diff --git a/erpnext/payroll/doctype/salary_slip/salary_slip.py b/erpnext/payroll/doctype/salary_slip/salary_slip.py
index 8c48345..d113e7e 100644
--- a/erpnext/payroll/doctype/salary_slip/salary_slip.py
+++ b/erpnext/payroll/doctype/salary_slip/salary_slip.py
@@ -487,7 +487,7 @@
 			self.calculate_component_amounts("deductions")
 
 		self.set_loan_repayment()
-		self.set_component_amounts_based_on_payment_days()
+		self.set_precision_for_component_amounts()
 		self.set_net_pay()
 
 	def set_net_pay(self):
@@ -709,6 +709,17 @@
 
 		component_row.amount = amount
 
+		self.update_component_amount_based_on_payment_days(component_row)
+
+	def update_component_amount_based_on_payment_days(self, component_row):
+		joining_date, relieving_date = self.get_joining_and_relieving_dates()
+		component_row.amount = self.get_amount_based_on_payment_days(component_row, joining_date, relieving_date)[0]
+
+	def set_precision_for_component_amounts(self):
+		for component_type in ("earnings", "deductions"):
+			for component_row in self.get(component_type):
+				component_row.amount = flt(component_row.amount, component_row.precision("amount"))
+
 	def calculate_variable_based_on_taxable_salary(self, tax_component, payroll_period):
 		if not payroll_period:
 			frappe.msgprint(_("Start and end dates not in a valid Payroll Period, cannot calculate {0}.")
@@ -866,14 +877,7 @@
 		return total_tax_paid
 
 	def get_taxable_earnings(self, allow_tax_exemption=False, based_on_payment_days=0):
-		joining_date, relieving_date = frappe.get_cached_value("Employee", self.employee,
-			["date_of_joining", "relieving_date"])
-
-		if not relieving_date:
-			relieving_date = getdate(self.end_date)
-
-		if not joining_date:
-			frappe.throw(_("Please set the Date Of Joining for employee {0}").format(frappe.bold(self.employee_name)))
+		joining_date, relieving_date = self.get_joining_and_relieving_dates()
 
 		taxable_earnings = 0
 		additional_income = 0
@@ -884,7 +888,10 @@
 			if based_on_payment_days:
 				amount, additional_amount = self.get_amount_based_on_payment_days(earning, joining_date, relieving_date)
 			else:
-				amount, additional_amount = earning.amount, earning.additional_amount
+				if earning.additional_amount:
+					amount, additional_amount = earning.amount, earning.additional_amount
+				else:
+					amount, additional_amount = earning.default_amount, earning.additional_amount
 
 			if earning.is_tax_applicable:
 				if additional_amount:
@@ -1055,7 +1062,7 @@
 				total += amount
 		return total
 
-	def set_component_amounts_based_on_payment_days(self):
+	def get_joining_and_relieving_dates(self):
 		joining_date, relieving_date = frappe.get_cached_value("Employee", self.employee,
 			["date_of_joining", "relieving_date"])
 
@@ -1065,9 +1072,7 @@
 		if not joining_date:
 			frappe.throw(_("Please set the Date Of Joining for employee {0}").format(frappe.bold(self.employee_name)))
 
-		for component_type in ("earnings", "deductions"):
-			for d in self.get(component_type):
-				d.amount = flt(self.get_amount_based_on_payment_days(d, joining_date, relieving_date)[0], d.precision("amount"))
+		return joining_date, relieving_date
 
 	def set_loan_repayment(self):
 		self.total_loan_repayment = 0
diff --git a/erpnext/payroll/doctype/salary_slip/test_salary_slip.py b/erpnext/payroll/doctype/salary_slip/test_salary_slip.py
index 480daa2..bff36a4 100644
--- a/erpnext/payroll/doctype/salary_slip/test_salary_slip.py
+++ b/erpnext/payroll/doctype/salary_slip/test_salary_slip.py
@@ -17,6 +17,7 @@
 	getdate,
 	nowdate,
 )
+from frappe.utils.make_random import get_random
 
 import erpnext
 from erpnext.accounts.utils import get_fiscal_year
@@ -134,6 +135,65 @@
 
 		frappe.db.set_value("Payroll Settings", None, "payroll_based_on", "Leave")
 
