The reasons you get an incorrect HRA:
- When HRA is updated manually in the application.
- When you update the monthly rent details without updating the HRA percentage.
To recalculate and rectify the HRA calculations, perform the following actions:
- From your greytHR Admin portal, navigate to Payroll > Payroll Inputs > Salary. The Salary page opens.
- From the Employee Type dropdown list, select the required employee status.
- From the Search by Emp No/Name search box, enter the employee number/name for whom you want to recalculate HRA. The Component Group table with salary components appears.
- Under Component Group, click NET PAY > + TOTAL DEDUCTIONS.
- Under + TOTAL DEDUCTIONS, click the INCOME TAX Edit icon. The INCOME TAX page opens.
- Select the Exemptions tab. The page displays the various exemption details.
- Under HRA Exemption, click Monthly Rent. The House Rent pop-up appears.
- Fill in the required information and click Save. A success message appears.
- Click Close to close the pop-up.
- Under the Exemptions tab, click Save to update the correct HRA. A success message appears.