# Mandatory components in Payslip **URL:** \ **Category:** Payroll\ **Created:** [September 26, 2020, 5:33am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060 "2020-09-26T05:33:54Z")\ **Posts on this page:** 9\ **Page:** 1
**Author:** ![Anisha](https://avatars.discourse-cdn.com/v4/letter/a/8dc957/32.png) [@Anisha](https://community.greythr.com/u/Anisha)\ **Post date:** [September 26, 2020, 5:33am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/1 "2020-09-26T05:33:54Z")
Hi community- Wanted to understand what are all the mandatory components to be available in a payslip for an employee with less than 50k salary? Regards, Ann ---
**Author:** ![SantoshK](https://avatars.discourse-cdn.com/v4/letter/s/58956e/32.png) [@SantoshK](https://community.greythr.com/u/SantoshK)\ **Post date:** [September 27, 2020, 6:41am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/2 "2020-09-27T06:41:16Z")
Hello @Anisha, There are certain components that one should have as per the statutory requirements, and they are: - Basic - HRA - DA if any - Conveyance if any and Rest goes to Special allowance, there can also be other components as Medical allowance - LTA - Bonus etc depending on the need. I understand that covers it. If we have more we will hear more from our fellow members. ---
**Author:** ![Amit](https://avatars.discourse-cdn.com/v4/letter/a/ee7513/32.png) [@Amit](https://community.greythr.com/u/Amit)\ **Post date:** [September 27, 2020, 7:14am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/3 "2020-09-27T07:14:59Z")
Salary Structure for the point of Taxation, costing and in hand Basic HRA Child Education allowance - Rs 200 per montn (Rs 100 exempt per chid per month upto 2 chidren) Child Hostel Allowance - Rs 300 per month Additional Allowance - (Special allowance are under the purview of PF) Thanks Amit ---
**Author:** ![BALAJI](https://avatars.discourse-cdn.com/v4/letter/b/2bfe46/32.png) [@BALAJI](https://community.greythr.com/u/BALAJI)\ **Post date:** [September 27, 2020, 8:31am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/4 "2020-09-27T08:31:32Z")
Child Education & Children Hostel Allowance is not exempted under Income Tax since last year. ---
**Author:** ![Amit](https://avatars.discourse-cdn.com/v4/letter/a/ee7513/32.png) [@Amit](https://community.greythr.com/u/Amit)\ **Post date:** [September 27, 2020, 9:06am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/5 "2020-09-27T09:06:26Z")
Hi Balaji, **Under Old Tax Regime** exemption was not withdrawn, if yes pls share the notification ---
**Author:** ![Arpana](https://avatars.discourse-cdn.com/v4/letter/a/53a042/32.png) [@Arpana](https://community.greythr.com/u/Arpana)\ **Post date:** [September 28, 2020, 4:02am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/6 "2020-09-28T04:02:30Z")
Hi , The simple salary components could be: Basic HRA Food/Meal Coupons Flexible Benefit Plan (FBP) You can add many other components like Medical Reimbursement , special allowances etc but all these allowances are taxable so instead having so many components you can put all the amount under FBP. Hope this information helps you. ---
**Author:** ![vgulvady](https://avatars.discourse-cdn.com/v4/letter/v/e47c2d/32.png) [@vgulvady](https://community.greythr.com/u/vgulvady)\ **Post date:** [September 28, 2020, 4:46am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/7 "2020-09-28T04:46:56Z")
Hi, I would suggest LTA too along with Basic, HRA and Meals coupon. Rest will go under FBP or Special Allowance (taxable) components. I would not recommend any other allowance/reimbursement as it is no longer available under IT rules. ---
**Author:** ![avgol.amit.2019](https://avatars.discourse-cdn.com/v4/letter/a/dbc845/32.png) [@avgol.amit.2019](https://community.greythr.com/u/avgol.amit.2019)\ **Post date:** [September 28, 2020, 4:54am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/8 "2020-09-28T04:54:54Z")
From a legal perspective, there are three major items, which are mandatory : 1. Earnings 2. Deductions 3. Net Pay. EARNINGS i) Basic Salary : Comprises approximately 40%-50% of CTC. ii) Dearness Allowance. iii) House Rent Allowance (HRA): For Metro HRA allowance is 50% and for other regions 40%. iv) Conveyance Allowance. v) Leave Travel Allowance (LTA). vi) Medical Allowance. vii) Performance Bonus and Special Allowance. viii) Other Allowances. DEDUCTIONS i) Provident Fund. ii) Professional Tax. iii) Tax Deducted at Source (TDS). iv) Employee State Insurance (ESI) may not be applicable in 50k. v) Labour Welfare Fund. (LWF) may not be applicable in 50k. ---
**Author:** ![Ankit](https://sea2.discourse-cdn.com/flex024/user_avatar/community.greythr.com/ankit/32/1201_2.png) [@Ankit](https://community.greythr.com/u/Ankit)\ **Post date:** [September 28, 2020, 5:11am UTC](https://community.greythr.com/t/mandatory-components-in-payslip/1060/9 "2020-09-28T05:11:57Z")
Hi Community, If you are looking for Total CTC structure with Salary less than 50K, then you should use this structure:- **Earnings:** 1. Basic + DA (Minimum to be as per Minimum Wages Act) 2. HRA 3. Special Allowance **Deductions:** 1. Provident Fund 2. Profession Tax 3. ESIC 4. LWF 5. TDS **Benefits:** 1. Employer PF 2. Employer ESIC 3. Gratuity 4. Bonus Upto 45K monthly salary, the TDS liability is almost Zero with few Investments (upto 40K) under section 80 C. So No need to add components like Meal Card, LTA upto 45K and would suggest to keep it simple structure. Above 45K, you can add component LTA (which can be claimed twice in block of 4 years). I normally keep only 3 components in Earnings for Salaries upto 50K.