I understand from the many posts here that bonus calculation is on basic plus DA. Can someone confirm the applicability of the Bonus Act? I know it's applicable to more employees earning less than 15,000. But is that 15,000 based on gross or on basic plus DA again?
From India, Bangalore
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From India, Bangalore
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Dear friends, Generally the salary applicable for bonus is basic + DA. (For both 15000 & 3500). Abbas.P.S
From India, Bangalore
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530From India, Bangalore
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An employee drawing wages up to Rs. 10,000/- per month is only eligible for a bonus under the Payment of Bonus Act, 1961. The bonus is to be calculated only on wages not exceeding Rs. 3,500/- per month. For the purpose of wages, only Basic + DA is to be taken into account.
B. Saikumar
Mumbai
From India, Mumbai
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B. Saikumar
Mumbai
From India, Mumbai
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Dear friends, Yes Mr. Sasikumar is right. Ceiling limit of Rs. 15000 is effective for ESI and that will applicable on gross salary. Abbas.P.S
From India, Bangalore
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From India, Bangalore
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