Dismissal by agreement of the parties with the payment of compensation in 2018 – the amount of benefits

The content of the article

• What is termination by agreement of the parties
• Legal regulation
• Why is it necessary
• At the initiative of the employer
• At the initiative of the employee
• Termination of the employment contract by agreement of the parties in 2018
• Application for dismissal by agreement of the parties in 2018
• Discussion of the conditions and amount of compensation payments between the parties
• Execution and signing of an agreement
• The order and familiarization of the employee under the signature
• Records in the work book and personal card
• Note-calculation in the form of T-61
• Issuance of documents and monetary compensation on the last day of the employee’s work
• Pros and cons of concluding an agreement
• Compensation for dismissal by agreement of the parties
• By whom and how is determined
• Is severance pay mandatory
• Compensation limit for executives
• Personal income tax with payments upon dismissal as agreed by the parties in 2018
• Features of the calculation of insurance premiums in the PFR and the FSS of Russia from the amount of compensation

Ignorance of my rights, poor orientation in the legislation often lead to sad consequences – employees are deprived of their jobs by voluntaristic methods, without regard to the Labor Code. To avoid this, you need to know how the dismissal is carried out by agreement of the parties. Properly executed documentation will help to get money that will help the family budget while a person is looking for another job. Dismissal by agreement of the parties with the payment of compensation in 2018 is based on the consent of the employee to terminate the employment contract.

What is termination by agreement of the parties

To avoid litigation overhead, which is a necessary measure in case of unlawful deprivation of work, the management of the companies uses dismissal by agreement of the parties in 2018. This procedure contributes to the normalization of the labor process. Employees of organizations see that they act with dismissed people honestly, in accordance with the Labor Code, management makes payments upon dismissal by agreement of the parties in 2018.

With proper documentation, the probability of filing lawsuits from the dismissed employee sharply decreases, since he must sign on all papers. A citizen who is terminating his employment is favored by the procedure for concluding an agreement, since it is possible to stipulate compensation payments individually. Estimated amounts may be large amounts as determined by the parties..

Legal regulation

Dismissal by agreement of the parties with the payment of compensation in 2018 is governed by article 78 of the Labor Code of the Russian Federation, which indicates that the employment contract can be terminated by agreement of the parties at any time before the expiration of the term on the initiative of the management or employee of the company. This also applies to contracts concluded for an indefinite period. The amount of compensation payments for certain categories of citizens is limited by article 349.3 of the Labor Code.

The lower limit of compensation for dismissal by agreement of the parties with the payment of compensation in 2018 is established by Part 1 of Article 127 of the Labor Code of the Russian Federation, which states that a citizen must receive an additional payment for unused vacation periods provided annually, according to the number of days. Settlement enterprises are obliged to issue a dismissed person out of turn on the day when a citizen receives documents in his hands. This procedure is provided for in Articles 84, Part 1 and 140 of the Labor Code of the Russian Federation..

Why is it necessary

The peaceful settlement of disagreements in the usual way that arose during the labor process is the purpose of dismissal by agreement of the parties with the payment of compensation in 2018. The management of the companies hiring the employee, in the workbook of which there is a record of the termination of the contract under clause 1 of part 1 of Article 77 of the Labor Code, is forced to inquire about the reasons for the termination of cooperation at the previous place of work. Such a record indirectly indicates disputes that have arisen between the authorities and subordinates, which are not subject to publicity..

At the initiative of the employer

Termination of cooperation under the contract is beneficial for the company management who wants to get rid of a subordinate, but who does not have legal grounds for this – there are no disciplinary sanctions, other violations of the labor regime. The document on peaceful dismissal with payment of compensation, which is signed by both parties, is the “least evil” compared to legal costs. Trade union committees do not parse such agreements.

At the initiative of the employee

Early termination of the contract at the initiative of the employee happens if the worker does not want to work in a particular organization, and the authorities do not sign the statement of their own free will. Blackmail of the general director and accountant is often frequent for subordinates who are aware of legal or financial violations committed by the company. Dismissal by agreement of the parties with the payment of compensation in 2018 will suit the employee and bosses in such a situation.

