04 December 2016
Arrear of Salary means difference of salary due to revision retrospectively and the difference paid now is arrear of salary.
Outstanding salary means salary which is due but not yet paid.
Eg. Salary for the year 14-15 = Rs.300000/- 15-16 = Rs.350000. Say on 1st April 16 salary is revised from Apr'14 and the difference amount payable is 14-15 is Rs.30000 and 15-16 is Rs.35000. This 65000 is paid in April 16 is Arrear of salary.
Salary for the month March payable is Rs.25000/- As on 31st March salary payable entry is passed and this Rs.25000/- is paid on 2nd April. Salary payable as on 31st March is Salary Outstanding.
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