Quick Answer: Is Fixed Salary In Hand Salary?

How is salary calculated for salary?

Calculating an Annual Salary from an Hourly Wage Multiply the number of hours you work per week by your hourly wage.

Multiply that number by 52 (the number of weeks in a year).

If you make $20 an hour and work 37.5 hours per week, your annual salary is $20 x 37.5 x 52, or $39,000..

What percentage of CTC is PF?

12%Your employer can contribute 12% to your EPF account if it is included in your CTC.

What is CTC in salary slip?

Cost To Company (CTC): The Cost to Company or CTC is the amount that an employer expends in hiring the service of an employee. … Gross Salary: Subtract gratuity and the employee provident fund (EPF) from Cost to Company (CTC), the amount that you get is your Gross Salary.

What is fixed salary?

Fixed monthly salary = basic monthly salary + fixed monthly allowances. Basic monthly salary: This is payment that does not vary from month to month, regardless of employee or company performance, and regardless of whether the employee takes medical or personal leave. … Examples include fixed food and housing allowances.

What will be my Inhand salary?

What is the formula for salary calculation? Take Home Salary = Gross Salary – Income Tax – Employee’s PF Contribution(PF) – Prof. Tax. Gross Salary = Cost to Company (CTC) – Employer’s PF Contribution (EPF) – Gratuity.

Is 15 LPA good salary?

Further, if you are fairly young and have no ailments, 15 lakhs per annum is considered a good salary by Indian standards.

Is PF part of CTC?

Most employers contribute 12% (called PF) of basic salary every month to employee’s Provident fund account, shown in CTC. An employee also contributes 12% (called VPF). … Employer PF is part of CTC not shown on Salary Slip.

What is the formula for salary calculation?

Here the basic salary will be calculated as per follows Basic Salary + Dearness Allowance + HRA Allowance + conveyance allowance + entertainment allowance + medical insurance here the gross salary 594,000. The deduction will be Income tax and provident fund under which the net salary comes around 497,160.

How is PF calculated on CTC salary?

At present, the employers and the employees contribute 12% each (total 24%) of the basic salary and dearness allowance (DA) to the retirement kitty run by the Employees’ Provident Fund Organisation (EPFO). Under the new rules, this 12% is being cut to 10% (total of 20%) for three months of May, June and July.

Is PF part of fixed salary?

Take a look at your CTC break-up and you will find fixed heads like basic pay (usually 40-50% of the CTC), home rent allowance (usually 40-50% of the basic salary), gratuity, PF, and reimbursements such as car fuel and mobile bills, apart from variable components such as annual bonus and performance bonus.

Is basic salary fixed?

Basic salary is a fixed amount of money that an employee receives prior to any extras being added or payments deducted. It does not include bonuses, overtime pay or any other potential compensation from an employer. … Basic salary is different from gross pay and net pay.

How is salary break up calculated?

To simplify, this amount is calculated by adding your basic salary and allowances and then deducting the various forms of taxes (income tax, EPF, professional tax) therefrom. Giving out the most realistic image of your income, this is the actual amount that is credited to your bank account at the end of every month.