Applicability of statutory bonus - impact of Amendment Act 2015

Applicable to all employees whose basic + DA ('eligible salary') less than Rs.21,000

Minimum bonus payable is 8.33% of eligible salary and maximum bonus 20% of eligible salary
If 8.33% of eligible salary exceeds Rs.7,000 per year, then the statutory bonus limited to Rs.7,000 or Rs.583 per month

Statutory bonus payable on monthly also based on actual number of days worked, etc (excluding LOP's)

The revised bonus limits as given above are applicable from 1 April 2014
Every employee whose salary not exceeds Rs.21,000 per month eligible for statutory bonus

Every category of employees, including skilled or unskilled, supervisory, managerial, administrative, technical or clerical
works

8.33% is the minimum bonus and the amount increases when the profit of the entity grows-up
Maximum bonus payable to any employee, even if they are making good profits limit to 20% of eligible salary - Rs. 16,800
for the year or Rs. 1,400 per month

Minimum or maximum bonus depends on "Allocable Surplus" available to the entity - calculation based on the formula
given in the Rules / Act
 Bonus % based on Allocable surplus 8.33%
Monthly
Emp code Name Designation Bonus for the year
Basic + DA Bonus
X200001 ABC Manager 25,000 - -
X200002 BCD Clerk 18,000 583 7,000
X200003 CDE Accountant 12,000 583 7,000
X200004 DEF Worker 11,000 583 7,000
X200005 EFG Worker 10,000 583 7,000
X200006 FGH Worker 9,000 583 7,000
X200007 GHI Worker 8,000 583 7,000
X200008 HIJ Worker 7,000 583 7,000
X200009 IJK Worker 6,000 500 6,000
X200010 JKL Worker 5,000 417 5,000