Last post December 24, 2019 10:22 AM by debora. 1 repiles.
Dear All, I have recently joined a company. Here what I found is that the Basic of all employee is very less, It's not even 10% of the CTC. Can any body help me out about the details how the pay structure should be. As per my knowledge the basic pay should be 50% of the CTC. Is this correct? Can anybody provide me the link or book name which provides me the legal aspect of Basic Pay.
Thanks in advance
Basic Pay in salary break up is 50 % of your Total monthly salary.
Asst Manager HR
Usually the Basic should range in between 35% to 50%.Most of the companies try to show their CTC in hike but coming to the take home it is not even half of the CTC. they deploy these strategies to attract the candidates.
As per my knowledge is concerned basic is calculated on gross but not half of the CTC.
Hope this information will suffice your need.
Thanks & Regards,
12% on Basic + Wages + Stipend + Arrears
Condition: If Basic salary at the Date of joining is above 6,500 then
It is optional to Employee for PF Deduction. Else
If Basic salary at the Date of joining is below 6,500 then
PF Deduction is compulsory
Companies Contribution: 12% on Basic + Wages + Stipend + Arrears