How is severance pay paid? Registration and terms of payment of severance pay

Labor activity is often associated with the risk of loss of health. A person can also become seriously ill for reasons independent of the conditions at the enterprise.

In any case, he is faced with a dilemma: quit or continue to work.

In the first case, he may be credited with a severance pay upon dismissal due to disability, if the documents are correctly drawn up.

Let's take a look at how to get this payout in 2019.

In what cases is the allowance due?

The dependence of the calculation of benefits on the reason for dismissal

A sick person needs to carefully deal with the proposals of the leadership. Often, the authorities seek to get rid of the disabled person, that is, they put pressure on him to write a statement "of his own free will." This is not recommended.

Article 73 of the Labor Code states:

Art. 73 of the Labor Code of the Russian Federation

“If, in accordance with a medical report, an employee needs a temporary transfer to another job for a period of more than four months or a permanent transfer, then if he refuses to transfer or if the employer does not have the appropriate job, the employment contract is terminated in accordance with clause 8 of part one of Article 77 of this Code."

This means that the following reason for terminating the contract will be considered independent of the will of the parties:

1. The absence of a place in the organization that is suitable for medical reasons.
2. Refusal to transfer to another position.
3. Conditions at the duty station adversely affect the state of the body (in some cases).

If all of the above circumstances are revealed, the administration is obliged to calculate the severance pay for the disabled person.

If an employee with disabilities initiates the termination of employment relations on his own (the wording in the application is “at his own request”), then he is not entitled to benefits. This person will only receive compensation for unused vacation days.

Do you need on the subject? and our lawyers will contact you shortly.

Dismissal of a disabled person of the 1st group

The administration is free to expel a disabled citizen from work on its own initiative. This person does not need to apply. All you have to do is provide documentation of your disability.

Disabled people of the 1st group receive mandatory severance pay.

What documents to provide

In order to issue a holiday, it is necessary to prove the fact of disability. You need to bring the following documents to the management:

1. Certificate of disability, issued on an official form (approved by the Decree of the Ministry of Health of the Russian Federation No. 41).
   • it must indicate the degree of disability established by the medical commission.
2. Data on health restrictions in the context of the performance of certain work (issued in the hospital).

Termination of an employment contract must be formalized by order. This paper, among other things, records the order of the accounting department to pay benefits.

Design nuances

Based on the disability papers, the manager makes a decision, which must be presented to the employee in writing:

1. If a different place of service is offered, then the person needs to write opposite the likely positions: “I agree” or “I refuse.”
2. In case of unwillingness to continue working, the citizen writes a letter of resignation. It should indicate "for health reasons."
3. The personnel officer is preparing a draft order, the grounds for which are:
   • certificate of disability;
   • worker statement.

The disabled person should be familiarized with the signed and registered order. This is done to prevent filing a complaint with the court.

There is another option. According to Art. 73 of the Labor Code:

1. The disabled person may be given time to recover. The period is limited to 4 months.
2. At this time, a place is reserved for the patient (the administration does not have the right to occupy it on a permanent basis).
3. After the specified period, the worker re-passes the medical commission. If health allows, he returns to the service.

During the recovery period, a person’s salary is not charged.

Output compensation amount

The provision for the payment of severance pay is contained in article 178 of the Labor Code. It indicates the categories of citizens to whom it is due.

Namely:

1. Citizens who have lost their ability to work (Group 1).
2. Workers who were not satisfied with the offer to transfer to another place.
3. People to whom the enterprise cannot offer a suitable job.

This accrual should correspond to the average earnings of the worker for a period of two weeks.

In addition, the law does not prohibit making other payments. They can be included in a collective or labor agreement. If there is such a provision in the document, then the disabled person will be credited with the appropriate amounts.

Additional compensation cannot be less than those specified in the Labor Code.

Method of calculation

A citizen can independently estimate how much money he is entitled to as a mandatory payment. To do this, you need to calculate the average daily earnings.

1. All amounts received in the last 12 months (by the day of dismissal) (OD) are taken, with the exception of:
   • business trips;
   • payment of official sick leave;
   • financial assistance.
2. The exact number of days worked (KD) is calculated.
3. The indicators are divided: OD / KD = SD. It turns out the average daily income.
4. The amount of the benefit is: SD x 14 days.

