Bonus calculation

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Abhay Kumar Sethia (Querist)
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23 May 2018 Dear Sir/Madam,
I was working with a Partners ship firm of leading business group, from 18.7.17 to 21.3.18 with starting salary of 20000 and revised salary 25000 from the Nov 2017. There is nothing provided in the appointment letter about the BONUS. The important fact is that while we are calculating the TDS on salary We are taking 8.33% of last year pay as bonus for each and every employee, and that calculated bonus has been claimed as the salary expenses in the profit and losses. Then please tell me Am I eligible for bonus?
And now a question is pending, how we will deal with the increased salary from Nov 2017 from 20000 to 25000. my total salary 142070 after ESIC deduction for the above period,
It is a very polite request to please help me to find out the figure of bonus to claimed from past employer.

Abhay Kumar Sethia

Abhay Kumar Sethia (Querist)
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24 May 2018
Dear Sir/Madam, I am waiting for you reply on 2 question as follows. 1. Please tell me Am I eligible for bonus? because my past employer is not interested to release my bonus. 2. how we will deal with the increased salary from Nov 2017 from 20000 to 25000. because I have put the FINAL figure of bonus to employer, otherwise as per employer I will only get Rs. 7000 as a minimum bonus only.
Salary Breakup
From 18.7.17 to 31.10.17 From 1.11.17 to 21.3.18
BASIC 15100 18750
HAR 3000 3750
VONVEYENCE 1900 2500
D.A. NO NO
Total 20000 25000

Please guide me at your earliest.

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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06 July 2024 Based on the information provided:

1. **Eligibility for Bonus:**
- Since your appointment letter does not mention anything about a bonus, and if there was no formal policy or agreement regarding bonus payments, you may not be entitled to a bonus for that period. Bonus payments typically depend on company policy, contractual agreements, or industry norms. The fact that 8.33% of last year's pay is calculated as bonus for TDS purposes doesn't necessarily mean it translates into an actual entitlement to receive a bonus.

2. **Increased Salary from November 2017:**
- To calculate the salary for the period from November 2017 to March 2018 (5 months):
- Salary from November to March at 25,000 INR/month: 25,000 INR * 5 months = 1,25,000 INR
- Salary from July to October at 20,000 INR/month: 20,000 INR * 4 months = 80,000 INR
- Total salary for the period: 1,25,000 INR + 80,000 INR = 2,05,000 INR

3. **Bonus Calculation (if applicable):**
- Since there was no formal bonus policy mentioned in your appointment letter, you may not be eligible for a bonus unless there was a separate agreement or understanding.
- If there was any informal commitment or understanding regarding bonus, you would need to clarify this with your past employer.

4. **Claiming Salary and Bonus from Past Employer:**
- If you believe you are entitled to a bonus based on informal agreements or practices within the company, you should discuss this directly with your past employer.
- Request a detailed breakdown of your salary and bonus calculations for transparency.
- Provide them with your calculations and seek clarification on any discrepancies or misunderstandings.

It's advisable to approach your past employer politely and professionally to discuss these matters and seek resolution. If needed, you may consider seeking advice from a legal or labor expert to understand your rights and options more clearly.

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