Termination of the employment contract by agreement of the parties in 2018

The process of leaving work by mutual agreement of the management and the employee includes several successive stages. They are not stipulated by the legislation, but in order to avoid conflicts that can be resolved in a judicial proceeding, documentation must be executed in writing, with the issuance of copies of letterheads of official papers to interested parties. The termination of work occurs according to this algorithm:

1. Termination initiative orally by management or subordinates.
2. Writing a statement indicating the date of termination of activities, an oral discussion of the conditions and compensation payments.
3. Written consent, with registration and signing by transaction participants.
4. Issuing an order of the established form, under which the employee must sign.
5. Settlement with the issue of agreed cash.
6. Employment record.
7. Presentation of money and documents to the dismissed person.

Application for dismissal by agreement of the parties in 2018

The personnel department of the enterprise requires a clearly and competently written application for dismissal. An employee can type on a computer or write a statement with his own hand indicating the necessary data:

• In the upper left corner – the full name of the company, surname, initials of the general director, surname, initials, position of the employee.
• In the middle, in large print, the word “Statement”.
• The main text contains the essence of the petition, indicating the date of completion of work, the reasons for the severance of labor relations, legislative norms justifying the initiative. For dismissal by agreement of the parties with the payment of compensation in 2018, the norm is Art. 77, paragraph 1 of the Labor Code of the Russian Federation.
• Date, signature of the applicant and transcript.

Discussion of the conditions and amount of compensation payments between the parties

Consent to terminate cooperation is beneficial to the worker if he receives a lot of money. The employee is entitled to wages for the time actually worked, surcharges for unused labor leave, compensation for the termination of the transaction, if such is stipulated by the employment contract. There are nuances that a citizen should know when signing a document with payment of compensation. If compensation is not specified in the local regulatory acts of the company, then management is not required to make payments.

Execution and signing of an agreement

The document is compiled in any form. The agreement must include the following information:

• Company name, surname with initials of the head, name of employee.
• Details of the employment contract, which must be terminated, an indication of the legislation.
• The date of termination of contractual obligations (depends on whether the employee quits with or without working out), the amount of compensation payments by the employer to the employee.
• Obligations of the employee to return material values, documents, other property used in the process of work.
• The obligation of the parties not to have mutual claims after signing the document.
• Signatures and details of the parties to the agreement.

The order and familiarization of the employee under the signature

After signing the form, the personnel department issues an order for the enterprise, which indicates the name of the employee to be dismissed, details of the contract, agreement, wording of the termination of the contract. The paper has a number stamped in the work book. The order form is signed by the head of the company, in addition, the signature of the resigning employee is required, indicating the fact of familiarization and agreement with the text of the document.

Records in the work book and personal card

After registration of the order by the head of the personnel department (OK), the following information is entered into the workbook of the retiring worker:

1. Sequence number of record, date.
2. Information about the dismissal – number, date of the document, articles of the Labor Code of the Russian Federation justifying the action.

A personal card must have similar information about the reasons for dismissal, details of the order, agreement. Entries are made for verification of record keeping by supervisory authorities. A work book with a note of dismissal is provided to the employee immediately after payment of the settlement. The following documents are issued on hand:

• employment history;
• copy of the order;
• copy of agreement.

Note-calculation in the form of T-61

For the management of the enterprise, the act of the unified form T-61 serves as proof of the payments made to the dismissed party. Details are filled in by the OK employee, the calculation of the number of salaries laid on compensation payments is made by the accounting department of the organization. Columns of documents 3, 4 indicate the average salary of a worker, the number of hours worked. The rules for calculating compensation apply the same as for calculating ordinary vacation pay..

Issuance of documents and monetary compensation on the last day of the employee’s work

According to the norms of legislation, a laid-off citizen can apply for settlement payments from the moment of signing the order, without waiting for the day the salary was issued. Together with financial resources, documents are issued that testify to the peaceful settlement of monetary and legal disagreements regarding the premature termination of the contract at the initiative of one of the parties..

