In Payroll21, user can create any number of salary components with Formulae & conditions. A salary component can either be ‘Earning’ or ‘Deduction’ type. Also components can be created to be used as variables in Formulae (‘Other’ type - that are not directly an Earning or Deduction component). Components can be further divided in to ‘Fixed’ (ex: Basic), ‘Variable’ (ex: Medical reimbursement - where the values can vary from month to month or where the value may not be there in a particular month) & ‘Formulae’ types. For a formula component, user can define unlimited formulae and conditions; also slabs can be defined. There are further attributes to a component (show in payslip/salary register, LOP applicable, Notice period LOP applicable, Arrears applicable etc). If component level rounding off is required, this also can be specified.

The IT(Income Tax) applicable part also can be defined for each component. If IT applicable, then the IT section under which this component to be considered is also to be defined.

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