Sunday, June 7, 2009

Group Gratuity Plan

Group Gratuity Scheme : Under section 4A of the Payment of Gratuity Act,1972 gratuity amount is required to be insured by the employers. In this context Life Insurance Corporation of India has floated a policy for insurance of gratuity to the employees of organisation.Under the above , a trust is required to be established by the employer for the purposes of managing the gratuity funds. Trust will will create a fund with the LIC against payment of gratuity. Contribution towards the fund are generally intimated by LIC to trust on annual basis. This calculation is based on accturial basis. The other part is insurance of the fund. Trust will deal with the LIC for payment of contributions towards the gratuity fund and Insurance premium for the insurance of gratuity to the employees of the company.These premiums are to be paid on annual basis.
Benefit of the same to the employer is that the contributions paid by employer to gratuity trust will be recognised as expenses for the year in balance sheet though these are to be utilised in future. Further in case a big number of employees leave organisation at one time , the financial burden on the emloyer will not be directly proportionate to the number of employees left. The reason is that the employer has already discharged his liability in parts and has paid annual premium.
The other biggest benefit is that in case of death of an employee during the course of employment , the nominee will get gratuity amount not only for the period of rendered services but till the date of retirement.This part is being taken care by LIC against the insurance premium paid by employer.
It is suggested that before making trust rules ( Model copies are generally provided by the LIC) please go through the same and amend as per your requirement.This trust is also required to be recognised by Income Tax Authorities. This part is being taken care by LIC.
Click the links below for different Group gratuity trust Plans.
1. http://www.futuregenerali.in/Life_Insurance/Products/grp_gratuity_plan.aspx
2. http://www.maxnewyorklife.com/Corporate/unit_linked_group_gratuity.aspx
3.http://www.iciciprulife.com/public/Brochures/Gratuity.pdf
4.http://www.sbilife.co.in/sbilife/content/10_2443

8 comments:

Anonymous said...

Hmm is anyone else having problems with the pictures on this blog loading?
I'm trying to find out if its a problem on my end or if it's the
blog. Any suggestions would be greatly appreciated.
Here is my webpage youtube.com

Anonymous said...

For latest news you have to go to see web and on internet I found
this web page as a best web site for most up-to-date updates.
My site ; Work from home jobs

Anonymous said...

Howdy! I know this is kinda off topic but I'd figured I'd ask.
Would you be interested in exchanging links or
maybe guest authoring a blog post or vice-versa?
My site discusses a lot of the same subjects as yours and I believe we could greatly benefit from each other.
If you're interested feel free to shoot me an e-mail. I look forward to hearing from you! Terrific blog by the way!
Feel free to surf my page ... free iphone

Anonymous said...

This is my first time visit at here and i am really impressed to read all at one place.
Also visit my web blog : www.khushkhabari.com

Anonymous said...

jack. A car jack can hold a car up but it is not a stable support. [url=http://www.designwales.org/nfl-outlet.htm]NFL Jerseys store[/url] your legal practice to representing homeschooling families? [url=http://www.designwales.org/mbt-outlet.htm]MBT shoes sale[/url] shot at getting a glimpse of the dealer hole card.?!-- [url=http://www.designwales.org/mbt-outlet.htm]MBT shoes Outlet[/url] inexpensive ideas and battle back against the economy, as the
Davy Jones, the supernatural leader of the Flying Dutchman, a [url=http://www.designwales.org/isabel-marant-outlet.htm]Isabel Marant boots[/url] jeans under this label is Rick Four Slim jeans. This is available [url=http://www.designwales.org/nfl-outlet.htm]NFL Jerseys outlet[/url] Just dont risk it. Okay, your jack-o-lantern is carved and [url=http://www.designwales.org/mbt-outlet.htm]MBT shoes sale[/url] youre done, all youll need is the lighting. Choosing the Right
candle inside is secure in its setting. Make the floor inside [url=http://www.designwales.org/isabel-marant-outlet.htm]http://www.designwales.org/isabel-marant-outlet.htm[/url] permanent marker or a crayon will work great for this. Gutting [url=http://www.designwales.org/nfl-outlet.htm]NFL Jerseys outlet[/url] we have a very responsible official investigating a case, and [url=http://www.designwales.org/mbt-outlet.htm]http://www.designwales.org/mbt-outlet.htm[/url] between homeschoolers and government agencies? A: It depends on

Anonymous said...

Hi, I think your website may be having browser compatibility
issues. When I take a look at your blog in Safari, it looks fine however,
when opening in I.E., it's got some overlapping issues. I simply wanted to provide you with a quick heads up! Apart from that, fantastic site!

Check out my blog ... Dillon Bill

Anonymous said...

Asking questions are truly pleasant thing if you are not understanding anything
totally, except this article gives nice understanding yet.

Also visit my web page Rosio Hanshew

Anonymous said...

tramadol online buy tramadol in florida - buy tramadol cheap online

Guest Book

Labels