Pros and cons of concluding an agreement

Dismissal by agreement of the parties with the payment of compensation in 2018 has positive and negative sides for the management of the company and the person leaving. These include the following factors:

1. Speed ​​and ease of design. Bookkeeping and OK will not have to draw up a pile of papers – only write an agreement on the application, if the initiative for dismissal came from an employee, issue an order, issue the appropriate money. Proper documentation ensures that there are no claims on the part of trade unionists, first instance courts and supervisory authorities. An employee can quit any day previously agreed upon without losing money or reputation. In future work, a record of dismissal by consent is regarded as the ability to compromise.
2. An opportunity to reach a mutual agreement on all issues. The signing by the parties of the paper contributes to the peaceful settlement of disputes. The size of monetary compensations, the date of dismissal are agreed upon in advance, there are no claims after signing the consent form, the directorate of the enterprise and the employee leave peacefully, without reproaches, accusations, filing claims to the courts.
3. Coordination of conditions. The procedure allows the parties to the transaction to agree on any conditions concomitant with the dismissal. There are frequent situations where contractual circumstances are not advertised, while remaining confidential. This condition helps both parties to assert their rights, being within the framework of the law, negotiating the term of departure from work, mutual obligations.
4. The disadvantages include the lack of requirements for the employer for protected categories of citizens. If the employment contract provides for the severance of relations with the conclusion of a peace deal, then the organization’s management may dismiss a pregnant woman, a person on probation, on study leave. You can recover at the enterprise with the withdrawal of the application by the written consent of both parties to the transaction, with the exception of the woman carrying the child – the law provides for the preferential right of the pregnant woman to cancel the agreement.

Compensation for dismissal by agreement of the parties

If the size of the compensation paid to the citizen upon termination of work is not stipulated by the concluded contract, then you can only claim for payments prescribed by law. Legal practice shows that, when agreeing on the conditions for leaving the post, the sums of the order of three salaries are paid – as in the case of liquidation of the organization or reduction of staff positions.

By whom and how is determined

A person leaving work needs to know what payments are due to him upon dismissal. It depends on the actual earnings. Unless otherwise agreed by the parties, it is possible to apply for a salary for hours worked and compensation for labor leave. The allowance is calculated by the accounting department of the company, the value is indicated in the official transaction document.

Is severance pay mandatory

In addition to statutory payments made on a general basis, the employer is not obligated to pay the worker money if he does not agree with his claims, and is not otherwise specified in the employment contract. The company’s management can meet the worker by paying amounts in excess of statutory subsidies, if he sees this as a benefit to himself. The amount of compensation is negotiated orally.

Compensation limit for executives

According to Art. 349. clause 3 of the Labor Code of the Russian Federation, persons holding managerial posts in private and state-owned companies cannot apply for resignation upon receipt of amounts in excess of three times earnings. The clause provides a clause: salary due, salary remaining during temporary incapacity for work, payments on departure for business trips and studies, bonuses for work leave are not considered compensation.

Personal income tax with payments upon dismissal as agreed by the parties in 2018

The tax code in paragraph 3 of Art. 217 provides for exemption from income tax on compensations issued upon resignation to a citizen if they do not exceed his triple salary. If payments are higher than the specified level, then the amount of excess is subject to personal income tax. For residents of the Far North, the upper non-taxable ceiling of subsidies is set at six times the amount of monthly wages.

Features of the calculation of insurance premiums in the PFR and the FSS of Russia from the amount of compensation

All compensations paid by the employer to the employee under labor contracts, collective agreements are taxed with contributions to the PFR, FSS and MHIF. This is established by the federal law of July 24, 2009 No. 212-ФЗ “On insurance contributions to the Pension Fund of the Russian Federation, the Social Insurance Fund of the Russian Federation and the Federal Fund for Mandatory Medical Insurance”.

In accordance with clause 2, article 9 of the said act, compensation for unused vacation, payments in the form of severance pay in part exceeding three times (for those working in the Far North – six times) the amount of monthly earnings should be taxed with insurance contributions to these funds. No deductions are made from other payments related to the dismissal of an employee.