Hi experts, Our company following the 30 days as base for calculation of monthly salary.And I'm having the following situation:
- In a 31 day month One of the employee is absent for 15 days and worked for 16 days.
- In this for how many days should we make the payment
a).30-15(absent) = 15days
or
b). 16 days as he worked
- In a 31 day month One of the employee is absent for 15 days and worked for 16 days.
- In this for how many days should we make the payment
a).30-15(absent) = 15days
or
b). 16 days as he worked
Dear Kishore,
Different Calendars have different number of days for a calendar month though there is uniformity in the no. of months in a year.
According to the Solar Calendar, a regular year has 365 days and as such a month has 30.42 days (365/12) and a Leap year has 30.50 days (366/12).
The Gregorian Calendar has 30.44 days in a month (365.2425/12).
As you know there are 7 months having 31 days, 4 months having 30 days and one month namely the February alternates between 28 and 29 days once in four years.
Therefore, the universal presumption for the sake of calculation is that a month normally comprises of 30 days only.
When wage/salary of employees are calculated on daily rate basis, there is no problem as only the days worked are taken into account for the purpose.
However, when the compensation package is based on monthly basis, the difference in the days of months does not matter so far as the whole year is concerned. Yet the difficulty such as the one you have mentioned arises only when there is part attendance entitling salary/wages to the employee concerned and part absence in a given month entitling no wages at all.
In such a situation, based on the practice followed in Central and State Govt Departments, the monthly wages/salary has to be divided by the actual no. of days in the particular month to arrive at the daily rate.
From India, Salem
Different Calendars have different number of days for a calendar month though there is uniformity in the no. of months in a year.
According to the Solar Calendar, a regular year has 365 days and as such a month has 30.42 days (365/12) and a Leap year has 30.50 days (366/12).
The Gregorian Calendar has 30.44 days in a month (365.2425/12).
As you know there are 7 months having 31 days, 4 months having 30 days and one month namely the February alternates between 28 and 29 days once in four years.
Therefore, the universal presumption for the sake of calculation is that a month normally comprises of 30 days only.
When wage/salary of employees are calculated on daily rate basis, there is no problem as only the days worked are taken into account for the purpose.
However, when the compensation package is based on monthly basis, the difference in the days of months does not matter so far as the whole year is concerned. Yet the difficulty such as the one you have mentioned arises only when there is part attendance entitling salary/wages to the employee concerned and part absence in a given month entitling no wages at all.
In such a situation, based on the practice followed in Central and State Govt Departments, the monthly wages/salary has to be divided by the actual no. of days in the particular month to arrive at the daily rate.
From India, Salem
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From India, Bhopal
From India, Bhopal
I agree with MR. Umakanthji,
We do follow the per day basis calculation for calculating the salaries. As few months are of 30 days and few are of 31 days. also, February whcih is 28/29 days.
Per day calculation for the whole month is the best option available.
From India, Mumbai
We do follow the per day basis calculation for calculating the salaries. As few months are of 30 days and few are of 31 days. also, February whcih is 28/29 days.
Per day calculation for the whole month is the best option available.
From India, Mumbai
What about the paid weekly off days in your organization? If there are, monthly salary should be divided by total days minus weekly off days. Please inform.
From India, Calcutta
From India, Calcutta
Dear Kishore,
In case of monthly rated employees, Base for wage/salary calculation per day will be pertaining to no of calendar days of that particular month. If in January, March, May, July, August, October & December divided by 31, February 28 or 29 and in April June, September or November, divide by 30 as the case may be. I think this should be a fair way calculating daily rate of wages/salary.
In case of daily rated employees, guidelines followed under Minimum wages act that is monthly wages divided by 26 days should be appropriate and in line with law and rules applicable
From India, Bangalore
In case of monthly rated employees, Base for wage/salary calculation per day will be pertaining to no of calendar days of that particular month. If in January, March, May, July, August, October & December divided by 31, February 28 or 29 and in April June, September or November, divide by 30 as the case may be. I think this should be a fair way calculating daily rate of wages/salary.
In case of daily rated employees, guidelines followed under Minimum wages act that is monthly wages divided by 26 days should be appropriate and in line with law and rules applicable
From India, Bangalore
Dear Respected Sir/Maam Please Confirm me Current Pay Scale Wages of Salary Tailor in Noida ZONE. and Also Confirm me ESIC And EPFO Salary
From India, New Delhi
From India, New Delhi
According to any Act. It is nothing mention about the no. of days calculation. If the candidate join or absent, where the calculation is on pro-rata basis. There is nothing mentioned.
Maximum no. of organisation take the no. of days as per the days in a month.
From India, Hyderabad
Maximum no. of organisation take the no. of days as per the days in a month.
From India, Hyderabad
Dear AbuHRD
Your Question:
What about the paid weekly off days in your organization? If there are, monthly salary should be divided by total days minus weekly off days.
Answer: To my understanding, Yes Weekly offs are considered. Why are you substracting weekly offs again. anyways these are entitled in your all days. Example: Out of 30 days, employee has worked for 15 days (including weekly offs) you pay him for 15 days. Any ways, he cannot claim remaining weekly offs for which he hasn't worked.
ALSO to note
If your organization follows prorata basis leaves, that means, 2 leaves accumulates when you complete 1 month. the word here is "Complete". If that's the policy, then two leaves won't be considered.
From India, Mumbai
Your Question:
What about the paid weekly off days in your organization? If there are, monthly salary should be divided by total days minus weekly off days.
Answer: To my understanding, Yes Weekly offs are considered. Why are you substracting weekly offs again. anyways these are entitled in your all days. Example: Out of 30 days, employee has worked for 15 days (including weekly offs) you pay him for 15 days. Any ways, he cannot claim remaining weekly offs for which he hasn't worked.
ALSO to note
If your organization follows prorata basis leaves, that means, 2 leaves accumulates when you complete 1 month. the word here is "Complete". If that's the policy, then two leaves won't be considered.
From India, Mumbai
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