Salary Advance in Cash - employees/Labours are getting cash Advance Daily on weekly basis

Dear Sir / Madam, Can we make a Salary payment in Cash ₹ 15,000/- If not how much we can Make?
Because employees/Labours are getting cash Advance Daily on weekly basis

For Example, An Employee/Labour drawing a salary of ₹ 15000/-, taken cash Advance of ₹ 6,000/- and then remaining is paid in a bank account at the end of the month, is this acceptable?

It will be always better to pay all payment through Bank instead of cash including Advance, Loan etc.


S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
98310 81531

Dear Sir,

Thank you for the Information sir.

Dear Sir,

Better to credit the advance amount too in bank account. Mention the advance amount in payslip and get the signature from them.

Thanks.

Suppose an employee has worked for a week it would be safe to disburse the six days payment as he has already worked for it. Just in case there is an absconding of this employee you are safe as you do not lose anything. Paying him a sum of Rs.6000/- almost equal to half the month salary you are at a risk. Please ensure precaution and take a written undertaking of this and also ensure that this amount has been paid already in advance while disbursing the salary at the end of the month and ensure to mention the same on the payslip without fail and also keep track of the amount disbursed as advance in the Salary Advance Register as per the payment made in advance for records.