CTC decryption: How to negotiate a better salary structure
CTC decoding: Evaluating a job posting is not always a simple task, when it comes to CTC (cost to business). Thorough evaluation of one’s goals is essential – holistically. Once the employee has established the key elements of the offer that they think are worth changing, they should take a call on the cards they are going to play and the sequence of how they will pass. his points, tactfully.
Advising an employee to know the difference between take-home pay, net pay, gross pay and CTC, Jitendra Solanki, a SEBI-registered tax and investment expert, said: “It has been found that employees become happy after looking at the CTC mentioned in the offer letter then they should be interested in looking at the actual net salary.They should know that the CTC is the total cost to the company due to recruiting employees, while the take home pay is the CTC minus all deductions like PF, tips, income tax etc. also need to look at the take home pay once the CTC is mentioned.”
Solanki said some companies put their monthly PF contribution into the employee’s CTC, which is incorrect. Thus, during the decryption of its CTC, it is necessary to make sure that the monthly contribution PF of the recruiters is not mentioned in the CTC. Such a practice leads to a huge drop in an employee’s take-home pay.
Atul Pratap Singh, CEO and co-founder of Jobsgaar, said: “A CTC includes all payments and benefits, fixed or variable, to which an employee is entitled.”
On how to handle a job interview and get the best possible CTC and salary structure, Atul Pratap Singh of Jobsgaar said, “In a budding job interview, you have to delay the discussion about the salary, favor a meatier role over salary instead and try to get the employer to mention their offer first.Also, settling for less and leaving without negotiating will affect your entire career, best to start the discussion with a possible number higher than desired in order to have space to concede later.
Advising an employee to stay isolated from the pun, Jitendra Solanki said, “An employee’s gross salary includes net CTC less mandatory contributions like PF, gratuities, etc. whereas net salary means gross salary less payments made by the company for other benefits like insurance. , and other allowances.
What if an offer is too tough to accept a salary structure despite a lucrative CTC, Vinit Khandare, CEO and Founder of MyFundBazaar, said, “Despite using classic negotiation techniques, if the employer potential is “inflexible” to anything the employee asks, the employee should pay attention to their internal monitoring system. If their instincts still say “no”, politely decline the offer and always let the carries possibilities of future open association – whether in the form of potential clients, potential advisors, and perhaps even future employers – we are connected by opportunities.”
