When an employee resigns from the company, the employee settlement process is done based on the last working day entered in payroll21. The statutory calculations are done and reports are updated in the resigned month. The settlement can be done on the last working day or any time later. The settlement process does the following:
 

• Recalculates the last months’ salary based on the revised working days entered

• Adjusts last months’ salary, if already paid

• Calculates Leave Encashment, if applicable

• Calculates gratuity, if applicable

• Calculate ‘notice pay’ as per the option selected, if applicable

• Facilitates user to enter adjustments (additions & deductions) and takes care of the same.
   

To know more on Payroll21 click here.