Dear ALL!!! Can any body enhance my knowledge on the parameter for the Calculation of Earned Leave ? Is it calculated on Basic or on Gross ? FARAH
From India, Delhi
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1From India, Delhi
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Hi Farah,
Earned leave will be calculated based on the basic salary only. The formula to calculate earned leave is Total Basic Salary divided by the Total Number of Months worked, multiplied by the number of earned leaves divided by thirty days.
For Example:
120000 / 14 * 15 / 30 = 4286
Please let me know if you need any further clarification or information.
Thank you.
From United States, San Bruno
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Earned leave will be calculated based on the basic salary only. The formula to calculate earned leave is Total Basic Salary divided by the Total Number of Months worked, multiplied by the number of earned leaves divided by thirty days.
For Example:
120000 / 14 * 15 / 30 = 4286
Please let me know if you need any further clarification or information.
Thank you.
From United States, San Bruno
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Dear UPdate your knowledge. Leave encashment is to ba paid on Gross Salary. This is with ref to the decision given by Supreme Court. Its on GROSS SALARY. regards Nitin Nikam
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Dear Friend,
Kindly click on the following link, it will give you some required information,
https://www.citehr.com/search_new.php?q=Earned+leave
Pls let me know was this information useful,,
If not let me try out more & give information,,,,
In CiteHR you will get A to Z information on HR…..
Regards
M. Peer Mohamed Sardhar
093831 93832
From India, Coimbatore
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Kindly click on the following link, it will give you some required information,
https://www.citehr.com/search_new.php?q=Earned+leave
Pls let me know was this information useful,,
If not let me try out more & give information,,,,
In CiteHR you will get A to Z information on HR…..
Regards
M. Peer Mohamed Sardhar
093831 93832
From India, Coimbatore
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Hi,
The formula to calculate earned leave (EL) is the total basic salary divided by the total number of months worked, multiplied by the number of earned leaves divided by thirty days, as given here.
Please clarify if the calculation should be based on thirty days or only 26 days, considering that payable days are only 26 with the other 4 days being holidays. Does it depend on the company's payment system?
Thank you.
From India, Madras
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The formula to calculate earned leave (EL) is the total basic salary divided by the total number of months worked, multiplied by the number of earned leaves divided by thirty days, as given here.
Please clarify if the calculation should be based on thirty days or only 26 days, considering that payable days are only 26 with the other 4 days being holidays. Does it depend on the company's payment system?
Thank you.
From India, Madras
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Hi,
The formula to calculate Earned Leave is Basic Salary divided by 26, i.e., payable days multiplied by total earned leave. For example, if the Basic Salary is 5000, the calculation would be as follows:
[ frac{5000}{26} times 15 = 2884.6 ]
Please clarify if it is necessary to have the number of months to calculate earned leave. Are the payable days alone not enough to calculate earned leave?
From India, Madras
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The formula to calculate Earned Leave is Basic Salary divided by 26, i.e., payable days multiplied by total earned leave. For example, if the Basic Salary is 5000, the calculation would be as follows:
[ frac{5000}{26} times 15 = 2884.6 ]
Please clarify if it is necessary to have the number of months to calculate earned leave. Are the payable days alone not enough to calculate earned leave?
From India, Madras
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Dear Nitin Please can u provide me the details of Supreme Court decision’s on Earned Leave. Regards, Rahul
From India, Ambala
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From India, Ambala
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Hi,
Can someone clear my doubt on the calculation of PL/EL? As far as I know, it is:
Monthly Basic salary * No. of leaves
30
But as was earlier mentioned:
120000 15
-------- * --- = 4286
14 30
OR
Monthly Basic salary * No. of leaves
26
Which is the correct method to calculate?
Regards,
Deepa
From India, Gurgaon
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Can someone clear my doubt on the calculation of PL/EL? As far as I know, it is:
Monthly Basic salary * No. of leaves
30
But as was earlier mentioned:
120000 15
-------- * --- = 4286
14 30
OR
Monthly Basic salary * No. of leaves
26
Which is the correct method to calculate?
