Please help me urgently.
If the salary of any bonus-eligible employee is Rs. 3510 in any month after deducting 10 days' absence in that respective month, will the bonus be calculated on Rs. 3500 or after the deduction of 10 days' absence proportionately from Rs. 3500 in that respective month?
Yogendra
From India, Kanpur
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3If the salary of any bonus-eligible employee is Rs. 3510 in any month after deducting 10 days' absence in that respective month, will the bonus be calculated on Rs. 3500 or after the deduction of 10 days' absence proportionately from Rs. 3500 in that respective month?
Yogendra
From India, Kanpur
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Dear Yogendra,
Please let me know clearly if your organization is going to calculate on a monthly basis or if they will be considering the last financial year's salary, i.e., the last drawn salary for March 2007. Please inform me so that I can guide you.
From India, Madras
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Please let me know clearly if your organization is going to calculate on a monthly basis or if they will be considering the last financial year's salary, i.e., the last drawn salary for March 2007. Please inform me so that I can guide you.
From India, Madras
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Dear Umaselva,
Bonus is paid for the last financial year, so if an employee's (basic + d.a.) salary is below Rs. 10,000 during that year, they are eligible for a bonus.
I would like to confirm whether deductions for absences should be made from the qualifying earnings, i.e., Rs. 3,500 proportionately, as per the Bonus Act.
YOGENDRA
From India, Kanpur
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Bonus is paid for the last financial year, so if an employee's (basic + d.a.) salary is below Rs. 10,000 during that year, they are eligible for a bonus.
I would like to confirm whether deductions for absences should be made from the qualifying earnings, i.e., Rs. 3,500 proportionately, as per the Bonus Act.
YOGENDRA
From India, Kanpur
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No yogendar, Bonus is not calculated on any particular month basis. It is for the whole financial year. so u have to give him the bonus for Rs.3500/-. No deductions will be applicable.
From India, New Delhi
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From India, New Delhi
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Dear Prathima,
I think the bonus is paid on the earnings (Basic+VDA) of the employee. If he has earned Rs. 3400/- in two months due to absence and Rs. 3700/- in the remaining 10 months during April 2007 to March 2008, the calculation will be as follows:
1) 3400 X 2 = 6800
2) 3500 x 10 = 35000
TOTAL = 41800
BONUS = 41800 X BONUS RATE
My question was that due to absence, his earnings were reduced from Rs. 3700/- to Rs. 3600/=. Due to an absence of two days, then whether the bonus will be calculated on Rs. 3500/= or after deduction of two days proportionately from Rs. 3500/=.
Yogendra
From India, Kanpur
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I think the bonus is paid on the earnings (Basic+VDA) of the employee. If he has earned Rs. 3400/- in two months due to absence and Rs. 3700/- in the remaining 10 months during April 2007 to March 2008, the calculation will be as follows:
1) 3400 X 2 = 6800
2) 3500 x 10 = 35000
TOTAL = 41800
BONUS = 41800 X BONUS RATE
My question was that due to absence, his earnings were reduced from Rs. 3700/- to Rs. 3600/=. Due to an absence of two days, then whether the bonus will be calculated on Rs. 3500/= or after deduction of two days proportionately from Rs. 3500/=.
Yogendra
From India, Kanpur
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Well, as far as I think, since even after deductions (Basic + DA) come above Rs. 3500/-, the bonus calculation should be done on Rs. 3500/- only. In case after deductions (Basic + DA) go below Rs. 3500/-, then you have to go for the amount derived after LOP.
I would like somebody to comment on this in case I am wrong.
From India, New Delhi
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I would like somebody to comment on this in case I am wrong.
From India, New Delhi
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Hi,
Can anybody guide me about bonus payment for a new establishment? There is a clause in the bonus act (Section 16) whereby new establishments are exempted from paying any bonus for up to 5 years if they do not show/earn any profit. Is this correct? If yes, does the company have to inform the Labour office about non-payment of bonus? And if no, then is it mandatory to give a bonus even if the company has not recorded any profit for the financial year?
Hope to get good responses.
Regards, Kavita Sharma
From India, Ahmadabad
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Can anybody guide me about bonus payment for a new establishment? There is a clause in the bonus act (Section 16) whereby new establishments are exempted from paying any bonus for up to 5 years if they do not show/earn any profit. Is this correct? If yes, does the company have to inform the Labour office about non-payment of bonus? And if no, then is it mandatory to give a bonus even if the company has not recorded any profit for the financial year?
Hope to get good responses.
Regards, Kavita Sharma
From India, Ahmadabad
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Dear Kavita,
As per Section 16 of the Bonus Act, in the first five years, the bonus shall be payable only in respect of the accounting year in which profit is derived. Information is not required to be given to the Labour office. If there is a profit in the first five years, the bonus shall be payable, but no set-on shall be carried forward.
YOGENDRA
From India, Kanpur
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As per Section 16 of the Bonus Act, in the first five years, the bonus shall be payable only in respect of the accounting year in which profit is derived. Information is not required to be given to the Labour office. If there is a profit in the first five years, the bonus shall be payable, but no set-on shall be carried forward.
YOGENDRA
From India, Kanpur
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SALARY SHEET CALCULATION.xls
Salary calculation.doc