and also to look afeter that the total crosses 6500 you are not eligible for Bonus, may be one of cause, so that you can fix excratia, as decided by employer
also the advantage for the organisation in showing the previlages to get banking loans
3rd February 2011 From India, Madras
I am new this site and i can get some help for you seniors.
So Please I have one confusion that my company is M.K Cooling towers pvt ltd. Manufacturing.
and workers have do work monthly basis and extra time work.
please help me How to make Payment for the all workers with Over time include.
3rd February 2011 From India, Delhi
Calculation of basic in case of worker that the daily basic wages notified by the central/state govt which is applicable multiplied by the total month i.e. 30 standered its becomes the basic wages and other aloowance are extra. in case of staff between 30 to 35 % of CTC.
ITD Cementation India Limited
4th February 2011 From India, Mumbai
To my knowledge the basic pay should be minimum 30% (State wise minimum wages) of the gross. However, it is in the hands of the HR or accountant to decide and give the recommendations to the management looking at the merits and demerits of fixing the slab in a company.
Fixing a basic pay to the minimum of 30 % has certain demerits and if the slab is increased more than 30% also has some demerits. Such as:-
1) If the basic pay is less, then the deductions towards the provident fund from the employee’s portion will be less.
2) If the basic pay is less ,then contributions from employer’s end on contributing on Provident fund will also be less.
3) Calculations during full and final settlement for an employee will be less.
4) Eligible for bonus if the basic is below 6500/-
Similarly if the Basic pay is more than 30% then it leads to getting into the taxable bracket without any exemptions towards HRA, etc…
Hence, I would suggest to have the slab fixed based on the salaries giving in the company. If maximum # of employees fall under the bracket of tax then better to go for 30% and if it is other wise then increase it as per the need and fix the slab.
However, if this question is raised just to gain the knowledge then, these are the +ve and –ve results of having a high % on basic pay and low % on basic pay.
Hope this helps you.
4th February 2011 From India, Hyderabad
As per my knowledge the standard salary breakup is.....
Basic: 50% of Gross Salary but not less than Fixed Minimu wages of respective state govt.
HAR: 40% of Basic Salary
Conveyance: Max Rs.800 or 10% of Basic for getting IT benefit
Medical: Max Rs.1250 or 10% of Basic for getting IT benefit
Other/ Special Allow: Remaining / balance amount can add to other or special Allowance.
Expecting your valuable suggestions and feedback.
Thanks and Regards,
4th February 2011 From India, Bangalore
we are floting a private limited company inthat i want to fix salaries to Carpainters,Arcitects,Interial Designers soplease advice me to devide the salary as per labour law.
4th February 2011 From India
Am vishwanath from bengaluru, i have to know about esi percentage on what basis should calculate. is that standard amount or variable. cause in our company they are deducting ESI as my total drawing of net salary. am drawing around 10k to 15k its variable. my esi deduction amount is min Rupees.185/-. some time it crosses 750/-.
so please anybody tell me whether esi deduction is standard or variable.
1st August 2011 From India, Pune