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How much deductions should be done from ones salary?

Labour & Industrial 1198 views 1 replies

Ramnarayan Sinha

MBA

24 Points Joined January 2013

Dear all,

Suppose a person's gross salary is Rs.8000/-. Now he has taken loan, advance etc..Now to recover this I have to deduct some amount from his salary towards loan and advance, also PF,ESI, PT has to be deducted and also he has to be paid some salary for the month worked. So my question is...

a) How much to deduct because after deduction very less is left over as his take home salary?

b) Is there a minimum level after which one cannot deduct?

Again not to forget that I cannot deduct the whole salary.

Please help.

Replies (1)

@VaibhavJ

Believe!! Live your dreams!

33521 Points Joined November 2008

Hey,

You should first deducte all statutory part i.e. PF, ESIC, PT, LWF & Income Tax.

From balance salary you can recober whole amount if any advance salary is paid to him.

There is no such limit for deduction as long as any advance is paid to employee & he has agreed to recover the same from salary, then without notifying him you can deduct that amount from salary as agreed.

Thanks!!