AnonymousDear all, How to calculate bonus for below CTC :-
PARTICULARS AMOUNT IN RS
ATTENDANCE ALLOW 6720
MONTHLY GROSS 34300
PF EE'R CONT 1646.4
TAKE HOME 32454
CTC/ MONTH 35946
Is the employee eligible for a bonus? Gross salary is to be considered for the ceiling limit or the basic salary?
From India, Ankleshwar
PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION
Labour Law & Hr Consultant
Seasoned Ir Professional
Madhu.T.KIf you take the gross (fixed salary) for calculation of bonus then the same gross amount can be taken for deciding eligibility for bonus, and if you consider only the basic pay for calculating the amount of bonus, then you should take the same basic pay only for deciding the eligibility. That means there cannot be two formula for calculating the amount of bonus and making an employee ineligible to get bonus.
From India, Kannur
ved-prakash1How can set Bonus on EPF Gross salary & what is ceiling limit of Bonus (21000 or Below )
Statutory bonus is an annual lump sum payment to an eligible employee purely based on the performance of the establishment and attendance of the employee during an accounting year. Strictly speaking, it is a statutory requirement of profit sharing between the employer and the employees.
EPF,on the contrary, is a terminal benefit to employees which requires periodical contribution from both the employer and employee.
Eventhough, salary is one among the determinants for both, the componential structure for calculation of each benefit differs according to the definition of the term salary/wages under each Act. Therefore, there cannot be any comparison to draw analogy since the purpose of these statutory employment benefits are totally distinct and different.
From India, Salem