Methods for Calculating a 15% Cost-of-Living Allowance (COLA)
The Ghanaian government has provided a 15 percent Cost of Living Allowance (COLA) to all public sector employees as compensation after teachers began a strike and other labor agitations in support of a 20 percent COLA. This is because of the socioeconomic conditions that exist today and the changes that the world has undergone, which have an impact on the lives of regular Ghanaian employees in 2022.
The late President John Evans Atta Mills initiated the Payment of Cost of Living Allowances (COLA).
COLA has no effect on SSNIT, like the majority of allowances. Employees are protected from the harsh effects of economic unrest by it.
The COLA amount is the same as your retention premium, and in the past, instructors only received this one benefit. Additionally, the retention premium accounts for 15% of the base pay. Additionally, 15 percent of the single spine's monthly compensation will be used to compute the base pay, also known as the single spine.
Assume that the single spine wage on the payslip is GHC 1954.90 per month. Consider 15/100: 1954.90 + GHC 293.24 Your retention premium will be the same as this sum.
It is significant to note that there will be no SSNIT deductions on the GHC 293.24 payment, which will be made each month from July through December. In other words, the 15% COLA is not taxable.
How to Read a Payslip for COLA
The COLA you will receive is equal to the retention premium amount that is shown on your pay stub.
Earners in this range should review the COLA computation below:
The Cost of Living Allowance for Teachers is discussed in detail here. The Cost of Living Allowance for Teachers, its application, and payment information are all explained in full here.
blogpay
Total Comments: 0