![format of salary slip format of salary slip](https://www.niveshmarket.com/wp-content/uploads/2020/05/Salary-slip-sample.jpg)
A salary slip, as discussed above, has its importance to play and must be saved carefully. Providing the employee with a payment slip is mandatory for every employer.
![format of salary slip format of salary slip](https://www.hrcabin.com/wp-content/uploads/2021/05/Screenshot-2021-05-05-at-10.49.53-PM.png)
The basic details remain the same, only the kind of allowances and the deductions change. Let us look at some of the sample formats of a salary slip. Helps in further employment: Knowing the various components of the salary slip can help in assessing various job offers and can also help the employee to negotiate salaries while switching jobs.Īpart from the components of a salary slip, some of the other mandatory things that need to be there in a salary slip are Date, Name of the company, Logo, Address, Month, Year, Employee Code, Employee Name, Designation, Bank account number and many more.Retirement Savings: Having an idea about the provident fund, gives a clear indication regarding the retirement savings that the company will provide the employee.
![format of salary slip format of salary slip](https://blog.investyadnya.in/wp-content/uploads/2019/08/Salary-Slip-Format-1200x900.png)
It also serves as proof when applying for any borrowings, mortgage or credit cards. Loans/ Credit Cards: This salary slip can also help in availing loans where it can be submitted as proof and can also help the institution to gauge the employee’s ability of debt repayment.It can also be submitted as proof of the last salary drawn when applying for a visa to a foreign place or for various programs at various universities. Employment proof: Apart from the offer letter, this salary slip is something that forms the proof of an employee’s employment for a particular company.So, having a clear idea about different components can help the employee to maximize the tax savings for the given financial year. Planning of income tax: Different components of the salary has different tax treatments as authorized by the law.Some of the importance of a salary sip are: But a salary slip has it’s own importance and uses. There can be some other headings also, which varies from company to company.Ī salary slip is not only provided just because it is a legal requirement of the company to do so. The basic components of a salary slip are described above. Provident Fund: As mandated by the government, the employer deducts 12% of the basic salary every month and makes a similar contribution to the employee’s provident fund account which is tax-free and is kept as a means for the employee’s retirement, so it is part of the employee’s investment portfolio.
![format of salary slip format of salary slip](http://simmopla.weebly.com/uploads/1/3/3/0/133066399/716795345_orig.gif)
#Format of salary slip professional#
#Format of salary slip free#
This is also free of tax up to a certain limit. Conveyance Allowance: The amount that the company pays to cover the work-related travel expenses.This is tax-free up to a certain limit provided the house rent proofs are furnished. House Rent Allowance (HRA): All the companies must pay some amount under this heading which varies between 10%-35% of the basic and depends upon the position of the employee in the company.It is generally 30%-40% of the basic pay, and for income tax, both the basic and the dearness allowance is taken together. Dearness Allowance: This is paid on top of the basic salary, and this component varies according to the prevailing inflation rate.This forms the basis for all the other components of the salary. It varies according to your position in the company. Basic salary: The essential component of salary that constitutes the largest part of about 40%-50% of the total salary.A salary slip can have various formats, but some of the most important headings of a salary slip are: A salary slip shows the salary of the employee broken down into various components like the basic salary, deductions, allowances and many more. Most of the employees do not pay much attention to this document as many are majorly concerned only with the salary credited into their respective accounts. The company is under the legal obligation to issue a salary slip to the employee to have a record of the salary payments and deductions. It can either be provided as a physical piece of paper, or its e-version can be mailed to the employee’s account. It is generally issued monthly after the salary is credited to the employee’s bank account. It is a document given by the employer to the employee.