Regards,
Deepa
From India, Gurgaon
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Dear EL calculation on Basic. (Basic + Da ) / 30 * (No. Of EL.) = 0000000 - P.F. = Net Payee
From India, Ahmadabad
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From India, Ahmadabad
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Dear Sir,
This is K. Ravi Kumar from Hyderabad. I have one query related to Earned Leave (EL). I joined my present company on 14th June 2006 and am still continuing my job. From 14th June 2006 to March 2007, my BASIC SALARY was Rs. 3500, and from April onwards, my BASIC SALARY IS 4750.
How should we calculate the EL based on these salary changes?
I kindly request you to provide me with your complete details for any correspondence regarding HR issues.
Thank you.
Yours faithfully,
Kasina Ravi Kumar
E-mail: kasinaravikumar@gmail.com
PH: 09989111149
HYDERABAD.
From India, Hyderabad
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This is K. Ravi Kumar from Hyderabad. I have one query related to Earned Leave (EL). I joined my present company on 14th June 2006 and am still continuing my job. From 14th June 2006 to March 2007, my BASIC SALARY was Rs. 3500, and from April onwards, my BASIC SALARY IS 4750.
How should we calculate the EL based on these salary changes?
I kindly request you to provide me with your complete details for any correspondence regarding HR issues.
Thank you.
Yours faithfully,
Kasina Ravi Kumar
E-mail: kasinaravikumar@gmail.com
PH: 09989111149
HYDERABAD.
From India, Hyderabad
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Hi Gopan,
Mr. Peer Mohammed has provided a link. Please go through that and then let's discuss. We are discussing the calculation of leave encashment amount, not about PL/EL. I have not come across any such Supreme Court judgments that state encashment is based on Gross salary. The situation in Tamar & CO vs. employees way back in 1998, which led to the Supreme Court judgment in that case, was due to a consolidated salary payment from which all deductions were made before calculating the encashment amount. The Supreme Court stated that gross salary should be used for calculation, not the NET salary. Generally, for encashment purposes, Basic + DA is considered, not Gross. Additionally, eligible days are calculated based on 30 days, not 26 days, because leave is earned for the number of days of attendance, including off days, not just worked days.
Please refer to the Factories Act 1948 for clarity.
Regards,
Gopan
From India, Kochi
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Mr. Peer Mohammed has provided a link. Please go through that and then let's discuss. We are discussing the calculation of leave encashment amount, not about PL/EL. I have not come across any such Supreme Court judgments that state encashment is based on Gross salary. The situation in Tamar & CO vs. employees way back in 1998, which led to the Supreme Court judgment in that case, was due to a consolidated salary payment from which all deductions were made before calculating the encashment amount. The Supreme Court stated that gross salary should be used for calculation, not the NET salary. Generally, for encashment purposes, Basic + DA is considered, not Gross. Additionally, eligible days are calculated based on 30 days, not 26 days, because leave is earned for the number of days of attendance, including off days, not just worked days.
Please refer to the Factories Act 1948 for clarity.
Regards,
Gopan
From India, Kochi
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Hi Farah,
It would be more convenient if one calculates EL/PL based on last month's basic salary and the number of days of actual PL balance.
Comments are welcomed.
Regards,
Vidushi Jaiswal
Aasma Consulting
<link no longer exists - removed>
From India, Delhi
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It would be more convenient if one calculates EL/PL based on last month's basic salary and the number of days of actual PL balance.
Comments are welcomed.
Regards,
Vidushi Jaiswal
Aasma Consulting
<link no longer exists - removed>
From India, Delhi
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Hi Everyone,
I have been following for a longer time regarding the calculation of earned and casual leave. Hope for cooperation from your end. The main problem is that everyone's opinion on the said topic differs, so I need an expert's opinion regarding the above subject. The matter is serious as I am facing a lot of problems.
Regards,
Priyangshu Chakraborty
Bangalore.
From India, Bangalore
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I have been following for a longer time regarding the calculation of earned and casual leave. Hope for cooperation from your end. The main problem is that everyone's opinion on the said topic differs, so I need an expert's opinion regarding the above subject. The matter is serious as I am facing a lot of problems.
Regards,
Priyangshu Chakraborty
Bangalore.
From India, Bangalore
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LEAVE ENCASHMENT NOT INCLUDED IN WAGES FOR P. F. CALCULATION.pdf
Leave Encashment & Salary Calculation.xls x