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CTC is the sum of all components of your salary, allowances, bonus, ex-gratia (if any), provident fund contribution both sides (24%), ESI contribution both sides (4% effective from July '19) if applicable, installments paid by the employer for health/personal accident policy, performance incentive, or production incentive if any, where minimum payment is mandatory.
Jitendra Jain Sr. Manager (HR)
From India, New Delhi
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Jitendra Jain Sr. Manager (HR)
From India, New Delhi
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CTC is the sum of all components of your salary, allowances, bonus, gratuity, ex-gratia, if any, provident fund contribution both sides (24%), ESI contribution both sides (4%, effective from July '19) if applicable, installment paid by the employer for health/personal accident policy, performance incentive, or production incentive if any, where the minimum payment is mandatory.
Jitendra Jain Sr. Manager (HR)
From India, New Delhi
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Jitendra Jain Sr. Manager (HR)
From India, New Delhi
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pls help me with learning of SALARY BREAKUP . I HAVE IDEA BT NOT CLEALRY
From India, Pune
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From India, Pune
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CTC or Cost to Company is the total amount that a company spends (directly or indirectly) on an employee. It refers to the total salary package of the employee. CTC is inclusive of monthly components such as basic pay, various allowances, reimbursements, etc., and annual components such as gratuity, annual variable pay, annual bonus, etc.
CTC is never equal to the amount of take-home salary of the employee. There are many components in the CTC that one does not receive as part of the take-home salary. CTC = Gross Salary + PF + Gratuity.
Gratuity is the part of the salary that is received by an employee from the employer for the services offered by the employee upon him or her leaving the job. Though an employee can receive the gratuity amount only after 5 years, it will be deducted by the employer every year, and hence it will get deducted from your CTC.
Gross salary is the amount calculated by adding up one's basic salary and allowances, before the deduction of taxes and other deductions. It includes bonuses, overtime pay, holiday pay, and other differentials. Gross Salary = Basic Salary + HRA + Other Allowances.
From India
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CTC is never equal to the amount of take-home salary of the employee. There are many components in the CTC that one does not receive as part of the take-home salary. CTC = Gross Salary + PF + Gratuity.
Gratuity is the part of the salary that is received by an employee from the employer for the services offered by the employee upon him or her leaving the job. Though an employee can receive the gratuity amount only after 5 years, it will be deducted by the employer every year, and hence it will get deducted from your CTC.
Gross salary is the amount calculated by adding up one's basic salary and allowances, before the deduction of taxes and other deductions. It includes bonuses, overtime pay, holiday pay, and other differentials. Gross Salary = Basic Salary + HRA + Other Allowances.
From India
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CTC (Cost to the company) includes all monthly payments and remuneration incurred by the company towards the engagement of a particular employee. Regarding PF and ESI, only the management contribution is to be counted for CTC as the employee's contribution is not the cost of the employer but the employee's contribution. Additionally, any payment to the Superannuation fund/LIC should be included in the CTC.
However, my opinion on Gratuity is different. This does not form part of CTC since it is payable only after completing five years of continuous service by the particular employee. It is a terminal benefit/conditionally payable by the employer for the service rendered, more or less like a retrenchment compensation payable if terminated at a later date.
From India, Madras
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However, my opinion on Gratuity is different. This does not form part of CTC since it is payable only after completing five years of continuous service by the particular employee. It is a terminal benefit/conditionally payable by the employer for the service rendered, more or less like a retrenchment compensation payable if terminated at a later date.
From India, Madras
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