How do I write an appointment letter?

How to write a letter of appointment

  1. Begin your appointment letter by clearly indicating your name, title, address and the company name.
  2. Precisely include the name of the receiver ant their address in your letter.
  3. Let your appointment letter subject line clearly tell the receiver at first glance on what your letter is all about.

How is monthly CTC calculated?

CTC = Direct Benefits + Indirect Benefits + Savings Contributions

  1. Direct Benefits refer to the amount paid to the employee monthly by the employer which forms part of his/her take-home or net salary and is subject to government taxes.
  2. Indirect Benefits refer to the benefits that employees enjoy without paying for them.

Can CTC be monthly?

It refers to the total salary package of the employee. CTC is inclusive of monthly components such as basic pay, various allowances, reimbursements, etc. and annual components such as gratuity, annual variable pay, annual bonus, etc. CTC is never equal to the amount of take-home salary of the employee.

Is basic salary same as net salary?

While basic salary does not include any of the deductions made, net pay is what an employee takes home after all the required deductions are made.

How much is HRA of basic salary?

The actual rent that is paid should be less than 10% of the basic salary. In case you’re staying in a metro, 50% of the basic salary and 40% if you live in a a non-metro city. The actual amount allotted by the employer as the HRA.

How much is basic pay per hour?

There are two rates to recognise the higher costs of living in London. The London Living Wage rate is £10.85 per hour and the rate for the rest of the UK is £9.50 per hour (from .

What happens if a company doesn’t give appointment letter?

if there is no appointment letter or offer letter, then your services are deemed to be temporary in eyes of labour law. Temporary employees are eligible for PF and leave amount. Temporary employees need not serve notice period as their jobs are temporary in nature. Issue notices to your employer.

What are liaison skills?

See moreGood liaison skills include: cooperating with others, being able to work as a team, good communication, and being able to relate to others.

How much HRA can we claim?

HRA can be at most claimed as according to the lowest of these three amounts (i) house rent allowance received (ii) 40% (non-metro city) or 50% (metro city ) of the salary (iii) actual rent paid less 10% of salary.

Is HRA mandatory in salary?

For most employees, House Rent Allowance (HRA) is a part of their salary structure. Although it is a part of your salary, HRA, unlike basic salary, is not fully taxable. Subject to certain conditions, a part of HRA is exempted under Section 10 (13A) of the Income-tax Act, 1961. This helps an employee to save tax.

How is HRA eligibility calculated?

How is Exemption on HRA calculated ?

  1. Actual HRA received from employer.
  2. For those living in metro cities: 50% of (Basic salary + Dearness allowance) For those living in non-metro cities: 40% of (Basic salary + Dearness allowance)
  3. Actual rent paid minus 10% of (Basic salary + Dearness allowance)

What is CTC in hand salary calculation?

  1. Take Home Salary = Gross Salary – Income Tax – Employee’s PF Contribution(PF) – Prof.
  2. Gross Salary = Cost to Company (CTC) – Employer’s PF Contribution (EPF) – Gratuity.
  3. Gratuity = (Basic salary + Dearness allowance) × 15/26 × No.

What is monthly CTC?

basic salary plus allowances and company contribution

Whats a basic salary?

Basic salary refers to the amount that an employee earns before any extras are added or payments are deducted.

What is CTC example?

It is calculated by adding salary to the cost of all additional benefits an employee receives during the service period. If an employee’s salary is ₹500,000 and the company pays an additional ₹50,000 for their health insurance, the CTC is ₹550,000. Employees may not directly receive the CTC amount.

What is current CTC in job?

Current CTC is the money invested on you by your present company (where you are working right now) in terms pay and allowances as mentioned above. Expected CTC is cost to company on you, what you are expecting while either joining a new company or what you are demanding for pay increment to your present company.

What does an appointment letter contain?

In addition to the salary, joining date and responsibilities, the appointment letter should also contain information such as the job title, rate of pay, benefits plan and the reporting structure for the job title.

What is CV CTC?

CTC full form is Cost To Company. It means total salary package & benefits received by employee in a year including free meals, cabs, interest free loans.

What are the duties of a liaison officer?

Liaison officer duties include the following:

  • acting as contact points for all agency or organizational personnel;
  • keeping lists of the agencies or personnel representing the person, agency or organization;
  • facilitating meetings and cooperation among people, agencies and organizations;

How do you create a salary structure?

How to Establish Salary Ranges

  1. Step 1: Determine the Organization’s Compensation Philosophy.
  2. Step 2: Conduct a Job Analysis.
  3. Step 3: Group into Job Families.
  4. Step 4: Rank Positions Using a Job Evaluation Method.
  5. Step 5: Conduct Market Research.
  6. Step 6: Create Job Grades.
  7. Step 7: Create a Salary Range Based on Research.