Statutory Bonus Calculator
Estimate bonus under the Payment of Bonus Act from salary, months worked, minimum wage and bonus percentage, with the calculation shown step by step.
How to use the free Statutory Bonus Calculator
- Enter your figures in the fields above – use real numbers from your PMS, channel manager or accounts.
- Tap the button to see the result instantly. Change any value to compare scenarios.
- Copy, print or save the result and use it in your daily or monthly review.
This Statutory Bonus Calculator runs fully in your browser on mobile or desktop – no sign-up and nothing is uploaded. Free statutory bonus calculator for hotels. Uses the ₹7,000 or minimum wage ceiling, months worked and 8.33% to 20% to estimate bonus per employee.
Statutory bonus in simple terms
The Payment of Bonus Act applies to establishments employing 20 or more people, which covers many hotels and resorts. Every eligible employee must receive a bonus of at least 8.33% and at most 20% of the bonus calculation wage for the accounting year, depending on the hotel's allocable surplus.
- Eligibility: salary (basic + DA) up to ₹21,000 a month, and at least 30 working days in the year.
- Calculation ceiling: even if salary is higher, bonus is calculated on ₹7,000 a month or the minimum wage for the job, whichever is higher.
- Range: minimum 8.33%, maximum 20%.
Worked example
A commis chef draws ₹18,000 basic + DA and the applicable state minimum wage is ₹10,000 a month. The calculation wage is ₹10,000, the higher of ₹7,000 and ₹10,000, which is below actual salary. For 12 months at 8.33%, the bonus is ₹9,996. At the maximum 20% it would be ₹24,000.
If an employee joined mid-year and worked 7 months, use 7 months; bonus is proportionate to the period worked. Days on paid leave and certain other absences count as days worked under the Act, so keep attendance records accurate. A printable sheet from the staff duty roster generator helps track this.
Deciding the percentage
The exact percentage above 8.33% depends on the allocable surplus worked out from the hotel's profit under the Act. Many smaller properties pay the minimum; profitable hotels often pay more to retain staff before the festive season. Your CA can work out the surplus from audited accounts.
Budget for it early
Bonus is a real annual cost, so include it when planning wages with the hotel payroll cost calculator and when exiting staff are settled, because unpaid bonus forms part of final dues. Minimum wages differ by state and are revised regularly, and bonus rules can change, so verify current figures with your state labour department or CA. This tool gives an estimate, not legal advice.
Frequently asked questions
Who is eligible for statutory bonus?
Employees drawing basic plus DA up to Rs 21,000 a month who have worked at least 30 working days in the accounting year, in establishments covered by the Payment of Bonus Act.
Why is bonus calculated on Rs 7,000 when salary is higher?
The Act caps the calculation wage at Rs 7,000 a month or the scheduled minimum wage, whichever is higher. Salary above that ceiling is not used in the calculation.
What is the minimum and maximum bonus?
Minimum bonus is 8.33% and maximum is 20% of the calculation wage for the period worked. Verify current rules with your CA or the labour department.
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