Payroll
Salary structure
A salary structure is the set of components, rules and percentages that turns a CTC into monthly earnings and deductions.
The structure defines each component (basic, HRA, allowances, employer contributions), how it is computed (fixed, percentage of another component, or formula), whether it attracts PF, ESI or tax, and whether it is prorated for days worked.
Good payroll software versions structures by revision date so an increment mid-year does not rewrite history.
In Indian payroll
Structures vary by grade and location because HRA percentages, PT slabs and minimum wages do. One template per grade with location-aware rules is the usual design.
What is Salary structure?
A salary structure is the set of components, rules and percentages that turns a CTC into monthly earnings and deductions.
Why does Salary structure matter in Indian payroll?
Structures vary by grade and location because HRA percentages, PT slabs and minimum wages do. One template per grade with location-aware rules is the usual design.
Related terms
In Kuzhu
The Payroll module in Kuzhu is where Salary structure is handled, on the same employee record as everything else.