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Bonus Calculator India 2026

Calculate statutory bonus under the Payment of Bonus Act 1965, performance bonus, and ex-gratia. Compliant with 8.33%–20% bonus rules for Indian businesses.

✓ Statutory Bonus (8.33%–20%) ✓ Performance Bonus ✓ Ex-Gratia Bonus ✓ Bonus Act 1965
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Bonus Calculator — Payment of Bonus Act 1965

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Actual Bonus Payable
₹0
Minimum Bonus (8.33%)
₹0
Maximum Bonus (20%)
₹0
Annual Salary
Monthly Salary
Working Days
Bonus Payable (based on profit %)
Note: Statutory bonus is calculated on ₹7,000 or the minimum wage notified, whichever is higher. Employees earning above ₹21,000/month are not eligible. Payment deadline: within 8 months of financial year close.
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Pro-rated Bonus
₹0
Full Year Bonus
₹0
TDS Approx (30%)
₹0
Annual CTC
Bonus % on CTC
Achievement Adjusted
Pro-rated Bonus (Months Worked)
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Total Ex-Gratia Bonus
₹0
Monthly Salary
₹0
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⚖️ Bonus Act 1965
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3 Bonus Types
Instant Results
1,20,000+
Businesses Served
60+
Free Tools
4.8★
Average Rating

Payment of Bonus Act 1965 — Key Rules

RuleDetails
Eligibility thresholdSalary ≤ ₹21,000/month
Minimum bonus8.33% of annual salary
Maximum bonus20% of annual salary
Calculated on₹7,000 or minimum wage (whichever higher)
Minimum working days30 days in the accounting year
Payment deadlineWithin 8 months of financial year close
Applicable toEstablishments with 20+ employees
★★★★★
"We used this to calculate bonus for all 45 employees before Diwali. The statutory bonus tab clearly showed who qualifies (salary ≤ ₹21,000) and how much each person gets. Saved hours of spreadsheet work."
Priya Sharma — HR Manager, Pune
★★★★★
"The performance bonus calculator is excellent. I added target achievement percentage and it gave the pro-rated amount for employees who joined mid-year. Very practical tool."
Karthik Menon — Startup founder, Bangalore
★★★★☆
"Clear explanation of the 8.33% minimum and 20% maximum — I was unaware of the exact cap. Registered our business for labour compliance through ClearlyComply after using this tool."
Anita Gupta — Business owner, Delhi

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Frequently Asked Questions

Who is eligible for statutory bonus?+
Employees earning up to ₹21,000/month (basic + DA) are eligible. They must have worked for at least 30 days in the financial year. Applies to companies with 20+ employees. Government employees have separate bonus rules under different acts.
What is the minimum statutory bonus percentage?+
The minimum statutory bonus is 8.33% of annual salary (one month's wages). Even if the company has no allocable surplus, this minimum is mandatory. The maximum is 20%. Bonus is calculated on ₹7,000 or the applicable minimum wage, whichever is higher.
When must bonus be paid?+
Bonus must be paid within 8 months of the close of the accounting year. For FY ending 31 March, this means payment by 30 November. Festival bonus (Diwali, Eid) paid during the year can be adjusted against statutory bonus liability.
Is bonus taxable in India?+
Yes, all types of bonus — statutory, performance, and ex-gratia — are fully taxable as salary income. TDS is deducted at source. There is no exemption for bonus under the Income Tax Act. The bonus is added to total salary and taxed at your applicable slab rate.
What is ex-gratia bonus?+
Ex-gratia is a voluntary bonus paid at the employer's discretion — typically during festivals (Diwali, Christmas, Eid). It is not governed by the Bonus Act and has no minimum or maximum limit. Companies sometimes pay ex-gratia when they cannot pay statutory bonus due to losses. It is taxable as salary income.

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