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Essay: Facilities for emplyee

23 July 202414 June 2012 by Essay Sauce

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When employee joins the company

Grade 01

Particulars	Amont in INR
Fixed pay monthly salary
Basic Salary	3150
HRA	1575
Conveyance Allowance	800
Medical Allowance	742
Leave Travel Allowance (LTA)	–
Sub total (A) Monthly fixed Pay	6267
Variable Pay- Monthly Salary
Stretch Performance Pay @ 100 %	2133
Attendance Allowance	1100
Sub total (B) Monthly variable Pay	3233
Gross earnings per month	9500
Retirals- Management Contributions
PF ( 12% of Basic Salary)	378
Gratuity (4.8% of Basic Salary)	151
ESI 4.75 % of gross salary	451
Sub total (C)	980
Perks – Managment Contribution
Medical insurance	186
Sub Total (D)	186
Monthly Gross Cost (A+B+C+D)	10,667
Annual Gross Cost To The Company	128,000

In this scenario employee completes 18 months in the organisation with 4% increase

Particulars	Amont in INR
Fixed pay monthly salary
Basic Salary	3150
HRA	1575
Conveyance Allowance	800
Medical Allowance	742
Leave Travel Allowance (LTA)	–
Sub total (A) Monthly fixed Pay	6267
Variable Pay- Monthly Salary
Stretch Performance Pay @ 100 %	2133
Attendance Allowance	1100
Sub total (B) Monthly variable Pay	3233
Gross earnings per month	9500
Retirals- Management Contributions
PF ( 12% of Basic Salary)	378
Gratuity (4.8% of Basic Salary)	151
ESI 4.75 % of gross salary	451
Sub total (C)	980
Perks – Managment Contribution
Medical insurance	186
Sub Total (D)	186
Monthly Gross Cost (A+B+C+D)	10,667
Annual Gross Cost To The Company	128,000

Flexible Allowance

Eligable on FBA on a monthly basis as indicated , this amount can be utilised towards (HRA) House Rent Allowance, Conveyance Allowance, Medical Allowance and Leave Travel Allowance.

HRA

Eligable for HRA of 50 % of the basic salary, exemptions can be claimed on the same by submitting rent receipt to the pay roll processing department for the concerned financial year, in case of change in rent, the revised receipt has to be submitted to the pay roll processimg department.

Conveyance Allowance

Conveyance Allowance will be exempt from tax to the rent of rs 800 p.m (maximum) at present as provided under the income tax act of 1961 as amenede from time to time

Medical Allowance

Medical Allowance/ Reimbursement can be availed to a limit of rs 1250 per month, this amount is paid to meet the medical expenses for self and family. You will be required to produce bills/receipts of the medical expenses actually incurred for the purpose of income tax exemption. Any amount not covered by proper bills/receipt will be treated as taxable as per the income tax act.

Leave Travel Allowance(LTA)

LTA exemption can be claimed twice in a slab of 4 years,  travel outside the country is not considered for exemption and for domestic travel, relevant supporting have to be submitted to the pay roll processing department. LTA can be availed only on submission of the leave application for 5 days leave  with the signature of the resepaective department manager.

Performance Pay

Manager will set KRA’s and will be reviewed on a monthly /quarterly basis as applicable per grade. It is based on the achievements of the targets that are set. 100 % performance is paid subject to we achieve the targets sets by manger for the month/quarter.

Attendance Allowance

All employees are eligible for a monthly attendance allowance as per the policy at the rate of 50 rs per day, this amount is paid only for the days worked.

Night Shift Allowance

All employees are eligible for night shift allowance subject to minimum of rs 1500 per month. The same is payable for the days we report for work in thge night shift. This allowance is linked to your attendance and will be paid on the basis of number of days worked in the month.

Cafetaria

A deduction of rs 500 will be made from salary for all the employees  towards utilisation of cafeteria facilities.

Medical Benefits

We are covered under the group mediclaim policy, for unmarried employees only self is covered and married employees , self , spouse and 2 children are eligible for the coverage.

Terminal Benefits

Provident Fund

The rate of PF contribution by the employee and the company will be 12 % as per the current statutory provisions.

Gratuity

An employee will be covered under the gratuity scheme of the company

Probation

All the new employees will be on probation priod for 6 months which can be extended at the discretion of the company. Notice priod during probation period will be one calendar month, however during the probation period the company reserves the right to terminate the services of the employess without any notice or compensation and also without giving explaination for it.

Notice Period

Notice Period is for 2 months