Hi,
Let me clarity general practice following in the industiry.
1. For example In January having 31 days, February 29 or 28 days,
April 30 days, for calculating salary for loss of pay and
those who joined in the middle of the month , the no. of days per
will be for january 31days, for february 29 or 28days, for April 30 days
for Expample 5000x/no.days present/31 for January,5oooxno.days/29
for February, 5000xno.days present/30 ( No. of days prsent inculudes
sundays)
2. In case of Full present the question of paying for days does not
arises. Ths salary will be paid full irrespective of no. days in a
month i.e Jan'31 days, Fe'29 or 28days, Mar'31, April'30 days,
regards,
N.Krishna raj urs
Let me clarity general practice following in the industiry.
1. For example In January having 31 days, February 29 or 28 days,
April 30 days, for calculating salary for loss of pay and
those who joined in the middle of the month , the no. of days per
will be for january 31days, for february 29 or 28days, for April 30 days
for Expample 5000x/no.days present/31 for January,5oooxno.days/29
for February, 5000xno.days present/30 ( No. of days prsent inculudes
sundays)
2. In case of Full present the question of paying for days does not
arises. Ths salary will be paid full irrespective of no. days in a
month i.e Jan'31 days, Fe'29 or 28days, Mar'31, April'30 days,
regards,
N.Krishna raj urs
According to my experience, to have an accurate salary calculation it all depends upon the number of working days in a month. I will try to explain by illustrating an example:
For the month of January 08:
No. of Physical Factory Working Days: 25
No. of Paid Holidays:02(for my company Jan 15th & 26the factory holidays)
No. of Weekly off: 04
Total No. of days in the month:31
Therefore, total no. of days to be considered for calculation of salary is 27 days during the month.
If the salary is Rs. 12000/- p.hm, he/she will be receiving the same. Incase, if there are any leave during the month which are considered to be Loss of Pay, then
Salary= (Salary/Total factory working days)*No. of mondays present.
The amount received per day may vary depending upon no. of factory working days but it is proportional to the fixed salary that an individual is eligible.
The above formula holds good under different conditions like:
1.No.of weekly off during the month may vary.
2.If there are any compensatory off during the month declared by the factory.
Whereas for other statutory calculation, 26 days should be considered.
I am sharing my knowledge with you all. If there are any modifications required please let me know.
From India, Visakhapatnam
For the month of January 08:
No. of Physical Factory Working Days: 25
No. of Paid Holidays:02(for my company Jan 15th & 26the factory holidays)
No. of Weekly off: 04
Total No. of days in the month:31
Therefore, total no. of days to be considered for calculation of salary is 27 days during the month.
If the salary is Rs. 12000/- p.hm, he/she will be receiving the same. Incase, if there are any leave during the month which are considered to be Loss of Pay, then
Salary= (Salary/Total factory working days)*No. of mondays present.
The amount received per day may vary depending upon no. of factory working days but it is proportional to the fixed salary that an individual is eligible.
The above formula holds good under different conditions like:
1.No.of weekly off during the month may vary.
2.If there are any compensatory off during the month declared by the factory.
Whereas for other statutory calculation, 26 days should be considered.
I am sharing my knowledge with you all. If there are any modifications required please let me know.
From India, Visakhapatnam
I have made calculations based on the number of days in a month.assuming the salary is Rs 3000 per month.
3000.00 3000.00 3000.00 3000.00
31.00 30.00 29.00 28.00
96.77 100.00 103.45 107.14
10 21.00 20.00 19.00 18.00
Balance days
Salary 2032.26 2000.00 1965.52 1928.57
Let me remind that he is monthy rated employee and sundays are taken into consideration.
In all these months he is not present only for ten days. But we deduct different salaries for the same 10 days.
If a person retires and if you give him encashment, what formuyla we aill follow? the month he retires?
And for loss of pay in Feb, one is penalised more than other months.
The best practice I have ever come across is to make it uniform 30 days irrespective of the month
Siva
From India, Chennai
3683000.00 3000.00 3000.00 3000.00
31.00 30.00 29.00 28.00
96.77 100.00 103.45 107.14
10 21.00 20.00 19.00 18.00
Balance days
Salary 2032.26 2000.00 1965.52 1928.57
Let me remind that he is monthy rated employee and sundays are taken into consideration.
In all these months he is not present only for ten days. But we deduct different salaries for the same 10 days.
If a person retires and if you give him encashment, what formuyla we aill follow? the month he retires?
And for loss of pay in Feb, one is penalised more than other months.
The best practice I have ever come across is to make it uniform 30 days irrespective of the month
Siva
From India, Chennai
In general the salary should be calculated based on 30 days or 360days (1 year) . However it is depend on the rest day policy. Normally the weekend is treated as a paid rest day. In case of february leap year... calculation will be still on 30 days but the loss of pay shall be calculated on the number of day absense. ($$x/30)*No of absent. hope this clarify your doubt..
