HR, Payroll, Attendance Software › Forums › Lenvica HRMS › Ask a Question › Annual Bonus for Employees and Income Tax Calculation with Bonus › Reply To: Annual Bonus for Employees and Income Tax Calculation with Bonus
Yes, annual bonus can be calculated in Lenvica HRMS. Please refer the video link below to view the bonus processing in Lenvica HRMS payroll software.
How to calculate bonus in Lenvica HRMS Payroll Software??
As shown in the video, you can define bonus periods, create formula for caculating the bonus, rounding off final bonus figures, restricting to a maximum amount, pull bonus reports etc from the payroll software. The salary heads you select in bonus module to create formala returns the cumulative of all the months that are in the bonus period. For e.g. Suppose that your bonus period is from Oct 2018 to Sept 2019 and you have included Basic Pay in the formula. Basic pay here will return the sum of basic pay from Sept 2018 to Oct 2019. Unlike other software, users don’t have to import the a whole year’s data again in software just to calculate bonus. This way, you can easily calculate the annual bonus of your staff.
The bonus calculated through the payroll software will be automatically considered for Income Tax (TDS) calculation in the software. Bonus amount is added to the gross salary figure and reflects in the taxable income that the software applies to the tax slab.