Accenture, with a forward looking logo of > above the letter T showcases that you should Try for an increment as well as a better variable pay. So, now you know why the greater than symbol is above the letter T. This interpretation of the logo was given by a trainer in Bang4 during induction. I am not sure, whether, the company would have thought the same while designing this logo. Nevertheless, it’s a good idea to motivate people.
Well let’s get to the point of salary. It is going to the campus for placements. These are the details:
It is offering a package of 3.15 to 3.3 lakh per annum in the campus. It may vary a bit from college to college. For example, it may pay a bit higher in NITs. Note that this package is given by the technical wing of Accenture. It will vary when it goes to MBA colleges and offers a different package for consultants. For the consulting workforce, it is paying 8 lakh per annum.
Accenture is one of the preferred MNC in college campus. It goes to many engineering colleges
Read:Salary and Payslip of Accenture
See the Salary Breakup below:
Annual Fixed Compensation – 290,323
Local Variable Bonus (LVB) earning potential (at maximum 8.5%) – 24,677
Maximum Annual Total Earning Potential (A+B) – 315,000
Annual Fixed Compensation
- Your annual fixed compensation is INR 290,323. This includes allowances structured in accordance with the company compensation guidelines and applicable statutory norms.
Please note the annual fixed compensation includes employer`s contribution to provident fund, as applicable.
Local Variable Bonus (LVB)
- As part of your annual total cash compensation, you are eligible to participate in the local variable bonus program. At your career level, the annual target variable payout is estimated as INR 24,677. The LVB will be paid out subject to you being on the rolls of company on the date of disbursement of these payouts and will be prorated based on your tenure in the Company during the year. The payouts that you receive will depend on your and Delivery Centre for Technology, India performance against plans in the current company fiscal year. Details of the program will be communicated to you separately. The company may, at any time and in its sole and absolute discretion, amend, suspend, vary and modify any of the terms and conditions of the Local Variable Bonus Guidelines.
Now comes the variable part. This is the most confusing part. The company’s philosophy is that Variable Pay provides you the opportunity to share in the organization’s success by earning cash compensation in addition to your fixed compensation. The differentiation in the package we offer our employees is also arrived at by these performance based variable components of our rewards framework.
It is dependent upon various factors like:
A) Your rating (Individual Performance)
For freshers, the LVP will be determined based on the CCPG equivalent variable Pay for that period, which will be 8.5%
Once you get promoted to TL, then Your LVP% eligibility as a % of your FY15 fixed pay based on your most recent rating and level will be determined as per the tables below –
Table 1 (Stay at Level effective FY15):
Note: The percentage may vary depending upon the offer. For Example, the highest percentage may not be 21%. It could be 18% only
|Career Level||CVTPG||CSAPG||CAPG||CCPG||CBPG/ RI|
|Level 9 (TL)||21.0%||18.0%||14.0%||9.0%||0.0%|
If you get promoted, then this will be the percentage:
Table 2: Applicable if promoted
|Level 9 (TL)||14.0%||14.0%||12.0%||9.0%|
B)Your billability (Individual’s Utilization)
The purpose of this linkage is to encourage employees to charge the correct hours that they have worked; to recognize the employees who do more productive work; and hence, increase the overall chargeability of the organization. Every month, your billability is noted in the Allsec website. Utilization will be capped at maximum of 110% and minimum of 50% for LVP calculations
Example of H1 payout calculation
FY15 Fixed Pay (FY15 FP): Rs. 10000 p.a.
FY12 rating communicated in August, 2015: CSAPG
Promotion in 2015: No
Based on Table 1, LVP eligibility (LVP %): 18%
Assuming IDC multiplier for H1: 100%
Your individual utilization for the period: 100%
Assuming a target Utilization for the above period of: 95%
LVP for the period of H1=
FY15 FP * LVP % * IDC multiplier * (Individual Utilization % / Target Utilization %) * Tenure in IDC Solutions Offshore
Thus LVP for the period of H1 2015 = (Rs, 10000 * 18% * 100%* (100% / 95%)) * (Number of days in Services/365)
- The above illustration is for an employee who has been in IDC solutions offshore for the entire period of payout
- For employees who have been on GCP, LoA without pay or for Workforce/ Country transfers, new joiners, the LVP will be prorated based on their actual tenure in IDC Solutions Offshore during the period for which LVP is being paid out.
