Increment Date or Promotion Date which is better??

 

Increment Date or Promotion Date which is better??

Let us assume,         Normal increment:     May         Promotion month:     July         Baisc pay in May:        60000         increment rate is:        2000         DA enhanced rate:     3%
Month option given to Increment date option given to Promotion date   If option given to incre. date, Diff. in Pay Loss/ Gain Basic DA@3% HRA@11% Basic+DA +HRA Basic DA@3% HRA@11% Basic+DA +HRA DA rate Jul-24 62000 1860 6820 70680 64000 1920 7040 72960 3% -2280 Loss Aug-24 62000 1860 6820 70680 64000 1920 7040 72960 3% -2280 Loss Sep-24 62000 1860 6820 70680 64000 1920 7040 72960 3% -2280 Loss Oct-24 62000 1860 6820 70680 64000 1920 7040 72960 3% -2280 Loss Nov-24 62000 1860 6820 70680 64000 1920 7040 72960 3% -2280 Loss Dec-24 62000 1860 6820 70680 64000 1920 7040 72960 3% -2280 Loss Jan-25 62000 3720 6820 72540 64000 3840 7040 74880 6% -2340 Loss Feb-25 62000 3720 6820 72540 64000 3840 7040 74880 6% -2340 Loss Mar-25 62000 3720 6820 72540 64000 3840 7040 74880 6% -2340 Loss Apr-25 62000 3720 6820 72540 64000 3840 7040 74880 6% -2340 Loss May-25 66000 3960 7260 77220 64000 3840 7040 74880 6% 2340 Gain Jun-25 66000 3960 7260 77220 64000 3840 7040 74880 6% 2340 Gain Jul-25 66000 5940 7260 79200 66000 5940 7260 79200 9% 0 Aug-25 66000 5940 7260 79200 66000 5940 7260 79200 9% 0 Sep-25 66000 5940 7260 79200 66000 5940 7260 79200 9% 0 Oct-25 66000 5940 7260 79200 66000 5940 7260 79200 9% 0 Nov-25 66000 5940 7260 79200 66000 5940 7260 79200 9% 0 Dec-25 66000 5940 7260 79200 66000 5940 7260 79200 9% 0 Jan-26 66000 7920 7260 81180 66000 7920 7260 81180 12% 0 Feb-26 66000 7920 7260 81180 66000 7920 7260 81180 12% 0 Mar-26 66000 7920 7260 81180 66000 7920 7260 81180 12% 0 Apr-26 66000 7920 7260 81180 66000 7920 7260 81180 12% 0 May-26 68000 8160 7480 83640 66000 7920 7260 81180 12% 2460 Gain Jun-26 68000 8160 7480 83640 66000 7920 7260 81180 12% 2460 Gain Jul-26 68000 10200 7480 85680 68000 10200 7480 85680 15% 0 Aug-26 68000 10200 7480 85680 68000 10200 7480 85680 15% 0 Sep-26 68000 10200 7480 85680 68000 10200 7480 85680 15% 0 Oct-26 68000 10200 7480 85680 68000 10200 7480 85680 15% 0 Nov-26 68000 10200 7480 85680 68000 10200 7480 85680 15% 0 Dec-26 68000 10200 7480 85680 68000 10200 7480 85680 15% 0 Jan-27 68000 12240 7480 87720 68000 12240 7480 87720 18% 0 Feb-27 68000 12240 7480 87720 68000 12240 7480 87720 18% 0 Mar-27 68000 12240 7480 87720 68000 12240 7480 87720 18% 0 Apr-27 68000 12240 7480 87720 68000 12240 7480 87720 18% 0 May-27 70000 12600 7700 90300 68000 12240 7480 87720 18% 2580 Gain Jun-27 70000 12600 7700 90300 68000 12240 7480 87720 18% 2580 Gain Jul-27 70000 14700 7700 92400 70000 14700 7700 92400 21% 0 Aug-27 70000 14700 7700 92400 70000 14700 7700 92400 21% 0 Sep-27 70000 14700 7700 92400 70000 14700 7700 92400 21% 0 Oct-27 70000 14700 7700 92400 70000 14700 7700 92400 21% 0 Nov-27 70000 14700 7700 92400 70000 14700 7700 92400 21% 0 Dec-27 70000 14700 7700 92400 70000 14700 7700 92400 21% 0 Jan-28 70000 16800 