Calculate statutory bonus per the Act

Employees earning Basic+DA up to ₹21,000/month who have worked at least 30 days in the financial year. Applies to establishments with 20+ employees (some states extend to 10+).

Section 12 of the Payment of Bonus Act caps the calculation basis at ₹7,000 or the state minimum wage, whichever is higher. Even if basic is ₹20,000, bonus is calculated on ₹7,000.

Minimum: 8.33% (always payable if eligible). Maximum: 20% in years of high profit. Most companies pay between 8.33-15% based on financial performance.

Within 8 months from the end of the accounting/financial year. Most Indian companies pay statutory bonus in October-November alongside Diwali bonuses.

Yes — fully taxable as salary income, added to your annual income and taxed at slab rates. TDS applies if total income exceeds taxable threshold.

Months worked × monthly bonus. Example: ₹7K × 8.33% × 6 months (joined July) = ₹3,498 for the partial FY.

Yes for the variable portion (above 8.33%). But the minimum 8.33% is mandatory regardless of profits — section 10 of the Act.

Bonus is payable for the months worked. Final settlement must include the statutory bonus along with leave encashment, gratuity, and salary dues.