- The LVP will be paid, provided you are on the rolls of the company at the time of disbursement, and will be subject to appropriate withholdings and tax deductions as per the applicable policies and laws.
The target individual utilization is 95%. The target individual utilization is set so as to allow for some time towards activities that do not yield individual utilization but are important to the organization, like, say, imparting/ attending training.
For example, if based on the relevant rating and company multiplier only, an employee were to get Rs. 100 as LVP; and the employee had a YTD individual utilization of 105% at the time of payout, then the final amount payable to the employee would be = Rs 100 (based on rating and company multiplier only) x 105/95 (based on actual individual utilization v/s target) = Rs 110.5
Read:Salary and change in Notice Period, Appraisal in Accenture
C) Company’s performance
Your LVP eligibility will be multiplied by the IDC multiplier to arrive at the actual payout for a period. IDC multiplier is based on IDC performance which is determined by key business performance metrics. The IDC multiplier is announced every 6 months and will be communicated to you before each payout cycle.
The variable pay varies from 15% to 18%. It is solely dependent upon your rating and current pay.
The funny thing is that even if you are 100% billable, the billability will show as 95%
The payout is done twice in a year. When it is done, the factor will be calculated as shown below.
Based on the factors mentioned above, your LVP will be paid out as follows:
Also note that The Company may, at any time and in its sole and absolute discretion, amend, suspend, vary and modify any of the terms and conditions of the Variable Pay guidelines.
Clarification on variable pay
Q. Why is LVP linked to individual utilization?
A. For our strategic industrialization programme to succeed it is necessary that we estimate our work right and for that our people need to charge in all the hours that they have worked for.
This helps redistribute from within the same rewards pool in a manner that people get rewarded for every hour of productive work that they do and that people who do more productive work get more reward.
Q. Which career levels and groups are covered and in scope of LVP?
A. The LVP plan is for IDC employees at the career levels of SM and below, except for.
i) Employees in Services workforce in IDC and employees on GCP
ii) ASEs < 12 months from their date of joining will get a default ‘at target’ individual utilization
iii) Similarly, people in groups like Internal, PMO, BizOps, Capability, Mobilization/CSO, Solution Architect, DP/DEx, M&O will also get a default ‘at target’ individual utilization
Q. What if others (people not in those functions) did work of DEx, Capability, etc.? Would they get default individual utilization for the time charged to these functions?
A. All WBSes are linked in a manner to provide the extent of individual utilization.. Hence if a person on a project spent time on DEx activities and charged time to the right WBSe provided by DEx team, he/she would earn the default ‘at target’ individual utilization for that time. If a person on bench worked on asset development with Capability/CIO and charged time to the WBSe provided by Capability/CIO, he/she would earn the default ‘at target’ individual utilization for that time.
It is for the budget or WBSe owners to be accountable for the organizationally valuable outcomes that result out of others (not in their functions) using their WBSe and burning their budgets.
Q. What happens if people spend part of the year in, say, Capability, and another part in a client project?
A. At the time of payout, all our employees would have a YTD individual utilization % for the relevant period in consideration. And this % v/s target would be linked to the payout.
The YTD individual utilization % at the time of payout would be based on where an employee charged each day of his/her time to in the relevant preceding period. So if an employee charged time to Capability for some days/months and the rest to a client project, the YTD individual utilization would be a combination of default ‘at target’ individual utilization for the days/months in Capability and the actual individual utilization for the remaining days/months in a client project.
The same holds true, say, for ASEs who are in the default ‘at target’ utilization category for part of the preceding period and are in the actual utilization category for the remaining preceding period.
