MANAGEMENT

Detailed explanation-1: -Simply take the total amount of money (salary) you’re paid for the year and divide it by 12. For example, if you’re paid an annual salary of $75, 000 per year, the formula shows that your gross income per month is $6, 250.

Detailed explanation-2: -Simply put, your gross monthly income is the total income earned by you from all sources. It is a combination of your gross monthly salary or gross pay received from the employer before tax or any other deductions carried out by the employer, plus any other types of income you may have.

Detailed explanation-3: -The employer makes regular payments to the employee for the work done. Such regular payment is termed as the salary. The employment contract specifies the wages, usually made each month. The components of the salary structure are: Basic Salary: The employee’s basic income is around 40%-50% of the total salary.

Detailed explanation-4: -Gross income includes your wages, dividends, capital gains, business income, retirement distributions as well as other income. Adjustments to Income include such items as Educator expenses, Student loan interest, Alimony payments or contributions to a retirement account.