Dear All,
Please provide me with the idea of how to calculate the leave encashment if an employee is leaving the job after 4 months. The salary structure is as follows: Basic 3520, HRA 800, Conv 500, totaling Rs. 4820 per month.
The details for the 4 months are as follows:
1. 26 working days
2. 18 working days
3. 31 working days
4. 07 working days
With Warm Regards,
Vikas Kumar
From India, New Delhi
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16Please provide me with the idea of how to calculate the leave encashment if an employee is leaving the job after 4 months. The salary structure is as follows: Basic 3520, HRA 800, Conv 500, totaling Rs. 4820 per month.
The details for the 4 months are as follows:
1. 26 working days
2. 18 working days
3. 31 working days
4. 07 working days
With Warm Regards,
Vikas Kumar
From India, New Delhi
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leave calcultaion is done on basic . some companies calculated on gross salary. Encashment= (Basic/30)*no of pl Neeraj
From India, Madras
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From India, Madras
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According to the Factory Act, an employee is entitled to 1 day of leave for every 20 working days. In this case, the total PL becomes around 4.
Encashment formula: (Basic/26) * Number of PL. This will give you the desired result. Since the division by 26 or 30 varies according to different acts, please refer to the Factory Act and Shop & Establishment Act.
Regards,
Neeraj
From India, Madras
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Encashment formula: (Basic/26) * Number of PL. This will give you the desired result. Since the division by 26 or 30 varies according to different acts, please refer to the Factory Act and Shop & Establishment Act.
Regards,
Neeraj
From India, Madras
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Dear Vikas,
Does your company have any leave rules? If you need any assistance with that, I can provide you with a copy of the leave rules for your reference.
As per the Factory Act, one is entitled to 1 leave for every 20 working days. Please calculate first how many working days this amounts to: (No. Working Days/20 * Basic + DA).
Thanks & Regards,
Atul.
From India, Pune
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Does your company have any leave rules? If you need any assistance with that, I can provide you with a copy of the leave rules for your reference.
As per the Factory Act, one is entitled to 1 leave for every 20 working days. Please calculate first how many working days this amounts to: (No. Working Days/20 * Basic + DA).
Thanks & Regards,
Atul.
From India, Pune
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Hi All,
I don't think that an employee will be eligible for any leave encashment if he is leaving the job in four months. Actually, the Earned Leave/Privilege Leave will be credited to him if he completes 1 year in the present job. Most companies follow this rule, and for factories, he should have worked for 240 days in a year to be eligible for Annual leave with wages. I hope this is clear to all.
Regards,
PRADEEP
From India, Hyderabad
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I don't think that an employee will be eligible for any leave encashment if he is leaving the job in four months. Actually, the Earned Leave/Privilege Leave will be credited to him if he completes 1 year in the present job. Most companies follow this rule, and for factories, he should have worked for 240 days in a year to be eligible for Annual leave with wages. I hope this is clear to all.
Regards,
PRADEEP
From India, Hyderabad
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LEAVE ENCASHMENT NOT INCLUDED IN WAGES FOR P. F. CALCULATION.pdf
Leave Encashment & Salary Calculation.xls x