For people repatriating from GCP into IDC, their individual utilization calculation will begin on the day after they return. The LVP will be based on the YTD individual utilization at the time of payout, Variable pay for GCP tenure is paid separately to employees in the country they were in, so LVP payout the tenure in IDC will be counted.
There are systems to track individual utilization on a daily basis, so in-out movements from-to groups would not be a problem to handle.
Q. Are there ‘floor protecting against loss’ and ‘ceiling preventing against gain’ concepts in the plan?
A. Yes. People can not lose LVP any further for going down below 50% individual utilization (floor), and they can not earn LVP any further for going above 110% individual utilization (ceiling). If an employee has 40% YTD individual utilization at the time of LVP payout, we would still treat it as 50% YTD individual utilization. Similarly, if an employee has 120% YTD individual utilization at the time of LVP payout, we would still treat it as 110% YTD individual utilization.
Q. Would vacation negatively impact an employee’s utilization?
A. No. Time on vacation, sick leave, fixed/floating holidays, maternity leave, paternity leave, and bereavement leave do not count in the numerator or the denominator while calculating utilization.
For days on LOA, we don’t pay any LVP anyways.
Q. Can you give an example of Utilization calculation?
See the table below. Note that utilization details are updated on the Allsec portal every month and all individuals are expected to check and highlight any concerns/ clarifications to the idc.yield.management at the earliest and no later than 3 months from the date of publishing. It is important that you review this number going forward on a regular basis and highlight changes if any in a timely manner
Table 3: Sample Utilization Chart
|Month-Year||Month Utilization %||YTD Utilization %|
- Utilization% also includes activities considered as “Contributors for Utilization”.
- Exempt resources are defaulted to 95% Utilization for the exempt period.
For any queries, you may reach out to your People Advisor or to your Supervisor. The information might change when the new appraisal comes in effect. So, check with your HR for the updated information.
It's 15% of your fixed. You are paid the variable pay twice in a year based on your performance. Based on your performance.How much variable pay we expect from Accenture? ›
The variable pay varies from 15% to 18%. It is solely dependent upon your rating and current pay. The payout is done twice in a year. When it is done, the factor will be calculated as shown below.How is fixed and variable pay calculated in CTC? ›
Your package= Fixed Pay (X% of total package) + Variable Pay (100-X% of total package). So variable pay is part of your salary package. You will get your fixed pay at the end of every month but you will get your variable pay once in a quarter/half-year/year (may differ from company to company).How is variable bonus paid in Accenture? ›
When do you get a bonus in Accenture? Bonus is nothing but variable bonus in Accenture and you will get 2 times in a year , 1st in the month of June and 2nd in the month of December. This variable bonus is totally dependent on the performance of the employee and feedback from your supervisor and manager.Does Accenture give Diwali gift? ›
Does Accenture give bonuses? - No perks. You just get your salary, The variable bonus is never paid in full, Most of the times, 50% of the percentage that is mentioned in the offer letter, If at all any year, you get full, they will smartly balance it out by heavily reducing it the next year.How much is joining bonus in Accenture? ›
You are also eligible for a joining bonus of INR 25,000 payable upon joining the organization and that will be paid out along with salary of the month of joining or succeeding pay month.What is salary structure in Accenture? ›
The average Accenture salary ranges from approximately ₹0.4 Lakhs per year for a Front Office Receptionist to ₹ 210.9 Lakhs per year for a Executive Director. Salary estimates are based on 405k Accenture salaries received from various employees of Accenture.Do we get variable pay during notice period in Accenture? ›
Yes , Only if you are working in a project , you ll get your variable pay.Do we get variable pay during notice period? ›
Does an employee get variable compensation during the notice period? The employees are eligible to be paid variable compensation even if they are serving the notice period.How is variable pay decided? ›
It is determined based on two main factors – the employee's performance and the company's overall performance. Most companies include the process of goal-setting, based on which the variable payments are made.
