💼 C. CTC Components
| Components | Description | Excel Formula |
|---|---|---|
| 1. ESI (Employer) | ESI is governed by the State Government and calculated as 3.25% of Gross Salary. Condition: Not applicable if Gross Salary exceeds ₹21,000. |
IF(Gross < 21001, Gross × 3.25%, 0) |
| 2. PF (Employer) | PF Employer contribution is 13% of (Gross – HRA), including admin charges. Note: If (Gross – HRA) exceeds ₹15,000, capped at ₹1,950. |
IF((Gross – HRA) < 15001, (Gross – HRA) × 13%, 1950) |
| 3. Bonus | Bonus = 8.33% of Basic & DA, paid annually within 8 months post FY. Mandatory: If Basic + DA ≤ ₹20,000. If bonus < ₹7,000, pay ₹7,000. |
Basic & DA × 8.33% |
| 4. Gratuity | Payable after 5 years of service. In Offer Letter: 4.81% of Basic + DA Final: (Basic + DA ÷ 26) × 15 × Years Completed |
Basic & DA × 4.81% |
| 5. CTC | Total cost to company = Gross Salary + ESI + PF + Bonus + Gratuity | Gross + All CTC Components |
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