DEAR SIR,
HOW THE BONUS WILL BE CALCULATED IN PRESENT SITUATION WHEN MINIMUM 8.33% IS TO BE GIVEN.
E.G. ONE PERSON IS GETTING
1. BASIC FOR 365 DAYS 9000 X 12 = 108000/- THEN CALCULATION IS
9000 X 12 = 108000/- X 8.33% = 8996.40
3500 X 12 = 42000/- X 8.33% = 3498.60
WHETHER ABOVE CALCULATION IS CORRECT AND WHAT IS LIBILITY TO PAY TO STAFF.
RAKESH SRIVASTAVA [/b]
From India, Agra
HOW THE BONUS WILL BE CALCULATED IN PRESENT SITUATION WHEN MINIMUM 8.33% IS TO BE GIVEN.
E.G. ONE PERSON IS GETTING
1. BASIC FOR 365 DAYS 9000 X 12 = 108000/- THEN CALCULATION IS
9000 X 12 = 108000/- X 8.33% = 8996.40
3500 X 12 = 42000/- X 8.33% = 3498.60
WHETHER ABOVE CALCULATION IS CORRECT AND WHAT IS LIBILITY TO PAY TO STAFF.
RAKESH SRIVASTAVA [/b]
From India, Agra
If Basic+DA is less than or equal to 10000 then calculation will be made on 3500. If Basic+DA is less than or equal to 3500 claculation will be made on actual Regards, Nilendra
18
Dear,
minimum payable bonus is 8.33% or Rs. 100, whichever is higher and maximum bonus payable is 20%.
The company has to decide what percent bonus it wants to pay. Its not mandatory that a company will pay either 8.33% or 20% only
Regards,
Nilendra
minimum payable bonus is 8.33% or Rs. 100, whichever is higher and maximum bonus payable is 20%.
The company has to decide what percent bonus it wants to pay. Its not mandatory that a company will pay either 8.33% or 20% only
Regards,
Nilendra
1. IF CONCERN IS IN PROFIT BUT ALLOCABLE SURPLUS IS NEGATIVE OR EQUAL TO BONUS @8.33% ON 3500X12 = 42000 THEN WHAT IS LIABILITY. OF BONUS.
2. ON ABOVE SITUATION IF EARLIAR YEAR BONUS IS CALCULATED ON 3500 X12=42000 INSTEAD OF 2500X12=36000. WHETHER THIS WAS WRONG CALCULATION. THERE IS ANY CHANGE IN CALCULATION THIS WITH THIS MISTAKE.
RAKESH SRIVASTAVA
From India, Agra
2. ON ABOVE SITUATION IF EARLIAR YEAR BONUS IS CALCULATED ON 3500 X12=42000 INSTEAD OF 2500X12=36000. WHETHER THIS WAS WRONG CALCULATION. THERE IS ANY CHANGE IN CALCULATION THIS WITH THIS MISTAKE.
RAKESH SRIVASTAVA
From India, Agra
In addition to the srivastava's comment
If the allocable surplus exceeds the amount of minimum bonus payable to the employees under that section, the employer shall, in repalce of minimum bonus, be bound to pay to every employee in respect of that accounting year bonus which shall be an amount in proportion to the salary or wage earned by the employee during the accounting year subject to a maximum of twenty per cent. of such salary or wage.
If the allocable surplus exceeds the amount of minimum bonus payable to the employees under that section, the employer shall, in repalce of minimum bonus, be bound to pay to every employee in respect of that accounting year bonus which shall be an amount in proportion to the salary or wage earned by the employee during the accounting year subject to a maximum of twenty per cent. of such salary or wage.
Dear Rakesh Srivasthava,
8.33% is the percentage form of 1/12. i.e 100/12 = 8.33. So minimum bonus is equivalent to one month salary for one year. Accordingly maximum bonus will be 2.4 times of one month salary.
Salary ceiling bonus coverage is Rs. 10,000, but for bonus payment the ceiling limit is Rs. 3500 w.e.f.
If the allocable surplus is sufficient for only minimum bonus, payment is done accordingly.
Abbas.P.S
From India, Bangalore
8.33% is the percentage form of 1/12. i.e 100/12 = 8.33. So minimum bonus is equivalent to one month salary for one year. Accordingly maximum bonus will be 2.4 times of one month salary.
Salary ceiling bonus coverage is Rs. 10,000, but for bonus payment the ceiling limit is Rs. 3500 w.e.f.
If the allocable surplus is sufficient for only minimum bonus, payment is done accordingly.
Abbas.P.S
From India, Bangalore
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Bonus Calculation.xls
BONUS CALCULATION RULE (1).pdf