One employee has a salary of Rs. 125000/- then the employee is eligible for a bonus? pls bonus act share with me
From India, Panipat
From India, Panipat
1)Eligibility: Employees drawing ₹21000 per month or less (basic + DA, excluding other allowances) and have completed 30 working days in that financial year are eligible for bonus payment.
2)If salary if equal to or less than Rs. 7,000, then the bonus will be calculated on the actual amount by using the formula: Bonus= Salary x 8.33 / 100.
3)If salary is more than Rs. 7,000, then bonus will be calculated on Rs. 7,000 by using the formula: Bonus= 7,000 x 8.33 /100.
From India, New Delhi
22)If salary if equal to or less than Rs. 7,000, then the bonus will be calculated on the actual amount by using the formula: Bonus= Salary x 8.33 / 100.
3)If salary is more than Rs. 7,000, then bonus will be calculated on Rs. 7,000 by using the formula: Bonus= 7,000 x 8.33 /100.
From India, New Delhi
Dear Yvramana,
The point No. 1 is well explained, but you have interchanged the criteria at S. NO. 2 & 3. It should be:-
2) If salary or the minimum wage for the scheduled employment, as fixed by the appropriate Government is equal to or less than Rs. 7,000, then the annual bonus will be calculated on Rs. 7,000 by using the formula: Bonus= (7,000 x 12) * 8.33%.
3) If salary or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher, more than Rs. 7000 then annual bonus will be calculated on the actual amount (Salary/Minimum Wages) by using the formula: Bonus= (Payable-Paid Salary*12) *8.33%.
Here it is also important to understand the higher wages means the payable salary of the employee should be considered not the rates of Wages. Means on basis of actual attendance and entitled leave whatever wages the employee earned during the period shall be considered. However in any case it should not be less than Rs. 7000/pm.
Seniors can suggest more inputs on the matter.
From India, Delhi
The point No. 1 is well explained, but you have interchanged the criteria at S. NO. 2 & 3. It should be:-
2) If salary or the minimum wage for the scheduled employment, as fixed by the appropriate Government is equal to or less than Rs. 7,000, then the annual bonus will be calculated on Rs. 7,000 by using the formula: Bonus= (7,000 x 12) * 8.33%.
3) If salary or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher, more than Rs. 7000 then annual bonus will be calculated on the actual amount (Salary/Minimum Wages) by using the formula: Bonus= (Payable-Paid Salary*12) *8.33%.
Here it is also important to understand the higher wages means the payable salary of the employee should be considered not the rates of Wages. Means on basis of actual attendance and entitled leave whatever wages the employee earned during the period shall be considered. However in any case it should not be less than Rs. 7000/pm.
Seniors can suggest more inputs on the matter.
From India, Delhi
BUT CAN YOU PAY EXGRATIA OF ANY AMOUNT/% TO AN EXECUTIVE WHO IS DRAWING MORE THAN THAN MAXIMUM PAY ADMISSIBLE UNDER BONUS ACT?
From India
From India
Hi Sir,
Does that mean
If the basic salary is Rs.9000, bonus should be computed on Rs.9000
if the basic salary is 5000, bonus will be paid on Rs.7000
Minimum amount to be considered is Rs. 7000
Regards
Puran
From India, New Delhi
Does that mean
If the basic salary is Rs.9000, bonus should be computed on Rs.9000
if the basic salary is 5000, bonus will be paid on Rs.7000
Minimum amount to be considered is Rs. 7000
Regards
Puran
From India, New Delhi
Not eligible as salary of employees is 125000/- per month, basic and DA may be more than 21000/-.
From India, Mumbai
From India, Mumbai
As per last amendment of PB Act, there are two changes :-
Eligibility salary limit enhanced from 10,000/-per month to 21,000/- per month.
Calculation of Bonus should be on the basis of 7000/- or the scheduled employment minimum wages which ever is higher on basis of that.
All Bonus calculation have been shown in posts above are on the basis minimum bonus 8,33% which is not the reality. The bonus % amount may vary between 8.33% to 20% will depend on available surplus, allocable surplus, Set on & Set off.
If we interpretate the above, it will be that if the salary is below 7000/- per month, bonus should be calculated on actual salary. But if it is 7000/- per month or more then it will be essential to check with minimum wages and bonus should be paid on the basis of higher one.
S K Bandyopadhyay ( WB, Howrah)
+91 98310 81531
CEO-USD HR Solutions
USD HR Solutions – To Strive towards excellence with effort and integrity
From India, New Delhi
Eligibility salary limit enhanced from 10,000/-per month to 21,000/- per month.
Calculation of Bonus should be on the basis of 7000/- or the scheduled employment minimum wages which ever is higher on basis of that.
All Bonus calculation have been shown in posts above are on the basis minimum bonus 8,33% which is not the reality. The bonus % amount may vary between 8.33% to 20% will depend on available surplus, allocable surplus, Set on & Set off.
If we interpretate the above, it will be that if the salary is below 7000/- per month, bonus should be calculated on actual salary. But if it is 7000/- per month or more then it will be essential to check with minimum wages and bonus should be paid on the basis of higher one.
S K Bandyopadhyay ( WB, Howrah)
+91 98310 81531
CEO-USD HR Solutions
USD HR Solutions – To Strive towards excellence with effort and integrity
From India, New Delhi
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