Super Annuation Perquisite calculation in Webpay
1. Create a paycode by the name Super Annuation with following properties
Part of Gross: No
Part of Tax: No
Present Dependent: No
Calculate at Runtime: Yes
Mapping: Super Annuation
Formula: Yes (as mentioned below)
2. Create a formula for Super Annuation (Basic * 15%)
3. The limit of Super Annuation should be in Company Configuration Table. At present the limit is Rs.1,00,000.
Eg. Basic per month = 100000
Super Annuation = 15% of Basic = 15000
Annual Super Annuation = Rs.1,80,000
Perquisite Value = 180000 - 100000 = 80000
Blog by BBSPL
Webpay
Showing posts with label super annuation. Show all posts
Showing posts with label super annuation. Show all posts
Tuesday, May 31, 2011
Friday, February 18, 2011
What is Superannuation?
Superannuation Fund is a retirement benefit plan for the employees. This is mostly managed by companies like Life Insurance Corporation of India (LIC).
The company contributes 15% of basic earned wage and deposits it to LIC. This is / can be invested by LIC Fund Managers thereafter. Tax is deducted by the companies on superannuation amount on month on month basis. Tax is deducted on annual amount more than 1,00,000.
When the employee retires, he / she can withdraw 1/3rd from the fund. The rest is converted into capital for payment of annuities. The annuity amount varies depending on the age of the employee, his/her fund size, what option the employee is asking for viz. monthly, quarterly, half-yearly or annual payments of annuity.
If the employee resigns, the employee can transfer the amount to the new employer. If the new employer does not have superannuation scheme option then the employee can withdraw the amount and the employee needs to pay taxes. The employee can however may not withdraw and retain till the superannuation age.
If you find any problem in explanation please revert back to support@bbspl.com
Blog by BBSPL
The company contributes 15% of basic earned wage and deposits it to LIC. This is / can be invested by LIC Fund Managers thereafter. Tax is deducted by the companies on superannuation amount on month on month basis. Tax is deducted on annual amount more than 1,00,000.
When the employee retires, he / she can withdraw 1/3rd from the fund. The rest is converted into capital for payment of annuities. The annuity amount varies depending on the age of the employee, his/her fund size, what option the employee is asking for viz. monthly, quarterly, half-yearly or annual payments of annuity.
If the employee resigns, the employee can transfer the amount to the new employer. If the new employer does not have superannuation scheme option then the employee can withdraw the amount and the employee needs to pay taxes. The employee can however may not withdraw and retain till the superannuation age.
If you find any problem in explanation please revert back to support@bbspl.com
Blog by BBSPL
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