Where the ratio of fixed pay to variable pay is 60:40. For non-sale jobs, the ratio of fixed pay to variable pay is 80:20. Variable pay leads to a highly motivated employee, as their performance will directly lead to their incentive being higher. However, variable pay then leads to unhealthy competition.Is fixed or variable pay better? ›
Productivity: Variable pay definitely increases the productivity of employees. High-performing individuals feel well-compensated and rewarded for their efforts, while the under-performing ones also feel motivated to improve. Contentment: In variable pay schemes, the employees feel content and motivated with their work.How is variable bonus calculated? ›
- If salary is equal to or less than Rs. 7,000, then the bonus will be calculated on the actual amount by using the formula: Bonus= Salary x 8.33 / 100.
- If salary is more than Rs. 7,000, then the bonus will be calculated on Rs. 7,000 by using the formula: Bonus= 7,000 x 8.33 /100.
Accenture informed that these salary hikes in December “reflect our commitment to providing a vibrant career path to all of our people, and are a recognition of the tremendous difference they are making to our clients, their colleagues, our shareholders, partners and communities.”What is the probation period in Accenture? ›
when you join newly as an ASE in Accenture, you are asked to sign an agreement saying u have to complete the probation period of 14 months . Once you complete your probation period you can legally leave Accenture without having to pay 75k , with certificates.Do we get bonus in Accenture? ›
Bonuses. Our bonus programs reward our people for their achievements and their contributions to our business.Does Accenture provide marriage leaves? ›
5 answers. No, they do not provide at all.Does Accenture give Macbook? ›
Does Accenture provide laptops for 2021 freshers in Associate software engineer (ASE)? Yes. Apart from laptops you will get headsets. More than that they will provide reimbursement upto 18k for stuff u will use for office work as well as 1000 per month as internet expense.Will Accenture give permanent work from home? ›
Accenture Work From Home
can work from the comfort of your house or from anywhere you want without wasting time on commuting. less and limited interaction between colleagues and slow issue resolving.
CTC (Cost to Company) means the total cost that the company will spend on you per year. This includes all the monetary and non-monetary compensation that you get as an employee. The three major components of a CTC are: Cash component (Base Salary, Joining Bonus, Performance Bonus, etc)
Yes, you can negotiate it. They will probably give you higher fixed than what you are getting as a counter offer.What is the level 10 salary range in Accenture in 2022? ›
How much does a Level 10 at Accenture make? Level 10 salaries at Accenture can range from ₹42,568-₹79,830.What is level 12 salary in Accenture? ›
(Associate Software Engineer Level 12) with a package of 3lac p.a. In a year, you can become a S.E. (Software Engineer Analyst Level 11) provided with some moderate and good visibility in front of your Team Lead or Manager. Your package will be between 3.7L to 4L depending on the rating.What is the level 9 salary range in Accenture in 2022? ›
How much does a LEVEL 9 at Accenture make? The typical Accenture LEVEL 9 salary is ₹13,40,588 per year. LEVEL 9 salaries at Accenture can range from ₹12,91,000 - ₹15,00,000 per year.Will I get bonus if I resign in Accenture? ›
Hence, the terms in the offer letter to return joining bonus if you leave the company within a year is void. You are not required to pay anything. Yes, you have to serve the notice period of 3 months or pay equivalent sum in lieu thereof in terms of your letter of appointment.What if I fail in Accenture training? ›
If you are unable to complete the Accenture specific training program in the given 3 attempts successfully, your services with the Company shall be terminated as per Clause 10 outlined in the Terms of Employment.How is full and final settlement calculated? ›
Calculated as the number of days of compensation multiplied by the gross salary divided by 26 (Avg. number of working days per month). Non-availed leaves & bonuses: Non-availed leaves and any bonus or credits, which as per the Company policy, can be encashed by the employee during the settlement.Is variable pay and bonus same? ›
Variable pay, also known as performance pay, is made up of bonuses. The bonus, which varies according to the position held by the employee, is intended to compensate for performance achieved and may be individual or shared.What is fixed salary in CTC? ›
A fixed salary is defined as the amount that the employee earns monthly through the work he delivers in the current month. Different Allowances like the HRA (House Rent Allowances) and transportation allowances etc. are not included in the fixed pay.What is variable pay percentage? ›
Types of Variable Pay:
Many organizations use a blend of bonuses and incentives to total their total rewards package. Overall, the most distinctive type of variable pay awarded is the individual incentive bonus (67%), followed by the spot bonus (39 %) and employee referral bonus (39%).
