diff --git a/erpnext/payroll/doctype/salary_slip/salary_slip.py b/erpnext/payroll/doctype/salary_slip/salary_slip.py
index f33443d0d7..b5ab9bd1d6 100644
--- a/erpnext/payroll/doctype/salary_slip/salary_slip.py
+++ b/erpnext/payroll/doctype/salary_slip/salary_slip.py
@@ -746,11 +746,12 @@ class SalarySlip(TransactionBase):
 		previous_total_paid_taxes = self.get_tax_paid_in_period(payroll_period.start_date, self.start_date, tax_component)
 
 		# get taxable_earnings for current period (all days)
-		current_taxable_earnings = self.get_taxable_earnings(tax_slab.allow_tax_exemption)
+		current_taxable_earnings = self.get_taxable_earnings(tax_slab.allow_tax_exemption, payroll_period=payroll_period)
 		future_structured_taxable_earnings = current_taxable_earnings.taxable_earnings * (math.ceil(remaining_sub_periods) - 1)
 
 		# get taxable_earnings, addition_earnings for current actual payment days
-		current_taxable_earnings_for_payment_days = self.get_taxable_earnings(tax_slab.allow_tax_exemption, based_on_payment_days=1)
+		current_taxable_earnings_for_payment_days = self.get_taxable_earnings(tax_slab.allow_tax_exemption,
+			based_on_payment_days=1, payroll_period=payroll_period)
 		current_structured_taxable_earnings = current_taxable_earnings_for_payment_days.taxable_earnings
 		current_additional_earnings = current_taxable_earnings_for_payment_days.additional_income
 		current_additional_earnings_with_full_tax = current_taxable_earnings_for_payment_days.additional_income_with_full_tax
@@ -876,7 +877,7 @@ class SalarySlip(TransactionBase):
 
 		return total_tax_paid
 
-	def get_taxable_earnings(self, allow_tax_exemption=False, based_on_payment_days=0):
+	def get_taxable_earnings(self, allow_tax_exemption=False, based_on_payment_days=0, payroll_period=None):
 		joining_date, relieving_date = self.get_joining_and_relieving_dates()
 
 		taxable_earnings = 0
@@ -903,7 +904,7 @@ class SalarySlip(TransactionBase):
 					# Get additional amount based on future recurring additional salary
 					if additional_amount and earning.is_recurring_additional_salary:
 						additional_income += self.get_future_recurring_additional_amount(earning.additional_salary,
-							earning.additional_amount) # Used earning.additional_amount to consider the amount for the full month
+							earning.additional_amount, payroll_period) # Used earning.additional_amount to consider the amount for the full month
 
 					if earning.deduct_full_tax_on_selected_payroll_date:
 						additional_income_with_full_tax += additional_amount
@@ -920,7 +921,7 @@ class SalarySlip(TransactionBase):
 
 					if additional_amount and ded.is_recurring_additional_salary:
 						additional_income -= self.get_future_recurring_additional_amount(ded.additional_salary,
-							ded.additional_amount) # Used ded.additional_amount to consider the amount for the full month
+							ded.additional_amount, payroll_period) # Used ded.additional_amount to consider the amount for the full month
 
 		return frappe._dict({
 			"taxable_earnings": taxable_earnings,
@@ -929,12 +930,18 @@ class SalarySlip(TransactionBase):
 			"flexi_benefits": flexi_benefits
 		})
 
-	def get_future_recurring_additional_amount(self, additional_salary, monthly_additional_amount):
+	def get_future_recurring_additional_amount(self, additional_salary, monthly_additional_amount, payroll_period):
 		future_recurring_additional_amount = 0
 		to_date = frappe.db.get_value("Additional Salary", additional_salary, 'to_date')
 
 		# future month count excluding current
 		from_date, to_date = getdate(self.start_date), getdate(to_date)
+
+		# If recurring period end date is beyond the payroll period,
+		# last day of payroll period should be considered for recurring period calculation
+		if getdate(to_date) > getdate(payroll_period.year_end_date):
+			to_date = getdate(payroll_period.year_end_date)
+
 		future_recurring_period = ((to_date.year - from_date.year) * 12) + (to_date.month - from_date.month)
 
 		if future_recurring_period > 0: