Gratuity
This query is : Resolved
05 August 2010
Hello Expert,
Want to know the process flow in gratuity right from its deduction from employees salary..premium payment...trust formation with LIC....payment to employee on resignation...does LIC pay the gratuity or the company??
the files section has data mostly on gratuity calculation.
thanks
kirti
Want to know the process flow in gratuity right from its deduction from employees salary..premium payment...trust formation with LIC....payment to employee on resignation...does LIC pay the gratuity or the company??
the files section has data mostly on gratuity calculation.
thanks
kirti
05 August 2010
https://www.caclubindia.com/share_files/files_display_search_results.asp?search_txt=gratuity&x=48&y=22
Please check above link for some useful files.
Please check above link for some useful files.
06 August 2010
Sanjay ji,
Had searched the files section b4 posting the query....the files donot have the reqd. info.
thnx
kirti.
Had searched the files section b4 posting the query....the files donot have the reqd. info.
thnx
kirti.
06 August 2010
First of all gratuity is not deducted from employee's salary company pays the gratuity and not LIC. Give me your ID i will mail you a file please check that.
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06 August 2010
sir my email id is kb3108@yahoo.in
A company in Mumbai deducts gratuity & the same is shown in the pay slip. Rate is 4.81% on basic. so i assumed it is deductible from salary.
A company in Mumbai deducts gratuity & the same is shown in the pay slip. Rate is 4.81% on basic. so i assumed it is deductible from salary.
06 August 2010
Please check ur mail.
Message likes :
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06 August 2010
Welcome dear.
VINOD ARORA
(Expert)
06 August 2010
An employee who leaves before 5 years of service is not eligible for gratuity. Moreover, gratuity is a payment by the employer alone and not a 'contribution' to provident fund or ESI. The system of showing gratuity as Cost to Company and deducting the same right from the first salary is illegal and should be discouraged.
07 August 2010
Vinod ji,
Pls confirm whether this is correct.
I thought that company pays yearly premium to LIC based on deductions from salary and when a employee leaves after 5 yrs of service then LIC pays gratuity to the employee.
regards
kirti.
Pls confirm whether this is correct.
I thought that company pays yearly premium to LIC based on deductions from salary and when a employee leaves after 5 yrs of service then LIC pays gratuity to the employee.
regards
kirti.
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