olzoz.blogg.se - Simple salary slip format without deductions

Let us understand the differences with illustrations.

The in-hand salary is always lower than the CTC, as you receive it after deduction. Finally, the amount you receive after the tax and other deductions is known as take-home or in-hand salary. It is only mentioned in your offer letter. The gross salary is not reflected in the pay slip. The employer subtracts gratuity and PF from this income. The gross salary is the amount you get before deductions. You can consider CTC as the employer’s total spending on hiring an employee. It depends on a variety of factors, which affect your net salary. It includes HRA, CA, medical expenses, gratuity, EPF, and other allowances.

Employee Provident Fund (EPF) it is only for private sector employeesĭifference between CTC and in-hand salaryĬTC is the total amount the company spends on an employee.

Dearness Allowance (DA) it is only for public sector employees.

Here is a list of the main components of a salary slip / pay slip. Additionally, you can use the document to know the available tax deductions. Components of a salary slipĪ pay slip gives you a clear picture of how much salary you get in hand, what kind of allowances and incentives your employer offers, and various other details. It works as proof of salary payment and is generally provided by employers as both soft and hard copies.

The slip includes information regarding the employee’s deductions and basic salary for a given month. It is a document that every company is liable to provide to its employees every month.

Do common terms like gross salary, tax deductions, and reimbursements often leave you confused? Worry not! Here, we cover the crucial aspects related to a salary slip. Important Things to Know About Salary SlipĪ salary pay slip is a document that every salaried individual receives from his or her employer, but not many are aware of its importance.