OVERTIME CALCULATION

Sanjay D Sharma · #11 (**permalink**) 25-06-2008, 06:39 PM

Overtime is separate for the company's employee and contractor employee's

Company employee's overtime calculation:

((Basic+Da)/No. of day's of the particular month/

*No. of hrs overtime*2 =OT rate.

Contractor employee's overtime calculation"

((Basic+DA)/26/

* No. of hrs overtime * 2 = Overtime Rate

harinder tiwari · #12 (**permalink**) 26-06-2008, 12:25 PM

Quote:

Originally Posted by amanb17

Overtime Caculation

Gross Salary = 3510
Overtime Hrs = 75

Calculation = 3510/30/8*75*2 Gross Salary/Month/Day Hrs.*OT Hrs*2 If pay double

wrong, as per law = 3510/26/8*2*75=2531 Rs

Sanjay D Sharma · #13 (**permalink**) 12-07-2008, 04:24 PM

Hi Preenitha,

Overtime for the staff especially in the lower cadres calculation:

((Basic +DA)/No. of days by which the salary is prepared/Working hrs of the working day. i.e 8 hrs)* No. of hrs Overtime done*2 = Overtime amount to be paid.

Overtime attracts ESI. But on overtime PF is not applicable.

Regarding the Ptax I am not aware.

Sanjay.

Quote:

Originally Posted by Preenitha

Dear All,

Could you all help in calculating overtime payment for staff especially in the lower cadres. Do we deduct PF, ESI and Ptax from overtime payment?

Please explain.

Regards,
Preenitha

asha_karkera2005@yahoo.co · #14 (**permalink**) 04-08-2008, 02:46 PM

Please Letme Know How To Calculate Ot For Driver

Sanjay D Sharma · #15 (**permalink**) 06-08-2008, 04:21 PM

Hi everybody there,

Overtime calculation:

For the regular employee of the company:

((Basic+Da)/No. of days of the particular month/No. of working hours of shift)*2*No. of Hrs of OT done=
Overtime amount for that employee. e.i ((2500+461)/31/

*2*16 hrs=Rs. 395/-

For the contractor employee:

((Basic+Da)/26 days that is standard/No. of working hours of shift)*2*No. of Hrs of OT done=
Overtime amount for that employee. e.i ((2500)/26/

*2*16 hrs=Rs. 385/-

Please note Overtime attracts ESI only, not PF but regarding PTax I am not aware.

I think I have made myself clear to your doubt.

saravanarajan · #16 (**permalink**) 07-08-2008, 12:01 PM

OT wages attaract PF & P Tax deductions and Not PF.

- Saravana Rajan

purshottamsaini · #17 (**permalink**) 07-08-2008, 01:39 PM

Mr. PBS Kumar,
Why PF will attract the over time payment ?
Give the reason, pls

Purshottam Saini

nishant vishwakarma · #18 (**permalink**) 11-08-2008, 12:38 PM

sir Plz give me advice for calculaion of ot .Can we calculate ot for monthly or weekly with same Farmula like division by 26 . what is correct as per the Law. Nishant

pcs647 · #19 (**permalink**) 13-08-2008, 08:43 AM

Only ESIC attracts Overtime payment NO P.F is to be deducted

Suresh Ramalingam · #20 (**permalink**) 13-08-2008, 11:15 AM

Team,

There is lot of queries on OT to be considered for statutory deductions, i have given the reasons below.

ESI - OT has been included as wages by the provision of the Act.
PF - OT is not included as wages by the provisions of the Act.
PT - If the Gross wages cross the prescribed ceiling then PT has to be deducted. (Specific to State laws)

Rgds,
Suresh Ramalingam
Compliance

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