Any one Plz Suggest me regarding EL Enchashment, 1) Encashment has any formula? 2) EL Encashment is calculated on "Gross salary" or "Basic+DA"?
From India, Hyderabad
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4From India, Hyderabad
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Dear Karthik,
Please refer to the Act that is applicable to your establishment and the policy followed by your organization. Usually, Leave Encashment is done at the time of employee exit, and the following formula is used:
((Last drawn basic pay + DA) / 30) * Number of Earned Leaves to be encashed
In the case of workmen, the following formula is also used:
((Last drawn basic pay + DA) / 26) * Number of Earned Leaves to be encashed
Regards,
Rahul
From India, Delhi
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Please refer to the Act that is applicable to your establishment and the policy followed by your organization. Usually, Leave Encashment is done at the time of employee exit, and the following formula is used:
((Last drawn basic pay + DA) / 30) * Number of Earned Leaves to be encashed
In the case of workmen, the following formula is also used:
((Last drawn basic pay + DA) / 26) * Number of Earned Leaves to be encashed
Regards,
Rahul
From India, Delhi
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One small Query is that , There is any Amount limit for EL Encashment. Thank you in advance
From India, Hyderabad
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From India, Hyderabad
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Leave Encashment & Salary Calculation.xls x