From Bahrain
From Bahrain
No problem Ashaji. This is for simplicity of later verification,for a going concern,they fix a standard calculation of salary by dividing by 30 days irrespective of 28,29,30,or 31 days. I have experienced in my 25 years service in a same company,when calculating anything for a person working so many years in the same company- we neednot worry about whether in that year february had 28 days or 29 days or how the calculations made in that year say in 1971 etc.,
From India, Madras
From India, Madras
HI ALL
A SIMPLE SOLUTION !! SALARY IS ALWAYS COMPUTED AS salary/numberofdaysinthemonth*numberofdaysworked if salary 10000 pm / 29 * 29 if incase 28 days /28*28 {30*30}{31*31} the result will be the same
Try one with 2 days absent.
10000/31*29 = 9355
10000/28*26 = 9286
10000/30*28 = 9333
you can see a samll difference but this would be the ideal salary working
what others say ?
regards
Joseph
From India, Mumbai
A SIMPLE SOLUTION !! SALARY IS ALWAYS COMPUTED AS salary/numberofdaysinthemonth*numberofdaysworked if salary 10000 pm / 29 * 29 if incase 28 days /28*28 {30*30}{31*31} the result will be the same
Try one with 2 days absent.
10000/31*29 = 9355
10000/28*26 = 9286
10000/30*28 = 9333
you can see a samll difference but this would be the ideal salary working
what others say ?
regards
Joseph
From India, Mumbai
Salary is for the whole month and the calculation is based on number of working days not the number of days in a month. If in a month the working day is only 25 days (excluding Sundays) then the loss of pay will be calculated based on this, say for example if salary for a person is 10000 and he is absent for 5 days and the working day in a month is 25 then, the calculation is like this 10,000/25*20. If he joined in between a month say 10th of March 2008, then also the calculation is like the above - 10,000/25*19.
From India, Madras
From India, Madras
Hi members,
I have been through the replies of members and found that most of them are considering 30 days for the calculation of salary.
But here i have a doubt to all those who are calculating taking 30 days as base for salary.
1. If the no. of working days in a month is less like compensatory off as we usually see them in manufacturing sector.
If you come across such situations how you are calculating the salary.
2. As per our laws we take 26 days as standard for calculating EL, gratuity etc from where we understand that weekly off's are not taken as paid rest days.
From India, Visakhapatnam
I have been through the replies of members and found that most of them are considering 30 days for the calculation of salary.
But here i have a doubt to all those who are calculating taking 30 days as base for salary.
1. If the no. of working days in a month is less like compensatory off as we usually see them in manufacturing sector.
If you come across such situations how you are calculating the salary.
2. As per our laws we take 26 days as standard for calculating EL, gratuity etc from where we understand that weekly off's are not taken as paid rest days.
From India, Visakhapatnam
Let me share my views on this:
Some are following calender month like 1st of every month to 30th/31st or 28/29th. there are others calculate Salary month, which is from 26th of previous month to 25th of this month (depends upon the companies).
Now whether it is Calender month or Salary month or 31days month or 30 days month or 28/29 days month.
Salary is fixed,example Rs.30,000/=, number of days worked shall be 30days/31/28/29days.
Per day salary for 30 days month : 30,000/30 = 1000.00
Per day salary for 30 days month : 30,000/31 = 967.74
Per day salary for 30 days month : 30,000/29 = 1034.48
Thus for LOP days or inbetween joining salaries are calculated for the months concerned, I practice the same.
Pls give your comments on this.
Have a wonderful day
Chennai.Ibrahim
From India, Hyderabad
Some are following calender month like 1st of every month to 30th/31st or 28/29th. there are others calculate Salary month, which is from 26th of previous month to 25th of this month (depends upon the companies).
Now whether it is Calender month or Salary month or 31days month or 30 days month or 28/29 days month.
Salary is fixed,example Rs.30,000/=, number of days worked shall be 30days/31/28/29days.
Per day salary for 30 days month : 30,000/30 = 1000.00
Per day salary for 30 days month : 30,000/31 = 967.74
Per day salary for 30 days month : 30,000/29 = 1034.48
Thus for LOP days or inbetween joining salaries are calculated for the months concerned, I practice the same.
Pls give your comments on this.
Have a wonderful day
Chennai.Ibrahim
From India, Hyderabad
Paid leaves of all types are to be considered as worked days, including week offs, EL, CL and whatever it is, if they are paid leaves.
For Calculating Gratuity, Worked days are be taken for computation, worked days includes paid leaves also.
Gratuity = Monthly Salary earned x 15 days x No. of yrs. of service divided by 26
Chennai.Ibrahim
From India, Hyderabad
For Calculating Gratuity, Worked days are be taken for computation, worked days includes paid leaves also.
Gratuity = Monthly Salary earned x 15 days x No. of yrs. of service divided by 26
Chennai.Ibrahim
From India, Hyderabad
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SALARY SHEET CALCULATION.xls
Salary calculation.doc