LPA stands for Lakh Per Annum. It is the most common business term or phrase used to describe the rate of annual income in Lakh. In the corporate world, it is used to describe the Annual income of an employee in lakhs, that he earns within a yearly business cycle. For example, if an employee earns 10 LPA then it means he earns 10 lakh rupees yearly. And this amount will be divided and paid to him on the monthly basis. Thus we can conclude it as it is the term used for defining the yearly pay scale in the count of lakhs.