Create Pay Heads payroll
Create Pay Heads and Define Income Tax Details in TallyPrime (Payroll)
The salary components constituting an employee’s pay structure are Pay Heads. A pay head may be a benefit or a deduction from the salary. The value of these pay heads could be fixed or variable for each payroll period.
For example, Basic Pay is a fixed pay component, whereas Variable Pay and Bonus are variable components.
A Pay Head Type is categorised as Earnings, Deductions or Reimbursements.
The default pay head types in TallyPrime are:
Earnings for Employees
- Attendance based Earnings Pay Head
- Computation based Earnings Pay Head
- Flat Rate based Earnings Pay Head
- Production based Earnings Pay Head
- User Defined Earnings Pay Head
Deductions from Employees
- Canteen Deduction Pay Head
- Loans and Advances Pay Head
Employees’ Statutory Deductions
- PF Deduction Pay Head
- ESI Deduction Pay Head
- Professional Tax Deduction Pay Head
- NPS Deduction Pay Head
- Income Tax Deduction Pay Head
Employer’s Statutory Contributions
- EPS Contribution Pay Head
- EPF Contribution Pay Head
- ESI Contribution Pay Head
- NPS Contribution Pay Head
Employer’s Other Charges
- PF Admin Charges Pay Head
- EDLI Contribution Pay Head
- Bonus Pay Head
- Gratuity Pay Head
- Loans and Advances Pay Head
- Reimbursements to Employees Pay Head
- Income Tax Pay Head Configuration
- Income Tax Declarations
- Override Income Tax Exemption Value
- Override Income Tax Value
- Income Tax Configuration
- Previous Employer Details for Income Tax
Note: For international customers, Employees' Statutory Deductions, Employer's Statutory Contribution and Employer's other Charges pay head types are not applicable.