Payroll · Format
Salary Slip Format In Excel (India, 2026)
A salary slip is a simple document, but it has a fixed logic: earnings on one side, deductions on the other, and net pay as the difference. This guide sets out a clean salary slip format you can build in Excel, Word or as a PDF, and explains what each line means, so your payslips are correct and easy to read.
- Four parts: header, earnings, deductions, and net pay.
- Earnings: basic, HRA, DA, conveyance and special allowance make up the gross.
- Deductions: PF, professional tax, TDS and ESI where applicable.
- Net pay: total earnings less total deductions, shown in figures and words.
- Layout: two columns, earnings left, deductions right, totals and net pay below.
- Share as PDF: build in Excel or Word, export to PDF so it cannot be edited.
01What a salary slip must contain
A salary slip, or payslip, is the monthly record of what an employee earned and what was deducted. A complete slip has a header, an earnings block, a deductions block, and the net pay.
- Header: company name, employee name, employee code, designation, month and year, days worked, and a bank account or UAN where relevant.
- Earnings: basic pay and the allowances.
- Deductions: provident fund, professional tax, TDS and any others.
- Net pay: total earnings less total deductions, in figures and words.
02The earnings side
The earnings side lists the gross pay, split into its components.
| Earning | What it is |
|---|---|
| Basic pay | The core salary, often 40% to 50% of the total; many other amounts are based on it |
| House rent allowance (HRA) | Allowance towards rent, part of which may be exempt under the old regime |
| Dearness allowance (DA) | Cost-of-living allowance, common in government and some private pay |
| Conveyance and other allowances | Travel and miscellaneous allowances |
| Special allowance | A balancing amount to reach the agreed gross |
Total earnings is the sum of these, before any deductions. This gross figure is the basis for several calculations below.
03The deductions side
The deductions side lists what is taken out before the employee is paid.
| Deduction | What it is |
|---|---|
| Provident fund (PF) | Employee contribution to EPF, a percentage of basic, as notified |
| Professional tax | A small state-level tax, where the state levies it, as notified |
| TDS | Income tax deducted at source on salary, based on the estimated annual tax |
| ESI, if applicable | Employee state insurance contribution for eligible employees |
| Other | Loan recovery, advances or similar, if any |
Net pay is total earnings less total deductions. The TDS line connects to the annual Form 16; for its layout see the Form 16 format.
04A simple salary slip format
A clean two-column layout works best: earnings on the left, deductions on the right, totals at the bottom, net pay below both.
| Earnings | Deductions |
|---|---|
| Basic pay | Provident fund |
| HRA | Professional tax |
| Conveyance allowance | TDS |
| Special allowance | Other |
| Total earnings | Total deductions |
Below the two columns, show: Net pay equals total earnings minus total deductions, with the amount in words. Add a note that it is a computer-generated slip if it is issued without a signature.
Keep earnings and deductions in two clear columns with the net pay below both. A payslip that can be read in five seconds is a good payslip.
05Excel, Word or PDF
The same layout works in any tool; pick the one that fits how you run payroll.
- Excel: best when you have more than a few employees, because you can use formulas for PF, totals and net pay, and copy the sheet each month.
- Word: fine for a very small team or a one-off slip, though you compute the numbers yourself.
- PDF: the right format to share with an employee, because it cannot be edited easily. Build in Excel or Word, then save or export as PDF.
Employees who want to avoid TDS on certain income, such as bank interest below the taxable limit, may submit a declaration; a sample is in the Form 15G Part 2 filled sample.
06How Claw Tax helps
Claw Tax and Accounts is an online tax, GST and accounting service for India that connects you with a verified chartered accountant at a fixed, published price, with a Claw reviewer checking every filing before it is submitted.
Building a payslip in Excel from a template is easy, and for a small team a simple sheet is all you need. Claw Tax is for when payroll grows, PF, professional tax and TDS have to be deducted and deposited correctly every month, and you want it done without errors or missed deadlines.
A verified chartered accountant can run your payroll, generate compliant payslips, and handle the PF, professional tax and TDS deductions and filings, at a fixed, published price, with a Claw reviewer checking the work. See the services and prices at clawlaw.in/tax.
This is general information, not tax or payroll advice; a verified professional handles the specifics of your case.
07Frequently asked questions
What should a salary slip format contain?
A salary slip should have a header (company, employee name and code, designation, month, days worked), an earnings block (basic, HRA, allowances), a deductions block (PF, professional tax, TDS and others), and the net pay shown in figures and words. A two-column layout with earnings on the left and deductions on the right is clearest.
How do I make a simple salary slip in Excel?
Set up a two-column layout: earnings on the left (basic, HRA, allowances) and deductions on the right (PF, professional tax, TDS). Use formulas to total each column and to compute net pay as total earnings minus total deductions. Copy the sheet each month and update the figures. Export to PDF to share with the employee.
What deductions appear on a payslip?
Common deductions are the provident fund (a percentage of basic), professional tax (a small state-level tax where levied), TDS (income tax on salary based on the estimated annual tax), and ESI for eligible employees. Any loan recovery or advance also appears. Net pay is the gross earnings minus all these deductions.
Can I use a Word or PDF salary slip instead of Excel?
Yes. Word is fine for a very small team or a one-off slip, though you calculate the numbers yourself. PDF is the right format to send to an employee because it cannot be edited easily. The usual approach is to build the slip in Excel or Word and then save or export it as a PDF.
How is net pay calculated on a salary slip?
Net pay is total earnings minus total deductions. Add up basic pay and all allowances to get gross earnings, add up PF, professional tax, TDS and any other deductions, and subtract the second total from the first. Show the result in both figures and words at the bottom of the slip.
Does the TDS on my payslip match my Form 16?
It should. The TDS deducted from your salary each month is reported in your annual Form 16, which shows total salary paid and total tax deducted. If the monthly TDS on your payslips adds up to a figure that does not match Form 16, raise it with your employer before you file your return.