Vacation and payments to it are not included in the calculation.

Calculation example

Suppose a citizen is assigned a 2nd disability group. There was no place suitable for health reasons at the enterprise. The administration had to fire him as not meeting the conditions. Date of receipt of the group certificate - 24.02.2017.

1. Income is taken into account for the period: from February 24, 2016 to February 23, 1017. It equals: 259.2 thousand rubles.
2. In total, during this time, the citizen worked 216 days.
3. Average daily earnings: 259.2 thousand rubles / 216 days = 1.2 thousand rubles
4. Benefit: 1.2 thousand rubles x 14 days = 16.8 thousand rubles

The amount does not exceed three times the average monthly income, taxes are not calculated from it.

The described procedure does not apply to cases where the disability was obtained through the fault of the employer.

Subtleties of taxation and other deductions

Article 217 of the Tax Code states that this type of payment is not subject to taxation. However, the rule is limited by the limit amount:

1. If the total amount of disability benefits exceeds three times the average monthly earnings of a person, then taxes are calculated.
2. They are taken from the amount exceeding the income limit level.

In the regions of the Far North (and equated), the threshold for limiting benefits has been increased. It is equal to six average monthly earnings of a worker.

Insurance contributions from severance pay are also not supposed to be taken. Such an operation can be carried out if:

• personal desire of a citizen (written in writing);
• from the amount exceeding the limit norm (see above).

Alimony is withheld according to the writ of execution from all incomes of a citizen. Disability severance pay is not exempt from this type of payment.

Disability Dismissal

March 4, 2017, 21:11 Mar 3, 2019 13:49

The labor market is currently very unstable. Employees are often laid off or made redundant for various reasons. Each person should know his rights and obligations in the workplace, what he can count on if he loses his job, in which cases he is entitled to severance pay or compensation.

• Severance pay is a lump sum paid to an employee upon dismissal for certain reasons. The Labor Code establishes the obligation of the employer to pay these benefits in cases provided for by law.

Severance pay is a payment for the very fact of dismissal. Therefore, it must be paid to the employee on the day of dismissal on the basis of an order that indicates on the basis of which the employee was dismissed.

To whom and under what circumstances it is assigned

• Organization liquidation
• downsizing
• If an employee refuses to be transferred for medical reasons
• Conscription
• Refusal of an employee to be transferred to another locality
• The employee has been declared incompetent for medical reasons.

Voluntary dismissal

Voluntary dismissal is the most frequent in our lives. As a rule, no compensation or severance pay is paid, unless it is stipulated in an employment or collective agreement. By submitting an application, the employee is obliged to work for two weeks or, by agreement with the employer, leave on the same day.

• Upon dismissal, he is entitled to wages for the time worked, compensation for non-vacation leave.

Dismissal by agreement of the parties

The agreement of the parties is the most optimal way for an employee to dismiss. It is beneficial to both parties. Dismissal by agreement is used both in case of staff reduction and in case of liquidation.

The labor law says that you can terminate the contract at any time by agreeing among themselves, this is called by agreement.

Dismissing an employee at the request of the employer is much more problematic, more fuss with papers. Easier to negotiate and pay compensation.

The amount of compensation will depend on the reason for which they wanted to deprive the employee of his job. As a rule, the severance pay will be at least three wages upon dismissal by agreement.

In order to be able to quit according to this principle, it is necessary to consider that:

• One of the parties, it is better for the employer to take the initiative and offer not to delay the process, but to receive compensation and quit by agreement of the parties.
• Draw up an agreement in which to clearly state the payment procedure, term, amount, and also do not forget about the main funds:
• The salary of the employee for the actually worked working days in the month of dismissal;
• Compensation for non-vacation leave;
• Compensation for dismissal, which may be provided for in a collective or employment agreement.

How to draw up an agreement

• The agreement must state the reason for the dismissal.
• drawn up in 2 copies. It is fixed by the signatures of both parties, the employee writes that he received his copy in his hands
• It is forbidden to make any changes unilaterally, which allows both parties to be sure that the other will not deceive.
• After signing the agreement, a dismissal order is issued indicating this document.
• Then the employee reads and puts his signature
• After that, a certificate is drawn up with all the due payments.
• After that, a full calculation is made, a work book is filled out, the inscription “Dismissed by agreement of the parties” is entered into it and handed over, where the citizen signs for receipt.
• If the employee makes such a request, the employer must issue him.

