HRA Exemption & Taxable Allowances: Payroll Guide
How HRA exemption and common allowances work in payroll, how to verify rent proofs and how to design a clean salary structure.

Practical CozyHR articles for teams choosing, implementing and automating HR software across employee records, attendance, payroll, compliance, self-service and admin governance.
How HRA exemption and common allowances work in payroll, how to verify rent proofs and how to design a clean salary structure.
Understand statutory, voluntary and recovery deductions from salary, how to sequence them in payroll and how to write a clear deduction policy.
A practical, fair process for handling employees who stop reporting to work: notices, inquiry, payroll treatment, final settlement and prevention.
Learn how to design a fair comp-off policy for weekend and holiday work, with eligibility, expiry, payroll treatment and a ready-to-adapt template.
Build a practical employee wellbeing programme: fix workload, train managers, set boundaries and measure impact on a modest budget.
Build a 30-60-90 day onboarding plan with role templates, manager scripts, checklists and metrics to help new hires succeed.
A practical guide to Labour Welfare Fund coverage, contributions, calendars, returns and records for multi-state Indian employers.
How to classify interns and apprentices, structure stipends, handle TDS and statutory questions, and document it all correctly.
Learn how to run stay interviews, with question banks, templates and an action plan to reduce attrition in your Indian SMB.
How Indian SMBs can roll out an AI HR chatbot for employee queries: use cases, data prep, privacy, vendor checklist, pilot plan and success metrics.
Design salary bands, benchmark pay against the market, use compa-ratios and fix pay gaps with a practical framework built for Indian SMBs.
Build a simple succession plan: pick critical roles, assess successors, develop talent, capture knowledge and prepare for founder or key-person exits.
A practical ESI guide for Indian employers: coverage, wage ceiling, contribution periods, registration, monthly payment, benefits and an audit checklist.
Learn how to calculate gratuity in India, check eligibility, handle tax and TDS, provision the liability, and pay on time with a repeatable payroll checklist.
Run payroll across multiple Indian states: professional tax, labour welfare fund, shops acts, transfers and a compliance calendar.
Design an employee benefits package for your Indian SMB: statutory baseline, group health insurance, perks, budget and payroll treatment.
A step-by-step labour codes readiness checklist covering wages, social security, IR and OSH for Indian SMB employers.
Create a fair promotion policy and career ladder with levels, criteria, calibration, pay revisions and communication tips for Indian SMBs.
Design a hybrid work policy for your Indian SMB with eligibility rules, attendance, expense, security and payroll guidance.
Build an expense reimbursement policy with clear limits, approvals, proof rules and payroll integration for your SMB.
Know what to include in a relieving letter and experience certificate, when to issue them, and use ready templates.
Calculate absenteeism rate, spot patterns with the Bradford factor and build a practical plan to reduce unplanned absence.
Learn how to design a variable pay structure that motivates teams, stays payroll-ready and avoids common SMB mistakes.
Set up your Internal Committee, train staff and handle complaints properly. A practical POSH compliance guide for Indian SMBs and startups.
Run a practical pay equity audit in your Indian SMB: clean data, compare groups, analyse raw and adjusted pay gaps and fix them in phases.
What the Code on Social Security means for gig and platform workers, aggregators and businesses that engage freelancers, with a practical compliance roadmap.
Build a lean L&D plan and employee training budget for your Indian SMB, from skills gap analysis to formats, bonds and measuring impact.
Understand layoff, retrenchment and closure under the Industrial Relations Code, with a step-by-step process, compensation framework and communication tips.
Design a fair notice period policy and calculate notice buyouts with confidence. Includes formulas, worked examples, payroll treatment and an FAQ.
Automate HR approvals for leave, attendance, expenses and onboarding with clear chains, escalations, delegation and audit trails.
How to draft a fair moonlighting policy in India: approval models, contract clauses, conflict of interest rules and a fair investigation process.
A practical roadmap to hire for demonstrated skills over credentials, from rewritten job descriptions to assessments, scorecards and metrics.
Learn how to calculate loss of pay in India, choose a divisor, handle half-days and the sandwich rule, and build a fair LOP policy.
How Indian SMBs can redesign salary structures for the labour codes' 50% wages principle, with a worked example, rollout plan and FAQs.
What agentic AI means for HR operations, where it helps, where it should not be used, and how to pilot it safely with strong guardrails.
When and how to rehire former employees: eligibility policy, process, pay fairness, service continuity, records and team communication.
Set up an HR helpdesk for your growing company: ticket categories, service levels, knowledge base, automation, confidentiality and metrics.
How Indian SMB managers can run effective one-on-one meetings: cadence, agenda templates, question bank, documentation, and HR support.
A practical guide to leave encashment in India: policy design, per-day calculation, tax treatment, settlement handling and FAQs for HR and payroll teams.
Learn how Indian SMBs can use HR data well: core metrics, attrition and payroll analysis, privacy, dashboards and a 90-day roadmap to get started.
A vendor-neutral checklist to choose an HRMS in India: requirements, statutory payroll features, demo script, pricing comparison and implementation plan.
Understand the Maternity Benefit Act, eligibility, leave duration, ESIC interplay, payroll treatment and how to design a supportive maternity policy.
A practical guide to building a risk-based, consent-led background verification process for Indian startups and SMBs, from checks to discrepancy handling.
Learn who is eligible for statutory bonus, how to calculate it on the right wage base, payment deadlines and records, with worked examples for Indian employers.
A practical guide to statutory registers, records, retention, digital storage and inspection readiness for Indian employers.
How to calculate employee turnover rate in India, split voluntary and early exits, slice the data and turn attrition numbers into action.
How to write a practical generative AI usage policy for employees in India: data tiers, HR use cases, DPDP alignment, rollout and FAQs.