Partial Payment in Full and Final settlement

Ask the Community Payroll
,
#1

Hi,

Is Partial Payment in Full and Final settlement process allowed as per rules?

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#2

Hi Manasa,

The employer can partially pay and it is recommended to get it documented and signed by both the employer and employee stating:

  • The full and final settlement claims/amount
  • The partial payment that is paid/received by the employee, and
  • A note on the reason for partial payment, and balance amount that has to be settled.

Employer when justified to pay partially the above document helps.

Regards,
Bhuvana Anand

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