This is the standard form of variable pay. Every employee is bound to receive a one-time payment that is above the fixed pay rate. Ideally, a bonus depends on an employee's performance expected by an organisation. Some organisations extend merit pay plans.What is variable pay in salary example? ›
What is variable pay? Variable pay, also sometimes referred to as incentive pay or commission, is a way to compensate employees beyond hours worked and encourage employees to meet objectives. It can either be a percentage (e.g., 5% based on sales) or a set dollar amount (e.g., $100 per quarter).Is variable pay part of gross salary? ›
No. Gross salary includes basic pay, DA, and various other allowances but excludes PF and Gratuity. No. Gross salary includes basic pay, DA, and various other allowances but excludes PF and Gratuity.How do you negotiate salary with HR? ›
- Avoid giving a specific answer too early in the process.
- Turn the tables on the interviewer, and get them to give you a range.
- Make a strong case for your range by providing evidence of your worth.
- Give yourself time to come back with a specific counter offer.
Basic Pay-This is the main component of the CTC structure. It is a fixed component of the salary and usually comprises 40% to 50% of the total CTC. Many other CTC components like contribution to provident fund, gratuity and others are determined on the basic salary.Why is variable pay important? ›
A primary benefit of variable pay programs for employers is they provide flexibility and allow an organization to reward employees through profit gain rather than operational expenses. Within a profit-sharing plan, for example, a company earmarks a percentage of additional compensation based on its profits.Is variable pay taxable? ›
How to Save Tax On Your Variable Pay of This Year. As one's salary increases, so does the tax obligation. You can explore the option of salary restructuring so that more money comes under the purview of allowances and perquisites. The contribution to PF and ESI is exempted under the Income Tax Act.How can I check my hand salary from CTC? ›
Take-home Salary = Gross Salary – Income Tax – Employee's PF contribution (PF) – Professional Tax. Gross Salary = CTC – Employer's PF contribution (EPF) – Gratuity. Gratuity = (Basic salary + DA) × 15/26 × No. of years of service.What is average variable pay? ›
Variable pay is compensation given to an employee based on the results of their performance. It is usually offered in addition to the employee's fixed salary and comes in various forms. How is fixed salary calculated? ›
- Gross salary: CTC - EPF - Gratuity.
- Gratuity: (Basic salary + Dearness allowance) × 15/26 × Number of years you have worked for the company.
- Taxable income: Gross Salary - EPF/PPF Contribution – Tax-free Allowance - HRA – LTA – Health Insurance – Tax-saving Investments - Other Deductions.
3,500 per month and the payment is subject to the stipulation that the bonus payable to employees drawing wages or salary not exceeded to Rs. 10000 per month would be calculated as if their salary or wages is Rs. 3,500 per month.How much bonus is normal? ›
After extensive research, our data analysis team also concluded: As of 2022, the average bonus pay in the U.S. is 11% of salary for exempt employees, 6.8% for nonexempt salaried employees, and 5.6% for hourly employees. 33% of companies in the U.S. offer year-end bonuses.On which day salary is credited in Accenture? ›
Like it's 2nd last working day most of the times at accenture.What is level 11 salary in Accenture? ›
₹685,288. The estimated total pay for a Level 11 at Accenture is ₹685,288 per year.What is salary for 3 years experience in Accenture? ›
The average Accenture salary ranges from approximately ₹ 3,00,000 per year for Web Developer to ₹ 15,17,174 per year for Engineering Lead. The average Accenture monthly salary ranges from approximately ₹ 16,500 per month for SQL Developer to ₹ 89,443 per month for Developer.Can I leave Accenture after 4 months? ›
(b) You may voluntarily resign your employment from Accenture by giving not less than four months advance written notice of resignation; provided, however, that Accenture may in its absolute discretion require you not to perform any duties at all, or to perform only such duties as it may allocate to you, during the ...Does salary increase after probation period? ›
While you do take home a paycheck during the probation period, it does not come with the perks and benefits of a permanent job. Continuing beyond the probation period means that you become eligible for a higher salary, raises, promotions, and benefits like health insurance.Can I quit job during probation? ›
The actual terms of probation depend on your employment agreement. You would be required to serve your notice period if you want to leave your company during the probation period. An appointment on probation is an appointment on a trial basis.Do we get variable pay during notice period in Accenture? ›
Yes , Only if you are working in a project , you ll get your variable pay.What is the salary structure of Accenture? ›
The average Accenture salary ranges from approximately ₹0.7 Lakhs per year for a Front Office Receptionist to ₹ 210.9 Lakhs per year for a Executive Director. Salary estimates are based on 407k Accenture salaries received from various employees of Accenture.
