Please clarify the calculation of the bonus for me. For example, the take-home salary is $10,000 per month, but it is listed as $12,000 in the Cost To Company (CTC). However, the bonus included in the $12,000 is $2,000. The company, XYZ, gives this bonus every three months. Is this practice correct or incorrect? Kindly explain this to me. Thank you.
From India, Bangalore
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From India, Bangalore
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Hello,
Every single penny a company is liable or likely to pay you at any point in time due to your employment can be included in the CTC. It includes everything: basic + DA + HRA + LTA + Incentives + Spl. Incentives + PF (both) + Bonus + Ex Gratia. Any component that can be given to the employee is a part of CTC.
Regards,
Anal Shah
From India, Ahmadabad
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9Every single penny a company is liable or likely to pay you at any point in time due to your employment can be included in the CTC. It includes everything: basic + DA + HRA + LTA + Incentives + Spl. Incentives + PF (both) + Bonus + Ex Gratia. Any component that can be given to the employee is a part of CTC.
Regards,
Anal Shah
From India, Ahmadabad
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The joining bonus is not counted in the CTC for an employee as it is not regular. As it is a one-time benefit, it attracts the fringe benefit under the company's head, so the company may treat it as a one-time cost for talent acquisition.
** These are my views, and I am not very sure that they are accurate.
From India, Ahmadabad
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** These are my views, and I am not very sure that they are accurate.
From India, Ahmadabad
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Yes, that's right.
Joining bonus is not a part of CTC - it is a one-time payment which is given to the employee. This can be mentioned as a clause in the offer letter but need not be added to the CTC.
From India, Pune
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Joining bonus is not a part of CTC - it is a one-time payment which is given to the employee. This can be mentioned as a clause in the offer letter but need not be added to the CTC.
From India, Pune
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BONUS CALCULATION FOR W.B.Govt employee for 2010-2011.xls