List of Salary Components

The total salary which you receive from the company is divided into many components or parts which you see when you receive the salary slip from the company. Salary components are important for tax reasons as some components are taxable and some are tax-free. Given below is the list of some of the salary components –

  1. Basic Salary
  2. Incentives
  3. Bonus
  4. Dearness allowance
  5. Education Allowance
  6. City Compensatory Allowance
  7. Conveyance Allowance
  8. House Rent Allowance
  9. Leave Travel Allowance
  10. Lunch Allowance
  11. Medical reimbursement
  12. Newspaper and Telephone allowance
  13. Gift and donations

Apart from above there may other salary components also depending on the company in which you are working and also the tax rules which are changed every year during union budget.

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