Apply FY 2024-25 Budget Changes in greytHR Payroll

Updated in September - 2024 | Subscribe to watch greytHR how-to video

greytHR is ready with the new budget changes for the financial year 2024-25. The latest budget includes revised income tax slabs under the new regime. From August 2024, the greytHR application will, by default, function as per the latest budget changes.

The budget changes will automatically reflect in the admin portal on the Income Tax page and in the ESS portal on the IT Declaration page.

Key highlights of the budget

• Revised tax slabs for the new tax regime:

• Standard deduction increased to 75000 from 50000 [Applicable to New Tax Regime only]

• Deduction available to the employees for contribution to the New Pension Scheme (NPS) enhanced from 10% to 14% of the employee’s salary [Applicable to New Tax Regime]

Note: 

• The proposed PF changes in the budget do not require immediate payroll adjustments, we are awaiting further updates from EPFO.

• We follow the old tax slabs for payrolls processed from April to July. 

• Since NPS will be included in the salary configuration and Flexible Benefit Plan (FBP), please update the revised FBP entitlements by raising a support ticket. Additionally, collect new FBP declarations from employees who wish to adjust their NPS contributions.

Flexible implementation of budget changes

From the August 2024 payroll, the new budget changes will take effect. As an admin, you can:

• Defer the budget changes to start in the September payroll.

• Apply the budget changes from the August payroll.

Defer budget changes to start in September payroll

By default, the budget changes take effect from the August payroll. You can defer these changes to the September payroll by performing the following actions:

1. From the greytHR Admin portal, navigate to Payroll > Process > Payroll Process. The Payroll Process page opens.

2. On the top-right corner of the page, select the date as Aug 2024 from the dropdown list. The Budget updates information note reflects.

3. Read the note and click Defer to Sep 2024 if you want to delay the budget changes to take effect on your payroll system.

4. Click Confirm. A success message appears.

Apply the budget changes from August payroll

By default, the budget changes take effect in the August payroll. If you had initially deferred the changes to the September payroll but later decided to apply them from the August payroll, you can do so by performing the following actions:

1. From the greytHR Admin portal, navigate to Payroll > Process > Payroll Process. The Payroll Process page opens.

2. On the top-right corner of the page, select the date as Aug 2024 from the dropdown list. The Budget updates information note reflects.

3. Read the note and click Start from Aug 2024. A pop-up appears.

4. Click Confirm to apply the budget changes from the August payroll. A success message appears.

Other related links:

• View income tax slabs