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Hi Team members
could you pls share me the following information regarding gratuity
1. what is % rate of gratuity amount paid to nominee of employee.
2. How many Nominee are entitle for gratuity after death & up to which age.
3. If nominees are 2 unmarried children;wife and dependant parents what will be the % ratio..
4. Does the employer pay the Gratuity amount to nominee(Wife) only who is mentioned in nomination form or dependant parents are entitled if they are not included in form.
5.What will happen if mother take all the amount of gratuity and dosenot distribute to children and get remarried.
6.Does the gratuity amount is paid in installment and if mother gets marriage does the % of mother is equally distributed among children.
7. If their is gratuity insurance also then i guess the gratuity is paid in installment but for much duration.Pls clear my doubt.
8. Can brother/sister be made nominee.
Pls share the answar.
Thanks in advance
Inquistiveness is the ladder of success.

From India, Mumbai

Hi Team members
could you pls share me the following information regarding gratuity
1. what is % rate of gratuity amount paid to nominee of employee.
2. How many Nominee are entitle for gratuity after death & up to which age.
3. If nominees are 2 unmarried children;wife and dependant parents what will be the % ratio..
4. Does the employer pay the Gratuity amount to nominee(Wife) only who is mentioned in nomination form or dependant parents are entitled if they are not included in form.
5.What will happen if mother take all the amount of gratuity and dosenot distribute to children and get remarried.
6.Does the gratuity amount is paid in installment and if mother gets marriage does the % of mother is equally distributed among children.
7. If their is gratuity insurance also then i guess the gratuity is paid in installment but for much duration.Pls clear my doubt.
Pls share the answar.
Thanks in advance

From India, Mumbai
Dear Mr/Ms/Mrs,
as per your query, if any person who is married, his wife is considered as a nominee, but she got remarriage then she is not entitle for getting the gratuity amount in this case parents are legal nominee.
Share of gratuity is mention in the form which has been filled by the concern employee at the time of joining.
% of share is also mention in this form.if nominee is one person then he/she will be entitle for 100% gratuity and if two are then equal portion will be given.

From India, Coimbatore
Sir; suppose if employee dies, Does the gratuity & gratuity insurance payment are different, does the amount paid in installment? Up to which age nominee are entitled Pls reply Thanks
From India, Mumbai
My dear Anonymous,
I suggest you to go through Section 2(h), which defines 'Family' and Section 6 ,which relates to 'Nomination' under the Payment of Gratuity Act,1972. I am sure half of your queries will get the answer.If still remains some, you are free to approach members of the cite HR.
Thanks.
BS Kalsi
Member since Aug 2011

From India, Mumbai
Hi,

Since, you have nomination, gratuity amount is payable to nominee only. See Section 4 of the Act. If no nomination is there, then let the claimant to move to Controlling Authority. It is best and suggested that you may deposit the amount of Gratuity to the Controlling Authority who will disburse as per Act and in this way, no claim would arise on you.

Part of Section 4 is reproduced below:

4. Payment of Gratuity.- (1) Gratuity shall be payable to an employee on

the termination of his employment after he has rendered continuous service for

not less than five years,-

(a) on his superannuation, or

(b) on his retirement or resignation,

(c) on his death or disablement due to accident or disease:

Provided that the completion of continuous service of five years shall not be

necessary where the termination of the employment of any employee is due to

death or disablement:

[Provided further that in case of death of the employee, gratuity payable to

him shall be paid to his nominee or, if no nomination has been made, to his

heirs,[/COLOR][/B] and where any such nominees or heirs is minor, the share of such minor,

shall be deposited with the Controlling Authority who shall invest the same for

the benefit of such minor in such bank or other financial institution, as may be

prescribed, until such minor attains majority].

Thanks

V K Gupta

From India, Panipat
When in doubt, approach the authority under gratuity act, give him a notice and follow his instructions to the Last.
To the best of my knowledge, gratuity is payable as lump sum and not in instalments.
Once the money is paid to the nominee, how or what she does with it is her decision. That is more the reason you need to follow instructions of gratuity authority, so you are no held liable

From India, Mumbai
As per nomination spouse got gratuity amount. He/she gets remarriage and did not give a single penny to other nominees like minor children,dependent/non dependent parents.
In this case is there any provision to take back gratuity amount from her/him and distribute to employees dependent children,parents etc.

From India, Jaipur
To the best of my knowledge, there is no such provision. The children will have to make a civil suite in court
From India, Mumbai
Dear Mr. HR Prof.
If HE gets remarried, then I think, there will no problem. If SHE gets remarried, then there may be problem.
I this regard, I may point out that when HER kith & kin are not able to get single penny from her, how can you get back the gratuity amount. Moreover, Nomination of the employee is not challengeable.
However, one question for our consideration comes out from your above query that what should we do to safeguard the interest of other family members of the employee?
However, forum will put light on this issue, yet I try to suggest that we should get details of the family of the employee at the time of executing nomination & share of amounts payable and at the time of implementation of nomination we take care of interest of other family members also. It may be noted that we can not force employees for doing so.
Thanks
V K Gupta

From India, Panipat

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