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It is important for NGOs to dedicate a section on the salary of the staff in their financial management policy. The staff needs to aware about the salary systems followed by the organization whether payment to them is made on a monthly basis or not, mode of the salary payment, procedures for giving out advances to staff and other details. Below are the various aspects of salary and advances given to NGO staff under a standard NGO financial management policy:

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“4. Salaries and Advances

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4.1 Salaries

The following is the procedure on salaries:-

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a) All permanent employees shall be issued with appointment letters signed by the organization head and employee-signifying acceptance of the terms and conditions set forth thereto. The appointment letter shall contain the initial salary, responsibilities, duties and the general terms and conditions.

b) Subsequent changes in salary, responsibilities, duties, terms or conditions of employment shall be communicated to the employee in writing.

c) A personal file shall be opened for every employee. Copies of job application letters, Appointment letters and any other correspondence between employer and the employee shall be kept in this file.

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d) Salaries shall be paid monthly in arrears. A salaries schedule showing the gross pay, advances, deductions and net pay shall be prepared by the Accountant, checked and verified by the Finance manager/HR manager and approved by the organization head prior to the preparation of payment vouchers and the check.

e) A personal data card shall be opened for each member of staff. Salaries shall be paid by check through the respective bank accounts.

f) Employees shall be issued with a pay slip every month, which will show the computation of his/her net salary.

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g) Signing the payment vouchers for the net pay, and the monthly transfer sheets where applicable shall evidence authorization of salary payments.

4.2 Salary Advances to Staff

Staff advances shall be given upon request in accordance with regulations stipulated in the personnel policies and procedures manual (by complete, signed and authorized Staff Advance Authorization form, SAAF). 5 3 1 forever pdf. An Advances ledger account should be opened and reconciled at every end month. However, all advances should be approved subject to the availability of funds.

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4.3 Pending Advances

A statement of funds lying with outsiders and staff should be recorded at the end of every month-end. It is necessary to review it on a monthly basis to identify whether any deposits/advances are lying unadjusted or overdue for settlement. While it is possible that the actual date of payments and the purpose of which the deposit/advance was given gets obliterated by passage of time, this report will regularly give details of such funds lying elsewhere.

4.4 Travel Expenses

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Travel expenses incurred by staff or any other authorized person shall be reimbursed according to the regulations set out in the Human Resource Policies and Procedures Manual.

4.5 Travel Advances to Staff

Crpf Ngo Salary Pay Slip

Travel advances shall be granted in accordance with the above mentioned regulations. A separate staff debtor account shall be opened for each advance granted. Any advances not accounted for within two weeks shall be recovered from the salary of the employee concerned without prior reference to the employee.”