Free tool
Statutory Bonus Calculator
Work out the statutory bonus an employee is owed under the Code on Wages, 2019, using the wage limits the Central Government notified in August 2026. Everything is calculated in your browser. Rules checked 3 Nov 2026.
Wages as defined in the Code on Wages, usually basic pay plus dearness allowance.
Days on paid leave, maternity leave with wages, lay-off and work-injury absence count as days worked.
8.33% is the minimum. A higher rate, up to 20%, depends on the allocable surplus or an agreement.
If the wage is above ₹7,000 a month, bonus is worked out on ₹7,000 or the minimum wage fixed by the Central Government, whichever is higher. Leave blank to use ₹7,000.
Bonus
₹6,997
Worked out on ₹7,000 a month for 12 months = ₹84,000, at 8.33%.
Notes
- Bonus must be credited to the employee's bank account within eight months of the close of the accounting year. For an April to March year, that is by 30 November.
- In the first five accounting years after an establishment starts selling goods or services, bonus is payable only for a year in which it makes a profit.
- An employee dismissed for fraud, riotous or violent behaviour at the workplace, theft, misappropriation or sabotage of the establishment's property, or after conviction for sexual harassment, is not eligible.
- The ₹7,000 notification refers to the minimum wage fixed by the Central Government. If a State Government is the appropriate government for your establishment, check which minimum wage applies.
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