Bonus Calculation [Thread 10045]

Hi all,
Please help me out for calculation of bonus. I am bit confused about the ceiling and no of working days. If an employee has leave without pay in a particular month and 7 holidyas (including sundays, total 31 days) how should i calculate bonus for the particular month. Also if employees basic is more than Rs. 3500 should they be not considered for bonus.
Thanks

Bonus eligibility
Sec 8 of the Payment of Bonus act defines eligibility of'not less than 30 working days.'The employee who works in a calender year for 30 working days is eligible to receive this pro rata.Bonus being'deferred wages' calculation would be on the working days on which wages was earned.
The ceiling limit[eligibility] as per sec2[13] continues to be RS3500.00.
and calculation of bonus [Sec12] when salary exceeds Rs.2500.00 shall be calculated only upto Rs.2500.00.
hope this clears your doubts

Hi Thanks for your query.
I asked in that particular month (Though employee has worked more than 30 days in a year). Also if employee salary exceeds Rs. 3500 in a month will he automatically out of bonus calculation.

hi
bonus is on a financial year basis and eligibility will be in that financial year. Hence 30 days would have to be recokened for that year not isolated.
Yes! Above Rs.3500.00 there is no allowed payment under the act.
rajaram

Yes the person is entitled to bonus, provide he/she has worked for the stipulated peiod of time(as per the factory/mines/establishment ) he/she has worked in in the previous year.

Dear All,
Please help me about for calculation of bonus. If an employee has 7 days absent in a particular month. how should i calculated bonus for the particular month. Also if employees have earned salary exceeds Rs. 2500.00.
which is calculated at rate of 20% of salary assuming salary Rs.2500.00 per month. (2500*20% = 500) OR (1917*20% = 383)
Thanks,

Hi All,
There is a new gazette order for qualifying amount for Bonus. The entry criteria is Rs.10000 now from the earlier 3500.
That means an employee whose salary is less than or equal to 10000 is eligible for statutory bonus and the min is 3500 against 2500 earlier.
Regards,
Ravindra

Dear All,
I am working in Pune. I am facing one problem about the bonus. My company is giving above 20% bonus amount to the employees Actually we are calculating basic + HRA+conveyance = bonus.
But many of our employees are having other allowance in their monthly gross.
My question to all my HR friends that can other allowance calculate in the bonus amount.
Pls reply
Thanks
Sonali Ghodke

Hi, Sonali Ghodke
The act says, take BASIC + DA for Bonus calculation purpose. Act always says Minimum (Basic+DA*8.33or20%) requirement if your organization decided to give more than this they can go-ahed provided that it should be common for all.