DelicateSoft
Hr Manager
9871103011
Private Consultant On Labour Laws
Saravanan_d_
Senior Manager - Statutory Compliance
Rajans68
Consultant
+1 Other

hello gdmrg eveyone , i want to know how the basic calculate is there any percentage of whole salary or not if yes, so what a percentage of it.
From India, Noida
To decide Basic, you need to consider the below.
1. Minimum Wages Act. - Whatever the Basic, it should not be less than prescribed Minimum Wages.
2. PF Department is insisting the employer to have Basic (+DA) not less than 50% of the gross salary. Otherwise they think that we subterfuge the PF Liability.

From India, Chennai
Dear Ankit Jain,
Your query is not very clear. There is no method for calculation of basic, rather basic is itself a components of wages or salary. The wages have been defined differently in each of the enactments, as such, you have to refer the particular enactment to know the components. For instance the Payment of Wages Act, 1936 includes all remuneration (whether by way of salary, allowance or otherwise) expressed in terms of money or capable of being so expressed to fulfill the terms of employment.
BS Kalsi
Member since August, 2011

From India, Mumbai
Ankit,
Basic is calculated as a percentage of the Gross or whole salary . Generally any Company can give different percentages to the components of the salary package . However the total must be equal to 100 .
For example if the gross or total salary is 50000 then the components of the salary could be Basic 50% of 50000 i.e. 25000, HRA 25% of 25000 i.e. 12500, other allowances 25% i.e.12,500
Srinivas

From India, Hyderabad
Yes, Here in Dubai also, we have the same Rule, The minimum Basic Salary should be 50% of Gross Salary and balance 50% should be divided into Accommodation and transportation allowance.
From United Arab Emirates, Dubai
This discussion thread is closed. If you want to continue this discussion or have a follow up question, please post it on the network.
Add the url of this thread if you want to cite this discussion.






About Us Advertise Contact Us
Privacy Policy Disclaimer Terms Of Service



All rights reserved @ 2020 Cite.Co™