Find the maximum managerial remuneration a public company may pay: the 11% overall cap, the 5%/10%/1%/3% sub-limits, and the Schedule V route when profits are inadequate.
Inputs (₹)
Net profit computed under Section 198, derive it with the CSR calculator or the template. Section 197 caps total managerial remuneration at 11% of this.
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Permissible remuneration
Overall ceiling, 11% of net profit
,
MD / WTD / Manager ceiling
,
Non-executive directors
,
Profits adequate?
,
Schedule V limit / managerial person (if inadequate)
Section 197 caps total managerial remuneration of a public company at 11% of net profit (Sec 198): within that, 5% for one MD/WTD/manager (10% for more than one) and 1% for other directors (3% where there is no MD/WTD/manager). Where profits are inadequate or absent, Schedule V limits apply by effective-capital slab (doubled with a special resolution). Private companies are outside Section 197. Not legal advice, confirm with your CS / auditor.