Bonus Payment Obligations
Is bonus payment compulsory for all employees in the organization? If an organization does not pay bonuses to its employees, what actions or penalties should be imposed by the government according to the Payment of Bonus Act? Additionally, how should the bonus be calculated and what is the method for determining the bonus amount?
Please provide me with the calculation in an Excel sheet.
Thanks and regards,
Suresh Kumar Gupta
From India, Delhi
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4Is bonus payment compulsory for all employees in the organization? If an organization does not pay bonuses to its employees, what actions or penalties should be imposed by the government according to the Payment of Bonus Act? Additionally, how should the bonus be calculated and what is the method for determining the bonus amount?
Please provide me with the calculation in an Excel sheet.
Thanks and regards,
Suresh Kumar Gupta
From India, Delhi
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I do not know anything about the Bonus Act. However, as an employee of a company, I would like to receive a bonus every year, even if it is purely 8.33% of the basic annual salary. For example, if your organization is paying 4250 Rs as the basic salary to any employee, then he is eligible to receive 4250 Rs as a bonus. This information should be mentioned in the CTC that your organization issues to employees every year along with their increment letter. If nothing is mentioned, the bonus is purely based on the company's performance, and there are tax implications to consider.
I hope this information helps you.
From India, Pune
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I hope this information helps you.
From India, Pune
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Amendment to Payment of Bonus Act 2015.jpg
Bigger bonuses for more as Lok Sabha amends Payment of Bonus Act - The Economic Times.pdf
THE PAYMENT OF BONUS ACT.doc