Question No. 1:
If the salary and allowances of an employee are as follows:
Basic Salary :16,000Rs
House Rent Allowance 45%
Conveyance Allowance 10%
Utilities Allowance 10%
Group Insurance/Medical 0%
Misc. Social Charges 6.5%
There are 12 Casual, 24 Earned (not availed) and no Sick leaves per year where as
normal working days per month are 22 . Calculate the Gross Remuneration of the
Employee.
Sol:
Basic Salary 16,000
House Rent Allowance 0.45 16,000 7,200
Conveyance allowance 0.10 16,000 1,600
Utilities Allowance 0.10 16,000 1, 600
Total Allowances 7,200 1,600 1,600 10,400
Gross Salary 16,000 10,400 26,400
Provident Fund 9.09%
1/11 16,000 0.0909 16,000 1, 454.4
Gratuity Fund 9.09%
1/11 16,000 0.0909 16,000 1, 454.4
Earned Leave (24 days out of 22 12
)
24 / 22 12 26, 400 2, 400
Casual Leave (12 days out of 22 12
)
12 / 22 12 26, 400 1, 200
Sick Leave (0 days out of 22 12) 0
Group Ins. /Medical
0% 0
Misc. Social Charges
6.5%
16,000 10,400 0.065 1,716
Leaves 2,400 1,200 3,600
Total Social Charges 1,716 3,600 5,316
Gross Remuneration Gross Salary
Provident Fund
Gratuity FundSocial Charges
26,400 1,454 1,454 5,316 34,624
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