Dear Seniors, We are a Pvt Ltd company started in March 2010. Currently our employee strength is around 70, across various locations in India. Our internal auditors who visited us recently has indicated that we are not adhered to the regulations of Gratuity Act.
I am aware that we have to follow the below mentioned procedure.
1. Submit Form A to the concern authority
2. Open up a trust for gratuity, with an SB account for the trust
3. Link the trust with LIC schemes (Optional).
We are planning to credit this SB account/LIC on a monthly basis, with the calculated value. Upon the employee becomes eligible, we would pay from this SB account/LIC
Kindly correct me, if our plan is wrong.
My doubt is, if an employee leaves the organisation, before the completion of 5 years, can the amount accumulated in the SB account/LIC on behalf of that individual, be credited back to the company account.
If not, how can we proceed to avoid unnecesary blocking of company's fund.
Your inputs would be much of an value for us. Kindly clarify. Thanks in advance.
From India, Madras
I am aware that we have to follow the below mentioned procedure.
1. Submit Form A to the concern authority
2. Open up a trust for gratuity, with an SB account for the trust
3. Link the trust with LIC schemes (Optional).
We are planning to credit this SB account/LIC on a monthly basis, with the calculated value. Upon the employee becomes eligible, we would pay from this SB account/LIC
Kindly correct me, if our plan is wrong.
My doubt is, if an employee leaves the organisation, before the completion of 5 years, can the amount accumulated in the SB account/LIC on behalf of that individual, be credited back to the company account.
If not, how can we proceed to avoid unnecesary blocking of company's fund.
Your inputs would be much of an value for us. Kindly clarify. Thanks in advance.
From India, Madras
Each year authorities of LIC will call for data of employees on which premium to be calculated for the gratuity trust in which your question is answered that LIC only manages the fund , LIC will release the gratuity to the trust and trust will release to employee concerned. Its all upon the manament by you that gratuity to be paid as per provisions of the Gratuity Act.
From India, Gurgaon
1From India, Gurgaon
Version Systems, developed a TRUSTe Employee Retirement Benefit Solution a cloud-based as well as intranet, released with single point complete solution that handles the complete spectrum of activities related to employee retirement benefit funds. Its a user defined web based solution made on latest technologies (.net/SQL or Oracle) available on (SAAS/Enterprise Models).
Software provides integrated trust accounting and Investment solution required to every PF trust of any organization. It supports for investment management like yield calculations, amortization, interest accrual, investment getting mature and interest due, loan history and auto calculation of eligible amount and track for the withdrawals amount. Feature for Automatic import facility for employees master, monthly contribution, transfer in/out, settlement, loan and investment from SAP, other ERP, Excel and other format like CSV and DBF.
At the heart of this web based software is its employee’s friendliness which enables employees online self service (ESS) web access for online balance check of employee’s PF Fund/Superannuation, nomination detail update, status of their withdrawal claim, online loan application and eligibility check, FAQ and various form downloading with necessary prefilled data. Transparent picture is made feasible.
Various features like automatic interest calculation on PF, Investment Management and Tracking, Loans and Permanent withdrawals with amortization, Settlements/Transfer Out, Book Keeping, [H1]Statutory Returns[/H1], Reports, Multiple Financial Year, One solution for Multiple Trusts, Data Security and Backup are included in this SAAS.
From India, Rajkot
Software provides integrated trust accounting and Investment solution required to every PF trust of any organization. It supports for investment management like yield calculations, amortization, interest accrual, investment getting mature and interest due, loan history and auto calculation of eligible amount and track for the withdrawals amount. Feature for Automatic import facility for employees master, monthly contribution, transfer in/out, settlement, loan and investment from SAP, other ERP, Excel and other format like CSV and DBF.
At the heart of this web based software is its employee’s friendliness which enables employees online self service (ESS) web access for online balance check of employee’s PF Fund/Superannuation, nomination detail update, status of their withdrawal claim, online loan application and eligibility check, FAQ and various form downloading with necessary prefilled data. Transparent picture is made feasible.
Various features like automatic interest calculation on PF, Investment Management and Tracking, Loans and Permanent withdrawals with amortization, Settlements/Transfer Out, Book Keeping, [H1]Statutory Returns[/H1], Reports, Multiple Financial Year, One solution for Multiple Trusts, Data Security and Backup are included in this SAAS.
From India, Rajkot
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