Regarding Bonus Calculation
It has been said that a minimum of 8.33% to a maximum of 20% can be paid as a bonus. I have a doubt regarding this ₹3500/-. Say, if an employee's basic salary is ₹6000/-, considering full attendance: 6000*12*8.33% - his bonus amount will be ₹5998/-. How should it be separated as a bonus and ex-gratia?
Regards,
G.G. Deepa
From India, Selam
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3It has been said that a minimum of 8.33% to a maximum of 20% can be paid as a bonus. I have a doubt regarding this ₹3500/-. Say, if an employee's basic salary is ₹6000/-, considering full attendance: 6000*12*8.33% - his bonus amount will be ₹5998/-. How should it be separated as a bonus and ex-gratia?
Regards,
G.G. Deepa
From India, Selam
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Calculation is as follows:
Case 1:
Maximum wage ceiling for bonus calculation is Rs 3500 per month.
- Minimum bonus: Rs 3500 x 12 x 8.33% = Rs 3500
- Minimum bonus: Rs 3500 x 12 x 20% = Rs 8400
Case 2:
If wage is less than Rs 3500, for example: Rs 3000 per month.
- Minimum bonus: Rs 3000 x 12 x 8.33% = Rs 3000
- Minimum bonus: Rs 3000 x 12 x 20% = Rs 7200
Thanks & Regards,
MV Babu
From India, Rajamahendri
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Case 1:
Maximum wage ceiling for bonus calculation is Rs 3500 per month.
- Minimum bonus: Rs 3500 x 12 x 8.33% = Rs 3500
- Minimum bonus: Rs 3500 x 12 x 20% = Rs 8400
Case 2:
If wage is less than Rs 3500, for example: Rs 3000 per month.
- Minimum bonus: Rs 3000 x 12 x 8.33% = Rs 3000
- Minimum bonus: Rs 3000 x 12 x 20% = Rs 7200
Thanks & Regards,
MV Babu
From India, Rajamahendri
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Calculation of Bonus
Case 1:
Maximum wage ceiling for bonus calculation is Rs 3500/- per month.
- Minimum bonus: Rs 3500 x 12 x 8.33% = Rs 3500/-
- Max bonus: Rs 3500 x 12 x 20% = Rs 8400/-
Case 2:
If the wage is less than Rs 3500/-, for example: Rs 3000/- per month.
- Minimum bonus: Rs 3000 x 12 x 8.33% = Rs 3000/-
- Max bonus: Rs 3000 x 12 x 20% = Rs 7200/-
Thanks & Regards
From India, Rajamahendri
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Case 1:
Maximum wage ceiling for bonus calculation is Rs 3500/- per month.
- Minimum bonus: Rs 3500 x 12 x 8.33% = Rs 3500/-
- Max bonus: Rs 3500 x 12 x 20% = Rs 8400/-
Case 2:
If the wage is less than Rs 3500/-, for example: Rs 3000/- per month.
- Minimum bonus: Rs 3000 x 12 x 8.33% = Rs 3000/-
- Max bonus: Rs 3000 x 12 x 20% = Rs 7200/-
Thanks & Regards
From India, Rajamahendri
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Thank you for the questions and replies by GGD. In addition, the maximum basic limit for bonus calculation is Rs. 10,000 per month. This means employees drawing more than Rs. 10,000 as basic salary are not eligible for a bonus. However, most organizations are giving bonuses to employees whose basic salary is over Rs. 10,000, but they are treating it as ex-gratia.
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From India, New Delhi
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From India, New Delhi
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Hi Vinay What if the Minimum wages are more than 10000/- or 9000/- Pls help to calculate bonus in both the above cases. Regards Monika
From India, Delhi
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From India, Delhi
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dear monika, If your basic is more than 10000/- then you are not liable to take the bonus and for 9000/- baisc you can calculate as said above.
From India, Bangalore
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From India, Bangalore
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As per the rules, if the Bonus Basic is above 3500, then the bonus is not mandatory to give to employees. Instead, it will be considered as Ex Gratia bonus, which is up to your discretion. In my company, we provide Ex-Gratia bonus to employees. The bonus amount should not be included in the Basic salary per month. For example, if my basic salary is 7200 per month, and my Ex-bonus is 500 per month, then the annual bonus would be 6000.
Thank you.
From India, Mumbai
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Thank you.
From India, Mumbai
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SALARY SHEET CALCULATION.xls
Salary calculation.doc