Is it necessary for dismissal due to disability

Health problems can overtake everyone, because of which disability often occurs, as a result of which it is not possible to continue working. It is possible to dismiss a disabled person both at his request and at the initiative of the employer, as well as by agreement of the parties. Disabled people who have the 3rd group are full-fledged workers who do not require special treatment.

When an employee is sick and is on sick leave, he cannot be fired according to the law, then the doctor decides on his future fate, with the possibility of employment or dismissal, in connection with which it is necessary to draw up documents:

• the conclusion of the medical commission on the assignment of a disability group;
• certificate of loss of a specific person's ability to work;
• rehabilitation program, which is compiled taking into account the individual characteristics of the disease.

Disability is established in connection with the severity of the disease:

The first group is appointed in the case when a person is not able to work and he needs the care of an outsider.

The second group is given to citizens with disabilities who cannot cope without the help of another person.

The third is lighter, a person can work on it, but in lighter working conditions.

The procedure for dismissal of a disabled person is as follows:

• you need to get a sick leave and hand it over to the accounting department of the enterprise;
• if the employee can no longer work, the employment relationship with him is terminated;
• if there are no such grounds, the employer studies the problem of the employee and decides whether he can provide him with a place;
• the employer must in writing offer such an employee other positions that correspond to his qualifications and state of health;
• any decision of a disabled worker must be in writing;
• if there are no such positions, or the employee has refused all offers, the employment relationship with him is terminated

Who cannot be paid

Severance pay cannot be paid to an employee who decides to leave of his own free will

Benefit amount

As a rule, the amount of the severance pay is three times the employee's salary in the event of the liquidation of the organization or the reduction of staff.

The specific amount of severance pay is not specified in the Legislation. The employer determines its size independently in labor or collective agreements. In the event that none of the contracts provides for such a payment, then it is not assigned. In case of dismissal of one's own free will, it is also not worth counting on monetary compensation.

Is it subject to tax dues?

When an enterprise operates on a general taxation system, accruals for the payment of severance pay are included in labor costs. Thus, the taxable base for income tax is reduced.

When applying the simplified system with the object “income minus expenses”, costs are accounted for in the same way.

The compensation provided for by the legislation of the Russian Federation related to the dismissal of employees (except for compensation for unused vacation), personal income tax and contributions are not subject to.

However, it should be borne in mind that not any amount of severance pay is not subject to personal income tax and contributions, but the part that is less than or equal to three times the average monthly salary (six times for workers in the Far North and equivalent areas).

• Accordingly, if the allowance is assigned in a larger amount, then the excess amount is included in the base for personal income tax and contributions in the general manner

Answers to frequently asked questions

1 question: My organization is being liquidated, am I entitled to severance pay and how much?

Answer: Yes, you will be able to receive three salaries upon reduction, you must also be notified in writing in advance of the fact of liquidation against signature, then you will be registered with the employment center and will be able to receive unemployment benefits until you are provided with a job

2.Question: During work, my friend fell ill, after which she received a disability, will she be able to continue working?

Answer: It is necessary to provide the employer with a sick leave, then documents on disability and recommendations from a doctor, if the disability group allows you to work, then at the discretion of the employer, a friend will be able to work if he provides a job.

The video reveals information about the grounds for paying severance pay and their amounts⇓

Severance pay upon dismissal is provided for by current legislation.

Such funds are in most cases paid when the employment contract is terminated at the initiative of the employer. Nevertheless, special regulatory legal acts may provide for situations when severance pay is also paid to other categories of workers, for example, a police officer.

Regardless of the form of ownership and subordination of the organization, each of its employees must receive funds at least twice a month. These amounts include more than just wages. This includes the time when the person did not actually work, but the position was retained, for example, a period of incapacity for work.

This rule also applies to the case when a person leaves the organization. Reasons for leaving do not matter. The final calculation will include: actual earnings, compensation for unused paid vacation days, and in some cases severance pay.

Payment terms

According to the law, the funds due to the employee must be regularly accrued to the latter. Payment is also made in the event of a person leaving the company. The main condition is the fact that the money due to the worker has not been received by the time of dismissal. The type of payment directly depends on the reason for dismissal from the position.

