Hi Rashee

Please mention what details exactly you want about payroll.

Rgds

Karthee

Hello Rashee,

Compensation is an important component of HR activities. THe compensation policy differs from company to company.

I am sharing with you some material shared by one of my friends. Please go through:

Stepwise Pay roll management

Step 1

Pre-requisite before taking up the payroll process work from client.

 The purpose behind the re-engineering process of the entire payroll
Management would be, by visit of our personnel to not only to suggest bottle necks and improvements but also to clearly share the expectations and completely understand the scope of the payroll processing assignment .

 There will be trial run for a month to ensure that we are in line with the Expectations of the client.


Step 2

Adherence to the corporate policy

 Ensure that procedures are in place to maintain the records of Corporate Circulars and policies related to pay roll at the regular time intervals.

 Understand the salary components in terms of fixed and variable.

 Understand the benefits available to employees on monthly and yearly basis.

 Understand local laws and compliance of the same related to payroll process.

 Ensure that proper effect to the pay roll is given in accordance with the Policy guidelines defined by the Company.

 Receiving job details along with job code allocation. The job code
allocation is to be given according to the type of the job description.


Step 3

Collecting time sheets with attendance sheets

If the on line system is maintained, then it will ensure automatic checking with the attendance register and time sheets. Otherwise the attendance sheets and the time sheets are to be compared manually.







Step 4


Receiving salary details

 Receiving attendance details from personnel department
 Terms of appointment
 Receiving details of salary structure
 Receiving details of Promotion, Increment and Confirmation.
Promotion Changes of Grade, Salary Structure, Department etc. will be initiated in case of promotion on the basis of the information received from personnel department.

Increment
The increment letter of an employee is to be forwarded to us and necessary changes are to be incorporated in the system.

Confirmation
Confirmation letters are to be forwarded to us and necessary changes are to be incorporated in the system.

 Details of disciplinary action taken Every disciplinary action is based on certain terms and conditions. That terms and conditions, if it has any effect on salary, the same to be incorporated in the system.

 Receiving details of Resignation and Retirement

Resignation
At the time of resignation an exit interview is to be conducted. The final settlement is to be disbursed, based on the notice period.

Retirement
Retirement can be normal or voluntary. Accordingly the final settlement
is to be made.

 Receiving the details of Employee Advance

Step 5


UPDATING SALARY DETAILS

 The terms of appointment
 Salary Structure
 Annual benefits
 Attendance details
 Overtime details
 The details of reimbursement
 The promotion, increment and confirmation details
 The details of departmental transfers
 The details of resignation, retirement and retrenchment
 The employee advance position

Step 6


GENERATION OF REPORTS FOR CHECKING

 Salary register
 Variance Report

Step 7

RECTIFICATION OF CORRECTIONS / MODIFICATIONS


Step 8


GENERATION OF REPORTS

 Salary register (Monthly)
 Pay slips
 Advance register
 Bank Statement
 Other deductions and allowance statement

MIS REPORTS

 As per clients requirements.
 Reports to comply with local authorities, if any.

Hello Rashee,

I can help you out LTA fundamentals one of the components of Salary Package:



10 MUST knows about LTA




Leave Travel Allowance affects every salaried employee. Here we give you a quick low-down on what to expect.
1. You can get LTA only if you have applied for leave from your company and have actually travelled. However, international travel is not valid. You must have travelled within the country.
2. The entire cost of the holiday is not covered. Only the travel costs are covered. So, whether you fly, hop on to a train or take public transport, you will have to show the ticket to claim your LTA. This means you will need to keep your air, rail or public transport ticket.
3. If you travel by car and it is owned by a central government organisation like ITDC, the state government or the local body, then LTA is permitted.
If you could not get public transport and resorted to private transport like renting a car, get a bill issued by the rental company. If the bill is not accepted by your employer, you can always file an income tax return, claim an exemption and get a refund.
4. LTA covers travel for yourself and your family. Family, in this case, includes yourself, parents, siblings dependent on you, spouse (even if your spouse is working) and children.
For children born after October 1, 1998, the exemption is restricted to only two surviving children (unless, of course, one birth has resulted in multiple children like twins and triplets).
If your family travels without you, no LTA can be claimed. You have to make the trip, either by yourself or, if claiming for your family, you should travel with them.
5. LTA is not related to when you started your employment. The government fixes blocks of years. These blocks are not financial years (April 1 to March 31); they are calendar years (January 1 to December 31).
The current block is 2006-09 -- January 2006 to December 2009. The earlier one was from 2002-05 -- January 2002 to December 2005.
During this time period, a person is entitled to two LTA claims.
6. Though you can claim two journeys in a block of four years, you can claim the LTA benefit just once in a year. You cannot claim both the journeys in one year.
So, while a person can get an income tax exemption for two journeys in a block of four calendar years, he can make a trip only once a year.
If you make two trips in a year, you lose one. One way out is to claim one and make your spouse claim the other.
7. You can carry forward your LTA. One LTA can be brought forward and claimed in the first year of the next block.
Let's say you do not take your LTA in 2002-05. Or that you use only one LTA. Don't worry, you will be able to take the pending LTA in 2006. This means that, in the 2006-09 block, you will be totally entitled to the three journeys.
8. If you switch jobs, you can get the LTA not only from your present organisation but also from your former employer, if the concession is lying unutilised.
Let's say that, in the 2002-05 block, you claimed LTA in 2003. In 2004, you switched jobs. You can still claim your second journey with your new employer. Of course, your new employer will ask to look at your earlier tax returns to see whether it has been claimed or not.
9. You must take the shortest route to your destination to be eligible for LTA.
Let's say you are going from Delhi to Mumbai on a holiday. So the cost of your travel from Delhi to Mumbai and Mumbai to Delhi will be eligible for LTA.

If you decide to go to Mumbai via Agra, Jhansi and Itarsi, your LTA from Delhi to Agra will be covered. But Agra to Mumbai will not be covered.
Let's take another scenario. You traveled from Mumbai -- Kerala -- Delhi -- Mumbai.
If you take a direct connection, you will be eligible for LTA. Mumbai -- Kerala -- Delhi -- Mumbai: LTA covered

But if you throw in Hyderabad, then it goes out of gear.
Mumbai -- Thiruvananthapuram: LTA covered
Thiruvananthapuram -- Hyderabad -- Delhi: LTA not covered
Delhi -- Mumbai: LTA covered
10. If your LTA is not utilised, it gets added to your salary and you will be taxed on it.
Let's say you and your spouse are both employed and both have LTA as part of the salary package. Your LTA is Rs 20,000 and hers is Rs 20,000 too.
Both of you and your child go for a holiday. The tickets for the three of you amount to Rs 15,000. You supply the tickets to your office and this amount will be eligible for a tax deduction; the balance Rs 5,000 will be taxed. You can claim exemption only to the tune of your expenditure.
If you claim this, your spouse will not be able to claim this same holiday from her employer. His/ Her Rs 20,000 will be taxed. Unless, of course, you go for another holiday and he/ she claims it.
Or, let's say, you spend Rs 30,000 on tickets but your LTA is just Rs 20,000. You can claim up to Rs 20,000 and tell your spouse to claim his/ her ticket from his/ her employer.

thank you very much manjari

its very usful information abt LTA

regds
kantharaj

Thank You Pradeep and Kantharaj..:)