When Opfin was launched, we had decided that we would offer a standard default salary structure to all organizations. The reason behind this was simple - most organizations were using outdated salary structures, that either did not offer enough benefits to their employees, or too many (thus running into compliance issues). Our first default structure had only three components in it - basic salary, HRA, and special allowance. Last year, we changed this and added LTA (leave and travel allowance) as well.
Despite the easy default structure, organizations would often want to override it and add their own allowances or change the ratio between the different components. To support this, we added the ability to define a custom salary structure at the employee level. Using this, an employee’s salary could be set at the individual allowances level.
However, this still caused issues because administrators did not want to set each employee’s salary individually. So we would ask the organization how they would like to structure their salaries, and then hard-code on our backend. This was obviously not ideal since it had to me done manually over email and required code changes at our end.
So, finally, to fix all these issues, we have brought the ability to set the default salary structure for all your employees on the Opfin frontend.
Using this option (you will find it under Settings > Payroll Setup > Default Salary Structure, you can set the default percentages that Opfin should use for each component of the salary. Entering a zero for any component effectively disables it.
We hope this setting is useful for you. If you have any feedback, please do not hesitate to contact us at email@example.com.