I'm currently a trainee in a private company and I have a question regarding my salary calculation. My gross fixed salary is stated as Rs 17,500, but my payslip shows Rs 16,394. Here's the breakdown:
- Basic Salary: Rs 13,279
- House Rent Allowance (HRA): Rs 3,115
- Bonus Payout: Rs 1,107 (this amount is not included in the fixed salary)
- Conveyance: Rs 631
This sums up to a gross earning of Rs 18,132. However, after the following deductions:
- Provident Fund (PF): Rs 1,593
- Employees' State Insurance (ESI): Rs 128
- Lunch: Rs 884
The total deductions amount to Rs 2,605. When I approached my HR about this discrepancy, they explained that the gross fixed salary of Rs 17,500 is the sum of the fixed salary (Rs 16,394) and the bonus (Rs 1,107).
Question About Bonus Inclusion
My question is, how is the bonus included in my fixed salary? I would appreciate it if someone could explain this.
Overtime Payment Inquiry
Also, I would like to know if it's normal for a company to not provide double payment for overtime work. Currently, I'm paid between Rs 60 to Rs 65 per extra hour worked. Is this practice in line with labor laws?
Regards,
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- Basic Salary: Rs 13,279
- House Rent Allowance (HRA): Rs 3,115
- Bonus Payout: Rs 1,107 (this amount is not included in the fixed salary)
- Conveyance: Rs 631
This sums up to a gross earning of Rs 18,132. However, after the following deductions:
- Provident Fund (PF): Rs 1,593
- Employees' State Insurance (ESI): Rs 128
- Lunch: Rs 884
The total deductions amount to Rs 2,605. When I approached my HR about this discrepancy, they explained that the gross fixed salary of Rs 17,500 is the sum of the fixed salary (Rs 16,394) and the bonus (Rs 1,107).
Question About Bonus Inclusion
My question is, how is the bonus included in my fixed salary? I would appreciate it if someone could explain this.
Overtime Payment Inquiry
Also, I would like to know if it's normal for a company to not provide double payment for overtime work. Currently, I'm paid between Rs 60 to Rs 65 per extra hour worked. Is this practice in line with labor laws?
Regards,
Acknowledge(0)Amend(0)
Understanding Your Salary Breakdown
Your gross fixed salary of Rs 17,500, as explained by your HR, is the sum of the fixed salary (Rs 16,394) and the bonus (Rs 1,107). This is common practice in some companies where the bonus is considered part of your annual package but paid out separately and not included in the monthly salary.
Bonus Inclusion
The bonus, although part of your remuneration, is not included in your fixed salary because it is contingent upon certain factors (like performance, company policy, etc.) and is not a guaranteed part of your income. This is why it is not included in the calculation of your take-home salary (Rs 16,394).
Overtime Payment Inquiry
Regarding overtime pay, it can vary greatly from one company to another and often depends on the company's policies and the country's labor laws. In India, there is no statutory provision for double payment for overtime, it depends on the company's policy - they can choose to pay at the normal rate or at an increased rate. However, the Factories Act 1948 and the Shops and Establishments Act in states where it applies, mandate double pay for overtime.
If your role falls under the purview of these acts, you may want to have a discussion with your HR about the same. If not, the overtime pay is at the discretion of your employer. The rate you mentioned (Rs 60 to Rs 65 per extra hour) seems to be in line with your current salary structure, but it is always a good idea to verify this with your HR department.
Remember, it's always important to understand your salary structure and the policies of your company. If you have further questions, don't hesitate to ask your HR department, as they are there to help you navigate these matters.
From India, Gurugram
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54Your gross fixed salary of Rs 17,500, as explained by your HR, is the sum of the fixed salary (Rs 16,394) and the bonus (Rs 1,107). This is common practice in some companies where the bonus is considered part of your annual package but paid out separately and not included in the monthly salary.
Bonus Inclusion
The bonus, although part of your remuneration, is not included in your fixed salary because it is contingent upon certain factors (like performance, company policy, etc.) and is not a guaranteed part of your income. This is why it is not included in the calculation of your take-home salary (Rs 16,394).
Overtime Payment Inquiry
Regarding overtime pay, it can vary greatly from one company to another and often depends on the company's policies and the country's labor laws. In India, there is no statutory provision for double payment for overtime, it depends on the company's policy - they can choose to pay at the normal rate or at an increased rate. However, the Factories Act 1948 and the Shops and Establishments Act in states where it applies, mandate double pay for overtime.
If your role falls under the purview of these acts, you may want to have a discussion with your HR about the same. If not, the overtime pay is at the discretion of your employer. The rate you mentioned (Rs 60 to Rs 65 per extra hour) seems to be in line with your current salary structure, but it is always a good idea to verify this with your HR department.
Remember, it's always important to understand your salary structure and the policies of your company. If you have further questions, don't hesitate to ask your HR department, as they are there to help you navigate these matters.
From India, Gurugram
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