Pay Components

A Pay Component is a single named line that can appear on a payslip — an allowance or a
deduction. Found under Payroll → Configuration → Pay Components. Verified live on
demo.blueonehr.com, 2026-09-13.
What a component carries
Each component has a name, a short code, a type (Deduction or, presumably, Allowance —
only Deduction-type components were visible in the first page of results), a calculation method
(e.g. Flat Amount), whether it is Taxable, whether it is Statutory, and a status.
Real components seen on the demo workspace include Flexible Benefits Plan Deduction,
Income Tax (194J/C), L.I.C, and LWF Arrears — all Deductions, all Flat Amount, all
non-taxable and non-statutory as configured here.
Not the same as statutory deductions in the payslip engine
None of the components observed here were marked Statutory, and the underlying payslip engine's
own PF/ESI/PT/TDS statutory calculations are documented separately as part of the platform's
compliance engine, not as Pay Components. Do not assume every deduction on a payslip traces back to
a row in this screen — some are computed by the statutory engine directly. This distinction was not
fully explored in this pass and deserves a closer look before being stated more precisely.
Related
Salary Templates group components together via Manage
Components.
Payslips is where these components (and statutory deductions) show up as
actual line items for a real employee.