Hello Everyone,
This is Dakshesh Naik. I am new to the complete salary procedure in a company, including PF, ESIC, and PT. Can anyone guide me or provide me with some steps or formats? I would be grateful.
Regards,
Dakshesh Naik
From India, Pune
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10This is Dakshesh Naik. I am new to the complete salary procedure in a company, including PF, ESIC, and PT. Can anyone guide me or provide me with some steps or formats? I would be grateful.
Regards,
Dakshesh Naik
From India, Pune
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Hi Dakshesh, Here is the Document attached........Registration Procedure for all acts
From India, Hyderabad
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From India, Hyderabad
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If an employee has completed his 5 years of service in a company, he is now eligible for his gratuity payment. Can anyone please explain whether the company is responsible for paying the total amount or if it is paid by the government? What is the proper procedure to receive the gratuity amount? Please explain to me.
From United States, Washington
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From United States, Washington
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Yes, he is eligible to receive Gratuity by default.
For this reason, every organization maintains its funds in some way or another. Gratuity fund for an employee is deposited into the funds every month, and on completion of 5 years of service based on the calculation: Gratuity = Last drawn Basic salary * 15/26 * Number of years of Service, is paid to him up to a limit of 10,00,000 maximum.
There have been discussions on this before. Please have a look at the following link: https://www.citehr.com/256145-lic-gr...y-schemes.html
From India, Hyderabad
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For this reason, every organization maintains its funds in some way or another. Gratuity fund for an employee is deposited into the funds every month, and on completion of 5 years of service based on the calculation: Gratuity = Last drawn Basic salary * 15/26 * Number of years of Service, is paid to him up to a limit of 10,00,000 maximum.
There have been discussions on this before. Please have a look at the following link: https://www.citehr.com/256145-lic-gr...y-schemes.html
From India, Hyderabad
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Hi Mr. Naik,
The simple way to process employee salaries to save time and reduce human errors is by using payroll software. By implementing payroll software, you can automate the salary processing part, which will alleviate your workload significantly.
If you are concerned about the cost to your organization, please note that our software solution is priced at only Rs. 15,000, making it a one-time investment.
If you would like more information, please feel free to contact me at: maheshkorade2000@yahoo.com or call me at 09920823523. Our office is located in Mumbai, but we offer our services throughout India.
From India, Mumbai
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The simple way to process employee salaries to save time and reduce human errors is by using payroll software. By implementing payroll software, you can automate the salary processing part, which will alleviate your workload significantly.
If you are concerned about the cost to your organization, please note that our software solution is priced at only Rs. 15,000, making it a one-time investment.
If you would like more information, please feel free to contact me at: maheshkorade2000@yahoo.com or call me at 09920823523. Our office is located in Mumbai, but we offer our services throughout India.
From India, Mumbai
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Hi Mr/Ms/Mrs Washington,
Please do not use a new thread of discussion with another post. You can post it separately as a new discussion or topic. Regarding your question on Gratuity, yes, gratuity will be applicable as he has completed his 5 years with an organization.
Example:
What is a year of service under the Gratuity Act?
A year of service means, for the purpose of calculating gratuity, he should have worked for 240 days in that calendar year. For instance, an employee had worked for more than 7 years, and the number of days worked in each year are as follows:
Assume that the total number of days per year is 303 days:
1st year: 300 days
2nd year: 255 days
3rd year: 298 days
4th year: 129 days
5th year: 310 days
6th year: 110 days
7th year: 303 days
Now, the employee is eligible for five years since he has not completed 240 days, which is the eligible criteria for two years. However, normally 99.99% of the companies do not follow this.
The application of the Act is extended to those who have completed 4 years and 240 days in the fifth year. For calculation purposes, the gratuity is calculated in multiples of 6 months. If an employee completes 6.7 years, the gratuity is to be calculated for 7 years.
Total days from 02/02/2004 - 05/09/2008 = 1645 days. The total number of off days (2 off days per week) during the working period is 468. So, 1645 - 468 = 1177 days worked.
I have read in one of the threads a comment saying that if you worked for 4.8 years, then you are also eligible for gratuity.
It's a simple calculation:
240 x 4 = 960
240 - 45 = 195
240 x 5 = 1200
960 + 195 = 1155
Even though the eligibility for gratuity is 4.8 years of continuous service, i.e., 4.8 x 240 = 1152. No issue, go ahead.
From India, Gurgaon
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Please do not use a new thread of discussion with another post. You can post it separately as a new discussion or topic. Regarding your question on Gratuity, yes, gratuity will be applicable as he has completed his 5 years with an organization.
Example:
What is a year of service under the Gratuity Act?
A year of service means, for the purpose of calculating gratuity, he should have worked for 240 days in that calendar year. For instance, an employee had worked for more than 7 years, and the number of days worked in each year are as follows:
Assume that the total number of days per year is 303 days:
1st year: 300 days
2nd year: 255 days
3rd year: 298 days
4th year: 129 days
5th year: 310 days
6th year: 110 days
7th year: 303 days
Now, the employee is eligible for five years since he has not completed 240 days, which is the eligible criteria for two years. However, normally 99.99% of the companies do not follow this.
The application of the Act is extended to those who have completed 4 years and 240 days in the fifth year. For calculation purposes, the gratuity is calculated in multiples of 6 months. If an employee completes 6.7 years, the gratuity is to be calculated for 7 years.
Total days from 02/02/2004 - 05/09/2008 = 1645 days. The total number of off days (2 off days per week) during the working period is 468. So, 1645 - 468 = 1177 days worked.
I have read in one of the threads a comment saying that if you worked for 4.8 years, then you are also eligible for gratuity.
It's a simple calculation:
240 x 4 = 960
240 - 45 = 195
240 x 5 = 1200
960 + 195 = 1155
Even though the eligibility for gratuity is 4.8 years of continuous service, i.e., 4.8 x 240 = 1152. No issue, go ahead.
From India, Gurgaon
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And Mr. Dakshesh Naik, I hereby enclosed a sample salary structure for you and hope this will help you and plz feel free to contact if you have any question in your mind...
From India, Gurgaon
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From India, Gurgaon
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hello sir, i am really sorry for that..but i am new to this site n didnt know the actual procedure..thanks a lot for explaining abt gratuity n solving my confusion...
From United States, Washington
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From United States, Washington
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Complete knoweldege of Salary Structure formate in MBA Instiutte i.e. calculation from Employer side & employee side. Give brief details in salary structure..
From India, Diu
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From India, Diu
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Hi Dakshesh,
1) Gratuity calculation: For gratuity eligibility criteria - who served 5 years or more than 5 years. If he served 6 years, 7 months, and 15 days, calculate it as 7 years for those whose basic salary is more than 3500.
2) ESI: Only permanent employees are eligible for ESI. Deduction for ESI is 1.75% from the employee's side and 4.75% from the employer's side.
From India, Pune
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1) Gratuity calculation: For gratuity eligibility criteria - who served 5 years or more than 5 years. If he served 6 years, 7 months, and 15 days, calculate it as 7 years for those whose basic salary is more than 3500.
2) ESI: Only permanent employees are eligible for ESI. Deduction for ESI is 1.75% from the employee's side and 4.75% from the employer's side.
From India, Pune
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