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HR & Payroll

Cost to Company

CTC

Total annual cost the employer incurs for an employee — including salary, benefits, statutory contributions, perks.

What it means

CTC is the headline figure used in Indian job offers. It includes basic salary, HRA, allowances, employer PF, gratuity provision, bonus, insurance premiums, ESOPs and any other employer-funded benefit. Net take-home is significantly lower than CTC because employee PF, TDS, Professional Tax and any employee insurance are deducted.

Typical CTC structure: 40-50% basic, 30-40% HRA, 10-15% special allowance, 5-10% other components.

How Easedesk handles Cost to Company

Easedesk's salary structure builder defines CTC components, automatically calculates gross, net and statutory deductions, and outputs annual + monthly views. Multi-tier templates (Engineer L1, L2, etc.) speed up offer letter generation.

Related terms

Want Cost to Company handled automatically in your ERP? Easedesk does it natively — along with 50+ other Indian business modules.

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