What should be my best structure of pay in India
Querist :
Anonymous
(Querist) 30 March 2011
This query is : Resolved
It is rally an excellent site. It is very helpful indeed. I am a foreigner & have a question which is given below.
I wanty to know what should be my best structure of pay.
Just as an example suppose my gross cost to company is 100.
This is to take care of salary, house rent , car and driver.
Salary is 65 . The rest can be structured as I please.
RENT
1. Is it better to get a house rent allowance and I spend it as I feel and take the lease in my own name OR .
2. Is it better to get the lease signed by the employer?
Any difference in taxation?
A friend in Bombay said its better if its a personal lease
3 Is it better that the employer buys an apartment and I stay there.What is the impact on my taxation if I live in a company furnished accomodation?
CAR
Is it better to get a company car - maintained by them fully
or is it better that I take a car and driver allowance and buy my car myself?
By the way I am a singaporean citizen so take that into account too in case there is a any change because of that. And think of any other aspects that I should be aware of.
Need an urgent reply as I need to finalise the appointment asap
soumitra basu
(Expert) 02 April 2011
This question can not be answer in this manner. It is not known whether your proposal can be accepted by the company. Whether you can make your own package or you have to work on the company's pay procedure.
e.g. Rent
If you take take a rented house in the name of yours in that case you have to bear your own expenses. You may take HRA from the company. In that case rent paid in excess of 10% of Basic and D.A. or HRA the lower has to be taken consideration.
There is no requirement for signing the deed of lease by the employer. If you reside in company's accomodation then your salary for the purpose of taxation shall be increased according to rule.
Querist :
Anonymous
(Querist) 04 April 2011
I am an India born Singaporean citizen. Yes I can structure my salary package as per my wish. Salary will be 65%, balance will be HRA or compay leased house & Car allowance or leased car. I will come to India in 1911-12 to work & pay tax at India.
Kindly tell be what should be my best pay structure? And should I take company leased accomodation & leased car or should take HRA & Car allowance?
Thanks.