India's second-largest information technology (IT) firm Infosys has decided to reduce the average variable payout of employees to 70 per cent due to falling operating margins in the first quarter of 2022-23.Which is best Accenture or IBM? ›
IBM scored higher in 4 areas: Culture & Values, Diversity & Inclusion, Work-life balance and Senior Management. Accenture scored higher in 4 areas: Compensation & Benefits, CEO Approval, Recommend to a friend and Positive Business Outlook. Both tied in 2 areas: Overall Rating and Career Opportunities.Will I get variable pay if I resigned? ›
Unless otherwise specified to the effect that a left employee would not get the benefit of variable pay, this component of pay should be paid during the notice period also.Is variable pay part of CTC? ›
CTC, or Cost to Company, includes all fixed and variable payments a company gives its employees. This may include performance bonuses, annual bonuses and monetary incentives that you are eligible for.Will I get bonus if I resign in Accenture? ›
Hence, the terms in the offer letter to return joining bonus if you leave the company within a year is void. You are not required to pay anything. Yes, you have to serve the notice period of 3 months or pay equivalent sum in lieu thereof in terms of your letter of appointment.What is the level 10 salary range in Accenture in 2022? ›
How much does a Level 10 at Accenture make? Level 10 salaries at Accenture can range from ₹42,568-₹79,830.What is the level 9 salary range in Accenture in 2022? ›
How much does a LEVEL 9 at Accenture make? The typical Accenture LEVEL 9 salary is ₹13,40,588 per year. LEVEL 9 salaries at Accenture can range from ₹12,91,000 - ₹15,00,000 per year.What is level 12 salary in Accenture? ›
(Associate Software Engineer Level 12) with a package of 3lac p.a. In a year, you can become a S.E. (Software Engineer Analyst Level 11) provided with some moderate and good visibility in front of your Team Lead or Manager. Your package will be between 3.7L to 4L depending on the rating.Does TCS have variable pay? ›
For Q1, TCS had said it did not delay variable payout to employees, and that it was fully paid out to all employees. In a statement in August, the company had said that the variable pay is paid either in the first or second month as per the normal process.Who gets variable pay in TCS? ›
India's largest IT company Tata Consultancy Services will award 100% variable pay for 70% of its employees bringing in the festive cheer early. "We are going to pay 100% variable pay for 70% of employees… the remaining 30% will get paid based on their business unit performance.
The company have been trying to improve cost efficiency by reducing annual hikes, variable payouts. “This modus operandi is a marked shift from the past operating margin defense strategies, which were anchored on operational efficiency, pricing improvement, and employee pyramid correction.Is Accenture better than Deloitte? ›
Deloitte scored higher in 7 areas: Culture & Values, Diversity & Inclusion, Senior Management, Compensation & Benefits, Career Opportunities, CEO Approval and Positive Business Outlook. Accenture scored higher in 1 area: Work-life balance. Both tied in 2 areas: Overall Rating and Recommend to a friend.Which is No 1 IT company in world? ›
|Job security and advancement||3.7||3.9|