Hello All,
I am Nikhil.
Please let me know the Carryover (C/off) rules.
Secondly, I am confused about the PL (Privilege Leave) calculation rules in F & F (Full and Final settlement), with an example given below:
Basic - 5000
Balance PL - 20 in F & F
1) 5000 / 30 * 20 = 3333
2) 5000 * 12 / 365 * 20 = 3287
What is your current calculation?
Please help me with this matter.
Thank you.
From India, Ahmadabad
Acknowledge(0)
Amend(0)
I am Nikhil.
Please let me know the Carryover (C/off) rules.
Secondly, I am confused about the PL (Privilege Leave) calculation rules in F & F (Full and Final settlement), with an example given below:
Basic - 5000
Balance PL - 20 in F & F
1) 5000 / 30 * 20 = 3333
2) 5000 * 12 / 365 * 20 = 3287
What is your current calculation?
Please help me with this matter.
Thank you.
From India, Ahmadabad
Acknowledge(0)Amend(0)
if it is EL then, formula for leave encashment= current basic/26* earned leave 5000/26*20
From India, Rudarpur
Acknowledge(0)Amend(0)
82From India, Rudarpur
Acknowledge(0)Amend(0)
There are two methods followed by the organizations:
1. The public holidays during the leave period are calculated as PL. If so, the calculation is BP/30*20.
2. The holidays during the leave period are excluded while accounting for the PL. In that case, the calculation is BP/26*20.
In common, the first procedure is followed by many organizations.
Regards,
Manager-Adm
From India, Hyderabad
Acknowledge(0)Amend(0)
1. The public holidays during the leave period are calculated as PL. If so, the calculation is BP/30*20.
2. The holidays during the leave period are excluded while accounting for the PL. In that case, the calculation is BP/26*20.
In common, the first procedure is followed by many organizations.
Regards,
Manager-Adm
From India, Hyderabad
Acknowledge(0)Amend(0)
Hi,
I also agree that the commonly used method in the organization is the first one, i.e., Current basic pay/30 * balance leave, i.e., PL or EL. Regarding Compensatory Off (C/off), if someone is working on a holiday or a day off and then takes leave in lieu of that particular day, that is treated as Compensatory leave for working on a holiday or day off.
Regards,
Rajiv Madan
From India, Bangalore
Acknowledge(0)Amend(0)
I also agree that the commonly used method in the organization is the first one, i.e., Current basic pay/30 * balance leave, i.e., PL or EL. Regarding Compensatory Off (C/off), if someone is working on a holiday or a day off and then takes leave in lieu of that particular day, that is treated as Compensatory leave for working on a holiday or day off.
Regards,
Rajiv Madan
From India, Bangalore
Acknowledge(0)Amend(0)
Dear,
Always calculate EL encashment as follows: (Basic + DA) / 26 * No. of EL balance. This is because, in the Factory Act or Shop & Estab. Act, average wages per day means monthly wages / 26. Per day average wages shall be paid for every EL in the credit of an employee. Never go with the wrong practice; always follow the Act and Rules.
Thank you,
Mohd. Arif Khan
Acknowledge(0)Amend(0)
Always calculate EL encashment as follows: (Basic + DA) / 26 * No. of EL balance. This is because, in the Factory Act or Shop & Estab. Act, average wages per day means monthly wages / 26. Per day average wages shall be paid for every EL in the credit of an employee. Never go with the wrong practice; always follow the Act and Rules.
Thank you,
Mohd. Arif Khan
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.
LEAVE ENCASHMENT NOT INCLUDED IN WAGES FOR P. F. CALCULATION.pdf
Leave Encashment & Salary Calculation.xls x