, - Esi employee contribution is 1.75% and Employer Contribution is 4.75% but Employee contribution is deducted from his salary.
If CTC means ESI Employee and Employer contribution is also includes?
Plz clarify me where the ESI employee and Employer contribution comes into CTC i.e., both contribution amount can be deducted from Employee?
or only ESI Employee contribution (1.75%) is deducted from his Salary?
With Regards
B.sreenivasa RAo
From India, Hyderabad
Since CTC stands for Cost To Company, all costs relevant to the employee will be included in it. Therefore, the CTC of an ESI covered employee will include 4.75% of employer's share of ESI contribution also.
Regards,
Madhu.T.K
From India, Kannur
4249Regards,
Madhu.T.K
From India, Kannur
Dear Mr.Srinivasa Rao
As indicated by Mr.Madhu CTC is Cost to Company. In other words all the amounts spent by the employer in respect of the particular employee will be included as part of CTC. But it will certainly not reflect the employee contribution of PF (12%) and ESI contribution of ESI (1.75%).
CTC will also include contributions by employer towards Gratuity, Superannuation, Leave encashment schemes, Welfare (tea, coffee, subsidised lunch, uniforms, shoes etc.,).
Trust the matter is clear
M.V.KANNAN
From India, Madras
As indicated by Mr.Madhu CTC is Cost to Company. In other words all the amounts spent by the employer in respect of the particular employee will be included as part of CTC. But it will certainly not reflect the employee contribution of PF (12%) and ESI contribution of ESI (1.75%).
CTC will also include contributions by employer towards Gratuity, Superannuation, Leave encashment schemes, Welfare (tea, coffee, subsidised lunch, uniforms, shoes etc.,).
Trust the matter is clear
M.V.KANNAN
From India, Madras
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