How To calculate Minimum Wages in India.
How to Calculate Minimum Wages in Maharashtra: A Step-by-Step Guide Understanding your payroll is essential, whether you are an employer ensuring compliance or an employee checking your pay slip. In India, specifically in Maharashtra, the minimum wage isn't just a single number—it is a calculation derived from two specific components. This guide will walk you through exactly how to calculate the minimum wage using the Minimum Wages Act, 1948 . The Formula At its core, the calculation is simple. The minimum wage is the sum of the Basic Pay and the Special Allowance (often called Dearness Allowance or DA ). Minimum Wage = Basic Pay + Special Allowance The Documents You Need To calculate the exact figure, you need to consult two specific government documents. 1. The Maharashtra Government Gazette (For Basic Pay) This document lists the Basic Wage Rate for various industries (Scheduled Employments). What it tells you: The fixed base salary for your specific industry. Frequency: ...