ECONOMICS
MONEY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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after you pay your bills for the week
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after taxes and deductions
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before taxes and deductions
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before you pay your bills for the week
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Detailed explanation-1: -Take-home pay is the net amount of income received after the deduction of taxes, benefits, and voluntary contributions from a paycheck.
Detailed explanation-2: -Net salary, more commonly known as Take-Home Salary, is the income that the employee actually takes home once tax and other such deductions are carried over with. It refers to the in-hand figure that is calculated after deducting Income Tax at source (TDS) and other deductions as per the relevant company policy.
Detailed explanation-3: -Your take-home pay is the amount of your wages or salary that is left after income tax and other payments have been subtracted. [business]
Detailed explanation-4: -It is a part of the gross salary and is fully taxable in the employee’s hands. Employee contribution to the provident fund: Both the employer and the employee contribute 12% of the employee’s basic salary each month to the EPF or employee provident fund.
Detailed explanation-5: -What is the formula for salary calculation? Take-home Salary = Gross Salary – Income Tax – Employee’s PF contribution (PF) – Professional Tax. Gross Salary = CTC – Employer’s PF contribution (EPF) – Gratuity. Gratuity = (Basic salary + DA) × 15/26 × No. of years of service.