In Indian payroll, the structure of salary has numerous components.
Gross Salary meaning is simple as it stands for the salary including everything excluding the Provident Fund, deductions, and Gratuity of an employee. It consists of several parts such as overtime, basic pay, house rent allowance, bonus pay, leave travel allowance, Provident Fund, conveyance allowance, medical allowance, educational allowance, and others. The amount actually owned by an employee is the Gross Salary/Gross Pay. However, it cannot be considered as the take-home salary since some amount gets deducted from the Gross Salary every month to make it the take-home salary.
The net pay, otherwise known as the take-home salary, is the actual amount received by an employee and utilized by him or her. However, the employee is also free to utilize the Provident Fund in the future since it is a scheme for saving for salaried people for the time after their retirement.