Dear Sir/Madam,
At the time of crediting the salary to the account of employees, the employer is deducting 36 rupees as the NEFT charges since the salary is credited through NEFT mode. Is this deduction from the salary legal? Does the bank charge 36 rupees as an NEFT charge for a mere 10,500 rupees? Please enlighten me on this.
From India, Mangalore
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1At the time of crediting the salary to the account of employees, the employer is deducting 36 rupees as the NEFT charges since the salary is credited through NEFT mode. Is this deduction from the salary legal? Does the bank charge 36 rupees as an NEFT charge for a mere 10,500 rupees? Please enlighten me on this.
From India, Mangalore
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This kind of deduction is illegal. NEFT charges will have to be borne by the company as business expenses.Employee cannot be forced to pay for such kind of deductions.
From India, Pune
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From India, Pune
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You may please bring to the attention/notices of your i) employer and the ii) Human Resource Department functionary, if any in your establishment, the fact/legal provision that "Any deduction from wages or salary payable to an employed person must necessarily and only has to be "deductions authorized" under the Payment of Wages Act and the rules framed thereunder. Any unauthorized deductions effected by the employer are outright unlawful and shall attract penal action against the employer.
Kritarth Team
18 Feb 2019
From India, Delhi
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Kritarth Team
18 Feb 2019
From India, Delhi
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Instead, why don't you open a salary/savings account in the same bank where your company is located? This will facilitate salary transfers for your employer, and no charges will be incurred in both cases. It is a one-time exercise for you.
Suresh
From India, Thane
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Suresh
From India, Thane
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Is Salary cannot be paid through NEFT. is there any rule for payment of salary through cheques
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Recently, the RBI has issued directives for not charging for NEFT transactions; however, some banks are still charging fees.
You may consider the suggestion provided above by me under #4 for opening a bank account in the same bank where the company operates to facilitate the transfer of your salary.
Regards,
Suresh
From India, Thane
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You may consider the suggestion provided above by me under #4 for opening a bank account in the same bank where the company operates to facilitate the transfer of your salary.
Regards,
Suresh
From India, Thane
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1 Amendment to The Payment of Wages Act to pay Salary by Cheque or NEFT.pdf
Salary Break up - After deduction.xls