This month, I joined a startup company. I am confident that the company is financially very healthy.
I have come to know that for the next three months, they will be deducting the salary for 2 days (totaling 6 days), which will be kept by the company and given at the time of leaving the company. I understand they are doing this for financial invoice adjustments.
Some individuals, both inside and outside the company, have mentioned that this is a common practice for startup companies. Is it correct that startup companies do this for the first few months? Please clarify.
Thanks,
Ranjit
From India
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I have come to know that for the next three months, they will be deducting the salary for 2 days (totaling 6 days), which will be kept by the company and given at the time of leaving the company. I understand they are doing this for financial invoice adjustments.
Some individuals, both inside and outside the company, have mentioned that this is a common practice for startup companies. Is it correct that startup companies do this for the first few months? Please clarify.
Thanks,
Ranjit
From India
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Companies do retain some amount from salary under the name of "retention amount" to be given after completion of a certain fixed period in the organization, but I have never heard about such a thing before. Probably they are doing so under the heading of the so-called "financial adjustment."
Regards,
Hiral
From India, Ahmedabad
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207Regards,
Hiral
From India, Ahmedabad
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Salary Break up - After deduction.xls
Responsibilitie s of person who is responsible for deduction of TDS on salary.docx