What is the Full form of CTC?
The full form of CTC is Cost To Company. CTC is the employee’s annual salary package. It reveals the net costs a firm or organization spends on a worker over one year. Now a days, most companies are offering their salaries in the form of a CTC. It does not indicate the employee’s actual pay. It also contains the facilities provided to the employee during period of service. CTC is explained in the equation as given below.
CTC = Gross salary + other expenses + Incentives
Few points about CTC
- CTC is the employee’s annual salary package.
- CTC reveals the net costs a firm or organization spends on a worker over one year. Now a days, many companies are offering their salaries in the form of a CTC.
- CTC does not indicate the employee’s actual pay.
- It contains the facilities provided to the employee during period of service.