+	def test_component_amount_dependent_on_another_payment_days_based_component(self):
+		from erpnext.hr.doctype.attendance.attendance import mark_attendance
+		from erpnext.payroll.doctype.salary_structure.test_salary_structure import (
+			create_salary_structure_assignment,
+		)
+
+		no_of_days = self.get_no_of_days()
+		# Payroll based on attendance
+		frappe.db.set_value("Payroll Settings", None, "payroll_based_on", "Attendance")
+
+		salary_structure = make_salary_structure_for_payment_days_based_component_dependency()
+		employee = make_employee("test_payment_days_based_component@salary.com", company="_Test Company")
+
+		# base = 50000
+		create_salary_structure_assignment(employee, salary_structure.name, company="_Test Company", currency="INR")
+
+		# mark employee absent for a day since this case works fine if payment days are equal to working days
+		month_start_date = get_first_day(nowdate())
+		month_end_date = get_last_day(nowdate())
+
+		first_sunday = frappe.db.sql("""
+			select holiday_date from `tabHoliday`
+			where parent = 'Salary Slip Test Holiday List'
+				and holiday_date between %s and %s
+			order by holiday_date
+		""", (month_start_date, month_end_date))[0][0]
+
+		mark_attendance(employee, add_days(first_sunday, 1), 'Absent', ignore_validate=True) # counted as absent
+
+		# make salary slip and assert payment days
+		ss = make_salary_slip_for_payment_days_dependency_test("test_payment_days_based_component@salary.com", salary_structure.name)
+		self.assertEqual(ss.absent_days, 1)
+
+		days_in_month = no_of_days[0]
+		no_of_holidays = no_of_days[1]
+
+		self.assertEqual(ss.payment_days, days_in_month - no_of_holidays - 1)
+
+		ss.reload()
+		payment_days_based_comp_amount = 0
+		for component in ss.earnings:
+			if component.salary_component == "HRA - Payment Days":
+				payment_days_based_comp_amount = flt(component.amount, component.precision("amount"))
+				break
+
+		# check if the dependent component is calculated using the amount updated after payment days
+		actual_amount = 0
+		precision = 0
+		for component in ss.deductions:
+			if component.salary_component == "P - Employee Provident Fund":
+				precision = component.precision("amount")
+				actual_amount = flt(component.amount, precision)
+				break
+
+		expected_amount = flt((flt(ss.gross_pay) - payment_days_based_comp_amount) * 0.12, precision)
+
+		self.assertEqual(actual_amount, expected_amount)
+		frappe.db.set_value("Payroll Settings", None, "payroll_based_on", "Leave")
+
 	def test_salary_slip_with_holidays_included(self):
 		no_of_days = self.get_no_of_days()
 		frappe.db.set_value("Payroll Settings", None, "include_holidays_in_total_working_days", 1)
@@ -864,3 +924,91 @@
 		holiday_list = holiday_list.name
 
 	return holiday_list
+
+def make_salary_structure_for_payment_days_based_component_dependency():
+	earnings = [
+		{
+			"salary_component": "Basic Salary - Payment Days",
+			"abbr": "P_BS",
+			"type": "Earning",
+			"formula": "base",
+			"amount_based_on_formula": 1
+		},
+		{
+			"salary_component": "HRA - Payment Days",
+			"abbr": "P_HRA",
+			"type": "Earning",
+			"depends_on_payment_days": 1,
+			"amount_based_on_formula": 1,
+			"formula": "base * 0.20"
+		}
+	]
+
+	make_salary_component(earnings, False, company_list=["_Test Company"])
+
+	deductions = [
+		{
+			"salary_component": "P - Professional Tax",
+			"abbr": "P_PT",
+			"type": "Deduction",
+			"depends_on_payment_days": 1,
+			"amount": 200.00
+		},
+		{
+			"salary_component": "P - Employee Provident Fund",
+			"abbr": "P_EPF",
+			"type": "Deduction",
+			"exempted_from_income_tax": 1,
+			"amount_based_on_formula": 1,
+			"depends_on_payment_days": 0,
+			"formula": "(gross_pay - P_HRA) * 0.12"
+		}
+	]
+
+	make_salary_component(deductions, False, company_list=["_Test Company"])
+
+	salary_structure = "Salary Structure with PF"
+	if frappe.db.exists("Salary Structure", salary_structure):
+		frappe.db.delete("Salary Structure", salary_structure)
+
+	details = {
+		"doctype": "Salary Structure",
+		"name": salary_structure,
+		"company": "_Test Company",
+		"payroll_frequency": "Monthly",
+		"payment_account": get_random("Account", filters={"account_currency": "INR"}),
+		"currency": "INR"
+	}
+
+	salary_structure_doc = frappe.get_doc(details)
+
+	for entry in earnings:
+		salary_structure_doc.append("earnings", entry)
+
+	for entry in deductions:
+		salary_structure_doc.append("deductions", entry)
+
+	salary_structure_doc.insert()
+	salary_structure_doc.submit()
+
+	return salary_structure_doc
+
+def make_salary_slip_for_payment_days_dependency_test(employee, salary_structure):
+	employee = frappe.db.get_value("Employee", {
+			"user_id": employee
+		},
+		["name", "company", "employee_name"],
+		as_dict=True)
+
+	salary_slip_name = frappe.db.get_value("Salary Slip", {"employee": frappe.db.get_value("Employee", {"user_id": employee})})
+
+	if not salary_slip_name:
+		salary_slip = make_salary_slip(salary_structure, employee=employee.name)
+		salary_slip.employee_name = employee.employee_name
+		salary_slip.payroll_frequency = "Monthly"
+		salary_slip.posting_date = nowdate()
+		salary_slip.insert()
+	else:
+		salary_slip = frappe.get_doc("Salary Slip", salary_slip_name)
+
+	return salary_slip
\ No newline at end of file