Basic

Human Resources » Compensation & Benefits

	Message From: priyashiva	Total Posts: 2	Join Date: 12/03/2009
Rank: Beginner	Post Date: 12/03/2009 06:19:58	Points: 10	Location: India

Dear All,

Kindly help solve following queries,

If the CTC is Rs.10,000 can we keep basic as Rs 500/-

is their a criteria or ratio as to what should be the % of basic in the CTC

Regards

Priya

	Message From: Anand.rathi	Total Posts: 1	Join Date: 12/03/2009
Rank: Beginner	Post Date: 18/06/2009 06:01:45	Points: 5	Location: India

No.

Because rest of all the earning heads in the salary are in terms of basic salary. and you can't put them greater than Basic.

Regards

Anand

	Message From: dilipptc	Total Posts: 1	Join Date: 12/03/2009
Rank: Beginner	Post Date: 29/06/2009 10:23:08	Points: 5	Location: India

Hi Priya,

Basic is an important component of salary. The standard distribution of the basic is 35 % of your monthly income. CTC divided by 12, you get your monthly component. Basic should be rough range of 35 % to 40 % depends. All other component like your PF, Gratuity, HRA and other component will depent on your Basic. So, you can not take basic value too be so low.

Thank You!

	Message From: krithivasan	Total Posts: 2	Join Date: 12/03/2009
Rank: Beginner	Post Date: 27/07/2009 13:41:41	Points: 10	Location: India

Basic can be kept at 3600 for 10000 per month. Everything depends on the basic .The HRA is generally 50% of your basic . and even if an employee is absent you can detect the salary from the basic and special bonus only ,you cannot reduce from their HRA or TA or DA

	Message From: SK SINGH	Total Posts: 1	Join Date: 12/03/2009
Rank: Beginner	Post Date: 18/08/2009 12:01:23	Points: 5	Location: India

Dear Priya...

There is no fixed percentage to basic upon gross. But, we need to consider one thing before fixing the percentage- that is ......Basic salary (in the absence of DA) should be more than the minimum wages payable to the employee as per the minimum wages act.

But if we look into the normal break up, most of the companis set the basic at 35% to 45% of gross.

With regard

SK Singh

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