Salary

Funding is a step by step process. First of all, it is necessary to calculate the earnings of a person. Its size depends on the amount of time that the worker actually worked. The final amount will include:

1. Salary according to position.
2. Salary bonuses, for example, for the level of professional qualification or duration of activity in the structure.
3. Premium supplements.

The total amount is calculated on the day the person is fired.

Holiday compensation

These funds are also transferred by the time the employee leaves. All unused days of the required break for rest and recovery are subject to compensation. This also includes periods that have been carried over from the previous year. All unused time of both the main and additional annual paid leave will be compensated.

It should be noted that every employee has the opportunity to interrupt their activities for good reasons of a personal or family nature without saving their earnings. Such unused days will not be compensated by money.

Funds of this kind are always taxed.

severance pay

Payment is made simultaneously with the final settlement. These funds are not one-time. That is, a person retains the right to receive the amount for a certain time period. In accordance with the current legislation, it is two actual months from the moment of dismissal of the employee. By decision of the employment service, such a period may be extended for another month, provided that the person applied for assistance in finding employment within two weeks from the date of departure, and was not assigned to another position.

According to the general rules, severance pay is paid when a person leaves due to the liquidation of the company or a decrease in the number of its workers. Nevertheless, such funds can also be received in other cases, for example, if the employee quit of his own free will. The list of such reasons should be reflected in local regulatory legal acts.

Legal Framework

Article 178 of the Labor Code defines the reasons for the payment of severance pay. They apply to most workers. This rule is closely related to other norms. For example, article 84 indicates cases when a person is dismissed for health reasons. In this case, he can count on severance pay. For certain categories of workers, their own amounts of payments are provided. For example, for seasonal workers, as well as those who perform duties in the Far North. This is indicated in articles 296 and 318 of the Labor Code of the Russian Federation, respectively.

The list of payments that an employee receives is determined not only by the current legislation. The internal rules of any company, for example, the regulation on remuneration, also contain information about the money that must be paid.

In addition to the above, the head is obliged to issue an order of the appropriate content. Such a document will be the basis for making payments.

The text should include the following:

1. Full company name.
2. Date and registration number of the order.
3. reasons for publishing it.
4. Employee data.
5. The reason for the dismissal of a person, with reference to an article of the Labor Code.
6. The amount of payments due.
7. Leader's signature.

The worker must be familiarized with the order under the signature. It should be noted that there is no need to issue a separate order regarding cash payments. All information can be reflected in the order of dismissal.

Payment terms

In most situations, severance pay is paid to those who are fired in connection with the liquidation of the company, changes in the staffing structure, as well as a decrease in the number of employees of the organization.

Russian legislation defines additional cases when a person can count on the provision of material assistance of this kind.

They include:

1. Refusal of an alternative position or lack of a suitable place in the case when the employee has restrictions on work, according to an official medical report.
2. Engagement in military or alternative service duties.
3. Restoration to the position of the former specialist.
4. Refusal to continue professional activities in another area with the employer.
5. Complete inability to perform work, confirmed by the results of a special examination and enshrined in a medical report, that is, the establishment of the fact of disability.
6. Refusal of further work in connection with a change in the terms of the working agreement.

This list is not exhaustive. Local acts may also provide for other cases in which the employee is paid severance pay.

Who is eligible to receive

Employees who are dismissed for certain reasons can count on material assistance in connection with leaving the company. The list of conditions for receiving severance pay, established by the current legislation, can be expanded by internal orders of any company. You can sometimes get help of this kind not only in a case related to liquidation, but also, for example, in case of dismissal of one's own free will.

It should be noted that the payment of severance pay is connected precisely with the reasons for the departure of a person. That is, the status of the employee, for example, pregnancy or age category, does not matter.

The amount of monetary compensation

The minimum amount of such payment is established by law. It depends on the reasons for the dismissal of the person. For example, if the organization is reduced or liquidated, the employee will receive an average income. In turn, dismissal from a position due to health reasons, in connection with a call for military or alternative service, a change in working conditions, the restoration of a former specialist, will serve as a reason for accruing two weeks of earnings.

