How much do the top b-schools like the IIM's, FMS, MDI, XLRI, SPJAIN, JBIMS, IIFT, and NITIE inflate their placement reports?

The inflation in the package is mostly done by the companies that come to the colleges for hiring. They mention the CTC i.e. the cost to the company, not the actual in-hand salary. There are two major components of CTC i.e. the fixed and the variable component.

Fixed component: This refers to the CTC to which you are entitled to. This is not the in-hand salary. This consists of various components like basic salary, HRA, TA, LTA, PF, joining bonus, and retention bonus.

Variable component: This refers to the incentives or any other kind of bonuses which is given to you based on your performance. While calculating the CTC, the variable component is also added. Some of the companies don’t add the variable components in their CTC.

So, in hand salary = basic+HRA+TA+other allowances - pf deduction - tax. Some of the examples of salary distribution of the companies (for tier-1 institutes) are as follows.

You can clearly see that Amazon’s and RBS development center’s in-hand salary are the same despite their CTC. Amazon’s CTC is much higher. Placement teams at these institutes have very little to do with inflated figures.