Confused About Salary Calculation for Different Month Lengths? Let's Discuss!

Dear All,

I have some confusion regarding per day salary calculation based on 26 days.

Salary = 6000

1. How can we calculate when the total days of the month are 27 without any rest days and the number of worked days is 20?

2. How can we calculate when the total days of the month are 25 without any rest days and the number of worked days is 20?

Can you please explain in detail?

Thank you,
Sadiq

Dear,

We cannot change the calculation based on the number of working days in a month. In this case, February has only 24 working days. The law states that one day's salary is calculated by dividing by 26 and multiplying by the number of days the office is attended. This calculation is applicable if someone is appointed on a daily basis.

Why are you calculating on a daily basis when you have been appointed on a monthly basis? There will be a difference if you calculate like this.

Thank you,
J. S. Malik

Hello Sadiq,

In our company, we calculate in the following way:

Salary per day = 6000 / (Number of days in a month (30/31))

- The number of days in a month does not depend on the paydays or present days.

For example:
Number of days in a month = 30
Present days = 26

Salary per day = 6000 / 30 = 200 (i.e., 200 * 26 = 5200)
Monthly Salary = 6000 * (26 / 30) = 5200 (same as above)

Regards,
Latha

Dear Sadiq,

In my opinion, when we appoint an employee on a monthly basis, we should divide the monthly gross salary by 30 to deduct one day's wages. This is because a month typically consists of 30 days, and we also need to account for the weekly off days in the month. On the other hand, for daily wages, we do not pay for weekly off days, so we divide the wages per month by 26 days. Therefore, we only pay daily wages for the days an employee actually works in the month. This approach also ensures compliance with the Minimum Wages Act by providing weekly holidays with wages in both scenarios.

Submitted as requested by you.

Regards,
R N Khola
Skylark Associates, Gurgaon

Hi,

To calculate the monthly salary, suppose the month is of 30 days. Then, the total number of working days + total rest days in that month. For example, suppose A's salary is 6000, and he is present for 26 days while having 4 rest days as per his shift schedule. The salary will be calculated as 6000 * (total days present, i.e., 30 / 30, total days in a month).

If you need to calculate 1 day's salary for audit purposes, it would be (6000 * 1 / 30).

Hope this solution solves your problem.

Ratikanta Rath
Email: rath_ratikanta@yahoo.com

How to calculate salary per month of "31" days and how to calculate salary per month of "30" days. My doubt is, are there any changes in salary calculation based on the number of days in the month, whether it is 31 or 30?

Sir,

I have a query. I am working as an HR Executive in the payroll department in Hyderabad. I manage around 50 employees whose salaries are disbursed on a 26-day cycle, i.e., monthly wages divided by 26 days. In the month of March, after accounting for weekends off, the total number of days worked by all our employees is 26 days plus 1 public holiday, making it a total of 27 days. How do I calculate the salary in this scenario?

Please send your reply to jrkprasad@gmail.com as well, Sir.

Regards,
JRK Prasad

Dear Sirs,

Please provide an update regarding Mr. JRK Prasad's query. Is the calculation based on working days (deducting weekly offs and public holidays) or another formula?

I would appreciate your valuable feedback.

Thanks in advance.

Regards,
Gaurav Shukla

If a month has 30 days and there are 5 weekly offs in the same month, how many working days should be considered for salary calculation?