Dear Frnds, can any help me how to calculate EL amount (EL Standing to the credit) Thanks in advance,
From India, Bangalore
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From India, Bangalore
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Dear Meetca, EL or PL to calculated on last basic + DA earnd by the employee the calculation is as under: Last Basic + DA/26*No of Balance leave.
From India, Delhi
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27From India, Delhi
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Dear Sir, Thanks for the reply, but if DA is not considered for PF calculation,can we consider it for EL calculation or only Basic we have to consider. Thanks & Regards,
From India, Bangalore
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From India, Bangalore
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Dear Ponaraj, Thanks for the reply, but if DA is not considered for PF calculation,can we consider it for EL calculation or only Basic we have to consider. Thanks,
From India, Bangalore
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From India, Bangalore
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Why you are in confusion? For PF & EL encashment, both the components i.e. BASIC + DA should be considered.
From India, Lucknow
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From India, Lucknow
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Sir,
I understand that DA also forms part of PF if a company's salary breakup consists of only Basic+DA, and Basic is considered for PF deduction. Now, based on the above, do I have to calculate by considering Basic only? Is that correct?
Thanks,
From India, Bangalore
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I understand that DA also forms part of PF if a company's salary breakup consists of only Basic+DA, and Basic is considered for PF deduction. Now, based on the above, do I have to calculate by considering Basic only? Is that correct?
Thanks,
From India, Bangalore
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Based on the above discussion, I understood that your company only considers Basic for PF calculation. It seems that if this is the case, the calculation is wrong. Both Basic and DA should be taken into consideration when calculating PF contributions.
From India, Madras
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From India, Madras
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so u r agreeing that PF calcuation is worng. And for EL calculation u want to continue the same mistake agin by taking only basic?? whether it is EL or PF, both Basic+DA need to consider.
From India, Madras
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From India, Madras
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We have a practice of keeping the salary components as follows for staff and executives. Basic 40%, DA 20%, HRA 20%, Conveyance 20% Whether this structure is any way violating a rule? Pleace clarify
From India, Tiruppur
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From India, Tiruppur
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Dear Meetca,
A lot of companies in our country are still without DA component in their salary packages. To compensate the employees against the increase in the price index, they provide a varying lump sum between 15% to 30% of the existing Basic pay annually as an increment based on the individual's performance. In this case, only basic pay is considered for various obligations including PF, Bonus, Gratuity, as well as Notice pay and calculation of EL/PL encashment.
With regards,
R.K. Singh
From India, Delhi
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A lot of companies in our country are still without DA component in their salary packages. To compensate the employees against the increase in the price index, they provide a varying lump sum between 15% to 30% of the existing Basic pay annually as an increment based on the individual's performance. In this case, only basic pay is considered for various obligations including PF, Bonus, Gratuity, as well as Notice pay and calculation of EL/PL encashment.
With regards,
R.K. Singh
From India, Delhi
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For calculating PF: BASIC+DA has to be considered.
For calculating EL: It differs from organization to organization, but the general practice is BASIC+DA divided by 26 multiplied by the number of days of EL to be encashed.
Regards,
Swapan
From India, Bokaro
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For calculating EL: It differs from organization to organization, but the general practice is BASIC+DA divided by 26 multiplied by the number of days of EL to be encashed.
Regards,
Swapan
From India, Bokaro
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For calculating gratuity: BASIC + DA divided by 26 multiplied by 15 multiplied by the number of years of service, where six months or more is considered as one complete year, and less than six months is not considered. Gratuity is payable only when an employee leaves the organization and must have completed five years of continuous service in that organization.
Example for calculating gratuity: BASIC + DA = 5000 No. of years in service = 5 years & 8 months (here 6 years is to be considered) Gratuity payable = [5000/26] x 15 x 6 = 17307.69 Rounded off to Rs. 17308.00
Hope it's clear, dear Sanju.
Regards, Swapan
From India, Bokaro
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Example for calculating gratuity: BASIC + DA = 5000 No. of years in service = 5 years & 8 months (here 6 years is to be considered) Gratuity payable = [5000/26] x 15 x 6 = 17307.69 Rounded off to Rs. 17308.00
Hope it's clear, dear Sanju.
Regards, Swapan
From India, Bokaro
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Salary Sheet & PF PT Calculation & Challan.xls