Education and Career Forum

What is the difference between basic and consolidated salary. The previous pay slip used to mention basic which now changed to consolidated salary. Does it is going to have any affect on the career growth. What the management going to gain by changing the terminology. Please clarify?

Difference between Basic and Consolidated salary is given below:-

Consolidated Pay is the total amount one can get as pay or salary. Basic pay is BASIC. That means some more additional allowances like DA, HRA can be added and the total amount will be called gross pay.
Most of the allowances and other deductions can also depend on the basic pay.

Consolidated means "joined together as a whole" .
Consolidated pay or salary a person is offered is the amount a person gets for the work done on monthly/weekly basis.
It consists of all the entitlements joined together , without specifically stating any breakups.

Whereas basic salary is the amount of money a candidate earns before any add-ons or deduction. One may earn a certain amount and then get dividends from shares or overtime remuneration.
Those at junior level take higher percentage of their basic salary compared to those at senior level.

There is a difference between Consolidated salary and basic salary.
The total that can be received as pay or salary is known as consolidated compensation. No other variable compensation, such as DA or HRA, will be provided. Basic Pay is the basic salary. As a result, extra allowances like the DA and HRA may be included, and the final sum will be referred to as gross pay.