7700 94500 70000 16800 7700 94500 24% 0 Feb-28 70000 16800 7700 94500 70000 16800 7700 94500 24% 0 Mar-28 70000 16800 7700 94500 70000 16800 7700 94500 24% 0 Apr-28 70000 16800 7700 94500 70000 16800 7700 94500 24% 0 May-28 72000 17280 7920 97200 70000 16800 7700 94500 24% 2700 Gain Jun-28 72000 17280 7920 97200 70000 16800 7700 94500 24% 2700 Gain Jul-28 72000 19440 7920 99360 72000 19440 7920 99360 27% 0 Aug-28 72000 19440 7920 99360 72000 19440 7920 99360 27% 0 Sep-28 72000 19440 7920 99360 72000 19440 7920 99360 27% 0 Oct-28 72000 19440 7920 99360 72000 19440 7920 99360 27% 0 Nov-28 72000 19440 7920 99360 72000 19440 7920 99360 27% 0 Dec-28 72000 19440 7920 99360 72000 19440 7920 99360 27% 0 Jan-29 72000 21600 7920 101520 72000 21600 7920 101520 30% 0 Feb-29 72000 21600 7920 101520 72000 21600 7920 101520 30% 0 Mar-29 72000 21600 7920 101520 72000 21600 7920 101520 30% 0 Apr-29 72000 21600 7920 101520 72000 21600 7920 101520 30% 0 May-29 74000 22200 8140 104340 72000 21600 7920 101520 30% 2820 Gain Jun-29 74000 22200 8140 104340 72000 21600 7920 101520 30% 2820 Gain Jul-29 74000 24420 8140 106560 74000 24420 8140 106560 33% 0 Aug-29 74000 24420 8140 106560 74000 24420 8140 106560 33% 0 Sep-29 74000 24420 8140 106560 74000 24420 8140 106560 33% 0 Oct-29 74000 24420 8140 106560 74000 24420 8140 106560 33% 0 Nov-29 74000 24420 8140 106560 74000 24420 8140 106560 33% 0 Dec-29 74000 24420 8140 106560 74000 24420 8140 106560 33% 0 Jan-30 74000 26640 8140 108780 74000 26640 8140 108780 36% 0 Feb-30 74000 26640 8140 108780 74000 26640 8140 108780 36% 0 Mar-30 74000 26640 8140 108780 74000 26640 8140 108780 36% 0 Apr-30 74000 26640 8140 108780 74000 26640 8140 108780 36% 0 May-30 76000 27360 8360 111720 74000 26640 8140 108780 36% 2940 Gain Jun-30 76000 27360 8360 111720 74000 26640 8140 108780 36% 2940 Gain Total 6517080 Total 6508440
Note: Only two months difference between normal increment and promotion month is taken for calculation, i.e. May-July If we opt promotion month, during the first few months we get profit (we get 10 months profit only) if we opt increment month,  we get profit in future with early increment and increasing DA rates (we get increment 2 months early) Do not loose your yearly profit of 2 months for just 10 months profit (in this case- May to July Comparision) Opting Increment date is profitable if you have more service.  Those who are going to retire, can use the pay fixation calculator and check which is useful for them. So, Option given to increment date is profitable (in this case)
prepared by Keshava Reddy Cheraku

 for calculation and promotion fiation calculator:

click the following links to know more information about pay fixations:

---------------------------------------------------------------------------------------

PROMOTION PAY FIXATION SOFTWARE: CLICK HERE TO DOWNLOAD

--------------------------------------------------------------------------------------

CLICK TO READ THE FIXATION RULES IN TELUGU

---------------------------------------------------------------------------------------