Can we give statutory bonus monthly. If yes, what would be % and what is the procedure? If no, explain in details to educate my team members.
From India, Chennai
6From India, Chennai
Statutory Bonus payable under Payment of Bonus Act, is based on the profitability and is after set on and set off, procedures applied, as laid out in the act. This is payable once in a year after the Balance sheet made.
From India, Madras
From India, Madras
Hi Babu, Most of the companies are paying it as monthly component which is why I wanna know about as it will reduce lot of manual work. Regards Sampathkumar S
From India, Chennai
From India, Chennai
%age of bonus can be calculated once the balance sheet is prepared and depending upon the available surplus arrived at on set on set off formula. As suggested by learned colleague above, bonus is paid with in 8 months after the completion of balance sheet. Yes you are right, many companies pay bonus @ 20% from the beginning of the company and it paid during the infancy period as a part of CTC and accordingly you can also pay bonus(which would be called ex gratia payment)
R R Kapoor
Vadodara
From India, Vadodara
R R Kapoor
Vadodara
From India, Vadodara
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Amendment to Payment of Bonus Act 2015.jpg
Statutory Compliance of a Industrial or Commercial Unit.xls
Bonus act amendment gazette copy.pdf