Hi All,
Please help me clarify whether leave calculation is done based on the gross or the basic salary. Also, I would like to know if leave encashment is calculated considering the gross or basic salary of an employee.
Regards,
Jyoti
From India, Bangalore
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Please help me clarify whether leave calculation is done based on the gross or the basic salary. Also, I would like to know if leave encashment is calculated considering the gross or basic salary of an employee.
Regards,
Jyoti
From India, Bangalore
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Hi,
Thank you! My doubt is, if we are deducting leave based on gross salary, then encashment should also be done on the gross amount. Similarly, if we are deducting leave from the basic salary, then encashment should be based on the basic amount. Could you please confirm if this is the standard procedure followed in the industry?
Regards,
Jyoti
From India, Bangalore
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Thank you! My doubt is, if we are deducting leave based on gross salary, then encashment should also be done on the gross amount. Similarly, if we are deducting leave from the basic salary, then encashment should be based on the basic amount. Could you please confirm if this is the standard procedure followed in the industry?
Regards,
Jyoti
From India, Bangalore
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Hi Jyoti,
Earned Leave can be encashed a maximum of twice in a financial year with a minimum of 10 days at a time without insisting on proceeding on leave, subject to the concerned employees keeping a residual leave of a minimum of 30 days at credit at the time of encashment of earned leave.
One can keep a maximum of 300 days' leave. Above that, you can get an addition considered as a lapse.
Leave Encashment formula is as follows:
Leave Encashment = (Basic + DA) x No. of EL to be encashed
-------------
30
With regards,
RK Sinha
From India, Ludhiana
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Earned Leave can be encashed a maximum of twice in a financial year with a minimum of 10 days at a time without insisting on proceeding on leave, subject to the concerned employees keeping a residual leave of a minimum of 30 days at credit at the time of encashment of earned leave.
One can keep a maximum of 300 days' leave. Above that, you can get an addition considered as a lapse.
Leave Encashment formula is as follows:
Leave Encashment = (Basic + DA) x No. of EL to be encashed
-------------
30
With regards,
RK Sinha
From India, Ludhiana
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Hi Jyoti,
I can't understand your query. If you want to know about the financial deductions when a person takes Half Pay Leave or something else, please explain. Only then can I solve your problem.
With regards,
RK Sinha
From India, Ludhiana
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I can't understand your query. If you want to know about the financial deductions when a person takes Half Pay Leave or something else, please explain. Only then can I solve your problem.
With regards,
RK Sinha
From India, Ludhiana
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Hi,
My doubt is that leave encashment (Basic + DA) is considered. Is it the same when calculating leave deduction for an employee, whether it's a half-day or full-day deduction?
I hope my doubt is clear now.
Thanks,
Jyoti
From India, Bangalore
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My doubt is that leave encashment (Basic + DA) is considered. Is it the same when calculating leave deduction for an employee, whether it's a half-day or full-day deduction?
I hope my doubt is clear now.
Thanks,
Jyoti
From India, Bangalore
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Hi,
When it comes to Half Day Leave, it can be calculated using the following formula:
HPL = 1/2 (Basic + DA) x No. of HPL
------
30
I hope this resolves your issue.
Best regards,
RK Sinha
Email: randhirsinha@yahoo.com
From India, Ludhiana
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When it comes to Half Day Leave, it can be calculated using the following formula:
HPL = 1/2 (Basic + DA) x No. of HPL
------
30
I hope this resolves your issue.
Best regards,
RK Sinha
Email: randhirsinha@yahoo.com
From India, Ludhiana
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Dear Sinha ji,
I have gone through your quote 'good'. According to the Factories Act, it is not specified for leave encashment; it is only at the time of leaving service. It is also not clearly mentioned about this much of accumulation, etc. In that case, some of the managements do not accept the encashment of accumulated leaves. Is there any enactment for this situation? If so, please supply.
Regards,
PBS KUMAR
From India, Kakinada
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592I have gone through your quote 'good'. According to the Factories Act, it is not specified for leave encashment; it is only at the time of leaving service. It is also not clearly mentioned about this much of accumulation, etc. In that case, some of the managements do not accept the encashment of accumulated leaves. Is there any enactment for this situation? If so, please supply.
Regards,
PBS KUMAR
From India, Kakinada
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Leave Encashment & Salary Calculation.xls x
LEAVE ENCASHMENT NOT INCLUDED IN WAGES FOR P. F. CALCULATION.pdf