The calculation of the severance pay depends on the amount of earnings of the dismissed person, as well as the actual length of time there. This period does not include days off, as well as those during which the person did not retain the right to receive funds. You can calculate the total amount by multiplying the amount of earnings by the actual working time.

All funds received are subject to taxation by law. An exception is made to this rule for severance pay. Deductions will be made only if his payment exceeds three salaries.

Payment term and procedure

After the calculation of the amounts due to the dismissed person, including the severance pay, has been made, the funds must be transferred to the employee. The general rules set a time limit for the fulfillment by the head of such an obligation. The money must be transferred to the recipient on the day of dismissal. The date is reflected in the content of the order of the head of the company. This can be done in two ways.

First of all, credit the due amounts to the employee's personal bank account. This option is the most common and optimal for the leader. To implement it, it is necessary to complete all the necessary documentation in a timely manner so that no later than the day of dismissal, all data is received by the servicing bank. With this approach, the leader will fulfill his duties in full.

Cash can be transferred to the employee and on hand.

To do this, it is necessary to invite the worker to the cash desk of the company or to another place provided for such purposes, where to transfer the money. Receipt occurs by affixing a signature to the employee in the financial statement.

In order to avoid problems in the future, it would be correct to reflect in the dismissal order the method of payment, as well as the date and place of receipt of funds, if any, are transferred to the worker. In case of non-appearance for money, the manager will have documentary evidence of the fact that the employee was properly informed about the procedure for obtaining the final payment.

Arbitrage practice

In one of the courts of the Russian Federation, a claim was considered by a representative of the supervisory authority against the company, filed in the interests of a person, with a request to oblige the employer to reimburse wage arrears.

During the study of the content of the appeal, the following was established. The employee was in an employment relationship with the organization on the basis of a professional cooperation agreement. Interaction with a person was terminated due to a change in the staff structure and a decrease in the number of employees of the organization. On the day of dismissal, he was not paid the money earned, compensation for unused vacation days, severance pay, as well as retained payments for the next two months after leaving.

The representative of the company did not appear for the proceedings, despite the fact that the company was properly informed. In this regard, the meeting was held without his participation.

After examining the submitted documentary materials, the court found that the employee actually worked in the company. The interaction was interrupted due to contraction. On the day of dismissal, the person was not paid the amounts due - wages, compensation for unused vacation, severance pay. Thus, the defendant violated the requirements of the law.

In turn, the company did not provide the court with evidence refuting the position of the plaintiff.

Based on the foregoing, the court made its decision. The organization was obliged to pay off the debt to the employee in full and pay the state duty for considering the appeal.

Decision dated September 26, 2017 in case No. 2-1039/2017

You will be interested

What is severance pay and who is entitled to it? The Labor Code establishes the cases of these mandatory payments to those employees with whom the employment contract is terminated or not continued. It should be noted that not every employee who leaves is entitled to severance pay. You need to carefully consider the settlements with the employee who quits, because underpaying him is a violation of the law, and overpaying too. In addition, the amount of the payment depends on the reason for which the employee was dismissed, whether there are any guilty actions on the part of the employee upon dismissal. It is also important to take into account the position of the employee, since managers and civil servants have a special status when they receive payments upon dismissal.

What is severance pay and who is entitled to it

Severance pay is defined by labor legislation as compensation upon termination of an employment contract with an employee. At the same time, the main reason for such termination, as a rule, is the initiative of the employer, as well as reasons for which none of the parties to the employment contract can be responsible. At the same time, an important nuance is the reason for terminating the employment contract. If this is a disciplinary offense of an employee, a violation of labor discipline by him, a theft, embezzlement or official forgery, then such a “specialist” is not paid severance pay in any case.

According to the law, on the day the employee is dismissed from work, he should be paid severance pay, as well as carry out all mutual settlements with him. In addition to severance pay, the employee must receive compensation for unused vacation, as well as the amount of wages for the time he actually worked. Benefits are calculated on the basis of legislative acts, an employment contract, a collective labor agreement, as well as the will of the employer itself.

Sometimes, the employer has the right to pay severance pay to an employee to whom they are not due at all, or are due, but in a smaller amount. The legislator does not prohibit the employer from establishing other compensation payments upon dismissal, directly in the text of the employment contract with the employee. That is, the basis for the payment of benefits can be not only the law, but also the agreement of the parties. Just do not forget that from an amount exceeding the legal minimum, the employer must pay tax deductions for the employee.

