Help me understand CTC breakup procedure

Tushar92

Hello guys, I am a fresher and have hardly any idea about CTC breakup terms. Can someone explain it to me in Layman's terms.
Take this one for an example.
The pay-scale for B.E. selected candidates shall be Rs.16,400 - 40,500 with- 3% annual increment. Besides the above pay scale IDA of 100.3% of basic shall be payable alongwith 45% of Allowances (on basic) & H.R.A. as per rules

The breakup of CTC varies from company to company, depending upon the different allowances and performance pay etc.
In the example u took,I think the basic pay is 16,400. 3% annual increment implies, after 1 year you will get increment of Rs 492(3% of basic) so your basic pay will become 16892, some allowances depends on basic so those will increase, with the increase in basic pay
I am having only a basic Idea, which I have described above, would love to see any expert describe it in detail.
Hope it helps 😀