salary Thoughts

Salary woes

If someone says I have a salary of 360,000/- I expect him to be earning 30k p.m. and not bringing home 14-16 p.m. I feel stupid when people announce bloated CTC and ever diminishing pay cheque.

What I understand by salary has the following legitimate components:
1) There is a take home component ( Basic+ special allowance + HRA) (which pays for all my expenses)
2) There is an Income Tax/ Professional tax etc. component (which runs the country)
3) There is a reimbursable component (like medical, telephone, travel, food, LTA etc.) (which helps me reduce my tax burden)
4) EPF (employee provident fund) (which takes care of my senile decay)
5) Assured Quarterly/annual Component (this does not include ####* marked performance bonus which fluctuates each year and can be withdrawn anytime)

Anything other than all these 5 components is artificial and a big scam. It only demonstrates the inefficiency of the company and its payroll department. My salary is not the place where you account for the units of electricity consumed for lighting my office, the rental of my cubicle, tissue paper or pencils used while doing genuine office work.

3 replies on “Salary woes”

[…] Continuing with my previous discussion: I have a 6 digit CTC, a smaller gross salary, a 5 digit take home and a 4 digit basic salary. To add to my confusion, I have small earnings via interest and stock-trading. Now these 2 components are essential when I want to compute my Net Worth, but they have no relation with the 45hr/week job which I do. Now when someone asks me my salary I am totally confused what to say? […]

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