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Transfer Salaries and Benefits to Bank Accounts
Finance Policy 006
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1. PURPOSE
Transfer employees’ salaries and benefits to their personal bank accounts.
2. APPLICABILITY
2.1. All types of employees.
3. DEFINITIONS
3.1. Salary: Basic salary and allowances.
3.2. Benefits: is perks offered to employees in addition to salary. The most common benefits are overtime, end of service award, retirement benefits, paid time off and etcetera.
4. POLICY
  • 4.1. The payment of employees’ salary is transferred at the end of each month.
  • 4.2. Employee benefits are transferred based on the due date of payment.
  • 4.3. The bank transfer is done according to the authorities agreed on with the Mudad platform.
5. PROCEDURE
  • 5.1. The process starts after receiving the bank file from payroll section.
  • 5.2. The accountant of accounts payable reviews and matches the bank file and employees’ data with the payroll report. As a result of this matching:
  • 5.2.1. In case there are comments, he sends the comments to the payroll section to do required amendments.
  • 5.2.2. In case there are no comments, he sends the bank file to the financial accountant to approve the transfer.
  • 5.3. The Manager financial reviews and approves the bank file data, then send it to the CEO for final approval if modifications are not needed.
  • 5.4. The CEO reviews and gives the final approval on the bank file data.
  • 5.5. The accountant of accounts payable performs the transfer through Mudad platform.
6. RESPONSIBILITIES
  • 6.1. The payroll section is responsible to prepare bank file.
  • 6.2. The Manager Finance is responsible to co-approve transfer.
  • 6.3. The CEO gives the final approval for the transfer.
7. APPENDICES
  • 7.1. Process graphic: Transfer of Employee Benefit. (Appendix A.)
  • 7.2. Process steps: Transfer of Employee Benefit. (Appendix B.)
8. REFERENCES
8.1. N/A
9. DEVELOPMENT TEAM
  • 9.1. Accountant, Financial Control
  • 9.2. Accountant, Treasury
  • 9.3. Accounting, Financial Accounting