No Tags Found!

Hi, Is it possible to calculate overtime on net pay other than gross pay.
From India, Ernakulam
Acknowledge(1)
Amend(0)

Understanding Salary Components

It seems you need to understand the basics first, such as what is salary, what is gross salary, and what is net salary. Salary is an earning that consists of basic pay and various allowances depending on the terms of the contract and status governing the employment.

Gross Salary

Gross salary means the total of all earnings.

Net Salary

The term net salary is the salary in your hand after various deductions from the gross towards statutory/non-statutory components. The salary is calculated based on your working days or your absent days. If you work for fewer days, your earnings, i.e., gross, are less and obviously your net.

Overtime Payment

Overtime is a payment for your extra work beyond the normal working hours. Now, please tell me, if I pay you overtime based on your net salary, is it acceptable to you?

Thank you.

From India, Mumbai
Acknowledge(0)
Amend(0)

CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.







Contact Us Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2025 CiteHR ®

All Copyright And Trademarks in Posts Held By Respective Owners.