The amount of severance pay upon dismissal

The Labor Code establishes the amount of severance pay that is provided for in a specific situation related to the dismissal of an employee. This amount can be increased at the initiative of the employer, which should contain a condition in the collective labor agreement at the enterprise.

So, a severance pay in the amount of a monthly salary is provided for those employees who leave for the following reasons:

1. complete liquidation of the enterprise;
2. if the employee was laid off at the enterprise.

As you can see, both reasons are related to the initiative of the employer, in accordance with Art. 81 TK. In addition to the fact that this amount of severance pay is paid to the employee on the day of dismissal, he continues to keep monthly earnings at this enterprise for another two months. Unless, of course, he has not found a new job before that moment. Then you don't have to continue paying.

Severance pay in the amount of two weeks of the employee's salary is provided for those employees who leave:

1. in connection with the refusal of the employee to move to another position at the same enterprise, due to health reasons;
2. if the employee, due to his health condition, cannot perform work in this position, and there is no other vacancy suitable for the employee at the enterprise;
3. by military conscription;
4. when reinstating a previously illegally dismissed employee to this position;
5. if the employee refuses to transfer to another place (district, region, region) of work, if the employer changes the location;
6. with the complete loss of the employee's ability to work;
7. with a significant change in the terms of the employment contract, which the employee refuses to accept.

Other severance pay is also provided for senior positions and chief accountants. So, if the employment contract with the head of the enterprise was terminated at the initiative of the owner, he is paid monetary compensation, which is three times the average wage of the head. Compensation is not paid upon dismissal of the head for guilty actions provided for by law.

Calculation of severance pay upon dismissal

As mentioned above, the Labor Code establishes the minimum severance pay that must be paid to an employee upon dismissal. However, the employer is not deprived of the right to increase this amount for certain categories of employees, which should be indicated in the employment contract, as well as in the collective one. It is important that severance pay is calculated correctly when an employee leaves.

A special settlement procedure is provided by law for the dismissal of civil servants. The severance pay upon dismissal of civil servants is calculated based on the monthly earnings of such an employee, and should be an amount equal to three monthly salaries of a civil servant. This applies to dismissal due to reduction, or in the event of liquidation of the body where the employee served. For judges and employees of the prosecutor's office, other amounts of severance pay are provided for dismissal for various reasons.

When calculating the severance pay, please note that if its amount does not exceed three times the average salary of the employee, the severance pay is not taxable. It is necessary to carry out the calculation according to a certain formula: the size of the average daily earnings of an employee should be multiplied by the number of days for which this severance pay is paid.

Based on this, it follows that the employer must pay the severance pay to the employee if he was reduced at the enterprise, as well as in the event of the termination of the company. Some employers go to tricks and fire an employee by agreement of the parties. This is because when dismissing an employee of his own free will, or by agreement between the employee and the enterprise, he does not need to pay severance pay. Knowing this, many employees defend their rights to an extra penny, and do not follow the lead of their employers. After all, they will not be entitled to compensation and protection from the state.

Severance pay and other payments upon dismissal

The employee has the right to quit on his own initiative. At the same time, he is guaranteed by law only payments for unused vacation and for the time actually worked. For those employees who are dismissed from the enterprise at the initiative of the employer, all the above payments are provided, including severance pay. Sometimes, by the terms of the employment contract, additional compensation payments may be assigned to the employee upon termination of the employment contract with him at the initiative of the enterprise.

p> In all other cases, except for the severance pay, the employee has the right to receive his earnings for the time actually worked. And also, to receive compensation for all unused vacations at this enterprise.

When issuing an order to dismiss an employee, it should be indicated that he is entitled to severance pay in a certain amount. But this is an optional requirement, and is not mandatory. Indeed, even if the employer did not indicate the size of the severance pay in the order, he still must pay it to the employee.

The head has the right to severance pay upon dismissal, in connection with a change in the owner of the enterprise, or for other reasons that are beyond his control. Sometimes the contract with the manager may contain provisions stating that in case of early termination of the contract at the initiative of the employee himself, he does not have the right to claim all types of compensation. And sometimes, he must also pay the company a penalty if his actions affected the well-being of the company.