Hi to all Can anybody suggest who is eligble for bonus ? Whether a person who has joined the company 04 months back only is eligible for bonus ? Note:-company has employed more than 20 employees.
From India, Mumbai
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5From India, Mumbai
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According to The Payment of Bonus Act, 1965, every employee receiving a salary or wages up to Rs. 3,500 per month and engaged in any kind of work, whether skilled, unskilled, managerial, supervisory, etc., is entitled to a bonus for every accounting year if he has worked for at least 30 working days in that year.
From India, Hyderabad
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From India, Hyderabad
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I Disagree, the ceiling has been raised from 3500 to 10000 with retrospective effect from April 2006. Pl clarify the same at your end Regards, Nilendra
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Eligibility Ceiling is up to 10,000, effective from April 1, 2006. Bonus paid on the Ceiling is 3,500 from 2,500, effective from April 1, 2006. Eligibility: 30 working days in a year starting from January 1 to December 31. Reference: Indian Press Bureau, Dated October 29th.
From India, Hyderabad
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From India, Hyderabad
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Hi all,
I appreciate all of you for your responses to this question. I agree that the wage ceiling limit has been enhanced to Rs. 10,000/- per month. However, my question is from a different perspective. Let me reiterate the question - an employee who joined the company only four months ago (i.e., in July 2007), is he entitled to a bonus or not?
Early response is awaited.
Thanks,
Armaan
From India, Mumbai
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I appreciate all of you for your responses to this question. I agree that the wage ceiling limit has been enhanced to Rs. 10,000/- per month. However, my question is from a different perspective. Let me reiterate the question - an employee who joined the company only four months ago (i.e., in July 2007), is he entitled to a bonus or not?
Early response is awaited.
Thanks,
Armaan
From India, Mumbai
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Hi Armaan!
The bonus which is paid during Diwali 2007 (actually, it is six months from finalizing the balance sheet for the financial year 2006-07) is for earnings of an employee in the year 2006-07, i.e., up to 31.03.2007. If someone has joined in July 07 or on 1.04.2007 onwards, he/she will not be eligible for payment of bonus in the year 2007 (say Diwali). Bonus is payable after the completion of the financial year and after the balance sheet is finalized, so in your case, the bonus will be payable in Oct 2008.
Hope this brings clarity to you. Do let me have feedback.
- Hiten
From India, New Delhi
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The bonus which is paid during Diwali 2007 (actually, it is six months from finalizing the balance sheet for the financial year 2006-07) is for earnings of an employee in the year 2006-07, i.e., up to 31.03.2007. If someone has joined in July 07 or on 1.04.2007 onwards, he/she will not be eligible for payment of bonus in the year 2007 (say Diwali). Bonus is payable after the completion of the financial year and after the balance sheet is finalized, so in your case, the bonus will be payable in Oct 2008.
Hope this brings clarity to you. Do let me have feedback.
- Hiten
From India, New Delhi
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Hi Armaan,
What Hiten Parekh mentioned in his reply is correct. I think the bonus is paid before completing the 8 months, once the balance sheet is finalized.
For example, if the balance sheet is finalized in March 2006-07, then the bonus is paid in or before the 30th of November 2007. In your mentioned case, the individual will be paid the bonus next year.
Regards, Nimish Joshi 09969526325
From India, Mumbai
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What Hiten Parekh mentioned in his reply is correct. I think the bonus is paid before completing the 8 months, once the balance sheet is finalized.
For example, if the balance sheet is finalized in March 2006-07, then the bonus is paid in or before the 30th of November 2007. In your mentioned case, the individual will be paid the bonus next year.
Regards, Nimish Joshi 09969526325
From India, Mumbai
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Stick to the basics, men. First, let him complete his probation period; then he is eligible. Immediately after joining, no one is eligible for a bonus. If your company is paying it on a monthly basis, even then he/she needs to complete the probation period. Okay.
From India, Delhi
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From India, Delhi
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Hi All, I have joined a company on 15th April 2012, the bonus will be issued in this month (January 2013). could any one tell me am I eligible for bonus? Regards Vaishnavi
From India, Madras
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From India, Madras
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Dear Vaishnavi,
By now, I'm sure after reading the posts above, you are aware of the eligibility criteria. Any employee with a basic salary less than or equal to Rs. 10,000 and who has served 30 days in the accounting year is eligible for a bonus of Rs. 3,500.
Could you please mention what your basic salary is and for which accounting year the bonus being distributed in January is? You may want to speak directly to your HR department for clarification.
Regards,
From India, Ahmedabad
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By now, I'm sure after reading the posts above, you are aware of the eligibility criteria. Any employee with a basic salary less than or equal to Rs. 10,000 and who has served 30 days in the accounting year is eligible for a bonus of Rs. 3,500.
Could you please mention what your basic salary is and for which accounting year the bonus being distributed in January is? You may want to speak directly to your HR department for clarification.
Regards,
From India, Ahmedabad
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Clarification on Bonus Eligibility
I would like to provide clarification on this topic. The bonus is eligible for any employee whose Basic + DA is less than ₹10,000 (Ten Thousand). They will be entitled to receive a fixed amount of ₹3,500 per month once they have completed 30 days.
Regards,
Anand
HR Executive
From India, Delhi
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I would like to provide clarification on this topic. The bonus is eligible for any employee whose Basic + DA is less than ₹10,000 (Ten Thousand). They will be entitled to receive a fixed amount of ₹3,500 per month once they have completed 30 days.
Regards,
Anand
HR Executive
From India, Delhi
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In accordance with the provisions of the Bonus Act, an employee who has worked for 30 working days in an accounting year in an establishment/company will be eligible for a bonus. There is another provision that the monthly basic salary of an employee should be up to Rs. 10,000 per month. Obviously, the person who joined in July 2007 will be eligible for receiving a bonus.
Regards,
R. B. Yadav
From India, Gurugram
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Regards,
R. B. Yadav
From India, Gurugram
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If the employee has completed only 4 months in the organization (i.e., from the month of July), then he/she will not be eligible to receive a bonus until he/she has completed the financial year (till 31st of March) or has completed the probation period. The policy may vary from organization to organization.
Regards,
Vikas Ranjan
From India, Bangalore
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Regards,
Vikas Ranjan
From India, Bangalore
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Hi, can anybody conclude the views put on this? As I can see, these are major topics discussed with various views.
Eligibility Criteria and Ceiling Amount
What is the eligibility criteria, and what is the ceiling amount to be considered (with respect to basic or total earnings)?
Bonus Calculation
What amount has to be given as a bonus, and on what basis should the bonus amount be calculated?
Eligibility Before and After April
Also, what is the eligibility for a bonus before April and for those who join after April?
Please conclude a post so that users can make the best use of it.
From India, Bangalore
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Eligibility Criteria and Ceiling Amount
What is the eligibility criteria, and what is the ceiling amount to be considered (with respect to basic or total earnings)?
Bonus Calculation
What amount has to be given as a bonus, and on what basis should the bonus amount be calculated?
Eligibility Before and After April
Also, what is the eligibility for a bonus before April and for those who join after April?
Please conclude a post so that users can make the best use of it.
From India, Bangalore
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