Dear seniors, Is there a common retirement policy in the corporate world governed by laws? In case a worker attains the age of 60 (his retirement age as per his company's policy) on 15th May, what will be his date of retirement - 15th May or 30th/31st May?
Regards, Atul
From India, Jammu
Acknowledge(0)
Amend(0)
8Regards, Atul
From India, Jammu
Acknowledge(0)Amend(0)
No, there is no common retirement policy. IT differs from kind of employments, working sector the regions........ Date of retirement will be the last day of the month.........
From India, Bangalore
Acknowledge(0)Amend(0)
From India, Bangalore
Acknowledge(0)Amend(0)
Dear BSSV 'Date of retirement will be the last day of the month'(even if he completes the stipulated age criterion in mid month) is this binding by some law? Regards, Atul
From India, Jammu
Acknowledge(0)Amend(0)
From India, Jammu
Acknowledge(0)Amend(0)
Yes, Mr. Atul, it's a practice. There is no specific act, but it is always the last day of the month. Year and month are important in the case of superannuation, and the day is always the last day of the month.
But yeah, if his birthday is on the 1st, then the last day of the previous month; otherwise, the last day of the same month.
(Have you ever heard anyone saying that they retired on a particular day? You always hear that they retired in a specific month.)
From India, Bangalore
Acknowledge(4)Amend(0)
But yeah, if his birthday is on the 1st, then the last day of the previous month; otherwise, the last day of the same month.
(Have you ever heard anyone saying that they retired on a particular day? You always hear that they retired in a specific month.)
From India, Bangalore
Acknowledge(4)Amend(0)
As per PF rules, they consider pension from the age of 58 and not at 60. Also, if you are completing 58 years during the month, you have to consider not the month but the date. For example, if an employee is completing 58 years of age on the 15th of July, you have to take the date of retirement as 15th July and not 31st July. This is only for pension with PF authorities.
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)
many organisation take the employees retirement on completion of his 60th birthday... So 15th may could be right
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)
The age of retirement is not the same everywhere. It differs from central government to state government. It also varies across different sectors and employments. Companies also have their own retirement policies.
Since PF is deducted from the basic pay, it is applicable until the retiring person's last drawn salary, i.e., 12% of the last drawn basic pay.
The income tax for senior citizens, very senior citizens, and very very senior citizens is provided to offer them the benefit of tax reductions. The percentage of tax varies among different age groups, so it has no direct connection with the PF deductions.
In fact, for government employees, their pension is fixed based on their last drawn salaries. For example, if you retire in May and receive a hike in May or the previous month, the increased salary is considered for the pension amount. Therefore, the last drawn salary is always taken into account for the final settlements.
(May observe the Tax Slabs: Income tax slab 2012-2013 | financeminister.in)
The main reasons behind such tax variations are the high cost of maintenance, such as medical expenses and dependency. Additionally, the salary they used to receive when they retired was meager in India.
From India, Bangalore
Acknowledge(1)Amend(0)
Since PF is deducted from the basic pay, it is applicable until the retiring person's last drawn salary, i.e., 12% of the last drawn basic pay.
The income tax for senior citizens, very senior citizens, and very very senior citizens is provided to offer them the benefit of tax reductions. The percentage of tax varies among different age groups, so it has no direct connection with the PF deductions.
In fact, for government employees, their pension is fixed based on their last drawn salaries. For example, if you retire in May and receive a hike in May or the previous month, the increased salary is considered for the pension amount. Therefore, the last drawn salary is always taken into account for the final settlements.
(May observe the Tax Slabs: Income tax slab 2012-2013 | financeminister.in)
The main reasons behind such tax variations are the high cost of maintenance, such as medical expenses and dependency. Additionally, the salary they used to receive when they retired was meager in India.
From India, Bangalore
Acknowledge(1)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Extension of retirement age of teachers in Maharashtra 25.2.2011.pdf