Dear HR Consultants,
Greetings...!!!
An employee with salary Rs.70,000/month joined in my company on 20th March 2017. How much do I have to pay for him as March Salary.
I calculated one day salary by - 70,000/30 =2333.33 (Instead of 31 days in March considered 30 days as Standard even in February)
Payable Salary : 70,000 - (19 x 2333.33 {No. of absent days}) = 25667
Is this the method correct for salary calculation.
Please advise.
Best Regards,
From India, Kochi
Greetings...!!!
An employee with salary Rs.70,000/month joined in my company on 20th March 2017. How much do I have to pay for him as March Salary.
I calculated one day salary by - 70,000/30 =2333.33 (Instead of 31 days in March considered 30 days as Standard even in February)
Payable Salary : 70,000 - (19 x 2333.33 {No. of absent days}) = 25667
Is this the method correct for salary calculation.
Please advise.
Best Regards,
From India, Kochi
Dear Annonymous,
If you calculate salary as per 30 days every month, then you are paying only for 360 days... Therefore, it is best that you take the no of days of each month to calculate the salary. As here you have taken 11 days as his present days, but in actual he has worked for 12 days... So you are paying him less by one day as per papers. as per calculations the difference is just Rs. 75/- but then the records show that he is present only 11 days and not 12 days.
This will also, affect in long run the no. of days for Gratuity. As, as per salary he will be present for a lesser no of days, when there is any leave he has taken... There will be no problem, if he is present entire month, but a leave will alter the no of present days.
Regards,
From India, Mumbai
273If you calculate salary as per 30 days every month, then you are paying only for 360 days... Therefore, it is best that you take the no of days of each month to calculate the salary. As here you have taken 11 days as his present days, but in actual he has worked for 12 days... So you are paying him less by one day as per papers. as per calculations the difference is just Rs. 75/- but then the records show that he is present only 11 days and not 12 days.
This will also, affect in long run the no. of days for Gratuity. As, as per salary he will be present for a lesser no of days, when there is any leave he has taken... There will be no problem, if he is present entire month, but a leave will alter the no of present days.
Regards,
From India, Mumbai
For An Employee who Joined your Company on 20/03/2017, salary should have been Paid on or before 07/04/2017 (if Establishment Employs less than 1000 Employees) or on or before 10/04/2017 (if Establishment Employs more than 1000 Employees) according to The payment of Wages Act, 1936
For Monthly Rated Employees, Please calculate Gross Salary divided by respective Total days in Particular Month X Days Payable
From India, New Delhi
For Monthly Rated Employees, Please calculate Gross Salary divided by respective Total days in Particular Month X Days Payable
From India, New Delhi
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SALARY SHEET CALCULATION.xls
Salary calculation.doc