sir/mam
i am a student of mba pursuing my career in hr ,i am having problem in understanding the fourth schedule , where the concept of set on and set off is calculated and discussed , my general understanding is that the set on is used as giving bonus in the next 4 years if the employee fall short of the minimum bonus & for set off if the company fall short of the min bonus then it is paid and later on it is adjusted from next 4 years surplus, plz help me with the fourth schedule.and oblige
regards
From India, New Delhi
1i am a student of mba pursuing my career in hr ,i am having problem in understanding the fourth schedule , where the concept of set on and set off is calculated and discussed , my general understanding is that the set on is used as giving bonus in the next 4 years if the employee fall short of the minimum bonus & for set off if the company fall short of the min bonus then it is paid and later on it is adjusted from next 4 years surplus, plz help me with the fourth schedule.and oblige
regards
From India, New Delhi
If the allocable surplus is more than enough to pay maximum bonus viz. 20%, the balance amount will be carried forward to next four years, subject to a ceiling of another 20% which is called Set on. If the allocable surplus is less than enough to pay minimum bonus, the balance amount will be adjusted from the next four years which is called Set off. Accordingly the maximum bonus to be adjusted towards Set off will be 8.33%.
Abbas.P.S
From India, Bangalore
Abbas.P.S
From India, Bangalore
sir,
thank you so much sir , this concept of cieling of 20% in the set on and 8.33% as set off was nt mentioned, thank u ,, and is there any provision for the over and above amt above the set on value of the allocable surplus.or its just the profit for the employer..
From India, New Delhi
thank you so much sir , this concept of cieling of 20% in the set on and 8.33% as set off was nt mentioned, thank u ,, and is there any provision for the over and above amt above the set on value of the allocable surplus.or its just the profit for the employer..
From India, New Delhi
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THE PAYMENT OF BONUS ACT.doc