Saswatabanerjee
Partner - Risk Management
Kannanmv
Hr & Administration
Raj Kumar Hansdah
Shrm, Od, Hrd, Pms
Mail8013
Hr Consultant
Saunee
Hr Manager
Kapil.aggr
Professional
+4 Others

Hi all,
My question is, suppose some employee has taken 2 days of leave without pay for which Rs.2000 is to be deducted from his monthly gross salary.
So, this amount (Rs.2000) will appear in salary slip ?
If yes, under which component ?
19th December 2013 From India, Mumbai
Suppose salary structure is like below :
Earnings Amount Deductions Amount
Basic Salary 22000 Professional Tax 200
HRA 10000 TDS 2750
Conveyance Allowance 1000
Performance Reward 9000
City Compensatory Allowance 1000
Medical Allowance 1000
20th December 2013 From India, Mumbai
Basically, I want to know which components get affected for LWP(Leave Without Pay)? Basic Salary HRA Conveyance Allowance Performance Reward City Compensatory Allowance Medical Allowance
20th December 2013 From India, Mumbai
It will definitely show up on the pay slip. Deduction should be at gross rate (including all allowance). There is no justification if giving an allowance to an employee who has not come to work
20th December 2013 From India, Mumbai
Thanks Swati.. But I want to know , deductions will be shown on payslip from which components listed below ?
-Basic Salary
-HRA
-Conveyance Allowance
- Performance Reward
-City Compensatory Allowance
- Medical Allowance
Also, how many % deduction from each component for 1 unpaid leave?
20th December 2013 From India, Mumbai
Leave without pay is not shown in the deduction column, it is deducted proportionately in all the earnings say Basic, HRA, conveyance etc. In other words if you have a payroll software please punch in the days of working after taking into consideration the Weekly off, the software will automatically calculate the earnings as well as the deduction.
If you are making the payroll in Excel sheet put the total days and working days and now calculate the earnings by applying the formula as Basic 22000/30 or total days x working days similarly for conveyance HRA etc
Hope you understood, if still you find any query or require any clarification please feel free to write or call on the undersigned at 9586350505
20th December 2013 From India, Ahmadabad
Dear Sir,
Every company will pay salary for the month according to the days worked, weekly offs eligible,+ paid leave days.
Suppose, he has leave without pay for days 2 days, You have to pay for 28 days only. He will get Rs.2000 less. The same has to be shown in pay slip also
D.Gurumurthy
HR & IR Consultant,
Hyderabad..
20th December 2013 From India, Hyderabad
I am Saswata, not Swati (assume it was an auto correct)
Let me clarify what others already told you.
You need to show number of leave without pay days in the pay slip
But there is no actual column that will say "deduction - lwp"
Depending on how your pay slip is designed, there may or many not be "standard pay" specified.
If it is shown, then obviously the difference between standard and actual pay will be visible.
If not, then only actual pay will be shown.
In most cases, the actual pay is computed as gross standard pay x number of days worked / standard work days (mostly 26 days). Hope this clarifies the matter.

20th December 2013 From India, Mumbai
Thanks everyone for your valuable time . But it's still not clear. I specifically want to know - the deduction for LWP will be from each of the component below ?? or some of the components will remain "Fixed" irrespective of LWP ?
-Basic Salary
-HRA
-Conveyance Allowance
- Performance Reward
-City Compensatory Allowance
- Medical Allowance
@Fc.Vadodara,
Your answer was close...but I want to know components like medical allowance, performance reward and city compensatory allowance will also get affected?
Thanks.
20th December 2013 From India, Mumbai
I totally agree with this view.
Absent days (LWP or LOP) are neither shown nor displayed as DEDUCTIONS. Salary is only made for days WORKED plus no. of days of PL/EL, if any; etc.
There is no tradition of showing Deductions on account of Leave Without Pay; as the calculations are based on days 'present' . An employee will simply NOT GET the salary for AWOL days.
Warm regards.

20th December 2013 From India, Delhi
Yes all the component will affect, assume that an employee is present for 1 day and all other days it was LWP (Leave Without Pay) so what would be the salary, if we use our logic we will get the answer. Hope this clears your entire doubt, please pardon me if I have written anything annoying.
20th December 2013 From India, Ahmadabad
Dear
The simple answer to your question is "No Need". You just design your pay slip which shows the number of days for which salary is being paid. At the most you can give breakup of the same as - Physical attendance, leave days. This will automatically declare whether there is any LWP day(s) for which salary has been deducted/not paid.
AK Jain
21st December 2013 From India, Jabalpur
Greetings Friends_360,
Generally there are two columns against each earning head.
The first column shows the amount against the earning head if he had worked for the whole month.
The second column shows the amount against the earning head if there has been a loss of pay.
As a general principle as the employee has exhausted his leave privilege and going out of bounds, the loss pay is deducted against all earning heads.
In other words, if an employee was on loss of pay for the whole month, it may not make be logical, if deductions were effected against certain earning heads alone.
Trust it is clear
Regards
24th December 2013 From India, Madras
Hello Dear!
When you say which component will be affected, all components will be affected on pro-rata basis.
the basic you pay for whole month will be deducted for two days on pro-rata so as rest components. deduction cannot happen from just one component. it is from gross salary...so equally distributed in each standard component. if you are adding any component on ad-hoc basis then deduction will not affect that component.
Hope it helps you...

28th December 2013 From India, New Delhi
hello, hi i have query that if we yet not registered for pf so how to to calculate salary and how to do salary breakup
9th July 2015 From India, Nasik
Hello Fraternity Members,
I have read all your valuable comments. I just have to add one more point.
Deduction for the LWP - "Leave Without Pay" affects the monthly salary components only.
Any component which is not a monthly component will not get affected if it is paid out in that month's salary.
Cheers, A.B.
9th July 2015 From India, Mumbai
Hi, I want to know if an existing employee takes a sabbatical/ leave without pay, say for 3 months, does the employer need to submit any professional tax or make any statutory filing in this regard at all? The objective is to just to extend someone's relieving date showing that extended period as LWP/ sabbatical. Is it possible in hindsight without any obligations? Urgent.
1st August 2015 From India, Delhi
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