Trending @Accenture; What is Ex-gratia 99k and where to put it in while compensation plan update, need max in hand?

Ex-gratia can be allocated to any of the four components—Basic, Personal, HRA, or Other Allowance—or it can be directed towards NPS. • Basic: Increasing Basic pay will increase PF contribution, which reduces in-hand salary. However, this can still be beneficial since the employer must also contribute more towards PF. • Personal Allowance: This cannot exceed the amount in Base Pay, so flexibility here is limited. • Other Allowance: For maximizing in-hand salary, you can allocate more to Other Allowance. • NPS: If you opt for NPS, 14% of your Base Pay is contributed, which also lowers in-hand salary, but strengthens long-term retirement savings.

In short: • More Basic = Higher PF + Lower in-hand + More long-term savings • More Other Allowance = Higher in-hand • NPS = Lower in-hand + Retirement benefit

Hope this helps.

If you want more in hand, put PF as fixed. But it will increase the taxable amount reducing the inhand. So do calculate accordingly

Same question? Also need to consider taxable income. Like if some one have chosen new tax regimes, then more basic will help as it will reduce taxable income.

How many years of experience you have?

Thanks for explaining will check